Shell is selling its onshore business in Nigeria’s Niger Delta to a consortium of companies for $2.4 billion. The sale is part of Shell’s plan to exit onshore oil production in Nigeria and focus on deepwater and integrated gas investments. The assets are largely owned by the Nigerian government’s national oil company NNPC, which holds a 55% stake.
Shell operates the assets and owns a 30% stake, with the remaining share held by France’s TotalEnergies at 10% and Italy’s Eni at 5%. Activists in the Niger Delta plan to ask the government to withhold approval if the company does not address its environmental damage.
The oil industry in Nigeria faces risks of violence, including pipeline vandalism by oil thieves. Shell will still have at least three subsidiary operations in Nigeria, including its Gulf of Guinea deep-water operations, an industrial gas business, and solar power for industrial activities.
