Buhari approves acquisition of Exxon Mobil shares by Seplat | The Guardian Nigeria News - Nigeria and World News

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President Muhammadu Buhari has consented to the acquisition of Exxon Mobil shares in the United States of America by Seplat Energy Offshore Limited, as part of Nigeria’s drive for Foreign Direct Investment in the energy sector.

Exxon Mobil had entered into a landmark Sale and Purchase Agreement with Seplat to acquire the entire share capital of Mobil Producing Nigeria Unlimited from Exxon Mobil Corporation, Mobil Development Nigeria Inc, and Mobil Exploration Nigeria Inc, both registered in Delaware, USA.

Considering the extensive benefits of the transaction to the Nigerian energy sector and the larger economy, Buhari, as Minister of Petroleum Resources, approved the deal. The President, in commitment to investment drive, in light of the Petroleum Industry Act, granted consent to the Share Sales Agreement as requested by parties to the transaction, and directed that the approval be conveyed to all the parties involved.

Exxon Mobil/Seplat are expected to carry out operatorship of all the oil mining licenses in the related shallow water assets towards production optimisation to support Nigeria’s Organisation of the Petroleum Exporting Countries quota in the short term, as well as ensure accelerated development and monetisation of gas resources in the assets for the Nigerian economy.

Buhari also directed that all environmental and abandonment liabilities be adequately mitigated by Exxon Mobil and Seplat, according to a statement signed by Special Adviser on Media and Publicity, Femi Adesina, yesterday.

 

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