* Chevron selling five Nigerian blocks in total
* Stake in reserves around 200-250 million oil barrels
* Nigerian firms, partnered with foreign firms, to bid
By Joe Brock
ABUJA, June 18 (Reuters) - U.S.-based Chevron Corp is selling five Nigerian shallow-water oil blocks, the companysaid on Tuesday, the latest oil major seeking to dispose ofassets in Africa's biggest producer.
Royal Dutch Shell, Italy's Eni andFrance's Total have sold several Nigerian onshoreblocks in recent years, while U.S. firm ConocoPhillips is selling its Nigerian businesses to Oando Energy forabout $1.79 billion.
Nigeria wants more direct ownership of its oil and gas,either through the state oil company or local firms, raisingconcerns among foreign oil majors they may lose smaller assetsfor nothing if they don't sell now, industry experts say.
Nigeria also suffers from widespread oil theft and anat-times difficult relationships with local communities, drivingup the costs of operating there, while a long-delayed energybill is stuck in parliament, adding to industry uncertainty.
Yet foreign oil majors like Shell, Exxon Mobil andChevron remain keen on expanding offshore Nigeria and want tokeep hold of their biggest producing fields onshore, so anydisposals have tended to be of smaller, more marginal onshoreassets.
Chevron is selling its 40 percent stake in OML 52, 53 and 55in the Niger Delta, the company said in a statement on Tuesday,after announcing the sale of the same-sized stake in OML 83 andOML 85 last week.
The sale will be handled by French Bank BNP Paribas, oil and banking sources told Reuters. The bank didnot immediately respond to request for comment.
Chevron said it would prefer to sell to local Nigeriancompanies, in line with government regulations on boosting localownership of its oil.
It said the disposal would bring down operating costs,improve efficiency and provide other smaller businesses,particularly Nigerian indigenous companies, opportunities togrow. "Chevron ... remains commitment to Nigeria," it added,noting it had been in the country for more than 50 years.
First Hydrocarbon Nigeria, which has partnered withLondon-listed Afren on previous Nigeria deals, hasalready expressed interest in at least one block, oil sourcessaid.
Chevron's share of the five blocks would amount to reservesof between 200 million and 250 million barrels of combined crudeoil and condensate, two oil industry sources told Reuters.
It did not disclose the reserves held in the blocks or whatit expects to earn from the sales.
When Shell sold its blocks, although little-known localcompanies won the bids, they were partnered by smaller foreignfirms, including Heritage Oil, Eland Oil, Afrenand Poland's Kulcsk Oil Ventures.
