Shell’s withdrawal opens doors for Nigerian firms
Oil major's departure from the Nigerian onshore oil business offers opportunities for local firms, but could also leave a financing gap
On 16 January, Shell announced an agreement to sell its Nigerian onshore oil and gas subsidiary, Shell Petroleum Development Company of Nigeria (SPDC), to a consortium of local firms for up to $2.4b. The deal aligns with Shell’s previously stated intention to withdraw from onshore oil production in the Niger Delta. The company's strategy is to streamline its portfolio and concentrate future Nigerian investments in deepwater and gas, stated Zoe Yujnovich, Shell's integrated gas and upstream director. The major has been active in Nigeria since the 1930s. The purchasing consortium, Renaissance Africa Energy — comprising ND Western, Aradel Holdings, the Petrolin Group, First Exploration and Petr
Also in this section
26 April 2024
While the US has been breaking records for its premium grade crude, there are doubts over whether you can have too much of a good thing
26 April 2024
Slowing demand growth and capacity expansions will squeeze refiners in coming years
25 April 2024
Some companies with assets in Israel have turned towards Egypt as tensions escalate, but others are holding firm despite rising tensions
24 April 2024
But even planned exploration activity is unlikely to reverse declining output from mature fields