Many reports erroneously suggested that Shell was leaving Nigeria (see our newsletter yesterday for the accurate interpretation), but the company is only divesting its onshore assets while it’s keeping the lucrative and less problematic offshore and gas business. The company says the divestment was in line with its plan to cease onshore production in Nigeria and focus on Deepwater and Integrated gas positions. It says it remains a long-term partner of Nigeria and will country to support the country’s energy needs and export ambitions. The company has three other significant businesses in Nigeria, namely Shell Nigeria Exploration and Production Company Limited, Shell Nigeria Gas Limited, and Daystar Power Group, which operate independently from the SPDC transaction.
