ConocoPhillips, on Wednesday, said it has completed the sale of its Nigeria upstream business to Oando Energy Resources (OER) for $1.5 billion.
The sale generated net proceeds of approximately $1.4 billion, and ConocoPhillips expects an after-tax gain of about $1.1 billion. The company, in a statement, will use proceeds for general corporate purposes, including investments in the company’s higher-margin organic growth programs.
The Transaction entails the acquisition of ConocoPhillips’ onshore and offshore Nigerian oil and gas businesses.
ConocoPhillips, also, said it transferred its 17 percent shareholder interest in Brass LNG Ltd. in Nigeria to the remaining shareholders of the company, but that deal did not have a material impact on ConocoPhillips’ results.
“We are pleased to complete these transactions with Oando PLC and the Brass LNG Limited shareholders,” Don Wallette, executive vice president of commercial, business development and corporate planning, said in a statement. “We appreciate the long and productive relationship we have had with the government of Nigeria and our partners.”
In November, ConocoPhillips closed the $1.75 billion sale of its Algeria business.
ConocoPhillips is the Houston area’s second-largest public company, based on its 2013 revenue of $53.2 billion, according to Houston Business Journal research.
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