The federal government’s announcement that the long-standing dispute over OPL 245 has been resolved aims to bring closure to a complex chapter in Nigeria’s oil sector.
President Bola Tinubu signed a settlement agreement with Eni and Nigerian Agip Exploration Limited (NAEL) in Abuja, but the resolution has already faced criticism. Former Vice-President Atiku Abubakar condemned the agreement, arguing that key stakeholders were not consulted.
Among the primary stakeholders is Mohammed Abacha, who claims majority ownership of Malabu Oil and Gas Limited, the company initially awarded OPL 245 in 1998 during the military regime of his father, Sani Abacha. Pecos Energy, promoted by Otunba Oyewole Fasawe, and Dan Etete, former petroleum minister, are also considered critical players. Historical incorporation documents reveal the use of pseudonyms for original shareholders, including Mohammed Abacha and others.
Following the Tinubu administration’s declaration, Abacha’s lawyers issued a pre-action notice rejecting the settlement, maintaining that his legal claims remain valid and demanding N1 trillion in damages. He previously opposed the 2011 sale of OPL 245 to Eni and Shell, which had sparked global controversy. Courts in the UK, Italy, and regulatory authorities in the US and Netherlands, however, found no evidence of wrongdoing in that transaction.
Atiku Abubakar has positioned himself as a critic of the government’s handling of the matter, calling the declaration “reckless” and asserting that it sidelines ongoing judicial processes and critical stakeholders. Historical accounts indicate that Atiku may have had indirect interests in Malabu and OPL 245, although these remain unconfirmed publicly.
OPL 245 has a complicated history: awarded to Malabu in 1998, revoked in 2001 by Obasanjo and assigned to Shell, later returned to Malabu after litigation, and finally sold to Shell and Eni for $1.1 billion under the Jonathan administration. The sale also included a $210 million signature bonus to the federal government, but disputes over rightful ownership and stakeholder involvement continue to shadow the oil block decades later.
