The Nigeria Extractive Industries Transparency Initiative (NEITI) has commenced a formal review of oil asset sales valued at $6.03bn by international oil companies (IOCs) to address transparency concerns and unresolved environmental liabilities, Nairametrics has reported. 

The review by NEITI, an agency tasked with enhancing openness and accountability in Nigeria’s extractive sectors, brings to the fore environmental concerns voiced by host communities.

The transactions, which span 26 divestments, involve energy supermajors such as Shell (UK), ExxonMobil (US), and TotalEnergies (France) and have significantly altered the structure of Nigeria’s petroleum sector.

At a media briefing in Abuja, NEITI Executive Secretary Orji Ogbonnaya Orji said that the review aims to verify whether due process was followed and to ensure that outstanding liabilities, particularly environmental, are fully addressed. The asset transfers under scrutiny include Shell’s $2.4bn sale to Renaissance Africa Energy Holdings, ExxonMobil’s $1.28bn deal with Seplat Energy, and TotalEnergies’ $860mn divestment to Chappal Energies.

These divestments primarily affect onshore and shallow-water oilfields and have sparked criticism over their execution and impact. Host communities in the Niger Delta, where much of the activity is concentrated, have raised persistent concerns regarding pollution, gas flaring, and water contamination.

“NEITI recognises the urgent need for transparency in these transactions to protect national interests, host communities, and revenue flows,” said Orji. “To achieve this, NEITI will expand industry reports to include dedicated sections on divestments and intensify collaboration with [state-owned oil company] NNPC Ltd. and other government agencies to disclose forward sales data.”

In addition to reviewing asset sales, NEITI has announced plans to integrate forward crude oil sales into its audit framework. These transactions, in which oil is pledged against future loan repayments, have been criticised by local refineries for exacerbating supply shortages and undermining domestic refining efforts. The inclusion of such deals signals a broader fiscal oversight initiative as the watchdog seeks to enhance public accountability in Nigeria’s extractive industries.