Shell in talks with Nigeria to Divest onshore operations
Royal Dutch Shell Plc reportedly acknowledged that its spill-prone onshore oil field operations in Nigeria aren’t compatible with plans to go green.
The company has been gradually selling onshore assets in Nigeria for more than a decade, as it sought to put aside chronic problems such as pollution caused by ruptured pipelines and the resulting legal battles with local communities.
Shell has pledged to transform itself into clean energy organisaion and gradually wind down its oil and gas business to achieve net-zero carbon emissions by 2050.
Shell CEO Ben van Beurden said
“The balance of risks and rewards associated with our onshore portfolio is no longer compatible with our strategic ambitions,” CEO Ben van Beurden told investors at Shell’s annual general meeting on Tuesday. “We cannot solve community problems in the Niger Delta“ and the company has started discussions with the government on how to move forward.
The Nigerian government is encouraging the company to keep its onshore operations instead of divesting.
Information Source: Related News ..–>Shell in talks with Nigeria to exit onshore oil fields as part of green push
Related News ..–>Shell in talks with Nigeria to divest onshore oil stakes