$1.5bn oil sector divestment deals completed – FG

The Federal Government of Nigeria has announced the successful completion of significant oil divestment deals totaling approximately $1.5 billion. These transactions include the agreements between Nigeria Agip Oil Company and Oando Plc, as well as Equinor and Project Odinmim.

The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Gbenga Komolafe, revealed these updates during the Nigeria Oil and Gas conference in Abuja.

Komolafe highlighted that the divestments with Oando and Equinor have concluded, with signing ceremonies scheduled shortly.

Additionally, he provided insights into ongoing processes for other major deals involving Shell Petroleum Development Company, Renaissance, ExxonMobil, and Seplat.

Moreover, Komolafe reported a positive development in Nigeria’s oil sector, noting an increase in operational oil rigs. As of June 2024, the country’s rig count has surged to 34, marking a significant improvement from previous years when the count had dropped to as low as 10 rigs.

In terms of future investments, Komolafe announced that 31 oil blocks are currently available for bidding in the 2024 Licensing Round administered by NUPRC. This bidding opportunity commenced on April 29, 2024, and is set to close soon, emphasizing the government’s commitment to expanding oil production and attracting investment in the sector.

(PUNCH)