The Nigerian National Petroleum Company Limited (NNPCL) has taken over the assets of one of the international oil companies (IOC), Addax Petroleum.

The development followed the termination of the Production Sharing Contract (PSC) agreement between NNPCL and Addax.

Chief Corporate Communications Officer of NNPC Ltd, Garba Deen Muhammad, disclosed this in a statement made available to The Star on Tuesday, January 31, in Abuja.

NNPC Ltd stated that the much-needed investments would be deployed to the Assets for the benefit of the stakeholders.

It states: “After fulfilling closing obligations, NNPC Ltd. and Addax Petroleum Development (Nigeria) Limited amicably terminate their 24-Year Production Sharing Contract Relationship.

“Three months after the execution of the Addax Transfer, Settlement, and Exit Agreement (ATSEA) for the PSC Oil blocks, OMLs 123/124 & 126/137, operated by Addax Petroleum Development (Nigeria) Limited, all closing obligations have been concluded and the assets have been transferred to the Concessionaire, NNPC Limited.

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“Consequently, NNPC has taken necessary steps to take over the assets and oversee a clean, amicable, and speedy exit for Addax Petroleum Ltd., operate the asset on interim basis as a first step and subsequently appoint a competent replacement PSC contractor while NNPC Limited continues to remain the Concessionaire of the assets in line with extant laws and regulations.”

The NNPCL stated that the exit negotiations and formalities have been concluded.

“With the fulfilment of the closing obligations by the parties and effective January 31, 2023, Addax transfers the operatorship of OMLs 123/124 and 126/137 to Antan Producing Limited on interim basis through the transition period pending the emplacement of a substantive replacement PSC in compliance with the directive of Mr. President.

“Already NNPC Ltd. has announced the appointment of the Transition Team lead, Mr. Sagiru Jajere, as the Managing Director of Antan Producing Limited,” the statement added.

Jajere was, before his appointment, the Head of PSC Investment Management at the NNPC Upstream Investment Management Services (NUIMS).

He will be supported by a team of highly competent personnel with in-depth knowledge of the peculiarities of the Addax Assets.

The Star