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Court Halts ExxonMobil’s Assets Sale to Seplat Energy

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The Nigerian National Petroleum Company Limited (NNPC Ltd) has secured a court order temporarily blocking Exxon Mobil Corporation from selling assets in Nigeria to Seplat Energy Plc.

An Abuja Federal High Court Judge, on July 6, granted NNPC an “order of interim injunction” on July 6, 2022, barring Exxon “from completing any divestment” in a unit that ultimately operates four licenses in Nigeria, Bloomberg reported on Monday.

Seplat Energy, had agreed to acquire the United States oil major’s subsidiary for at least $1.28billion in February.

NNPC sued Mobil Producing Nigeria Unlimited on July 5, 2022, asking the Federal High Court either to order that a dispute had occurred between the parties over preemption rights, or to order them to take the matter to arbitration, Seplat was quoted to have said in a statement.

However, Seplat said its deal with Exxon was still valid adding the company “remains confident that the matter will be brought to a proper conclusion in accordance with the law.”

The acquisition, if completed, would give Seplat additional production of about 95,000 barrels of oil equivalent a day from shallow-water assets that Exxon operated in a joint venture with NNPC.

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