The Attorney-General of the Federation and Minister of Justice, Prince Lateef Fagbemi, has defended the resolution of the long-standing dispute over the OPL 245 oil block, criticising those who have spoken against it.
In a statement, Fagbemi accused critics of putting personal interests ahead of the nation’s good, insisting that the settlement marks a major achievement after nearly three decades of legal and political battles.
He explained that the controversy dates back to 1998 when the oil block was first awarded to Malabu Oil & Gas. The licence was later revoked in 2001 and reallocated in 2002, triggering years of disputes, court cases, and investigations both within Nigeria and internationally.
According to him, the issues were eventually addressed through a 2011 agreement involving the Federal Government, Malabu, Shell Nigeria Exploration and Production Company, and Nigerian Agip Exploration. Under that deal, Malabu gave up its claims to the block, while the government reassigned it to new operators, with plans to convert it into a full oil mining lease.
Fagbemi noted that the transactions tied to the agreement were examined in several countries, including the United States, the United Kingdom, and Italy, with no wrongdoing established against the companies involved.
He added that after years of delay in converting the asset, foreign investors initiated arbitration proceedings against Nigeria, claiming the delay violated international agreements. This exposed the country to a potential liability of over $2 billion.
The minister said the recent resolution was necessary to avoid that financial risk and finally unlock the economic value of the oil block, which has remained largely untapped for years.
He described OPL 245 as one of Nigeria’s most valuable offshore assets, capable of producing about 150,000 barrels of oil per day once fully developed. He also highlighted its potential to boost government revenue, strengthen energy security, and attract fresh investment into the country.
Fagbemi further pointed to a recent Court of Appeal ruling which dismissed challenges against the allocation of the oil block, reinforcing the legality of the government’s position.
He maintained that continued opposition to the resolution is misleading and does not serve the public interest, urging Nigerians to focus on the broader economic benefits.
According to him, resolving the dispute represents a turning point, transforming a long-troubled asset into a viable opportunity for national growth and development.
