Nigeria has blocked Shell’s sale of its entire onshore and shallow-water oil operations, but approved a similar deal by Exxon Mobil, Nigeria Upstream Petroleum Regulatory Commission said on Monday.
Shell’s asset sale for up to $2.4 billion to Renaissance consortium, comprising five companies, was first announced in January. Exxon’s deal with Seplat Energy has awaited regulatory approval for more than two years since a $1.28 billion fee was announced in February 2022.
In a speech at an event in Abuja, Nigerian Upstream Petroleum Regulatory Commission (NUPRC) CEO Gbenga Komolafe said the Shell deal “could not scale (the) regulatory test,” but did not elaborate. Exxon’s transaction was granted ministerial approval.
President Bola Tinubu had signalled on Oct. 1 that the Exxon-Seplat deal would receive ministerial approval in a matter of days after getting clearance from the regulator.
“We welcome the regulator’s announcement and look forward to formally receiving the ministerial consent as we work toward the conclusion of the sale,” Exxon said in a statement.
