The Nigerian National Petroleum Company Limited has initiated a process to divest stakes in some of its oil and gas assets, according to a report by Reuters. This move is part of the state-owned energy firm’s strategy to optimize its portfolio and attract new investment into the sector.
The company has released an invitation document, calling for bids from interested investors, although it did not disclose the size of the stakes on offer or the amount it aims to raise. NNPC holds interests in several oil and gas assets, including those operated in partnership with international oil companies such as Shell, Chevron, Eni, and TotalEnergies.
Prospective bidders are required to register online by January 10, which will be followed by a pre-screening process. Qualified firms will then be granted access to a secure virtual data room containing detailed information on the assets. The prequalification process will be based on the technical and financial capacity of bidders, with subsequent stages involving document evaluation, negotiations, and the securing of relevant regulatory approvals.
This move aligns with the company’s earlier indications that it was considering the sale of at least 25 percent of its equity in select oil and gas fields. However, this plan had attracted opposition from oil sector unions, who raised concerns over potential job losses and the strategic implications of asset sales.
Nigeria, Africa’s largest oil producer, has struggled in recent years to boost crude oil output and attract sustained investment, amid regulatory uncertainty, oil theft, and ageing infrastructure. The country is now banking on incremental production growth, particularly from marginal onshore fields vacated by international oil companies.
The proposed stake sales could help unlock capital, improve asset performance, and draw in technically capable operators, provided the process is transparent and supported by clear regulatory approvals. The success of this initiative will be crucial in shoring up revenues and stabilizing output in the country’s oil sector. As the process unfolds, the company’s ability to balance its portfolio optimization strategy with the concerns of stakeholders, including oil sector unions, will be closely watched.
