• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Business News

Why Shell May Not Renew Oil Blocks In 2019

Onome Ohwovoriole by Onome Ohwovoriole
March 15, 2017
in Business News, Company News
Shell Will Axe Another 2,200 Jobs To Withstand Lower For Longer Oil
Share on FacebookShare on TwitterShare on Linkedin

Nairametrics|Seventeen of SPDC’s (Shell Petroleum Development Company) oil blocs will fall due for renewal in 2019, giving the oil multinational the option of either renewing or relinquishing them.

The oil blocs are located onshore in the Niger Delta, an area that has historically been a hotbed of military insurgency and communal unrest. Shell has in the past few years, divested its holdings on the back of difficulties encountered while operating in this region, including the vandalization of oil infrastructure, oil theft and insecurity. It has divested its interests in at least 8 onshore Oil Mining Leases (OMLs), from 2010 to date, marking a gradual shift away from difficult places like Nigerian onshore oil and in line with its global strategy of optimizing capital and getting back to growth.

Royal Dutch Shell, its parent company has been on a divestment drive. It has been seeking to cut debt and increase its cash flow following its acquisition of BG Group, which made it Europe’s largest oil and gas company.

RelatedStories

Army destroys 18 illegal refineries in Rivers, Bayelsa, others 

Army destroys 18 illegal refineries in Rivers, Bayelsa, others 

February 24, 2025
Shell reports another oil spill in Niger Delta; over 130 spills in 2024 

Shell reports another oil spill in Niger Delta; over 130 spills in 2024 

February 5, 2025

Last month, the parent company’s CFO stated that the company was making significant progress on up to $5 billion of asset disposals, after two divestments worth $4.7 billion in February this year, including a large part of its North Sea portfolio.

Shell is also looking to sell its operations in Gabon.

The biggest sign of uncertainty around the renewal of its blocs is its plan to continue to reduce capital spending in 2017, after it spent lower than expectations in 2016.

Low crude oil prices, may also discourage Shell from renewing. Analysts forecast of oil prices are they may continue to trade in the current range or even dip further.

Furthermore, being an election year, the company may decide to wait in 2019 for the results of the Presidential elections before finally making a stand.

The Nigerian oil and gas industry has been tilting towards Indigenous oil firms who are eager to play bigger roles in Nigeria’s oil production.

Whether it will relinquish these assets is still not clear, as the firm expects some of its growth to come from $10 billion of new projects coming on stream by 2018, adding more than 1 million barrels of oil equivalent per day.

Tags: Niger DeltaOIl and Gas News
Onome Ohwovoriole

Onome Ohwovoriole

Onome Ohwovoriole has a degree in Economics and Statistics from the University of Benin and prior to joining Nairametrics in December 2016 as Lead Analyst had stints in Publishing, Automobile Services, Entertainment and Leadership Training. He covers companies in the Nigerian corporate space, especially those listed on the Nigerian Stock Exchange (NSE). He also has a keen interest in new frontiers like Cryptocurrencies and Fintech. In his spare time, he loves to read books on finance, fiction as well as keep up with happenings in the world of international diplomacy. You can contact him via onome.ohwovoriole@nairametrics.com

Related Posts

Army destroys 18 illegal refineries in Rivers, Bayelsa, others 
Energy

Army destroys 18 illegal refineries in Rivers, Bayelsa, others 

February 24, 2025
Shell reports another oil spill in Niger Delta; over 130 spills in 2024 
Energy

Shell reports another oil spill in Niger Delta; over 130 spills in 2024 

February 5, 2025
NDDC to continue distribution of solar-powered streetlights in Niger Delta to improve Security
Energy

NDDC to continue distribution of solar-powered streetlights in Niger Delta to improve Security

January 3, 2025
Budget

2025 budget: Sport, Niger Delta, Arts ministries get N126.91 billion allocations amid restructuring 

December 20, 2024
Another oil spill occurs at Shell terminal in Niger Delta 
Energy

Another oil spill occurs at Shell terminal in Niger Delta 

December 16, 2024
Chevron Nigeria Limited
Energy

Chevron Nigeria announces new oil discovery in the Niger Delta 

October 18, 2024
Next Post
You No Longer Need Lawyers & Accountants To Register A Company, Its DIY- CAC

A Quick Run Down Of The Changes At The Corporate Affairs Commission (CAC)

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank








DUNS

Recent News

  • Key policies that shaped Nigeria’s tech industry under Buhari’s 8-year rule 
  • Investing in a volatile world: Strategies for Gen Zs, millennials, and retirees
  • TikTok removes over 3.6 million Nigerian videos in Q1 2025  

Follow us on social media:

Recent News

Key policies that shaped Nigeria’s tech industry under Buhari’s 8-year rule 

Key policies that shaped Nigeria’s tech industry under Buhari’s 8-year rule 

July 15, 2025
Investments

Investing in a volatile world: Strategies for Gen Zs, millennials, and retirees

July 15, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics