Nigerian National Petroleum Company Limited – NNPC which is a state-owned Nigerian energy firm and also a leading oil player in Nigeria, has gone on to launch a bidding process in order to sell stakes in many of its oil as well as gas assets. The information has been included in an invitation document that was recently distributed to the interested parties. No figures have been disclosed with regard to the targeted amount or even the size of stakes that are on offer.
As per the document, the assets that are involved include projects that are fully owned by the state-owned Nigerian energy firm along with others that are operated in joint ventures with other international companies such as Chevron, Shell, and Eni, as well as Total Energies. The sale happens to be a part of a broader strategy put in place by NNPC in order to optimize its asset portfolio in response to the chronic underinvestment as well as a gradual dip in production.
It is well to be noted that the interested bidders have time till January 10, 2026, so as to register through an online platform. The process is going to continue with a pre-qualification phase that is based on technical as well as financial criteria. Qualified companies are then going to gain access to a secure virtual data room in order to evaluate the files.
Interestingly, the process goes on to include document assessment and bilateral negotiations along with the acquisition of essential regulatory approvals. This kind of approach looks forward to ensuring a competitive process that is in sync with the present standards when it comes to the hydrocarbons sector.
NNPC in the past outlined a plan in order to divest almost 25% of its stakes within the selected oil and gas fields, either by way of full exits or even partial reductions. This kind of strategic direction triggered the opposition from major oil sector unions, who went on to fear a loss of public control of the national resources.
It is worth noting that Nigeria for years has faced a stagnant crude oil production that has been compounded by the gradual withdrawal of major oil companies from the onshore fields. In response to this, the authorities as well as NNPC look forward to reviving the investment and also maintaining a balanced production by way of marginal fields taken over by the local or even regional operators.
The transition by international oil majors towards the offshore projects is seen as a more profitable and secure move and apparently has left many onshore assets vacant. NNPC looks to fill this gap through attracting new capital by way of a portfolio restructuring. This kind of repositioning could also enable the state company to go ahead and focus on projects that are strategic or even higher-yield.
Notably, the invitation document doesn’t specify the asset count involved; however, the short bidding window along with the detailed selection criteria go on to indicate a push for fast implementation. The success of the operation goes on to depend on the ability of the market to respond to such offers in a scenario where capital for oil projects is getting increasingly selective.
