The Nigerian National Petroleum Company Limited is planning to sell stakes in some of its oil and gas assets and has already invited bids, according to a Reuters report published on Monday.
Reuters, citing an invitation document, reported that interested bidders are required to register online by January 10, after which a pre-screening exercise will be conducted. Companies that qualify will subsequently be granted access to a secure virtual data room.
The planned divestment comes against the backdrop of strong opposition earlier this year from two major oil sector unions. In September, the Petroleum and Natural Gas Senior Staff Association of Nigeria and the Nigeria Union of Petroleum and Natural Gas Workers warned against reported plans by the government to divest significant stakes in joint venture assets operated by the NNPC.
Both unions cautioned that such a move could destabilise the economy, weaken the oil and gas industry and threaten workers’ welfare. They rejected proposals to reduce government stakes in joint venture assets by between 30 and 35 per cent, noting that the federal government currently holds between 55 and 60 per cent of such assets through the NNPC.
According to the invitation document referenced by Reuters, the bidding process will involve prequalification based on technical and financial capacity, followed by document evaluation, negotiations and the securing of regulatory approvals.
Nigeria has struggled to raise crude oil output and attract fresh investment, with the government now targeting incremental production growth through marginal onshore fields vacated by international oil companies.
Separately, Bloomberg reported on Monday that the NNPC is in discussions to secure about $2 billion in financing from Nexus Alliance, a company that supports pipeline infrastructure. People familiar with the matter said the funds are expected early next year and would be used to repair and upgrade pipelines damaged by vandalism and theft, as well as to reduce leaks.
Nigeria’s oil and gas pipeline network, spanning more than 5,000 kilometres, has for years been plagued by vandalism, crude theft, sabotage and ageing infrastructure. Several major pipelines transporting crude oil to export terminals and gas to power plants and LNG facilities frequently operate below capacity or are shut down, affecting oil output, export earnings and domestic energy supply.
Despite some recent security improvements, underinvestment and infrastructure decay continue to pose risks, leaving many pipelines intermittently inoperable.
The Bloomberg report added that the NNPC has been seeking fresh capital as part of a broader refinancing strategy, including talks with lenders in Saudi Arabia. The company aims to raise oil production to at least 1.8 million barrels per day, increase gas output and attract $30 billion in investment by 2027, with about half of that target expected by 2026.
The state-owned oil company has also reiterated its long-standing plan to list shares through an initial public offering, while pursuing reforms to improve transparency and accountability.
Meanwhile, the NNPC announced the successful restoration of the Escravos–Lagos Pipeline System in Warri, Delta State, following an explosion on December 10, 2025. The company said emergency response measures were immediately activated, leading to the repair, pressure testing and safe recommissioning of the damaged section.
In a statement signed by its spokesman, Andy Odeh, the NNPC said the pipeline is now fully operational, crediting the support of host communities, regulators, security agencies, partners and staff for restoring operations in record time while maintaining safety and environmental standards.
In a related development, the Presidency said on Monday that President Bola Tinubu has approved the cancellation of about $1.42 billion and ₦5.57 trillion in legacy debts owed by the NNPC to the Federation Account, following recommendations by the Stakeholder Alignment Committee.
The Presidency noted that the debt write-off covered obligations up to December 31, 2024, including those arising from production sharing contracts, domestic supply obligations, repayment agreements, modified carry arrangements and joint venture and PSC royalty receivables. However, it added that new obligations for January to October 2025 remain outstanding, while a separate dispute over an alleged under-remittance of $42.37 billion between 2011 and 2017 remains unresolved, with the NNPC disputing the claim.
