Nigeria’s Attorney-General of the Federation, Lateef Fagbemi, has defended the Federal Government’s resolution of the long-running dispute over Oil Prospecting Licence (OPL) 245, accusing critics of pursuing “selfish” rather than patriotic interests.
In a statement issued on Wednesday, Fagbemi said recent comments attributed to the media office of former Vice-President Atiku Abubakar misrepresented the nature and significance of the settlement.
He described the resolution as a “landmark achievement” that brings to an end nearly three decades of legal and commercial disputes surrounding the oil block, one of Nigeria’s most valuable deepwater assets.
The OPL 245 block, originally awarded to Malabu Oil and Gas Limited in 1998, has been at the centre of multiple controversies, including its revocation and subsequent reallocation to Shell Nigeria Exploration and Production Company Limited and Nigerian Agip Exploration Limited.
Fagbemi said the disputes were addressed through a 2011 resolution agreement involving the Federal Government and the parties, under which Malabu relinquished its claims in exchange for compensation, while the block was reassigned to Shell and Agip entities.
According to the Attorney-General, the agreement and related transactions were later subjected to legal scrutiny in multiple jurisdictions, including the United States, the United Kingdom and Italy, with no findings of wrongdoing against the companies involved.
He also disclosed that the Federal Government faced potential liabilities exceeding $2 billion following arbitration proceedings initiated at the International Centre for Settlement of Investment Disputes by Eni-linked entities over delays in converting the licence into an oil mining lease.
“The arbitration was not about ownership disputes within Malabu but about Nigeria’s obligations under international investment treaties,” Fagbemi said, noting that none of the current critics participated in the proceedings.
The minister said the Tinubu administration’s intervention was aimed at resolving lingering disputes, avoiding significant financial exposure, and unlocking the economic potential of the asset.
Located about 150 kilometres offshore, OPL 245 is projected to produce about 150,000 barrels of oil per day and includes a large-scale floating production system with gas export links to Nigeria LNG.
Fagbemi said the resolution would boost government revenue, enhance energy security and restore investor confidence in Nigeria’s oil and gas sector.
He cited a recent Court of Appeal ruling in Nigerian Agip Exploration Limited v. Malabu Oil & Gas Ltd (2025), which dismissed Malabu’s challenge to the allocation of the block, describing the suit as statute-barred and an abuse of court process.
The Attorney-General, however, criticised ongoing opposition to the settlement, saying it was “deeply concerning” and indicative of undisclosed interests.
“Such narratives are not driven by patriotism or objective reasoning, but by self-serving motives aimed at frustrating a lawful resolution,” he said.
He urged Nigerians to disregard what he described as misleading claims and support efforts to unlock the full value of the asset for national development.
