Istanbul, April 8 () - Petroleum giant Royal Dutch Shell PLC has agreed to buy BG Group PLC for 69.6 billion dollars (£47 billion) in cash and shares, both companies said in a joint statement on the deal on Wednesday.
Analyists said, the 69.9-billion dollar deal was the latest sign of how tumbling energy prices are shaking up the global oil-and-gas industry.
"The boards of Shell and BG are pleased to announce that they have reached agreement on the terms of a recommended cash and share offer to be made by Shell for the entire issued and to be issued share capital of BG" said a statement issued by Shell.
BG Group, which employs about 5 thousand in 24 countries, has key growth projects in Brazil, East Africa, Australia, Kazakhstan and Egypt, worth billions of dollars.
The natural gas reserves of the Shell Group would increase by 25 percent, wit the acquisition of the natural gas producer BG, which was created in 1997 when British Gas demerged into two separately-listed companies, with Centrica having responsibility for the retail side of the business.
