Stakeholders have called on the Federal Government to begin a fresh competitive bidding process for the proposed sale of a 40 per cent stake in the Amukpe–Escravos Pipeline, rather than revive an earlier transaction that was terminated.
They are also demanding a new independent valuation of the asset, arguing that the outcome could significantly affect investor confidence in Nigeria’s oil and gas sector.
The Amukpe–Escravos Pipeline, jointly owned by Pan Ocean Oil Corporation and NNPC Exploration and Production Limited, has a capacity of about 160,000 barrels of crude oil per day and has served as a major crude evacuation route in the western Niger Delta since it became operational in 2022.
According to reports, Pan Ocean’s proposed sale of its 40 per cent stake is part of a debt restructuring arrangement involving lenders and the Asset Management Corporation of Nigeria, with proceeds expected to settle outstanding obligations.
However, the planned divestment has generated controversy following reports that an earlier 243 million dollar transaction collapsed in October 2024 after the buyer allegedly failed to meet payment and commercial obligations.
Stakeholders have expressed concern over indications that the failed deal could be revived using outdated valuation benchmarks.
Reports indicate that an independent valuation carried out in 2025 placed the value of the 40 per cent stake at between 544 million and 641 million dollars, considerably higher than the value attached to the earlier failed transaction.
Speaking on the issue, Managing Director of Policy Management Consult Services, Jide Olatuyi, said a transparent and competitive bidding process was necessary to strengthen governance and restore investor confidence in Nigeria’s oil and gas industry.
He stressed that the issue was not about commercial rivalry but about ensuring transparency, accountability, and adherence to due process.
Also commenting, public affairs analyst Professor Okey Ikechukwu called for the immediate suspension of the proposed sale, warning that disposing of the asset below its current market value could undermine public confidence and weaken governance standards.
He urged the government to commission a fresh independent valuation before taking any decision on the sale.
Meanwhile, United States-based energy consultant Chukwuma Atuanya described the Amukpe–Escravos Pipeline as a strategic national asset, noting that it has significantly improved crude oil transportation and export reliability since operations began in 2022.
