Shell Exits Ukraine, Sells Stake in Gas Station Network to Ukrnafta

Shell plc SHEL, the British oil and gas giant, has entered into an agreement with Ukrnafta, a subsidiary of Naftogaz, to sell 51% of its gas station network in Ukraine. Following the deal’s closure, Ukrnafta will become a majority owner of Shell’s gas station network, which currently includes 118 functional stations. The rebranding will be completed within a year. Additionally, all the 1,550 employees will retain their jobs following the deal’s closure.Shell ranks among the top 10 fuel distribution networks in Ukraine and 7th in terms of the number of stations. The stations are mostly located in areas with high traffic, ensuring maximum visibility among its customers. Per a statement from Naftogaz Group, earnings from the newly acquired business will contribute to the national budget of Ukraine in the form of dividends.According to EXPRO, a production consulting firm, natural gas production in Ukraine reached new highs in October since the start of Russia's invasion in February 2022. The gross natural production reached 1.6 billion cubic meters in October 2024, reflecting a 2.3% increase from the prior-year level. This is also the highest production achieved since January 2022.With this sale, Shell has marked its exit from Ukraine. The sale was confirmed by the energy firm. Due to the prolonged conflict between Russia and Ukraine, many companies have been forced to reconsider their presence in the region. Geopolitical instability and the possibility of operational disruptions have resulted in a challenging business environment, prompting several companies operating in the region to re-evaluate their businesses in both countries.SHEL’s Zacks Rank and Key PicksCurrently, SHEL carries a Zacks Rank #3 (Hold).Some better-ranked stocks in the energy sector are Smart Sand, Inc. SND, FuelCell Energy FCEL and Nine Energy Service NINE, each presently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Smart Sand is a low-cost producer of high-quality Northern White frac sand, an ideal proppant for hydraulic fracturing and various industrial applications. The company provides proppant and other logistics services for several companies in the oil and gas industry. With sustained oil and gas market demand, SND is expected to see growing demand for its services, reflecting a positive outlook.FuelCell Energy is a clean energy company offering low-carbon energy solutions. It produces power using flexible fuel sources such as biogas, natural gas and hydrogen. The company designs fuel cells that generate electricity through an electrochemical process that combines fuel with air, reducing carbon emissions and minimizing the environmental impact of power generation. As such, FCEL is anticipated to play a crucial role in the energy transition by enabling industries and communities to shift from traditional fossil fuels to low-carbon alternatives.Nine Energy Service provides onshore completion and production services for unconventional oil and gas resource development. The company operates across key prolific basins in the United States, including the Permian, Eagle Ford, MidCon, Barnett, Bakken, Rockies, Marcellus and Utica, as well as throughout Canada. With a sustained demand for oil and gas in the future, the need for NINE’s services is anticipated to increase, which should position the company for growth in the long run.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report FuelCell Energy, Inc. (FCEL): Free Stock Analysis Report Smart Sand (SND): Free Stock Analysis Report Nine Energy Service, Inc. (NINE): Free Stock Analysis Report Shell PLC Unsponsored ADR (SHEL): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks