By Karin Strohecker
LONDON, Sept 23 (Reuters) - Nigeria is claiming "colossal"
sums of money from oil majors, its attorney general said on
Monday, under regulations that allow the government to revisit
revenue sharing from petroleum sales if crude exceeds $20 a
barrel.
Abubakar Malami said a number of court cases were already
underway.
The government in Africa's largest oil exporter relies on
oil for some two-thirds of its revenue and its economy is still
largely dependent on crude production despite efforts to
diversify away from the industry.
A 1990s law that governs oil production sharing contracts
allows the government to review revenue sharing once the oil
price rises above $20 per barrel.
Asked about the government's demands to recover revenue from
international oil companies (IOCs), Malami said the sums in
question were "huge".
"We are taking steps to recover what we feel is due," said
Malami, adding he could not give a precise figure as multiple
actions and suits were underway.
"One thing I can say is that the amount is substantial and
colossal, there is no doubt about it," said Malami, not naming
the companies.
Earlier this year, industry and government sources told
Reuters that Royal Dutch Shell, Chevron, Exxon
Mobil, Eni, Total and Equinor were each asked to
pay the central government between $2.5 billion and $5 billion.
A spokesperson for Shell in Nigeria said on Monday: "We do
not agree with the legal basis for the claim that we owe
outstanding revenues and the matter is pending before the
court."
Exxon declined to comment. Eni, Total, Equinor and Chevron
did not immediately respond to requests for comment.
Oil majors are keen to get involved in developing and
operating Nigeria's giant offshore fields.
Malami is in London as part of a delegation of Nigerian
policymakers who will meet stakeholders and investors as well as
attend a court hearing on a $9 billion arbitration case the
government disputes.
Nigeria's central bank governor Godwin Emefiele, also part
of the delegation, accused oil majors of having dragged their
feet on purpose rather than initiating a review once oil prices
crossed the $20 per barrel threshold.
"You think it should be forgotten and we shouldn’t revisit
it given that it resulted in substantial loss of revenue to the
government?" said Emefiele. "It stands for me to reason that the
IOCs deliberately did not trigger event for review because it
benefits them - and that is something that we kick against."
Nigerian policymakers are due to attend a court hearing on
Thursday after a judge in August said he would grant a firm
called Process and Industrial Developments Ltd (P&ID) the right
to seek to seize some $9 billion in assets from the government
over an aborted gas project.
(Reporting by Karin Strohecker, additional reporting by Libby
George in Lagos, editing by Susan Fenton)
