Shane Harris, the Managing Director of ExxonMobil Nigeria, has decisively stated that the company is not exiting Nigeria despite speculations arising from the oil firm’s proposed divestment of its entire interest in Mobil Producing Nigeria Unlimited to Seplat Energy Offshore Limited.
Harris communicated this stance during a meeting in Abuja with the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri. He emphasized that ExxonMobil is currently undertaking fresh investments in Nigeria’s oil and gas sector, reaffirming the company’s commitment to the country’s energy future.
This assertion was echoed in a statement released by Nneamaka Okafor, the Special Assistant on Media and Communications to the petroleum minister, which highlighted Harris’s disclosure about ExxonMobil’s significant new investments in Nigeria’s energy sector.
“During the meeting, Mr. Harris hinted at significant new investments that ExxonMobil is injecting into Nigeria’s energy sector,” the statement revealed.
The statement further quoted Harris, who assured the Nigerian government of ExxonMobil’s continued presence and its plans to foster growth through these new investments. “We are excited about the prospects these new investments bring. Our partnership with the Nigerian government is crucial for sustainable growth, and we look forward to continuing our collaboration as we have no plan to leave.”
Senator Lokpobiri also reinforced the Federal Government’s commitment to boosting production and maintaining a supportive environment for investors in the energy sector. He emphasized the ministry’s dedication to creating synergies and sharing innovative ideas with international oil companies to ensure a robust and investor-friendly climate.
“We are dedicated to ramping up production and ensuring a supportive environment for all investors by doing everything possible to maintain investor confidence in our country,” Lokpobiri stated.
He praised ExxonMobil’s commitment to Nigeria’s oil and gas sector, recognizing it as a vital component of the nation’s strategic objectives. “ExxonMobil’s planned investments are commendable and greatly appreciated. This renewed relationship is a testament to the mutual goals we share for the future of our energy sector,” the minister added.
The statement also highlighted the ministry’s broader support for both international and independent oil operators, underscoring the importance of a thriving environment for all stakeholders. Lokpobiri reassured Harris of the government’s backing, emphasizing, “We fully support ExxonMobil and other IOCs, just as we do with independent operators. Our collaborative efforts are key to the sustainable growth of our energy sector.”
Previously, on May 31, 2024, there were reports a potential increase of 480,000 barrels per day in Nigeria’s crude oil output. This development followed a settlement between the Nigerian National Petroleum Company Limited (NNPC) and ExxonMobil, aimed at resolving the dispute over ExxonMobil’s asset sale to Seplat Energy.
The NNPC confirmed it had signed a settlement agreement with ExxonMobil concerning the divestment of a 100 per cent interest in Mobil Producing Nigeria Unlimited to Seplat Energy Offshore Limited. This resolution came after President Bola Tinubu intervened in the dispute, which had been impeding the sale of the assets to Seplat.
Lokpobiri recently highlighted the significant financial impact of the stalled divestment, revealing that Nigeria had lost approximately $30 billion over the past two and a half years due to the unresolved issue. He expressed concern that the ongoing crisis was resulting in a daily loss of about 480,000 barrels of crude oil. He noted that the asset had been producing around 600,000 barrels per day before the crisis began in 2022, leading to substantial daily financial losses for the nation.
In 2022, ExxonMobil and Seplat Energy had announced a $1.6 billion sales agreement for the purchase of ExxonMobil’s complete shares in the NNPC. However, progress was halted when the Nigerian Upstream Petroleum Regulatory Commission, in a letter dated May 16, 2022, informed ExxonMobil that the deal could not proceed due to NNPC exercising its right of pre-emption on the assets.
