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HEDA and Shell logos
The Incorporated Trustees of Human Environmental Development Agenda (HEDA Resource Centre) have sued Shell Petroleum Development Company Limited, Renaissance African Energy Company Limited, the Federal Republic of Nigeria and four others at the Federal High Court sitting in Lagos over the transfer of an oil exploration licence.
Joined in the suit are Attorney General and Minister for Justice of the Federation, Mr. Lateef Fagbemi, Nigerian National Petroleum Company (NNPC) Limited, Nigeria Upstream Petroleum Regulatory Commission (NUPRC) and Ministry of Petroleum Resources.
In the suit filed by Kunle Adegoke on behalf of the plaintiff, HEDA raised critical concerns regarding compliance with Nigeria’s legal and regulatory frameworks governing the petroleum industry.
HEDA Resource Centre contends that the transfer and divestment of Shell’s oil exploration licence to Renaissance African Energy Company Limited may have contravened provisions of the Petroleum Industry Act (PIA), 2021, and related regulations.
Key issues raised by HEDA include concerns over the legality, transparency, and regulatory compliance of the transaction.
The plaintiff (HEDA) asserts that the process failed to meet statutory provisions, including the requirement to conduct and disclose an Environmental Evaluation Study under the Upstream Petroleum Environmental Regulation, 2022.
HEDA argued that allowing the transaction to proceed without adhering to these legal requirements could set a dangerous precedent and undermine the national and public interest, particularly regarding environmental sustainability and the welfare of communities in the Niger Delta.
HEDA wants the court to declare that by sections 10 (f), 95 (11) and (15), 235, 237, and 238 of the PIA, 2021, Regulations 4.2.5, 5.2.4, 5.2.5 and 5.4 of the Guidelines for Obtaining Minister’s Consent to Assignment of Interest in Oil and Gas Assets, 2021, Regulations 7 and 8 of the Upstream Petroleum Environmental Regulation, 2022, Regulations 8(1) and (2), 9(1) and (2) of the Upstream Petroleum Environmental Remediation Regulations, 2024 Regulation 13(1) – (3) of the Gas Flaring, Venting and Methane Emissions (Prevention of Waste and Pollution) Regulations, 2023, the 2nd Defendant’s transfer of its Oil exploration license to the 2nd Defendant is invalid, unlawful and not backed by the extant and enabling Laws of the Federal Republic of Nigeria.
The organisation also want the court to declare that, given the failure of the defendants to comply with the provisions of Sections 10(f), 95(11) and (15), 235, 237, and 238 of the Petroleum Industry Act, 2021, Regulations 4.2.5, 5.2.4, 5.2.5 and 5.4 of the Guidelines for Obtaining Minister’s Consent to Assignment of Interest in Oil and Gas Assets, 2021, Regulations 7 and 8 of the Upstream Petroleum Environmental Regulations, 2022, Regulations 8(1) and (2), 9(1) and (2) of the Upstream Petroleum Environmental Remediation Regulation, 2024, Regulation 13(1) – (3) of the Gas Flaring, Venting and Methane Emissions (Prevention of Waste and Pollution) Regulations, 2023, the consent/approval given by the 3rd, 4th, 5th, 6th and/or 7th defendants to the 1st Defendant to transfer/assign/divest its oil exploration licence to the 2nd Defendant is unlawful, null and void. (The Guardian)
