Calls grow for review of Amukpe-Escravos pipeline stake transaction

Calls have been intensified for an immediate review of the proposed sale of a 40% stake in the Amukpe-Escravos Pipeline, following concerns over the valuation, transparency and overall process surrounding the transaction.

Okey Ikechukwu, a prominent public affairs analyst and executive director of the Development Specs Academy, on Tuesday, urged the Authorities to suspend all ongoing steps linked to the deal, warning that proceeding under the current terms could amount to disposing of a strategic national asset at a “giveaway price.”

Speaking during an interview on Arise News, Ikechukwu questioned the pricing structure and due process involved in the proposed transaction.

According to him, Nigeria is not under financial pressure severe enough to justify selling a critical infrastructure asset below its market value.

“If that is allowed to happen, it means there is no governance. It means that people can exercise arbitrary discretion. It means that processes can be routinely violated”, he said

The controversy follows reports that independent assessments conducted in 2025 valued the 40% stake in the pipeline between $544 million and $641 million. The figures are reportedly more than double the $243 million offer tied to an earlier transaction that collapsed in October 2024.

Ikechukwu argued that reviving the sale using disputed or outdated valuation benchmarks could erode public trust and undermine investor confidence in the country’s regulatory processes.

“We are not under any desperate need to sell it at a giveaway price, and that’s what appears to be happening here,” he stated.

Describing the Amukpe-Escravos Pipeline as a “performing national asset,” the analyst noted that the facility reportedly maintains operational uptime levels of up to 95%, making it a valuable infrastructure asset that should not be undervalued.

“If you must sell a performing national asset, it must be sold at the right value”, he added.

To further illustrate his concerns, Ikechukwu compared the transaction to a failed private property deal later revived at an outdated price, insisting that such a practice would not be acceptable in any credible commercial environment.

He also warned that the absence of an updated valuation process could negatively affect perceptions of governance and weaken confidence among investors and lenders.

“But beyond all of that, where will investor confidence be?” If you are a lender, how do you feel in this kind of environment? It might even be interpreted as sabotage,” he stated

The analyst stressed that the larger issue extends beyond pricing and touches on institutional credibility, transparency, and adherence to due process.

Consequently, he called for the immediate suspension, and possible termination of all processes connected to the proposed sale until a fresh and independent valuation is carried out.

“All processes leading up to the presumed attempt to sell it now should be stopped. Quite frankly, terminated. An independent evaluation should take place so that we know the current value of what is on the table and ensure that the country does not lose money in the process,” Ikechukwu said.