Policy summersault: Buhari flip-flops on Seplat-ExxonMobil $1.3bn deal

President Muhammadu Buhari is said to have rescinded his earlier decision, authorising the acquisition of ExxonMobil shares in the United States of America by Seplat Energy Offshore Limited, in a deal worth $1.3 billion.

A report quoting the Senior Special Assistant to the President on Media and Publicity, Malam Garba Shehu, said the President has now decided to back the regulator, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), which had on Tuesday insisted on its refusal to give approval to the ExxonMobil/Seplat Energy share acquisition.

Shehu, according to the report, said President Buhari now wanted NUPRC position to be supported, and noted that the confusion set in because various agencies of government involved in the decision had not coordinated well among themselves.

“It has become clear that the various agencies involved in decision had not coordinated well among themselves and having looked at all of the facts with all of the ramifications, the president decided the position of the regulator is to be supported,” Shehu was quoted as saying.

READ: Buhari approves $1.3bn deal between Exxon Mobil and Seplat

RELIABLESOURCENG.COM reports that the Presidency in a statement on Monday had announced that President Buhari had granted assent to the deal in which Seplat will acquire a 40 per cent stake of ExxonMobil oil assets in Nigeria.

However, in a statement shortly after the announcement, the NUPRC literally opposed the president’s decision, citing the provisions of the Petroleum Industry Act (PIA) 2021, which puts the commission in charge as the sole regulator in dealing with such matters in the Nigerian upstream sector.

“The Commission as the Upstream Regulator under the Petroleum Industry Act is fully vested with the powers to deal with such issues and the Commission has communicated its position to ExxonMobil months ago.

“It’s purely a regulatory issue. There hasn’t been a change and the status quo remains. The Commission operates purely in line with the provisions of the PIA,” said Engr Gbenga Komolafe, following a media enquiry.