Apr. 27 at 11:31 PM
Shell will acquire Canadian energy company ARC Resources in a deal valued at US
$16.4 billion to boost production by around 370,000 barrels of oil equivalent per day. The transaction is Shell’s largest since its 2016 acquisition of BG Group and comes as the company seeks to replenish aging reserves.
ARC produced a record 374,000 boe/d in 2025 (59% natural gas, 41% oil and liquids), while Shell’s output stood at 2.8 million boe/d at the end of the same year. The assets are located near Shell’s existing Canadian operations supplying LNG Canada, in which Shell holds a 40% stake, improving access to Asian LNG markets.
Under the deal, ARC shareholders will receive US
$6.02 in cash plus 0.40247 Shell shares per ARC share (about 25% cash, 75% stock), representing a 20% premium over ARC’s 30-day average price. Shell will assume US
$2.8 billion in net debt and leases, with US
$3.4 billion in cash and US
$10.2 billion in shares financing the equity value.
$SHEL