The Shell Petroleum Development Company of Nigeria Limited (SPDC) and other joint venture firms, Total Exploration and Production (E&P) Nigeria Limited and Nigerian Agip Oil Company Limited have realised $2.437 billion from sale of their interests in two oil blocks – oil mining lease (OML) 18 and OML 29 and the Nembe Creek Trunk Line (NCTL) and related facilities in the Eastern Niger Delta.

The companies completed sale of their interests in assets last week bringing an end to the controversies that trailed the transaction since last year. The transaction on the two assets ought to have closed since last year alongside other two blocks OMLs 24, 25, but because OMLs 18 and 29 were considered juicy when compared to others and besides there were issues of capacity and capability on the side of the preferred bidders, the transaction lingered till last week.

According to SPDC’s Corporate Media Relations Manager, Precious Okolobo, Shell’s interests in OML 18 were assigned to Eroton Exploration & Production Company Limited and total cash proceeds for Shell amount to $737 million while OML 29 and the NCTL were sold to Aiteo Eastern Exploration and Production (E&P) Company Limited and total cash proceeds for Shell amount to some $1.7 billion.

This divestment is part of the strategic review of SPDC’s onshore portfolio and is in line with the Federal Government’s aim of developing Nigerian companies in the country’s upstream oil and gas business, he added.

Shell, he said, has been in Nigeria for more than 50 years and remains committed to keeping a long-term presence there – both onshore and offshore. Through SPDC and its other Nigerian companies, Shell responsibly produces the oil and gas needed to help fuel the economic and industrial growth that generates wealth for the nation and jobs for Nigerians.

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http://monitor9ja.com/2015/04/shell-rakes-in-2-437b-from-two-oil-blocks-sale/