Close Menu
    Facebook X (Twitter) Instagram
    Facebook X (Twitter) Instagram
    SweetCrudeReportsSweetCrudeReports
    Subscribe
    • Home
    • Oil
    • Gas
    • Power
    • Solid Minerals
    • Labour
    • Financing
    • Freight
    • Community Development
    • E-Editions
    SweetCrudeReportsSweetCrudeReports
    Home » Shell stakes US$70bn to acquire BG Group

    Shell stakes US$70bn to acquire BG Group

    April 9, 2015
    Share
    Facebook Twitter LinkedIn WhatsApp

    09 April 2015, Lagos –  The Board of Royal Dutch Shell Plc on Wednesday announced its decision to acquire BG Group Plc, one of the world’s largest gas liquids companies.

    Shell
    Shell

    Details of the planned acquisition were expected to have been disclosed later on Wednesday during a formal briefing by the Chief Executive Officer of Royal Dutch Shell Plc, Ben van Beurden.

    But the Boards of the two companies have already announced that they have agreed on the terms of a recommended cash and share offer to be made by Royal Dutch Shell plc for the entire issued and to be issued share capital of BG Group Plc.

    The value of the proposed acquisition is put at almost $70 billion, which Shell said it would pay with 70 percent of its own shares and 30 percent in cash.

    Shell said the price is a 50 percent premium to BG’s closing share price at the New York Exchange on Tuesday.

    BG, formerly a part of British Gas, appears an attractive asset to Shell in view of its unique position in the industry as a major player in liquefied natural gas, LNG sector.

    LNG is a fuel whose use is growing fast as the preferred fuel for power and industry.

    Shell is a major investor in the LNG business, particularly in Nigeria where it is a major player, controlling 25.6 per cent of the shares in Nigeria LNG Limited, a multi-billion dollar investment designed to harness Nigeria’s vast natural gas resources and produce LNG and natural gas liquids, NGLs for export.

    BG Group, which is active in more than 20 countries, including Nigeria, has a strong record in exploration, with additional annual average production capacity of one billion barrels of oil equivalent in its portfolio over the last decade.

    The company hopes to be the largest contracted supplier to China, the world’s fastest-growing LNG market, by 2017, with potentials to delivered gas to at least 26 of the 27 countries that currently import LNG.

    – Premium Times

    Related News

    Nigeria loses N710bn to gas flaring in four months

    NLNG, NCDMB launch training for 140 Nigerians as Train-7 hits 80% completion

    Cooking gas costs overshoot N70,000 minimum wage

    E-book
    Resilience Exhibition

    Latest News

    Shipping firms dodges $900m cost, as Nigeria hit by empty container glut

    June 9, 2025

    ‘OPEC oil output rises in May but compensation cuts limit hike’

    June 9, 2025

    Chevron CEO warned staff of rising safety issues before fatal Angola platform fire

    June 9, 2025

    Oil prices steady ahead of US-China trade talks

    June 9, 2025

    Kwairanga reiterates NGX’s commitment to deepening Nigeria’s capital market

    June 9, 2025
    Demo
    Facebook X (Twitter) Instagram
    • Opec Daily Basket
    • Oil
    • Power
    • Gas
    • Freight
    • Financing
    • Labour
    • Technology
    • Solid Mineral
    • Conferences/Seminars
    • Community Development
    • Nigerian Content Initiative
    • Niger-Delta Question
    • Insurance
    • Other News
    • Focus
    • Feedback
    • Hanging Out With Markson

    Subscribe for Updates

    Get the latest energy news from Sweetcrudereports.

    Please wait...
    Please enter all required fields Click to hide
    Correct invalid entries Click to hide
    © 2025 Sweetcrudereports.
    • About Us
    • Advertise with us
    • Privacy Policy

    Type above and press Enter to search. Press Esc to cancel.