ExxonMobil to Sell Mobil Producing Nigeria Shallow-Water Affiliate

Rhea-AI Summary

ExxonMobil has agreed to sell its equity interest in Mobil Producing Nigeria Unlimited to Seplat Energy as part of its disciplined investment strategy. This transaction aims to support Nigeria's efforts to enhance local industry participation. ExxonMobil will retain its significant deepwater assets in Nigeria, ensuring continued operations in the region.

The sale includes a stake in four oil mining licenses and over 90 shallow-water platforms, but is expected to close later this year pending regulatory approvals. The company assures that there will be no job losses associated with this transaction.

Positive

• Sale supports disciplined investment strategy.
• Retention of significant deepwater assets in Nigeria.
• No job losses expected from the transaction.

Negative

• None.

• Sale supports company’s disciplined investment strategy, Nigeria’s efforts to enhance industry participation
• Includes shallow-water affiliate; ExxonMobil to retain deepwater assets
• Transaction to close later this year pending regulatory approvals

IRVING, Texas--(BUSINESS WIRE)-- ExxonMobil has reached an agreement to sell its equity interest in Mobil Producing Nigeria Unlimited to Seplat Energy, a Nigerian independent oil and gas company, through its wholly-owned subsidiary Seplat Energy Offshore Limited.

“This sale will allow us to prioritize competitively advantaged investments in our strategic assets, and it supports the Nigerian government’s efforts to grow its oil and gas operations,” said Liam Mallon, president, ExxonMobil Upstream Oil and Gas. “We value the relationships we have spent decades building with the government and people of Nigeria, which will continue as we maximize the value from our deepwater operations.”

When finalized, the sale will include the Mobil Development Nigeria and Mobil Exploration Nigeria equity ownership of Mobil Producing Nigeria Unlimited, which holds a 40% stake in four oil mining licenses, including more than 90 shallow-water and onshore platforms and 300 producing wells.

ExxonMobil will maintain a significant deepwater presence in Nigeria, including interests in the Erha, Usan and Bonga developments via Esso Exploration and Production Nigeria Limited and Esso Exploration and Production Nigeria (Deepwater) Limited.

The sale will not result in any loss of employment and is expected to close later this year subject to regulatory and other approvals.

About ExxonMobil

ExxonMobil, one of the largest publicly traded international energy companies, uses technology and innovation to help meet the world’s growing energy needs. ExxonMobil holds an industry-leading inventory of resources, is one of the largest refiners and marketers of petroleum products, and its chemical company is one of the largest in the world. To learn more, visit www.exxonmobil.com and the Energy Factor. Follow us on Twitter and LinkedIn.

Cautionary Statement

Statements of future events or conditions in this release are forward-looking statements. Actual future results, including closing of agreed divestments; performance of and results from other investments; and other business plans, could vary significantly depending on a number of factors including the supply and demand for oil, gas, and petroleum products and other market factors affecting the oil, gas, and petrochemical industries; the severity, length and ultimate impact of COVID-19 on people and economies and actions of governments in response to the pandemic; obtaining necessary approvals and consents and satisfaction of other conditions precedent contained in the applicable agreements; the development and competitiveness of alternative technologies; actions of competitors and commercial counterparties; political and regulatory developments including environmental regulations the outcome of commercial negotiations; and other factors discussed in this release and under Item 1A Risk Factors in ExxonMobil’s most recent annual report on Form 10-K and under the heading “Factors Affecting Future Results” on the Investors page of our website at exxonmobil.com.

Exxon Mobil Corporation has numerous affiliates, many with names that include ExxonMobil, Exxon, Mobil, Esso, and XTO. For convenience and simplicity, those terms and terms such as Corporation, company, our, we, and its are sometimes used as abbreviated references to specific affiliates or affiliate groups. Nothing contained herein is intended to override the corporate separateness of affiliated companies.

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Source: Exxon Mobil Corporation

FAQ

What is the recent sale by ExxonMobil regarding Nigeria?

ExxonMobil is selling its equity interest in Mobil Producing Nigeria Unlimited to Seplat Energy, which supports Nigeria's industry participation.

What assets will ExxonMobil retain in Nigeria after the sale?

ExxonMobil will retain its significant deepwater assets, including interests in the Erha, Usan, and Bonga developments.

When is the sale of Mobil Producing Nigeria expected to close?

The sale is expected to close later this year, pending regulatory approvals.

Will there be any job losses due to the sale of Mobil Producing Nigeria?

No, the sale is not expected to result in any job losses.