President Tinubu Announces Resolution Of OPL 245 Dispute

President Bola Ahmed Tinubu has declared an end to the protracted legal battle surrounding Oil Prospecting Licence (OPL) 245, after the Federal Government reached a settlement with Eni and Nigerian Agip Exploration Limited.

The announcement was made during a meeting at the Presidential Villa in Abuja attended by the Chief Executive Officer of Eni, Claudio Descalzi, the company’s Chief Operating Officer, Guido Brusco, Head of Sub-Saharan Region, Mario Bello, Managing Director of Nigerian Agip Exploration, Fabrizio Bolondi, and the President’s Special Adviser on Energy, Olu Arowolo-Verheijen.

This was disclosed in a statement by Tinubu’s Special Adviser on Information and Strategy, Bayo Onanuga.

The presidency said the agreement brings to an end a dispute that has lasted for more than 15 years, restoring stability to one of Nigeria’s most commercially promising deepwater oil blocks.

The settlement, signed in Abuja, clears the path for renewed development activities in the offshore block.

Officials said the resolution would pave the way for the Final Investment Decision (FID) on the Zabazaba–Etan deepwater project, which is expected to significantly boost Nigeria’s crude oil production.

With the dispute now settled, the Zabazaba–Etan development is projected to add approximately 150,000 barrels of crude oil per day to Nigeria’s production capacity.

The project is also expected to strengthen the country’s long-term energy outlook and attract new investment into the oil and gas sector.

President Tinubu described the settlement as a strategic milestone in the administration’s economic reform programme.

“This resolution sends a clear signal to global investors that Nigeria is prepared to address legacy issues transparently, uphold the rule of law, and create a stable environment for long-term capital,” Tinubu said.

Speaking on the development, Arowolo-Verheijen said the agreement represents a significant improvement on the 2011 resolution arrangement, reflecting reforms introduced under the Petroleum Industry Act.

According to her, the revised framework balances investor confidence with improved benefits for Nigeria.

“The revised terms strike a balanced outcome providing investors with the clarity and predictability required to proceed with major deepwater investments, while ensuring stronger value accretion and safeguards for the Federation,” she said.

The presidency said the settlement forms part of broader reforms implemented since 2023 to improve Nigeria’s competitiveness in the global energy market.

These reforms, anchored in the Petroleum Industry Act and supported by executive actions, have reportedly helped attract renewed investor interest and capital inflows into the country’s oil and gas sector.

“By resolving the OPL 245 dispute, the Federal Government has removed one of the most prominent legacy risks in Nigeria’s upstream sector and reinforced its commitment to predictable regulation and transparent governance,” Arowolo-Verheijen added.

President Tinubu also commended institutions and stakeholders involved in achieving the settlement, including: The Office of the Attorney General of the Federation; The Ministry of Petroleum Resources; The Nigerian Upstream Petroleum Regulatory Commission; NNPC Limited

The presidency stated that the resolution reflects the administration’s determination to unlock Nigeria’s strategic energy assets and ensure that the country’s natural resources contribute to economic growth, job creation, and long-term prosperity for Nigerians.