Norwegian energy giant, Equinor, has completed the sale of its oil assets in Nigeria, marking the end of its nearly 31-year business partnership with the country.
The transaction, finalized on December 6, 2024, is valued at up to $1.2 billion, including a purchase price of $710 million and contingent payments.
Equinor’s decision to exit aligns with its strategy to streamline its international portfolio and focus on more competitive projects that ensure long-term production and profitability.
Equinor’s executive vice president for international exploration and production Philippe Mathieu, emphasized that Nigeria had been an essential part of the company’s portfolio for decades and thanked the country’s employees and partners for their contributions.
The sale includes the transfer of a 53.85% stake in Oil Mining Lease (OML) 128, which holds a unitised 20.21% interest in the Agbami oil field, one of Nigeria’s largest and most productive deep-water oil fields. Chappal Energies, the buyer, will also take over operations of OML 129, which includes the Nnwa-Doro gas field a major gas resource that has been stranded for over two decades.
Equinor’s divestment from Nigeria, first announced in 2023, is part of its broader strategy to optimize its oil and gas portfolio and deepen investments in countries where it can add the most value. The exit will positively impact the company’s cash flow for the fourth quarter of 2024.
