Shell decides to sell SPDC, its onshore Nigerian business, for $2.4 billion.

Renaissance, a collection of five businesses that includes an international energy organization and four Nigerian exploration and production companies, will purchase the SPDC for $2.4 billion.

Shell stated that additional requirements and Federal Government of Nigeria permits must be met before the deal can be finalized.

The transaction has been structured to maintain SPDC's whole operational range after the ownership transition, the company revealed in a statement on its website on Tuesday.

The technical know-how, management systems, and procedures that SPDC executes on behalf of all the companies in the SPDC Joint Venture (SPDC JV) are included in this, according to the statement.

The statement further stated that even when SPDC changes ownership, its employees will still be working for the company.Part of the announcement said, "After completion, Shell will continue to assist the management of SPDC Joint Venture facilities that supply a significant amount of the feed gas to Nigeria LNG (NLNG), to help Nigeria realize maximum value from NLNG."

The statement quoted Shell's Integrated Gas and Upstream Director Zoë Yujnovich as saying, "This agreement marks an important milestone for Shell in Nigeria, aligning with our previously announced intent to exit onshore oil production in the Niger Delta, simplifying our portfolio and focusing future disciplined investment in Nigeria on our Deepwater and Integrated Gas positions."

"It is a significant moment for SPDC, whose people have built it into a high-quality business over many years," the statement continued. Now, after decades of leading the way in Nigeria's energy industry, SPDC will begin its next chapter under the direction of a capable, aspirational consortium led by Nigerians.

Shell believes Nigeria has a promising future and that the country's energy sector will attract foreign investment. In sectors that are consistent with our plan, we will keep assisting the nation in meeting its expanding energy demands and export goals.

The Nigerian National Petroleum Corporation, controlled by the government, owns 55% of the SPDC JV. Total Exploration and Production Nigeria Ltd., which is 10% of the venture, and Nigeria Agip Oil Company Ltd., which is 5%, make up the unincorporated joint venture.