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Equinor Completes $2 Billion Asset Sales in Nigeria and Azerbaijan

Equinor has finalized the sale of its assets in Nigeria and Azerbaijan for up to $2 billion, marking a strategic exit from these countries to optimize its international portfolio.

Equinor, the Norwegian oil and gas giant, has successfully completed the sale of its assets in Nigeria and Azerbaijan for a total consideration of up to $2 billion. This move marks the end of Equinor's 30-year presence in these countries and aligns with the company's strategy to optimize its international portfolio. The divestments, initially announced in 2023, are expected to significantly boost Equinor's cash flow in the fourth quarter of 2024.

In Nigeria, Equinor sold its 20.21% stake in the Agbami oil field, operated by Chevron, to Chappal Energies for up to $1.2 billion. This deal includes $710 million in cash, with the remainder contingent on market prices and other factors. In Azerbaijan, Equinor divested its stakes in the Azeri Chirag Gunashli field, the Baku-Tbilisi-Ceyhan oil pipeline, and the Karabagh project to SOCAR and India's ONGC for a total of $745 million.

These strategic exits are part of Equinor's broader plan to focus on markets where it can add the most value, such as Brazil, Britain, and the United States. The company aims to increase its international production by about 100,000 barrels of oil equivalent per day by 2030. Philippe Mathieu, Equinor's head of international exploration and production, emphasized that these divestments allow the company to realize value and maintain long-term production and profitability.

Equinor's decision to exit Nigeria and Azerbaijan reflects a broader industry trend of repositioning amid shifting energy dynamics. By focusing on stable markets with robust growth potential, Equinor aims to secure its place in the competitive global energy market, adapting to both economic and environmental changes on the horizon.

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