Chevron Corp wants to auction off the rights it has to two shallow-water fields oil fields near Nigeria’s coast, the latest foreign oil company moving to divest from the country as regulatory uncertainty looms in the nation. Chevron has a 40 per cent interest in the stakes up for auction, with the state-run Nigerian National Petroleum Corp. holding the majority 60 per cent. The Nigerian government would have to approve any potential sell-off.
For years, Nigerian lawmakers have been debating passing the Petroleum Industry Bill, a sweeping overhaul of how Africa’s most populous nation deals with oil revenues and foreign firms. Analysts say the bill, if passed, would sharply reduce the profits of foreign companies like Chevron, ExxonMobil Corp, Eni SpA, Royal Dutch Shell PLC and Total SA. While the bill remains under discussion, some firms have pulled back on announcing new projects. Others have begun selling off stakes in some fields.