The Attorney General of the Federation (AGF) and Minister of Justice, Lateef Fagbemi, has faulted claims by former Vice President Atiku Abubakar that disputes associated with the OPL 245 oil block remain unresolved.
Atiku had dismissed the Federal Government’s assertion that the dispute had been settled, maintaining that the case was still before the courts.
He pointed to a pre-action notice issued by Malabu Oil as proof that the dispute remains unresolved.
Atiku said it was “troubling” that Malabu, a key stakeholder, “was neither consulted nor involved in any purported negotiation or settlement process,” adding that sidelining critical parties reflects “recklessness” rather than strength.
Atiku had warned that excluding a major stakeholder from the process raises serious due process concerns, noting that several related cases are still pending before the Supreme Court and the Federal High Court.
In a statement, the AGF questioned Atiku’s motive and urged Nigerians to disregard what he described as a misrepresentation of facts regarding the current status of the matter.
According to him, the former Vice President’s position undermines what he called a landmark achievement by the present administration in resolving a dispute that spanned nearly three decades.
He recalled that OPL 245 was originally awarded to Malabu Oil & Gas Ltd in April 1998, revoked in July 2001, and later allocated to Shell Nigeria Ultra-Deep Limited (SNUD) in May 2002, triggering prolonged litigation and public hearings before the National Assembly.
Fagbemi said the disputes were addressed through a 2011 Resolution Agreement involving the Federal Government, Malabu, SNUD (now Shell Nigeria Exploration and Production Company Limited – SNEPCo), and Nigerian Agip Exploration (NAE)/Eni entities.
Under the agreement, Malabu relinquished its claims to the oil block for compensation, while the Federal Government reallocated it to SNUD (SNEPCo) and NAE as joint licence holders, with a commitment to convert the block into an Oil Mining Lease (OML).
He noted that the transactions were subsequently subjected to judicial scrutiny in criminal and civil proceedings across jurisdictions, including the United States, the United Kingdom, and Italy, with no wrongdoing established against the companies involved.
Following delays in converting the block to an OML, Eni entities and Nigerian Agip Exploration Limited initiated arbitration against Nigeria at the International Centre for Settlement of Investment Disputes (ICSID).
They alleged a breach of obligations under the Nigeria-Netherlands Bilateral Investment Treaty.
Nigeria, he said, faced potential liability exceeding $2billion.
Fagbemi clarified that the arbitration, which began in 2020, focused strictly on whether Nigeria breached its treaty obligations by delaying the conversion of the licence, and did not address ownership disputes involving Malabu.
He added that individuals now laying claim to interests in Malabu neither participated in nor had legal standing in the proceedings.
He described OPL 245, located about 150 kilometres offshore, as one of Nigeria’s most commercially viable hydrocarbon assets, long stalled by legal and political disputes.
According to him, the current administration’s intervention is aimed at resolving the impasse, avoiding financial exposure, and enabling the development of the asset.
He said the oil block is projected to add about 150,000 barrels per day to Nigeria’s production capacity and is designed around a large-scale floating production system with gas export components linked to Nigeria LNG.
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Fagbemi also cited a recent Court of Appeal judgment in Nigerian Agip Exploration Limited v. Malabu Oil & Gas Ltd (2025), which dismissed Malabu’s challenge to the allocation of OPL 245 as statute-barred and an abuse of court process.
“It must be stated unequivocally that the ongoing opposition to this resolution is both revealing and deeply concerning.
“The persistence of these criticisms, despite clear legal, commercial, and national interest considerations, strongly suggests that they are driven not by patriotism or objective reasoning, but by undisclosed and self-serving interests.
Atiku had also described the reports as alarming, warning that any such move without transparency would amount to “the quiet auctioning of Nigeria’s future.”
He called on industry groups, including Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, and Nigeria Union of Petroleum and Natural Gas Workers, NUPENG, to stay alert and resist what he termed opaque dealings.
Fagbemi, however, noted that those advancing such narratives must be understood for what they represent: an attempt to frustrate a lawful and strategic resolution that stands to unlock immense value for the Nigerian people,” Fagbemi said.
He maintained that continued opposition to the resolution is “misleading” and not in the national interest.
The AGF urged Nigerians to reject attempts to derail what he described as a lawful and strategic move to unlock economic value for the country.
He also expressed concern over reports that up to 30 percent of Nigeria’s Joint Venture assets under the Nigerian National Petroleum Company Limited could be sold.
