Shell acquires ARC Resources for $16.4B, boosting its Montney Basin presence and production growth.

Shell announced a $16.4 billion acquisition of Canadian producer ARC Resources, deepening its stake in the Montney Basin, a key North American shale play. The deal adds 370,000 barrels of oil equivalent per day to Shell’s output and nearly doubles its Montney acreage to 1.94 million acres. This acquisition supports Shell’s strategy to increase oil and gas production with lower emissions and is expected to boost its production growth rate to 4% annually through 2030. The transaction, approved by both companies, is set to close in late 2026 and is projected to enhance Shell’s free cash flow starting in 2027.