Taleveras Group To Acquire Shell's $2.5 Billion Oil Block
Oil giant Royal Dutch Shell has agreed to sell a prolific Nigerian oil
block, Oil Mining License 29, and an associated pipeline, for $2.5 billion
to a consortium led by Taleveras Group, an oil trading firm founded and
owned by a 39 year-old Nigerian multi-millionaire Igho Sanomi, according
to the Wall Street Journal.
Shell had been looking to divest from four of its onshore Nigerian assets
since last year – OMLs 18, 24, 25 and 29, as well as the Nembe Creek Trunk
line, a 60-mile aging pipeline which has served as Nigeria's major crude
oil transportation channel- moving oil through the Niger Delta to the
Atlantic coast, but which has been beleaguered by leaks stemming from oil
theft for many years.
Taleveras will be getting a sweet deal. Of all the assets, Shell put up
for auction, OML 29 was the most coveted. The Africa Oil & Gas Report
magazine reports that OML 29's remaining reserves (P1+P2) are about
2.2Billion barrels of oil equivalent (BOE), while its hydrocarbon fields
could deliver as much as 160,000 barrels of oil per day and 300MMscf/d at
peak, with focused, aggressive work programme. The Nembe Creek Trunk Line
is also an extremely valuable asset as many other oil exploration
companies in Nigeria pay to use it to transport their oil to international
According to the Wall Street Journal, a Shell spokesman said the
Netherlands-based oil major has signed sales and purchase agreements for
some of the oil mining leases that it was looking to divest, and would
make a market announcement in the event of a successful completion.
Taleveras Group, the company acquiring OML 29, is owned by one of
Nigeria's most successful young entrepreneurs, Igho Sanomi. Sanomi, 39,
founded the Taleveras Group in 2004 at the age of 29, as an energy trading
company. Today, the company trades over 100 million barrels of crude oil
as well as several million tons of gasoline, LPG and jet fuel annually. In
April 2012, Sanomi's company acquired production sharing contracts (PSCs)
for three offshore oil blocks in Ivory Coast. In June 2013, Taleveras sold
a 65% stake in one of its Ivorian offshore upstream projects to Lukoil of
Russia for an undisclosed price. Taleveras also owns a stake in a power
distribution firm in Nigeria.
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