Shell Puts Canada at Heart of Growth Plans in $13.6 Billion Deal

Shell Plc agreed to buy Canadian oil and gas producer ARC Resources Ltd. for $13.6 billion, its biggest deal in more than a decade as it seeks to sustain output in the long term.

It’s the first major acquisition in the three-year tenure of Chief Executive Officer Wael Sawan, who has been pressed recently to bolster the company’s fossil fuel reserves. In the absence of major discoveries, and with Shell saying last year it won’t bid for troubled rival BP Plc, a smaller deal has been the likeliest path to growth.

ARC’s low-cost shale gas and liquid hydrocarbon ...