Nigerian state oil firm acquires Shell onshore block
August 1 , 2012
State oil company Nigerian National Petroleum Corp and a local firm have bought an onshore oil block operated Royal Dutch Shell.
The OML 34 is one of three onshore blocks that the Anglo-Dutch major has been trying to sell off as part of a revamp of its Nigerian portfolio.
In a statement, NNPC said it and a company called ND Western will now run the oil block, calling it a "a major milestone in the oil and gas sector".
"The taking over of Oil Mining Lease (OML) 34 by the Nigerian National Petroleum Corporation and ND Western (is) part of measures to grow the in-country upstream capacity of the petroleum industry," the statement said.
NNPC will own 55 percent and ND Western 45 percent of the block from Shell Petroleum Development Corporation, which is a Shell-run joint between NNPC with 55 percent, Shell with 30 percent, EPNL with 10 percent and Agip with 5 percent.