OPL 245 settlement has brought an end to one of the longest-running disputes in Nigeria’s oil industry, restoring stability to a deepwater block widely considered one of the country’s most commercially promising assets. The Nigerian Presidency confirmed that the resolution clears the way for major investment in the country’s offshore energy sector.
President Bola Tinubu announced the conclusion of the settlement agreement between the Federal Government of Nigeria, the Italian energy company Eni, and Nigerian Agip Exploration Limited. The agreement was reached during a meeting at the State House in Abuja attended by senior executives from Eni and key officials in Nigeria’s energy sector.
Participants at the meeting included Eni Chief Executive Officer Claudio Descalzi, Eni Chief Operating Officer Guido Brusco, Head of Sub-Saharan Region Mario Bello, and Managing Director of Nigerian Agip Exploration Fabrizio Bolondi. The Special Adviser to the President on Energy, Olu Verheijen, also participated in the discussions.
The OPL 245 settlement resolves a dispute that lasted more than fifteen years and had created uncertainty around one of Nigeria’s most valuable offshore oil assets. Government officials said the agreement restores clarity and stability to the oil block, which analysts regard as a major opportunity for deepwater energy development.
According to a statement issued by presidential spokesman Bayo Onanuga, the agreement represents a historic milestone for Nigeria’s oil sector. The settlement removes legal obstacles that had previously delayed development of the block.
With the dispute resolved, the pathway is now open for a Final Investment Decision on the Zabazaba–Etan project. The project is expected to significantly increase Nigeria’s offshore production capacity.
Energy officials estimate that the development could add approximately 150,000 barrels of oil per day to Nigeria’s total production. Consequently, the project could play an important role in strengthening the country’s long-term energy outlook.
President Tinubu described the OPL 245 settlement as a strategic breakthrough for Nigeria’s economic reform agenda. He emphasized that the resolution demonstrates the government’s commitment to addressing long-standing disputes and restoring investor confidence in the country’s energy sector.
According to the president, the agreement sends a strong message to global investors. He said Nigeria is prepared to resolve legacy issues transparently and maintain a stable regulatory environment for international investment.
Tinubu added that restoring confidence in the energy sector remains essential for unlocking Nigeria’s natural resource potential. He stressed that oil and gas development must deliver sustainable benefits to the Nigerian people.
The president’s adviser on energy, Olu Arowolo-Verheijen, also highlighted the importance of the settlement. She explained that the revised agreement improves on the earlier 2011 resolution framework.
According to Arowolo-Verheijen, the new settlement aligns with the policy framework established under Nigeria’s Petroleum Industry Act. The reforms also reflect broader fiscal and governance changes introduced by the current administration.
The OPL 245 settlement aims to balance investor certainty with stronger value for the Nigerian state. Officials say the revised terms provide companies with the predictability required to proceed with major deepwater investments.
At the same time, the agreement strengthens safeguards that protect national interests. Government officials believe the settlement ensures better long-term value for Nigeria’s energy resources.
The settlement also forms part of a wider set of reforms launched by the Nigerian government since 2023. These reforms seek to restore the country’s competitiveness in global energy markets.
The Petroleum Industry Act plays a central role in these efforts. The legislation introduced a new regulatory framework designed to improve transparency and attract investment in Nigeria’s upstream oil sector.
Government officials say these reforms have already begun to generate renewed investor interest. As a result, Nigeria has seen increased capital inflows into its oil and gas industry in recent years.
By resolving the OPL 245 settlement, authorities believe they have removed one of the most significant legacy risks in the country’s upstream sector. The agreement therefore strengthens Nigeria’s reputation as a destination for large-scale energy investment.
The Zabazaba–Etan development represents one of the largest potential deepwater projects in the region. If fully developed, the project could become a major contributor to Nigeria’s offshore oil production.
Deepwater developments often require large financial commitments and advanced technical expertise. Consequently, investors typically seek stable regulatory conditions before committing capital to such projects.
Officials say the settlement creates the regulatory clarity required for companies to move forward with investment decisions.
President Tinubu also praised the institutions and stakeholders involved in achieving the agreement. He acknowledged the contributions of several government agencies that helped resolve the dispute.
These institutions include the Office of the Attorney General of the Federation, the Ministry of Petroleum Resources, and the Nigerian Upstream Petroleum Regulatory Commission.
The Nigerian National Petroleum Company Limited also played a role in supporting the settlement process. In addition, executives from Eni participated in negotiations that ultimately led to the agreement.
The OPL 245 settlement therefore reflects cooperation between government authorities and international energy investors. Officials say such collaboration is essential for unlocking Nigeria’s offshore energy potential.
The president emphasized that the resolution demonstrates the administration’s determination to unlock strategic energy assets. He also said the government aims to attract responsible investment into the country’s natural resource sector.
According to Tinubu, Nigeria’s oil and gas resources must translate into economic growth, job creation, and long-term prosperity.
The successful settlement of the dispute therefore marks an important step toward revitalizing Nigeria’s energy industry. With legal uncertainty removed, the country can now focus on developing one of its most valuable offshore oil assets.
As investment decisions move forward, the OPL 245 settlement may become a turning point in Nigeria’s efforts to strengthen its position in the global energy market.
