Exxon Mobil Corporation‘s (NYSE:XOM) asset sale to Seplat Energy (OTC:SEPLF) could reportedly be approved in less than two weeks.
Nigeria’s oil regulator said that this would end a two-year delay since the deal was signed, reported Reuters.
In 2022, Seplat Energy inked the $1.28 billion deal with Exxon and has been waiting regulatory approval since then.
As per the report, Nigerian Upstream Petroleum Regulatory Commission (NUPRC) chief Gbenga Komolafe stated, “Subject to the outcome of the meeting, consent… could be given in less than two weeks from the date of the meeting.”
Komolafe added that “NUPRC would give the companies two mutually exclusive options that, if accepted, would permit approval of the deal.”
“As a commission, we don’t want our nation to carry unwarranted financial burdens arising from the operations of the assets over time by the divesting entities.”
As per the report, analysts said that approving the Exxon-Seplat deal would inject much-needed capital into Nigeria’s oil industry, thereby leading to improved oil output.
Apart from this, Exxon Mobil Corporation is preparing to close its $60 billion deal for Pioneer Natural Resources Co (NYSE:PXD) in the coming days.
Investors can gain exposure to the XOM stock via Energy Select Sector SPDR Fund (NYSE:XLE) and IShares U.S. Energy ETF (NYSE:IYE).
Also Read: Exxon To Shut Down Two Oil Projects For Pipeline Connection: Report
Price Action: XOM shares are up 0.14% at $116.40 premarket at the last check Friday.
Photo: Del Henderson Jr. via Shutterstock