Equinor, the Norwegian energy giant, has officially exited Nigeria after completing the sale of its assets in the country as part of a $2 billion divestment plan. The company also finalized the sale of its Azerbaijani assets, signaling a strategic shift in its international operations after nearly three decades in both regions.
In Nigeria, Equinor sold its stake in the Agbami oil field to Chappal Energies, a local energy firm, for up to $1.2 billion. The deal included $710 million in upfront cash payments and additional contingent payments tied to production milestones. The Agbami field, one of Nigeria’s largest deepwater oil projects, has been a key contributor to Equinor’s portfolio in Africa.
The divestment aligns with Equinor’s broader strategy to streamline its operations and focus on areas where it can generate higher returns. “This sale is part of our ongoing efforts to optimize our global portfolio and invest in regions that align with our long-term strategy,” said a company spokesperson.
In addition to Nigeria, Equinor has also exited Azerbaijan, selling stakes in the ACG oil field, the BTC pipeline, and the Karabagh project to SOCAR and ONGC for $745 million. The combined sales are expected to boost Equinor’s cash flow significantly in the fourth quarter of 2024.
Industry analysts view Equinor’s exit as a reflection of shifting priorities in the energy sector, with major players increasingly focusing on renewable energy and high-margin operations. While the sale marks the end of Equinor’s operations in Nigeria, it opens new opportunities for Chappal Energies to expand its footprint in the region’s oil and gas sector.
The Nigerian government has welcomed the acquisition by a local company, emphasizing the potential for increased domestic participation in the country’s energy industry. This development is seen as a significant step toward strengthening local expertise and investment in one of Africa’s largest oil-producing nations.
