The Federal Government has dismissed claims by former Vice-President, Atiku Abubakar, over the resolution of disputes surrounding the OPL 245 oil block, describing the criticisms as misleading and contrary to national interest.
Referring to a pre-action notice issued by Malabu Oil as proof that the dispute remains unresolved, Atiku had accused the Federal Government of misleading Nigerians.
He had warned that excluding a major stakeholder from the process raises serious due process concerns, noting that several related cases are still pending before the Supreme Court and the Federal High Court.
Atiku said it was “troubling” that Malabu, a key stakeholder, “was neither consulted nor involved in any purported negotiation or settlement process,” adding that sidelining critical parties reflects “recklessness” rather than strength.
He also expressed concern over reports that up to 30 percent of Nigeria’s Joint Venture assets under the Nigerian National Petroleum Company Limited could be sold.
But in a statement on Wednesday, the Attorney-General of the Federation and Minister of Justice, Prince Lateef Fagbemi, said Atiku trivalised a “landmark achievement” by the administration of Bola Tinubu in resolving a dispute that had lingered for nearly three decades.
The government recalled that OPL 245 was originally awarded to Malabu Oil & Gas Limited in 1998, revoked in 2001, and later allocated to Shell Nigeria Ultra-Deep Limited in 2002, triggering years of litigation and public controversy.
According to the statement, the disputes were addressed through a 2011 Resolution Agreement involving the Federal Government, Malabu, Shell Nigeria Ultra-Deep Limited—now succeeded by Shell Nigeria Exploration and Production Company Limited (SNEPCo)—and Nigerian Agip Exploration (NAE)/Eni entities. Under the agreement, Malabu relinquished its claims to the oil block for compensation, while the asset was reallocated to SNEPCo and NAE as joint license holders.
The government noted that the transactions arising from the 2011 agreement were subjected to judicial scrutiny in multiple jurisdictions, including the United States, the United Kingdom, and Italy, with no wrongdoing established against the companies involved.
It added that following delays in converting the oil prospecting licence into an oil mining lease, Eni entities and Nigerian Agip Exploration initiated arbitration proceedings against Nigeria at the International Centre for Settlement of Investment Disputes in 2020. The claimants argued that the delay breached Nigeria’s obligations under the Nigeria–Netherlands Bilateral Investment Treaty, exposing the country to potential liabilities exceeding $2 billion.
The Attorney-General clarified that the arbitration proceedings were limited to treaty obligations and licensing issues, stressing that individuals currently laying claim to Malabu did not participate in the process and had no legal basis to intervene.
The statement further highlighted the strategic importance of OPL 245, located about 150 kilometres offshore, describing it as one of Nigeria’s most commercially viable hydrocarbon assets that remained undeveloped for years due to legal disputes.
It said the Tinubu administration’s intervention has now paved the way for the block’s development, with projections indicating it could add about 150,000 barrels per day to Nigeria’s oil production and support gas exports to Nigeria LNG.
Citing a recent judgment in Nigerian Agip Exploration Limited v. Malabu Oil & Gas Ltd (2025), the government noted that the Court of Appeal dismissed Malabu’s challenge to the allocation of the oil block, ruling that the case was statute-barred and an abuse of court process.
The government, however, expressed concern over continued opposition to the resolution, suggesting that such criticisms were driven by undisclosed interests rather than patriotism.
It urged Nigerians to disregard what it described as attempts to undermine a lawful and strategic resolution, insisting that the development of OPL 245 would unlock significant economic benefits, boost investor confidence, and enhance national revenue.