Barely four months after acquiring OVH Energy Marketing (OVHEM) Limited, the Nigerian National Petroleum Company Limited (NNPC), yesterday, announced the acquisition of the production sharing contract assets of Addax Petroleum Development (Nigeria) Limited.
Coming amid a dispute between NNPC and Seplat over the sale of ExxonMobil’s Mobil Producing Nigeria Unlimited (MPNU), the national oil company said Addax Petroleum Development (Nigeria) Limited was taken over “amik”, ending the 24-year contractual relationship.
According to a statement signed by NNPC’s Head of Corporate Communications, Garba Deen Muhammad, the takeover follows the execution of Addax Transfer, Settlement and Exit Agreement (ATSEA) for PSC Oil blocks, OMLs 123/124 & 126/137.
Muhammad said all closing obligations are completed and assets have been transferred to the concessionaire, NNPC Limited.
“Consequently, NNPC has taken the necessary steps to take over the assets and oversee a clean, amicable and speedy exit for Addax Petroleum Ltd., operate the assets as a first step and then appoint a competent replacement PSC contractor, while NNPC Limited continues to remain the concessionaire of these assets, in compliance with existing laws and regulations.
“Negotiations and exit formalities have been completed and NNPC Ltd., in collaboration with the Office of the Attorney General of the Federation, NUPRC, NMDPRA, FIRS, EFCC, and FCCPC, have agreed on a clean and amicable exit for Addax by resolving all PSC contract issues, including litigation that finally implemented the Transfer, Settlement, and Exit Agreement (TSEA) on November 1, 2022.
He said in compliance with the closing obligations by the parties and effective January 31, 2023, Addax transferred the operator of OMLs 123/124 and 126/137 to Antan Producing Limited on an interim basis through a transition period, pending the placement of a substantive replacement PSC. , under the direction of the President.