Fakoyejo OlalekanThe Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Gbenga Komolafe, has denied the approval of Seplat’s acquisition of ExxonMobil’s Nigerian subsidiary.
On Monday, Seplat had announced that President Muhammadu Buhari has approved the acquisition of Mobil Producing Nigeria Unlimited (MPNU) through his position as the Minister of Petroleum.
Seplat had disclosed the approval after the Nigerian National Petroleum Company (NNPC) initially blocked the deal, in hope of taking over Mobil Producing Nigeria Unlimited assets.
NNPC had filed a lawsuit to counter the acquisition, with the court declaring both ExxonMobil and Seplat maintaining status quo, by not transferring or exchanging the assets of the shallow water business.
However, after the publication of the approval, the head of the Nigerian Upstream Petroleum Regulatory Commission, which is the regulator of the Nigerian oil industry, told AriseTV that the regulator has not approved the deal.
Having denied the approval, a statement from NUPRC, also disapproved of the acquisition, stating, “The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) affirms that status quo remains in respect of ExxonMobil/Seplat Energy share acquisition.
Responding to media enquiries on latest development about the transaction, the Chief Executive of the NUPRC Engr. Gbenga Komolafe clarified that the Commission in line with the provisions of the Petroleum Industry Act 2021 is the sole regulator in dealing with such matters in the Nigerian upstream sector.
As it were, the issue at stake is purely a regulatory matter and the Commission had earlier communicated the decline of Ministerial assent to ExxonMobil in this regard. As such the Commission further affirms that the status quo remains.”
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