KEY POINTS
- President Tinubu announced the resolution of the 15-year OPL 245 dispute, ending long-standing uncertainty over one of Nigeria’s most valuable deepwater oil blocks.
- The settlement clears the way for the Zabazaba–Etan project, which could add 150,000 barrels per day to Nigeria’s production.
- The agreement aligns with the Petroleum Industry Act, strengthens investor confidence, and supports broader economic and energy sector reforms.
President Bola Tinubu on Thursday announced the successful conclusion of a landmark settlement between the Federal Government of Nigeria, ENI, and Nigerian Agip Exploration Limited (NAEL) over the longstanding OPL 245 dispute.
The agreement resolves a conflict that has spanned more than 15 years, restoring clarity and stability to one of Nigeria’s most commercially promising deepwater blocks.
The settlement was signed during a meeting at the presidential office in Abuja, attended by key officials including ENI CEO Claudio Descalzi, ENI COO Guido Brusco, Head of Sub-Saharan Region Mario Bello, Managing Director of NAEL Fabrizio Bolondi, and Special Adviser to the President on Energy Olu Verheijen.
Bayo Onanuga, the President’s Special Adviser on Information and Strategy, confirmed the outcome.
With the dispute resolved, the Zabazaba–Etan development project is now set to proceed with its Final Investment Decision. The project is expected to add roughly 150,000 barrels of oil per day to Nigeria’s production, strengthening the country’s long-term energy outlook and supporting economic growth.
President Tinubu highlights strategic milestone
The President described the settlement as a strategic milestone in Nigeria’s economic reform agenda. He emphasized that the resolution sends a signal to global investors that Nigeria is committed to transparency, rule of law, and creating a stable environment for long-term capital investment.
According to Olu Verheijen, Presidential Adviser on Energy, the new agreement improves upon the 2011 resolution by aligning with the Petroleum Industry Act and broader fiscal reforms. The revised terms provide investors with predictability while ensuring greater value and safeguards for the Federation.
The settlement is part of a wider programme of reforms initiated since 2023 aimed at restoring Nigeria’s competitiveness in global energy markets. These reforms have already encouraged renewed investor interest and significant capital inflows into the country’s oil and gas sector.
President Tinubu praised all institutions and individuals who contributed to the resolution, including the Attorney General’s Office, Ministry of Petroleum Resources, NUPRC, NNPC, and the leadership of ENI. The successful settlement underscores the administration’s commitment to unlocking Nigeria’s strategic energy assets, attracting responsible investment, and promoting sustainable growth and jobs.
