MOSCOW, May 12. /TASS/. Lukoil will acquire Shell Neft, which owns over 400 Shell retail stations and lubricants blending plant in Russia, the oil major said in a statement on Thursday.

"Lukoil announces conclusion of an agreement with subsidiaries of Shell to acquire 100% share in Shell Neft, which conducts retail petroleum products sales and lubricants production in Russia. The assets of Shell Neft include 411 retail stations, primarily located in the Central and Northwestern federal districts of Russia, and lubricants blending plant located in Tver region," the statement said. Shell Neft is owned by Shell Overseas Investments BV and BV Dordtsche Petroleum Maatschappij.

The sale will be completed after its approval by the Russian Federal Antimonopoly Service. Shell expects the sale to be completed later this year, according to the company.

"The acquisition of Shell's high-quality businesses in Russia fits well into LUKOIL's strategy to develop its priority sales channels, including retail, as well as the lubricants business," Lukoil's Vice President for Refined Products Sales Maxim Donde was quoted as saying.

According to Shell's Downstream Director Huibert Vigeveno, more than 350 people currently employed by Shell Neft will transfer to the new owner of this business under the deal.

Shell Neft’s retail network consists of 240 sites owned by Shell, 171 sites owned by dealers (and 19 Trademark License Agreement sites which are out of the scope of this transaction with Lukoil), Shell noted.

General Director of Shell Oil, a subsidiary of Shell, Sergey Starodubtsev said in early May that the company would temporarily suspend the operation of its network of gas stations and its plant in the Tver Region in the coming days to ensure the company's further sale to a new owner.

On February 28, Shell reported withdrawal from all joint projects with Russia, including Nord Stream 2 and Sakhalin 2 on LNG production (27.5% of shares). On March 8 it reported the intention to start gradually abandoning Russian petroleum products, pipeline gas and LNG.

The company has stopped buying Russian crude oil on the spot market and has not extended long-term oil contracts with Russian suppliers.