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The British energy giant is seeking to sell its gas distribution network, which serves more than 130 businesses, marking a significant shift in its Nigerian operations.

British energy company Shell is moving to exit Nigeria’s domestic gas distribution business after more than 25 years, with plans to sell a network that supplies gas to over 130 businesses.

The proposed divestment marks another development in Shell’s evolving business strategy in Nigeria, where the company has maintained a significant presence in the oil and gas industry for decades.

The gas distribution network serves industrial and commercial customers that depend on natural gas for their operations. Gas supplies are particularly important to manufacturers and other energy-intensive businesses seeking alternatives to more expensive or less reliable sources of power.

A sale of the network would transfer responsibility for its ownership and operation to a new investor, subject to the terms of the transaction and any required regulatory approvals.

For the businesses connected to the network, continuity of supply will be a major consideration as the ownership transition progresses. Customers will also be watching for clarity on future commercial arrangements, tariffs, maintenance responsibilities and investment in the infrastructure.

Shell’s reported move comes amid changes in Nigeria’s energy sector, where companies have been reassessing their portfolios while the government seeks to expand domestic gas utilisation and strengthen energy security.

Natural gas remains an important part of Nigeria’s energy mix, supplying industrial facilities, power generation and other commercial activities. A reliable distribution network can help businesses reduce dependence on alternative fuels and improve operational efficiency.

However, maintaining such infrastructure requires sustained investment in pipelines, safety systems, technical personnel and customer service. The financial and operational capacity of any prospective buyer will therefore be important to the future performance of the network.

Shell has been reshaping aspects of its Nigerian portfolio in recent years, including changes to its onshore oil and gas interests. Its reported intention to withdraw from domestic gas distribution represents a separate development involving infrastructure that serves commercial and industrial customers.

The proposed transaction could create an opportunity for another energy company or infrastructure investor to expand its presence in Nigeria’s domestic gas market. Its eventual impact will depend on the buyer’s plans, the terms of the sale and the regulatory framework governing the business.

Further details about the prospective buyer, the value of the transaction, the expected completion date and the precise assets included in the sale have not been independently confirmed in this report.

The key questions will be whether the transition preserves reliable gas supplies to the more than 130 businesses served by the network and whether the new ownership can sustain the investment needed to support Nigeria’s growing demand for domestic gas.

As the proposed exit progresses, attention will remain on the future of the distribution infrastructure and its role in supporting industrial activity and the wider Nigerian economy.