Energy giant Shell has reaffirmed its ongoing plan to sell its downstream assets in South Africa, a move that could end the company’s operations of petrol stations in the country after over a century.
The announcement, reiterated in mid-March 2026, follows nearly two years since Shell first announced its intention to divest these assets in May 2024.
The company cited a strategic review of its global downstream portfolio, aiming to focus on higher returns, better performance, capital discipline, and simplification.
The assets at stake include Shell Downstream South Africa (SDSA), which runs nearly 600 petrol stations and associated trading, transportation, lubricants, and other downstream businesses, valued at around $1 billion.
A successful sale would be the end of a long chapter for Shell in South Africa, where it has been present since 1902, making its stations a familiar sight across the country for over 124 years.
Shell stressed that the decision was made “not lightly” and remains committed to operations and brand presence during the process.
In recent report on Business Tech, Shell confirmed that the divestment is still ongoing, with no major updates or a final buyer announced as of mid-March 2026.
The extended timeline has attracted industry attention, with early 2025 reports indicating that ADNOC and Swiss-based Gunvor were among the frontrunners, with strong interest from international and local players.
No deal has been finalized, and negotiations continue without a clear resolution.
This divestment is Shell’s broader global strategy to refine its downstream presence, shifting resources toward upstream growth, renewables, and higher-margin segments.
For South African motorists and the fuel sector, the potential change raises concerns about continuity, branding, pricing, and competition.
Shell stations have been a staple, and any change in ownership could affect station upgrades and supply chains.
Administrator and Writer
