In response to recent criticism from former Vice President Atiku Abubakar regarding oil and gas divestments by international oil companies, including Oando and Seplat, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has provided a detailed defense of its regulatory processes.

In a statement issued on Monday, the Head of the Public Affairs Unit at NUPRC, Mrs. Olaide Shonola, emphasized that all divestment approvals, particularly those involving Oando and Seplat, were conducted in strict compliance with the Petroleum Industry Act (PIA) 2021 and established regulatory frameworks.

“The Commission has been thorough in adhering to the legal and procedural requirements set by the PIA, ensuring transparency and accountability at every step,” Shonola stated.

Atiku, the 2023 presidential candidate for the Peoples Democratic Party, previously expressed apprehensions regarding what he viewed as swift approvals given to Oando, a firm associated with a relative of President Bola Tinubu, for the acquisition of onshore assets from AGIP and ENI.

He urged the All Progressives Congress-led Federal Government to elucidate the approval process, implying that it might have been swayed by political affiliations.

In reply, the NUPRC reaffirmed its dedication to transparency and equity in overseeing Nigeria's oil and gas industry.

“We wish to assure the public that all approvals, including those given to Oando and Chappal Energies, were strictly in line with the regulatory processes outlined in the PIA.

“The divestments were assessed based on technical capacity, financial viability, legal compliance, and environmental considerations, among other critical factors”, Shonola explained.

The NUPRC outlined comprehensive timelines and actions undertaken throughout the divestment process.

Specifically, the Commission noted that in May 2023, it received a notification from the Nigerian Agip Oil Company expressing its intention to divest its interests in specific oil and gas assets.

“Following rigorous evaluations, including technical and financial assessments, the Commission granted NAOC the necessary approvals to proceed with the transaction. Every step was meticulously documented and aligned with both national and international best practices,” Shonola said.

In response to concerns regarding the divestment from Mobil Producing Nigeria Unlimited (MPNU) to Seplat Energy Offshore Limited, Shonola indicated that the process is currently in progress. She stated, "The application from MPNU is under a due diligence review, and we anticipate completing this process within the 120-day timeframe outlined by the PIA."

Additionally, she emphasized the NUPRC's commitment to upholding the highest standards of professionalism and independence in executing its statutory responsibilities.

"Our priority is to ensure that all actions undertaken by the Commission are legally grounded and adhere to the principles of fairness and equity," Shonola concluded.