Shell, one of the oil giant manufactures, is in a process to sell out four of its oil blocks in Nigeria due to oil theft, illegal bunkering and community unrest.
Last year, it put up for sale its 30 per cent shares in four oil blocks in the Niger Delta Oil Mining Licence (OML) 18,24,25 and 29 as well as a key pipeline, the Nembe Creek Trunk Line.
A source within Shell Petroleum Development Company (SPDC) of Nigeria confirmed the reports but insisted that the company was not abandoning the country, but would make an announcement when the sale is successfully completed.
Shell is not the only major oil company seeking to divest assets and boost profits; other companies like Chevron and Total are likely to exit the country due to persistent oil spills and industrial sabotage and theft of about 150,000 barrels per day.
The source was quoted saying, “Nigeria remains an important part of Shell’s portfolio, where we will continue to have a significant onshore presence in oil and gas, and which has clear growth potential, particularly in deep-water and onshore gas. Shell has a history of over 50 years in Nigeria and remains committed to the country and to supporting the government of Nigeria in their plans for the oil and gas sector.”