Multinational Oil Companies’ Onshore Asset Divestment and Oil Production in Nigeria.

Abstract

The recent divestment of multinational oil companies (IOCs) from Nigerian onshore assets has raised concerns regarding its impact on oil production, revenue, and socio-economic stability in the Niger Delta region. This research examines the driving factors behind this divestment trend and assesses its implications for Nigeria’s oil industry. The key objectives of this study are to determine the extent to which divestment affects community agitations and crises, investigate its impact on crude oil theft, and assess its influence on oil production and revenue, considering that onshore assets are being acquired by national and local players. A mixed-method approach, combining qualitative and quantitative techniques, was employed to achieve these objectives. Data was collected through structured and unstructured interviews with key industry stakeholders, including regulators, and questionnaires were administered across various sectors. Additionally, available data on oil production and revenue trends in Nigeria was analysed.