In a move reflecting its dedication to transparency and public engagement, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has issued a detailed update on recent divestment activities involving major oil and gas companies.
The NUPRC has approved divestments by the Nigerian Agip Oil Company (NAOC) to Oando Petroleum and Natural Gas Company Limited (Oando PNGCL) and OANDO Oil II Cooperatief U.A. (OANDO Cooperatief), as well as Equinor Nigeria’s divestment to Chappal Energies. These approvals were granted in line with the Petroleum Industry Act (PIA) 2021 and the Commission’s regulatory framework, ensuring compliance with established guidelines.
The divestment by Mobil Producing Nigeria Unlimited (MPNU) to Seplat Energy Offshore Limited (Seplat) is currently undergoing a comprehensive review process. This process is being conducted in accordance with the same stringent requirements set forth by the PIA, with an expected completion within the 120-day timeline stipulated by the legislation.
The approval process for NAOC’s assets involved several key steps, beginning with a notification of intent in May 2023. This was followed by technical evaluations and formal approvals. The process ensured that all regulatory requirements, including technical capacity, financial viability, and legal compliance, were thoroughly assessed.
In contrast, MPNU’s initial application, submitted in February 2022, faced delays due to the lack of necessary consents and waivers. Following the resolution of disputes with the Nigerian National Petroleum Company (NNPC) in June 2024, MPNU resubmitted its application, which is now under detailed review by the NUPRC.
The NUPRC emphasises its commitment to adhering to international best practices and the provisions of the PIA in all divestment approvals. The Commission assures the public that it will continue to conduct its regulatory duties with the highest standards of integrity, technical expertise, and professionalism.