Chevron to sell two Nigerian oil blocks
US producer Chevron (NYSE: CVX) announced Tuesday it will sell its part of two Nigerian oil blocks in the southern river delta region, reports Agence France Presse.
The company will divest its 40% share of leases 83 and 85 which hold the Madu and Anyala fields. The two blocks are owned in partnership with state-run oil firm NNPC.
According to local media, the blocks have reserves of about 250 million barrels of oil, although the company would not release information on thise.
With last years’ output of 238,000 barrels per day of crude oil, Chevron is Nigeria’s third-biggest oil producer.
The country wants to overhaul regulations, royalties and taxes for the oil sector, however, the changes have been stuck in parliament which has been creating uncertainty for the industry.
British-Dutch producer Shell (LON: RDSA), which ranks ahead of Chevron in output, has been trying to sell its onshore oil blocks and move to safer offshore locations.
France’s Total (EPA: FP) sold its 20% interest in offshore blocks, valued at $2.5 billion, to China’s Sinopec last year.
ConocoPhillips (NYSE: COP) sold its stakes to Nigerian company Oando in 2012 also.
Overall, the country puts out approximately 2 million barrels of crude per day.