The green group mockingly used Lego playsets and men in its campaign material to simultaneously break this co-branding alliance and target Shell's Alaskan Arctic drilling plans.
Its biggest feat in this regard was the July release of the viral video "Lego: Everything is not awesome" which used what Greenpeace said was the "most depressing version" of the upbeat Lego Movie song.
"With massive media attention and almost six million views, the video was briefly taken down from YouTube due to a copyright claim, but was reposted after 18 hours of massive public outcry," Greenpeace said.
An associated Greenpeace online petition also resulted in more than one million people emailing Lego to drop its co-branding deal with Shell - with Lego caving in this week.
"We want to clarify that as things currently stand we will not renew the co-promotion contract with Shell when the present contract ends," Lego Group CEO Jorgen Knudstorp said.
He also took the opportunity to criticise Greenpeace's methods.
"We do not agree with the tactics used by Greenpeace that may have created misunderstandings among our stakeholders about the way we operate; and we want to ensure that our attention is not diverted from our commitment to delivering creative and inspiring play experiences," Knudstorp said.
He did not say when the agreement with Shell would end.
"The long-term co-promotion contract we entered with Shell in 2011 delivers on the objective of bringing LEGO bricks into the hands of many children, and we will honour it - as we would with any contract we enter."
Greenpeace was still spurred on by the news.
"We're super happy Lego has finally decided to do the right thing," the organisation said.
"It's a massive victory for the million people globally who called on Lego to stop helping Shell look like a responsible and caring company - rather than a driller intent on exploiting the melting Arctic for more oil.
"To maintain respectability in the face of growing opposition to Arctic drilling, Shell needs to surround itself with decent and much loved brands - museums, art galleries, music festivals, sports events. Lego's announcement is an important step towards blowing Shell's cover.
"But now that Lego has quit Shell it's time for Shell to quit the Arctic. The oil giant recently announced its plans to drill in the Alaskan Arctic in 2015. Meanwhile the Arctic sea ice cover reached one of its lowest points on record this year. Time is running out to save the Arctic, and the time for urgent action is now."
Shell-branded Lego playsets such as service stations date back to the 1960s.
Shell has often used Lego in various promotional activities, with a lego model of its planned Prelude floating LNG vessel unveiled at the Australian Petroleum Production and Exploration Association conference in Perth earlier this year.
