Norwegian energy company Equinor has exited Nigeria after 31 years, finalizing its divestment from the West African country. The move aligns with Equinor’s broader strategy to focus on markets where it can drive higher profitability and long-term growth. This decision allows the company to channel investments into expanding production in countries like Brazil, the United States, and Britain, aiming to boost its international output by 100,000 barrels of oil equivalent per day by 2030. Executive Vice President Philippe Mathieu commended Nigeria’s contribution to Equinor’s global portfolio, thanking local partners and employees for their dedication.
The divestment includes a 53.85% stake in Oil Mining Lease (OML) 128 and a unitized interest in the prolific Agbami oil field, one of Nigeria’s largest offshore assets. Chappal Energies, an indigenous Nigerian firm, has acquired these assets, marking a milestone in its growth strategy. Chappal Energies also takes over operatorship of OML 129, which includes the promising Nnwa-Doro gas field. The company’s Managing Director, Ufoma Immanuel, highlighted the acquisition’s potential to unlock significant economic and energy opportunities for Nigeria, particularly in line with the Decade of Gas initiative.
This transition underscores a growing trend of local companies taking on leadership roles in Nigeria’s oil and gas sector. Experts note that Chappal Energies’ acquisition and the favorable terms under Nigeria’s Petroleum Industry Act (PIA) could significantly enhance the profitability of underutilized resources like the Nnwa-Doro gas field. The deal positions indigenous firms to play a critical role in advancing the country’s energy industry and economic transformation.
