The Federal Government and Eni have resolved the long-standing dispute over Oil Prospecting Licence (OPL) 245, bringing to an end a controversy that has lasted more than 15 years and clearing the way for renewed deepwater investment.
The settlement agreement was concluded at the State House, Abuja, on Thursday during a meeting chaired by President Bola Tinubu and Senior Executives of the Italian energy firm, including its Chief Executive Officer, Claudio Descalzi.
The dispute, which has trailed the OPL 245 block for over a decade and a half, had remained one of the most prominent legacy issues in Nigeria’s Upstream oil sector. Its resolution restores regulatory clarity to one of the country’s most commercially significant deepwater assets.
With the settlement in place, the parties say the path is now open for a Final Investment Decision on the Zabazaba–Etan deepwater development.
The project is projected to add about 150,000 barrels per day to Nigeria’s daily crude oil production capacity when fully operational.
President Tinubu described the agreement as a milestone in ongoing efforts to address legacy disputes in the energy sector and improve the investment climate.
According to the Special Adviser to the President on Energy, Olu Verheijen, the revised terms improved on the 2011 resolution framework and align with the policy direction under the Petroleum Industry Act, providing greater clarity for investors while strengthening safeguards for the federation.
The administration said the resolution forms part of broader reforms aimed at repositioning Nigeria in the global energy market and attracting long-term capital into the oil and gas sector.
Officials of the Office of the Attorney General of the Federation, the Ministry of Petroleum Resources, the Nigerian Upstream Petroleum Regulatory Commission and NNPC Limited were also involved in the process leading to the agreement.
The settlement is expected to influence investor sentiment in Nigeria’s deepwater exploration space, as stakeholders monitor the next steps toward project execution and production expansion.
(Editor: Ken Eseni)
