Mkpoikana Udoma
Port Harcourt — The Nigerian Upstream Petroleum Regulatory Commission, NUPRC, has officially withdrawn ministerial consent earlier granted to TotalEnergies and Chappal Energies in a multi-asset divestment deal, citing the failure of the acquiring firm to consummate the transaction months after approval.
In a statement, the Commission explained that the ministerial consent, first granted on October 28, 2024, covered the transfer of TotalEnergies’ entire 10 percent participating interest in the Nigerian National Petroleum Company Limited, NNPCL, and Shell Petroleum Development Company, SPDC, Joint Venture – excluding OMLs 23, 28, and 77 – to Telema Energies Nigeria Limited, a subsidiary of Chappal Energies.
Specifically, the divestment involved TotalEnergies’ stakes in 17 Oil Mining Leases (OMLs 20, 21, 22, 23, 25, 27, 28, 31, 32, 33, 35, 36, 43, 45, 46, 74, 77, and 79).
“Despite the grant of ministerial consent and extensions graciously approved by the Commission, the acquiring entity failed to consummate the transaction. Consequently, the consent was withdrawn on May 29, 2025,” the Commission stated.
The regulator stressed that the clarification became necessary due to multiple enquiries from stakeholders and the media over the status of the transaction.
NUPRC maintained that the withdrawal of consent does not preclude future divestments by TotalEnergies or Chappal Energies, provided such transactions comply with Nigeria’s petroleum laws.
“The withdrawal of a ministerial consent does not in any way rule out the possibility of a future divestment by the interested parties, provided such an asset sale is in line with extant laws,” the Commission clarified.
Reaffirming its commitment to a stable investment environment, the upstream regulator cited the Petroleum Industry Act, PIA, 2021 as the framework guiding its decisions.
“In line with Section 6(h) of the PIA, the Commission remains committed to promoting an enabling environment for investments in upstream petroleum operations,” NUPRC said.
The failed deal marks one of the most significant reversals in Nigeria’s recent upstream divestment history, underlining both the opportunities and complexities surrounding asset transfers in the post-PIA era.
