FG to conclude sale of $1.3bn ExxonMobil assets to Seplat Energy

The Federal Government has progressively worked towards concluding the sale of $1.3 billion ExxonMobil oil assets to Seplat Energy Plc as a way to increase investment and Nigeria’s production capacity.

The country's output dropped by 6.8 per cent to 1.23 million barrels per day, in March 2024, from 1.32 barrels per day in February 2024.

Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, revealed that President Bola Tinubu has already directed him to make sure all issues stopping investment and production with all stakeholders, including Seplat Energy Plc are resolved with immediate effect.

Speaking at the Second Quarter 2024 Dinner, organised by the Petroleum Club in Lagos, on Tuesday, April 16, Lokpobiri said: “The President has directed that we resolve all issues hindering investment in the industry. There are many oil well that have been idle for years. I have been engaging stakeholders, including the International Oil Companies, IoCs and indigenous oil companies on how to keep the idle oil wells open.

“ExxonMobil assets have been idle for a while and we have to resolve problems currently delaying Seplat Energy from taking them up because a lot of impact would be made. The exploitation of the assets would go a long way in increasing Nigeria’s production capacity as well as in creating additional jobs for our people.

“It will speak volumes to the international community that Nigeria is an investment destination in Africa. It will also show that we have respect for the Ease of Business. So, as a government we have decided to resolve the issues to ensure Seplat Energy acquire the assets.

“All investors need to demonstrate capacity in terms technology and funds. There are areas for the boys and there are also areas for the men. We are currently looking for men, not in terms of age but capacity to participate. Investors that have what it takes should participate. But the way forward is to form consortia in order to mobilise adequate resources for investment.”

BEB