FG Resolves OPL 245 Dispute, Says Move Will Boost Nigeria’s Economy

FG Resolves OPL 245 Dispute, Says Move Will Boost Nigeria’s Economy

The Federal Government has announced the resolution of the long-running dispute over Oil Prospecting Licence (OPL) 245, describing the development as a major step toward strengthening Nigeria’s economy and restoring investor confidence in the country’s oil and gas sector.

The Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, disclosed this after the signing of a legal agreement in Abuja that effectively ends more than two decades of litigation and international arbitration over the controversial oil block.

According to him, the settlement was reached between the Federal Government and energy companies Eni and Nigerian Agip Exploration Limited.

Fagbemi said resolving the dispute would reposition the country’s economy and strengthen the Federal Government’s fiscal capacity.

He attributed the breakthrough to the leadership of President Bola Ahmed Tinubu, noting that the president had directed early in his administration that all outstanding disputes over the oil block be resolved amicably in the best interest of Nigerians.

“The agreement marks a turning point for Nigeria’s oil and gas sector after more than two decades of legal battles and international arbitration,” the Attorney-General said.

He explained that the settlement will culminate in a Consent Arbitral Award, bringing final closure to the dispute and helping restore Nigeria’s reputation as a credible partner in global business and investment.

Fagbemi noted that the resolution would remove long-standing legal and fiscal uncertainties that previously hindered the development of the oil block.

According to him, the development is expected to attract large-scale investment into the sector, create employment opportunities, and reinforce Nigeria’s position as one of Africa’s leading energy producers.

He also stated that anticipated revenues from the oil asset can now be incorporated into the country’s medium-term fiscal framework, which would support budget stability, long-term economic planning, and debt sustainability.

The Attorney-General further said resolving the dispute through negotiation rather than prolonged arbitration reflects Nigeria’s commitment to alternative dispute resolution and strengthens the country’s credibility in international commercial and arbitration circles.

“This settlement sends a clear signal to the global community that Nigeria is open for business and committed to fairness and respect for contractual obligations,” he said.

Fagbemi also commended several institutions that played key roles in the resolution process, including the Ministry of Petroleum Resources, the Nigerian Upstream Petroleum Regulatory Commission, the Nigerian National Petroleum Company Limited, and the Economic and Financial Crimes Commission, as well as international partners involved in the agreement.

He described the settlement as a triumph of dialogue over conflict and national interest over narrow considerations.

“With this agreement, Nigeria can now move forward with confidence, ensuring that the development of OPL 245 becomes a source of prosperity for the nation and future generations,” Fagbemi added.

The State House press statement announcing the development was signed by presidential spokesman Bayo Onanuga on Sunday in Abuja.

FG Resolves OPL 245 Dispute, Says Move Will Boost Nigeria’s Economy