Follow Us on Google
From Juliana Taiwo-Obalonye, Abuja
Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, has said the resolution of the long-running dispute over Oil Prospecting Licence (OPL) 245 will strengthen Nigeria’s economy and reaffirm the country’s fiscal stability.
In a statement issued by Special Adviser on Information and Strategy, Bayo Onanuga, he spoke shortly after the signing of the legal agreement that brought the matter to an end in Abuja, hailing President Bola Tinubu’s “visionary leadership” for making the breakthrough possible, describing the development as a milestone in the nation’s economic repositioning.
“The agreement marks a turning point for Nigeria’s oil and gas sector after more than two decades of legal battles and international arbitration,” the Attorney-General said.
The federal government reached the settlement with Eni and Nigerian Agip Exploration Limited (NAEL), effectively closing the curtain on years of litigation surrounding OPL 245. According to Fagbemi, the accord will “recalibrate the national economy and bolster the federal government’s fiscal position.”
He disclosed that President Tinubu, early in his administration, had directed that all disputes over the oil block be resolved amicably in the interest of Nigerians. “The clear vision and deep commitment of President Tinubu provided the political will required to bring closure to this protracted dispute,” he noted. “The agreement demonstrates Nigeria’s commitment to transparency, accountability, and the rule of law.”
Fagbemi explained that the settlement, which will culminate in a Consent Arbitral Award, resolves a “complex international dispute” while restoring Nigeria’s standing as a credible global business partner. He highlighted that the resolution removes long-standing legal and fiscal uncertainties that hindered development of the oil block.
“This development will pave the way for large-scale investments, stimulate job creation, and reinforce Nigeria’s position as a leading energy producer in Africa,” he said.
Other News
The Attorney-General further stated that projected revenues from the asset could now be factored into the country’s medium-term fiscal framework, supporting greater budget stability and debt sustainability.
He also noted that opting for a negotiated settlement rather than extended arbitration “underscores Nigeria’s commitment to alternative dispute resolution and enhances the country’s credibility in international commercial and arbitration circles.”
“This settlement sends a clear signal to the global community that Nigeria is open for business and committed to fairness and respect for contractual obligations,” he added.
Fagbemi commended several institutions and stakeholders for their roles in achieving the milestone, naming the Ministry of Petroleum Resources, the Nigerian Upstream Petroleum Regulatory Commission, the Nigerian National Petroleum Company Limited, the Economic and Financial Crimes Commission, and international partners including Eni and Shell.
He concluded that the agreement “represents the triumph of dialogue over conflict and national interest over narrow considerations.”
“With this agreement, Nigeria can now move forward with confidence, ensuring that the development of OPL 245 becomes a source of prosperity for the nation and future generations,” Fagbemi said.
