BOC is to buy Shell New Zealand's commercial LPG business, including its shareholding in Liquigas.

BOC says the move augments its existing international investments in LPG which currently generate more than $NZ 1.1 bn annually.

Sue Dale, BOC's General Manager in New Zealand, says it will also increase the company's market share and secure its position as a significant market player in New Zealand.

The purchase is subject to clearance by the Commerce Commission, with a decision expected in early this year.