Shell to buy BG Group in £47 billion deal

Oil giant Royal Dutch Shell is to buy exploration firm BG Group in a deal valuing the British business at about £47 billion.

The companies unveiled details of the huge merger, the biggest in the industry for several years, in a statement to the London stock exchange.

The swoop by the Anglo-Dutch company comes as the oil industry looks to become more efficient and reduce costs in the face of falling energy prices. BG Group, which employs about 5,200 staff in 24 countries, was created in 1997 when British Gas demerged into two separately-listed companies.