NUPRC Speaks on Approving Sale of Shell Assets to 4 Nigerian Firms for $1.3bn

• NUPRC has provided clarification of reports that it approved Shell’s $1.3 billion sale of its onshore assets in Nigeria
• Shell announced plans to sell its Nigerian subsidiary, SPDC, to Renaissance, a group of four Nigerian firms and an international energy company.
• The deal has been awaiting regulatory approvals, with Shell set to support SPDC facilities supplying gas to Nigeria LNG post-sale

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has refuted claims that it has approved the $1.3 billion sale of Shell International's onshore assets in Nigeria to Renaissance Consortium.

The NUPRC described the reports published in a national daily as baseless and not originating from the commission.

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In a statement signed by Olaide Shonola, the head of Public Affairs and Corporate Communication, NUPRC noted that the information in the report didn’t emanate from the commission.

Part of the NUPRC response reads:

‘‘The attention of the Nigerian Petroleum Regulatory Commission (NUPRC) has been drawn to a publication in the Businessday of September 11, 2024, purporting that the Commission has accepted Shell International Plc’s bid to sell its onshore assets to Renaissance in a transaction worth $1.3 billion.

"It must be firmly stated that the information contained in the publication did not emanate from the Commission.

"As part of the Commission’s commitment to transparency and accountability, it will communicate its position on the transaction to the public at the appropriate time.

"Industry stakeholders and the general public are advised to disregard the publication as it is baseless’’.

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The background story for Shell vs Renaissance deal

Legit.ng reported that on January 16, 2024, Shell announced that it has reached an agreement to sell its Nigerian onshore subsidiary, The Shell Petroleum Development Company of Nigeria Limited (SPDC) to Renaissance, a consortium of five companies comprising four exploration and production companies based in Nigeria and an international energy group.

The five Nigerian companies with footprints in oil exploration and production are ND Western, Aradel Energy, First E&P, Waltersmith and Petrolin.

Oil companies take Investments to Libya

Meanwhile, Legit.ng had earlier reported that oil companies were taking their investments to Libya after the country's long decade of war lookover.

The report noted that oil companies expressed their desire to invest in Libya due to its recently achieved stability.

It was also noted that the international oil companies leaving Nigeria were due to an increase in bunkering and vandalism of oil facilities.

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Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng

Source: Legit.ng