• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Friday, July 4, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Federal Govt Says PIA Will Not Stop IOCs Divestment

by Chika Izuora
3 years ago
in News
Share on WhatsAppShare on FacebookShare on XTelegram

The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC),  has said that the Petroleum Industry Act, PIA, 2021 may not stop the gale of divestments by international oil companies(IOCs), operating in the Nigerian oil and gas sector.

Advertisement

Since the law was signed in August 2021, by President Muhammadu Buhari, after the bill dragged at the National Assembly for over two decades, operators in the oil sector including government officials have been optimistic that the Act would attract enormous gains to the industry.

However, IOCs operating in Nigeria have been divesting their assets from Nigeria before and after the PIA became law, as the RMAFC explained, the Act might not halt the divestments by the international oil firms.

The commission made the disclosure in its report on the PIA 2021 stating its Impact on Federation Revenue

The five major IOCs operating in Nigeria which have been divesting their assets include Shell Producing Development Company, TotalEnergies, Chevron, ExxonMobil and Eni.

RELATED

Group Demands Accountability From Akwa Ibom Lawmakers Over Infrastructural Deficit

Defections: Akwa Ibom Assembly Gets New Leader, Deputy

44 minutes ago
JUST-IN: Court Orders Immediate Recall Of Suspended Senator Natasha

JUST-IN: Court Orders Immediate Reinstatement Of Suspended Senator Natasha

2 hours ago

Recall that in the past 11 years, IOCs operating in Nigeria had divested a total of 26 Oil Mining Licences in the Niger Delta with more set to be sold.

RMAFC said one of the reasons for the IOCs divestment of their onshore and shallow water assets despite the reduced taxes and royalty rates in the PIA is because of the declining productions.

“Before the passage of the PIA, the IOCs were divesting from their onshore and shallow water assets due to hostile environment attributed to community restiveness and security challenges in the Niger Delta,” the commission stated.

It added, “Productions from some of the fields are already declining. The PIA as it were may not likely stop this trend. Increased crude oil theft, which is now an organised crime.”

It noted that the three per cent operation cost to be paid to the Host Community Development Fund might not be technically applicable to deep offshore.

“As a result, the IOCs are likely to be more interested in deep water assets where the tax and royalty rates are lower with no community disturbances and no crude oil theft.

A typical case is Mobil Producing Nigeria in Akwa Ibom offshore,” the commission stated.


We’ve got the edge. Get real-time reports, breaking scoops, and exclusive angles delivered straight to your phone. Don’t settle for stale news. Join LEADERSHIP NEWS on WhatsApp for 24/7 updates →

Join Our WhatsApp Channel

BREAKING NEWS: Nigerians can now earn US Dollars from the comfort of their homes with Ultra-Premium domains, acquire them for as low as $1700 and profit as much as $25,000. Click here to learn how you can earn US Dollars consistently.


SendShareTweetShare
Previous Post

100m Hurdles: Former World Record Holder Congratulates Amusan

Next Post

Security Threats: Buhari, Security Chiefs In Emergency Meeting

Chika Izuora

Chika Izuora

You May Like

Group Demands Accountability From Akwa Ibom Lawmakers Over Infrastructural Deficit
News

Defections: Akwa Ibom Assembly Gets New Leader, Deputy

2025/07/04
JUST-IN: Court Orders Immediate Recall Of Suspended Senator Natasha
Cover Stories

JUST-IN: Court Orders Immediate Reinstatement Of Suspended Senator Natasha

2025/07/04
JUST-IN: Court Finds Senator Natasha Guilty Of Contempt Over Facebook Post
News

JUST-IN: Court Finds Senator Natasha Guilty Of Contempt Over Facebook Post

2025/07/04
Lakurawa: Ohanaeze Ndigbo Charges Federal Gov’t To Crush New Terror Group 
News

2027: Ohanaeze Interested In Welfare Of Citizens, Not Partisan Politics — Spokesman

2025/07/04
Federal Gov’t Retrofits Dual-fuel Engines On Locomotives To Cut Costs, Carbon Emission
News

Federal Gov’t, Kaduna Collaborate On Light Rail Project

2025/07/04
US Vetoes Call For ‘Immediate Ceasefire’ In Gaza
News

Nigerian Indicted Over $14.6bn Healthcare Fraud In US

2025/07/04
Leadership Conference advertisement

LATEST

China Welcomes Russia’s Recognition Of Afghanistan’s Taliban Rule

Defections: Akwa Ibom Assembly Gets New Leader, Deputy

NDYC Urges Politicians To Respect INEC’s Integrity, Condemns Amaechi, El-Rufai Comments

JUST-IN: Court Orders Immediate Reinstatement Of Suspended Senator Natasha

JUST-IN: Court Finds Senator Natasha Guilty Of Contempt Over Facebook Post

2027: Ohanaeze Interested In Welfare Of Citizens, Not Partisan Politics — Spokesman

Football Star Diogo Jota, Brother For Burial Saturday

Federal Gov’t, Kaduna Collaborate On Light Rail Project

20 Injured As Gas Explosion Rocks Rome

Nigerian Indicted Over $14.6bn Healthcare Fraud In US

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.