Shell paid $5.34 billion to Nigeria in 2024—the highest amount it paid to any country that year—according to figures released Thursday as part of a UK legal disclosure.
The payments, which include taxes and other extractive-related charges, marked an increase from 2023.
This surge comes as Shell prepares to exit its onshore oil operations in Nigeria after decades of activity marked by environmental controversies and social unrest.
Although the company will maintain its offshore operations, it is divesting from the Niger Delta, a region plagued by oil spills, high emissions, and widespread pollution.
Since 2021, Shell has been actively seeking buyers for its Nigerian onshore oil and gas assets amid mounting operational risks, including sabotage, theft, and community disputes. T
he company says the planned withdrawal aligns with its global strategy to streamline its portfolio and achieve net-zero emissions by 2050, Bloomberg reported.
Shell’s total payments to governments for extractive operations reached approximately $28.1 billion in 2024, reflecting a nearly 5% decrease from the previous year.
Nigeria was the top recipient, followed by Oman, Brazil, and Norway, which collectively received about $11.7 billion.
In contrast, Shell received a $32 million refund from the UK government for decommissioning costs related to the Brent field and other North Sea assets—a reduction from the $43 million refund it received in 2023.
However, these figures only account for extractive-related charges and do not represent Shell’s full UK tax obligations.
The company’s last reported total tax payment to the UK government stood at around $6 billion in 2023.
Despite the dip in global payments, Shell posted full-year adjusted earnings of $23.7 billion in 2024, down approximately 17% compared to the previous year.
