Tuesday, March 29, 2011

Questions over Shell’s transparency in oil bloc sale

Business Day
29 March 2011

Questions over Shell’s transparency in oil bloc sale

Shell’s bid to sell a number of its key assets in the Niger Delta was thought to be entering its final phase but the whole process now appears to have been mired in controversy, with several observers now questioning the transparency of the process, BusinessDay can report. The Anglo Dutch giant triggered an intensive bidding process months ago when it put its stake in OMLs 30, 34, 40 and 42, which it operates with its partners - Agip, Total and the NNPC, up for sale with an understanding that after the bid round, the “preferred bidders” would emerge.

Controversy began shortly after a report in the Upstream Newspaper of March 11, 2011 which claimed that the bids leaked, allowing a raft of companies to up their bids without Shell stepping in to maintain the credibility of the process.

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