Shell sells Nigerian assets for 102m

Shell, Europe's biggest oil company, has announced the sale of some of its Nigerian assets for 102m dollars.

The company says the divestment of its 30% interest in Oil Mining Lease

40 in the Niger Delta is part of a strategy to "refocus its onshore interests".

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It is also, however, in line with the Nigerian government's efforts to develop Nigerian owned companies within the oil and gas sector.

The buyer is a company called Elcrest Exploration and Production Nigeria. As part of the deal Elcrest will also receive the holdings of Total E&P Nigeria (10%) and Nigerian Agip Oil Company (5%) leaving its total stake at 45%.

OML 40 covers an area of 498 square kilometres and includes the Opuama, Abiala and Adagbassa Creek fields. Operations had been shut down since 2006 because of militant activity.

Shell shares were up 0.7% in early trading.

BS