Equinor Completes Major Asset Sales in Nigeria and Azerbaijan

Equinor, the Norwegian oil and gas giant, has finalized the sale of its assets in Nigeria and Azerbaijan for a combined total of up to $2 billion. This move marks the end of Equinor's operations in these two countries after nearly three decades.

The divestments, initially announced in 2023, align with Equinor's strategy to optimize its international portfolio. The company expects these sales to significantly boost its cash flow in the fourth quarter of this year.

Focus on High-Value Investments

Equinor plans to reinvest the proceeds from these sales into countries where it can add the most value, thereby building a more focused and robust international portfolio. The company aims to increase its international output by approximately 100,000 barrels of oil equivalent per day (boed) by 2030, primarily through new field developments in Brazil, Britain, and the United States.

Details of the Asset Sales

In Nigeria, Equinor sold its assets, including a 20.21% stake in the Agbami oil field operated by Chevron, to Chappal Energies for up to $1.2 billion. This amount comprises $710 million in cash and the remainder in contingent payments, the conditions of which were not disclosed.

In Azerbaijan, Equinor divested a 7.27% stake in the Azeri Chirag Gunashli (ACG) field, an 8.71% stake in the Baku-Tbilisi-Ceyhan (BTC) oil pipeline, and a 50% stake in the Karabagh project to Azerbaijan's SOCAR and India's ONGC for a total of $745 million.

Equinor's net production in Azerbaijan and Nigeria averaged 24,600 and 17,700 barrels of oil equivalent per day (boed), respectively, during the first three quarters of 2024.