Shell sells off 4 Nigerian oil blocks, Nembe Trunk Line

Shell sells off 4 Nigerian oil blocks, Nembe Trunk Line

Tuesday, October 21, 2014 5:15 pm

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Royal Dutch Shell has signed sales and purchase agreements for all the Nigerian oil assets it put up for sale following a 2013 review of its business in the country, a spokesman said on Tuesday.

The assets include oil mining leases (OML) 18, 24, 25, 29 and the Nembe Creek Trunk Line pipeline.

Shell is selling off OML 18, together with its partners Total and Eni, to a consortium led by Canadian oil and gas company Mart Resources.

Mart confirmed it had entered into an agreement for the acquisition of OML 18.

The value of the deals was not disclosed. In August, the Financial Times reported that Shell was close to selling the oilfields for about $5 billion to domestic buyers.

The sale process “has not yet fully concluded but we can confirm that we have now signed sales and purchase Agreements for these Oil Mining Leases and the NCTL”, a Shell spokesman said.

“Nigeria remains an important part of Shell’s portfolio, where we will continue to have a significant onshore presence in oil and gas, and which has clear growth potential, particularly in deep-water and onshore gas,” he added.

In March, Reuters reported that Nigerian firms Taleveras and Aiteo had made the highest bid of $2.85 billion for OML 29, the biggest of the four oil fields. A senior Nigerian oil executive said a consortium headed by Pan Ocean Oil Corporation had bid for OML 24 at a price of about $1 billion.

Shell’s shares were up 3.073 percent at 2,613.5 pence at the close of London trading.

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One Comment

  • Riccardo Fabbri says:

    Excuse me but how can Shell sell to Pan Ocean Oil Company if Pan Ocean is in the middle of dispute over ownership!?! Festus Aleni Fadeyi is a big thief and has taken Pan Ocean from me and my family when my late father Vittorio di Guevara Fabbri passed away in 1998! Pan Ocean Oil Company belongs to me and my brother as heirs to my late fathers estate! We have the only and real shares in our lawyers offices in Geneva Switzerland and the fraudulent shares which Festus Aleni Fadeyi issued in Abuja must be nuled and VOID! He must be put in jail for the rest of his life! He not only stole our company from us but also causes us internal damages to my family and my self for 17 years and for all that there must be justice!
    Shell nor anyone else has the right to be doing business with Festus Fadeyi or anything to do wit Pan Ocean Oil Company Nigeria!

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