Shell International Plc has received approval from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to sell its onshore assets to Renaissance, a consortium of Nigerian and international companies, in a deal valued at $1.3 billion.
The sale includes Shell’s 75-year-old onshore oil assets, which will boost Nigeria’s oil production and government revenue while supporting naira stability and advancing gas development initiatives.
The final approval, however, rests with President Bola Tinubu, who also serves as Nigeria’s Minister of Petroleum Resources.
“NUPRC has approved the sale and forwarded it to the minister of petroleum for final approval. All subsequent steps depend on the minister’s consent,” said a senior government official.
Another official confirmed that the process is awaiting the president’s approval, who has been out of the country.
Shell has faced challenges with onshore operations due to oil spills caused by theft, sabotage, and operational issues.
As a result, in January, the British energy giant announced plans to sell its onshore assets and focus on deepwater and gas investments.
The Renaissance consortium, which comprises Nigerian companies ND Western, Aradel Energy, First E&P, Waltersmith, and Switzerland’s Petrolin, is expected to play a key role in increasing oil production, particularly in developing the Bonga Southwest oil field.
This development could yield 300,000 to 500,000 barrels per day (bpd) in the next three years and boost gas production for the Nigerian economy.
Shell will continue to operate the Shell Petroleum Development Company of Nigeria (SPDC) Joint Venture, which includes partners NNPC (55%), Total (10%), and Agip (5%). The transaction does not include Shell’s 25.6% stake in Nigeria LNG.
As part of the sale, Shell employees will remain under the new ownership, ensuring continuity in operations.
Renaissance’s leadership, including Tony Attah, a former Shell executive and ex-CEO of Nigeria LNG, is expected to strengthen the consortium’s ability to execute onshore operations and support Nigeria’s gas monetization goals.
