The President, Major General Muhammadu Buhari (Retd.), has approved the acquisition of the entire share capital of Mobil Producing Nigeria Unlimited by Seplat Energy Offshore Limited.
This is according to a tweet from the presidency on Monday afternoon titled “President Buhari approves the acquisition of Exxon Mobil shares by Seplat Energy Offshore Ltd.”
According to the presidency, Buhari has authorized the move as Petroleum Minister to attract foreign direct investment to the country.
He also instructed Exxon Mobil and Seplat to reduce all environmental and abandonment obligations.
The statement read in part: “In his capacity as Minister of Petroleum Resources, and in line with the country’s pursuit of foreign direct investment in the energy sector, President @MBuhari has approved the acquisition of Mobil Producing Nigeria Unlimited’s entire share capital by Seplat Energy Offshore Limited.
“Exxon Mobil had entered into a landmark purchase and sale agreement with Seplat Energy to acquire the entire share capital of Mobil Producing Nigeria Unlimited from Exxon Mobil Corporation, Mobil Development Nigeria Inc, & Mobil Exploration Nigeria Inc, registered in Delaware, USA.
“Given the comprehensive benefits of the transaction to the Nigerian energy sector and the larger economy, President @MBuhari has given ministerial approval for the deal.
“The President, in his pursuit of investments under the Petroleum Industry Act, has authorized the Share Sales Agreement, as requested by the parties to the transaction, and directed that approval be given to all parties involved. be passed on.”
As a result, Exxon Mobil/Seplat is expected to conduct the exploitation of all oil extraction licenses in the related shallow water assets with a view to production optimization to support Nigeria’s OPEC quota in the near term and to accelerate development and monetization of the gas resources. in assets for the Nigerian economy.