President Bola Tinubu has reiterated his administration’s commitment to resolving the ongoing divestment dispute between Seplat Energy and ExxonMobil.
During a meeting with ExxonMobil Upstream Company’s delegation, led by President Liam Mallon, in Abuja on Tuesday, President Tinubu instructed the Ministry of State for Petroleum Resources (Oil) and the Nigerian National Petroleum Company (NNPC) Limited to expedite the resolution process.
The President assured the ExxonMobil delegation that the federal government is dedicated to addressing the litigation impeding the divestment.
“We have been pushing for closure on divestment issues, and I believe the other party, Seplat, is open to this.
“We are close enough to be fair and blunt with you, and we are not afraid to hear from you on better options and recommendations for the growth of the industry in Nigeria,” Tinubu stated.
Tinubu also praised ExxonMobil for its commitment to environmental protection and efforts to reduce gas flaring in Nigeria.
He acknowledged the company’s longstanding partnership in the country’s development and urged continued support for his administration’s success.
The dispute began in February 2022 when Seplat announced an agreement to acquire ExxonMobil’s 40 per cent stake in Mobil Producing Nigeria Unlimited (MPNU).
The Nigerian Upstream Petroleum Regulatory Company declined to approve the acquisition in May 2022, citing “overriding national interest.”
Subsequently, the Nigerian National Petroleum Company (NNPC) secured a court injunction in July 2022, restraining ExxonMobil from selling its Nigerian assets.
Former President Muhammadu Buhari reversed his initial authorization for the acquisition in August 2022, further complicating the situation.
Despite the challenges, Seplat extended the Share Sale and Purchase Agreement for the acquisition of MPNU in May 2023 and again in May 2024, demonstrating its continued commitment to the deal.
Minister of Petroleum Resources (Oil) Heineken Lokpobiri confirmed that President Tinubu has issued a clear directive to him and NNPC Limited Group Chief Executive Officer (GCEO) Mele Kyari to resolve the divestment issue.
“Mr President has given a clear directive to the NNPC GCEO and I to resolve the issue of divestment, and we are doing whatever we can to achieve that,” Lokpobiri said.
