President Muhammadu Buhari has approved the restoration of the leases on OMLs 123, 124, 126, and 137 to the Nigeria National Petroleum Corporation, NNPC, which is in production sharing contract with Addax Petroleum, a company wholly owned by the Government of the People’s Republic of China on the blocks.
The leases belonging to the Federation were revoked on March 30, 2021.
While directing the Department of Petroleum Resources, DPR, to retract the letter of revocation of the leases, the President also directed the NNPC to utilize contractual provisions to resolve issues in line with the extant provisions of the production sharing contract arrangement between NNPC and Addax.
The restoration of the blocks to the NNPC will boost the organisation’s portfolio, thereby making the Corporation, in the long run, boost its crude oil production and in turn increase the revenue it generates to the federation account.
