Shell plc has agreed to acquire ARC Resources Ltd. in a deal valued at approximately $13.6 billion, or approximately $16.4 billion including debt. The transaction will add roughly 370,000 boed of production and approximately 2 billion boe of proved plus probable reserves, strengthening its upstream base and supporting growth through the end of the decade. The deal significantly expands Shell's position in Canada's Montney shale and boosts long-term oil and gas production. ARC's assets are concentrated in the Montney formation in British Columbia and Alberta, one of North America's most prolific unconventional plays. The acquisition will combine ARC's acreage with Shell's existing Montney footprint, including its Groundbirch operations, which supply natural gas to the LNG Canada project. "ARC is a high-quality, low-cost producer operating in the Montney shale basin that complements our existing footprint in Canada," said CEO Wael Sawan. "This establishes Canada as a heartland for Shell." The acquisition will increase Shell's production growth outlook, targeting a compound annual growth rate of around 4% through 2030, while maintaining a focus on low-cost, lower-emissions assets. Under the terms of the agreement, ARC shareholders will receive a mix of cash and Shell shares, representing a premium to recent trading levels. The transaction is expected to close in the second half of 2026, subject to shareholder and regulatory approvals. The acquisition underscores continued consolidation in North American shale and highlights the strategic importance of Canadian gas resources tied to LNG export growth.