September 03, 2026 [Tank News International]- Shell plc has completed its previously announced acquisition of Canadian energy company ARC Resources Ltd., following the receipt of all required shareholder, court and regulatory approvals.

The transaction brings ARC Resources’ operations in British Columbia and Alberta into Shell and adds approximately 370,000 barrels of oil equivalent per day (boe/d) of liquids and gas production to the company’s portfolio.

Shell said the acquisition is expected to accelerate its growth strategy, supporting a production compound annual growth rate of approximately 4% through 2030, compared with 2025 levels.

Expanded exposure to Canada’s Montney basin

ARC Resources has a significant presence in Canada’s Montney basin, a major unconventional oil and natural gas producing region spanning parts of British Columbia and Alberta.

Shell Chief Executive Officer Wael Sawan said the acquisition would bring ARC employees and their operational and technical expertise into Shell, while increasing the company’s exposure to long-duration, low-cost liquids production.

The integration will focus on combining the strengths of both organisations while maintaining operational performance and pursuing efficiencies associated with the enlarged portfolio.

Details of the transaction

Under the terms of the arrangement, ARC shareholders received CAD $8.20 in cash and 0.40247 Shell ordinary shares for each ARC common share held.

Based on Shell’s closing share price of £34.43 on September 2nd, 2026, together with prevailing foreign exchange rates, the transaction represents an estimated equity value of approximately US$13.9 billion.

Shell is also assuming approximately US$2.5 billion in net debt and leases, bringing the transaction’s estimated enterprise value to approximately US$16.5 billion.

The equity portion of the acquisition is being funded through approximately US$3.3 billion in cash and US$10.6 billion worth of newly issued Shell shares.

Expected financial benefits

Shell expects the acquisition to generate double-digit returns and strengthen the company’s long-term cash flow profile.

The company also anticipates that the transaction will be accretive to free cash flow per share from 2027 onwards, adding to the financial contribution expected from the expanded production base.

The acquisition gives Shell increased exposure to liquids and natural gas production in Western Canada while adding a substantial portfolio of existing infrastructure and producing assets.

With the transaction now completed, attention will turn to the integration of ARC Resources into Shell and the company’s ability to capture the operational and financial benefits anticipated from the enlarged Canadian portfolio.