PRESIDENTIAL ADVISER CONFIDENT IN NUPRC’S ROLE IN SHELL’S ONSHORE ASSET DIVESTMENT TO RENAISSANCE CONSORTIUM

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Olu Verheijen, Special Adviser to the President on Energy, has expressed confidence in the Nigerian Upstream Petroleum Regulatory Commission’s (NUPRC) capacity to resolve issues related to Shell’s proposed sale of its onshore assets to the Renaissance consortium. She noted that President Bola Ahmed Tinubu’s administration is committed to expediting the transition of international oil companies (IOCs) from onshore activities to deep offshore and gas sector operations.

During NUPRC’s third-anniversary event for the ‘1mmbopd’ project, Engr. Gbenga Komolafe, the Commission Chief Executive, shared that the government has recently approved four divestment deals, including ExxonMobil’s sale of Mobil Producing Nigeria Unlimited to Seplat Energy.

In a recent virtual interview hosted by the African Association of Energy Journalists and Publishers (AJERAP), Verheijen highlighted the progress in divestment deal approvals, noting the improvement in the speed and volume of these transactions.

Verheijen stated, “There is one outstanding issue, and we remain confident in NUPRC’s regulatory process. Our objective is to facilitate exits for IOCs aiming to pivot to the deep offshore and gas sectors.” She underscored the significant capital and technical expertise of IOCs, which can unlock value in Nigeria’s deep offshore and gas sectors. Additionally, she stressed the need for onshore operators to align with the government’s goal of increasing production.

Verheijen acknowledged that under President Tinubu’s leadership, substantial efforts have been made to attract and retain energy sector investors through sound policies and competitive incentives. Reflecting on challenges, she noted that previous declines in investment were partly due to security concerns and fiscal conditions, emphasizing that these factors are being reassessed to enhance Nigeria’s competitiveness as an investment destination.

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