Eni, Nigerian Govt Pause Oilfield Dispute Arbitration For License Talks

Eni Halts Arbitration On OPL 245 Oilfield Dispute With Nigerian Govt

1 min read

Eni, an Italian oil giant, has pressed pause on their arbitration proceedings concerning the OPL 245 oilfield dispute with the Nigerian government.

The move aims to open discussions on transforming the license from prospecting to production, potentially unlocking one of Nigeria’s most substantial oil reserves.

An Eni spokesperson said, “Eni has agreed… to temporarily suspend the arbitration proceedings in order to discuss… steps for achieving the conversion of the license.”

This decision aligns with Nigeria’s recent withdrawal of civil claims amounting to $1.1bn against Eni, linked to alleged corruption in the OPL 245 deal.

READ ALSO: Nigeria’s Oil Production Prospects: Meeting OPEC Quota, Economic Growth

Eni and Shell secured rights to the offshore field in 2011, but incessant disputes hindered its exploitation, according to Reuters. The recent developments signal a shift towards resolving long-standing issues around this valuable resource.

READ ALSO  Why Banks Will Disconnect Non-deposit Financial Institutions From Transfer List

The timeline reveals a series of events showcasing this gradual resolution: from the Milan appeals court confirming Eni’s acquittal over corruption charges in 2022, to Eni withdrawing its fraud complaint against Oando in October, leading to the potential sale of its Nigerian onshore subsidiary, .

The decision to suspend arbitration on Nov. 16 reflects the mutual interest in reconfiguring the license terms. While the details of the discussions remain undisclosed, both parties seem committed to finding common ground for future extraction prospects.

This pause not only halts legal proceedings but also signifies a pivotal moment in potentially harnessing Nigeria’s untapped oil wealth.

Support Investigative Journalism and Mentorship

Courageous Journalism of Truth,Transparency and Development is in the DNA of Prime Business Africa; By donating as little as N1000 or $1 today, you are helping to keep credible journalism and life-changing information free for all.

+ posts

Leave a Reply

Your email address will not be published.