Norwegian energy giant Equinor has concluded the sale of its assets in Nigeria and Azerbaijan for up to $2 billion, signaling the end of its operations in these regions after 30 years. The company announced the finalized deals on Monday.
The decision to leave Nigeria, first disclosed in November 2023, ends a presence that began in 1992. This move is expected to improve Equinor’s cash flow in the fourth quarter of 2024, according to reports from Reuters.
Equinor stated that the divestments are part of a broader effort to refocus on key markets and streamline its global operations. The company is aiming to increase international production by an additional 100,000 barrels of oil equivalent per day by 2030, with significant contributions from new projects in Brazil, the UK, and the US.
As part of the Nigeria sale, Equinor sold its 20.21% stake in Chevron-operated Agbami oil field to Chappal Energies for up to $1.2 billion. The deal includes an initial $710 million in cash, with the remainder based on performance-based payments tied to market conditions.
In Azerbaijan, Equinor sold its shares in three key assets: a 7.27% interest in the Azeri Chirag Gunashli (ACG) oil field, an 8.71% share in the Baku-Tbilisi-Ceyhan (BTC) pipeline, and a 50% stake in the Karabagh project. These were acquired by SOCAR, Azerbaijan’s state oil company, and India’s ONGC for a combined $745 million.
Equinor’s average daily production in 2024 was 24,600 barrels of oil equivalent (boed) in Azerbaijan and 17,700 boed in Nigeria.
