Equinor has agreed to sell its Nigerian business, including the company’s share in the Agbami oil field, to Nigerian-owned Chappal Energies, the company said on Wednesday.
“Our business in Nigeria has been very profitable and we expect to book a gain when the deal closes,” a spokesperson for the company said without revealing the price.
The Norwegian group will sell Equinor Nigeria Energy Company (ENEC), which holds a 53.85% ownership in oil and gas lease OML 128, including a 20.21% stake in the Agbami field, operated by Chevron.
Equinor’s presence in Nigeria dates back to 1992, the company said in a statement.
“This transaction realises value and aligns with the company’s strategy to optimise its international oil and gas portfolio and focus on core areas,” said Nina Koch, Equinor’s senior vice president for Africa operations.
“Chappal Energies is a committed Nigerian-owned energy company with the ambition to develop the assets further, contributing to the Nigerian economy for years to come,” she added.
The oil company said closing the transaction is subject to certain conditions, including all regulatory and contractual approvals.