MALABU SCAM: US SEC quits probe into Shell’s OPL 245 deal

The Securities and Exchange Commission (SEC) of the United States has quit its inquiry into the acquisition of an offshore oil asset in Nigeria in 2011 by Royal Dutch Shell, the Anglo-Dutch company told Reuters Thursday.

“The SEC has notified us that it has closed its inquiry into Shell in relation to OPL 245,” said a Shell spokesperson.

In 2011, Shell and Italy’s Eni jointly acquired the rights to Oil Prospecting License (OPL) 245 in a deal said to be worth $1.3 billion but which had triggered a number of legal battles in some countries.

The OPL 245 is one of the biggest crude reserves on the continent estimated at nine billion barrels.

Eni said Wednesday that the SEC had ended its investigation into its activity in Nigeria and other activities in Congo.

Read also: Nigeria’s crude oil revenue rose in January amidst 50% surge in pipeline vandalism –NNPC report

“Separately from the Algeria Settlement, SEC informed Eni that, based on the information currently available to SEC, it is otherwise closing its pending investigation of Eni, which also encompassed inquiries into the OPL 245 matter and Eni’s activities in Congo, without recommending further enforcement action,” the Italian oil firm said.

Eni and Shell are facing trial in Italy on the allegation that they jointly purchased OPL 245 in 2011 with the knowledge that the bulk of the $1.3 billion price would go to brokers and middlemen in bribes.

A court based in Milan declined a prosecution request this February, seeking to hear testimony from an erstwhile legal adviser to Eni, who had indicted the firm for spying on judges.

In December 2018, the Nigerian government had filed a $1.1 billion legal action against the two multinationals in a commercial court in London regarding the deal.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now