President Bola Ahmed Tinubu has secured a historic breakthrough in Nigeria’s oil and gas sector with the successful resolution of the long-running dispute over Oil Prospecting Licence (OPL) 245, clearing the path for massive new investment in the country’s deepwater resources.
The landmark settlement agreement between the Federal Government of Nigeria, Italian energy giant ENI, and Nigerian Agip Exploration Limited (NAEL) was concluded during a high-level meeting at the State House in Abuja on Wednesday.
In attendance were ENI Chief Executive Officer Claudio Descalzi, Chief Operating Officer Guido Brusco, Head of Sub-Saharan Region Mario Bello, Managing Director of Nigerian Agip Exploration Fabrizio Bolondi, and the Special Adviser to the President on Energy, Olu Verheijen.
The agreement finally brings to an end a dispute that has lingered for more than 15 years, restoring clarity and stability to one of Nigeria’s most commercially promising deepwater oil blocks.
With the dispute resolved, Nigeria is now poised to move toward a Final Investment Decision on the Zabazaba–Etan deepwater project, a development capable of adding about 150,000 barrels per day to the nation’s crude oil output and strengthening its long-term energy outlook.
President Tinubu described the resolution as a strategic milestone in his administration’s economic reform agenda, saying it demonstrates Nigeria’s readiness to address legacy challenges, restore investor confidence, and unlock the full value of the country’s natural resources.
“This resolution sends a clear signal to global investors that Nigeria is prepared to address legacy issues transparently, uphold the rule of law, and create a stable environment for long-term capital,” the President said.
Energy industry observers have also credited the breakthrough to the sustained efforts of the President’s Special Adviser on Energy, Olu Verheijen, whose policy coordination and investor engagement played a central role in steering the complex negotiations to a successful conclusion.
Verheijen noted that the new settlement significantly improves on the 2011 resolution framework and aligns with the policy direction established under the Petroleum Industry Act (PIA).
According to her, the revised agreement provides investors with the clarity and predictability required to proceed with large-scale deepwater investments while ensuring stronger value and safeguards for Nigeria.
“The revised terms strike a balanced outcome, providing investors with the clarity required to proceed with major deepwater investments while ensuring stronger value accretion and safeguards for the Federation,” she said.
She added that resolving the OPL 245 dispute removes one of the most prominent legacy risks in Nigeria’s upstream oil sector and reinforces the government’s commitment to transparent governance and predictable regulation.
The settlement forms part of a broader programme of reforms introduced since 2023 to reposition Nigeria as a competitive destination for global energy investment. These reforms, anchored on the Petroleum Industry Act and supported by targeted executive actions, have already begun attracting renewed investor interest and fresh capital inflows into the oil and gas sector.
President Tinubu commended all institutions and stakeholders involved in achieving the settlement, including the Office of the Attorney General of the Federation, the Ministry of Petroleum Resources, the Special Adviser to the President on Energy, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), NNPC Limited, and ENI leadership.
The resolution is widely seen as a major step in unlocking Nigeria’s strategic energy assets, boosting crude oil production, and creating new opportunities for economic growth, job creation, and long-term national prosperity.
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