News
FG Expresses Support For Shell’s Onshore Exit …Says Will Give Consideration To Firm’s Assets Sales
The Federal Government has said it is in support of Shell’s decision to exit onshore production and would give consideration to the firm’s assets sales.
On January 16, 2024, the British oil major announced plans to sell its Nigerian onshore assets to Renaissance — a consortium of local companies — for over $1.3 billion.
The deal had come almost three years after the giant energy firm sought to sell its Nigerian oil and gas business in 2021.
Since Shell began its oil and gas business in Nigeria in the 1930s, it has struggled for years with onshore oil spills as a result of theft, sabotage, and operational issues that led to costly repairs and high-profile lawsuits.
Shell said the sale of its Nigerian subsidiary, Shell Petroleum Development Company of Nigeria Limited (SPDC), “is subject to approvals by the Federal Government of Nigeria and other conditions”.
Speaking on the transaction, Heineken Lokpobiri, minister of state, petroleum resources (oil), said diversification of onshore assets by international oil companies (IOCs) benefits indigenous firms, thereby promoting profitability and economic stability.
“…and because we are committed to a business-friendly oil and gas sector, we support Shell’s onshore asset divestment,” the minister said.
“Our approach prioritizes law adherence without compromising legitimate businesses operations therefore, once we receive necessary documents, swift consideration will be given.
“Upstream operations remain intact, with a focus on addressing sector concerns, including insecurity and aging infrastructure. Our engagements with companies aim to enhance pipeline technology and critical infrastructures.
“President’s approval for a licensing bid round reflects our commitment to prompt industry advancement. Hence, the reassurance against adverse effects, as we engage with IOCs on decommissioning and abandonment, ensuring secured fund handling,” he said.
-
Society News4 years ago
Jamaican man beheads wife after finding out their 6 kids are not his
-
Society News6 years ago
EXCLUSIVE: The Complete Story of Dolapo Awosika, John Fashanu and Prophet Kasali Sex Mess
-
News4 years ago
Pastor Osagie Ize-Iyamu, His Membership Of Secret Cult, And Other Issues Touching On His Public Credentials Examined by Barr. PATRICK I. BIOSE
-
News4 years ago
BREAKING: Ajimobi’s daughter-in-law blast Gov. Makinde, says gov can’t surpass ex-Oyo gov
-
News4 years ago
BREAKING: 2 arrested as NAF begins investigations into Tolulope’s death
-
Crime5 years ago
Exclusive: Female Aide Fingered In Oko Oloyun’s Murder + Banking Transactions That Nailed Husband
-
News4 years ago
BREAKING: Police take over Edo House of Assembly as APC, Oshiomhole move to seize control
-
Society News5 years ago
The Rise and Fall of “Jumoke The Bread Seller”
You must be logged in to post a comment Login