Shell Plc is reportedly gearing up for renewed negotiations to divest some of its Nigerian oil fields, with Eroton Exploration and Production Company Ltd. as the potential buyer.
With a presence in Nigeria that spans over eight decades, Shell holds the title of the country’s largest oil producer, contributing to around 40 percent of the nation’s total oil output.
Boasting a portfolio of over 200 oil and gas fields, the company has left a significant mark in Nigeria’s exploration and production landscape.
Being Africa’s largest oil producer and among the top ten globally, Nigeria boasts substantial proven oil reserves, ranking ninth with an estimated 37 billion barrels.
The valuable resource plays a pivotal role in Nigeria’s economic structure, constituting approximately 90 percent of export earnings and over 70 percent of government revenue.
As a key player in the Nigerian oil and gas sector, Eroton Exploration and Production Company Ltd. stands as a joint venture between the Nigerian National Petroleum Company Limited (NNPCL) and a consortium of Nigerian investors, striving to develop and extract the nation’s oil and gas resources.
Shell has been engaged in negotiations with Eroton Exploration and Production Company Ltd. since 2019, exploring the potential sale of some of its Nigerian oil fields.
The move aligns with Shell’s strategic vision, focusing on more profitable endeavors.
This divestment move is projected to yield substantial proceeds, amounting to billions of dollars for Shell.
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