Shell Sells European Renewables Unit to TotalEnergies Amid Shift in Strategy
Oil giant Shell has agreed to sell its European onshore renewables unit to TotalEnergies. The deal includes assets in Italy, the Netherlands, Spain, and the UK, with a total of about 0.5 gigawatts of renewable generation capacity either operating or under development.
The transaction also includes a pipeline of future projects. This move comes as Shell scales back its low-carbon investments to focus on liquefied natural gas trading and upstream operations under CEO Wael Sawan's leadership.
TotalEnergies will also sell a 50% stake in a 1.2 GW European renewables portfolio to global investment firm KKR for €1.8 billion. TotalEnergies says both transactions align with its strategy to build renewable and gas-fired power generation capacity in key deregulated markets, while selling down up to half of its renewables holdings at a profit.
The deal is expected to complete by the end of 2026.