ARC Resources shareholders approve Shell's $22B acquisition proposal

ARC Resources shareholders approve Shell's $22B acquisition proposal

Deal expected to close in second half of this year

ARC Resources Ltd. says its shareholders have voted in favour of a previously announced plan that would see global energy heavyweight Shell acquire the Calgary-based natural gas producer.

The deal, announced in April, is valued at $22 billion, accounting for the target company's debt.

It would give Shell access to ARC's holdings in the prolific Montney shale formation that last year produced 374,000 barrels of oil equivalent per day.

ARC says 99.54 per cent of voting shareholders approved the proposed transaction during a special meeting on Tuesday.

The deal is expected to close in the second half of this year once it receives all regulatory and court approvals needed.

Shell invests $22 billion in Canada's oilpatch and more deals could be coming

The company says it has obtained three key regulatory approvals so far, including those under the Competition Act, Canada Transportation Act, and the United States' Hart-Scott-Rodino Antitrust Improvements Act of 1976.