BREAKING NEWS
Dr. Mudiaga Odje SAN & Co Smooth Tunde’s Lawyers Sues Shell & Renaissance African Energy Limited Concerning Sale of OMLs 28, 43 & 45
By Wilson Macaulay
WARRI, NIGERIA — In a legal move
that has sent shockwaves through Nigeria’s oil and gas sector, Chief Tunde Smooth, famously known as the Prime Minister of the Niger Delta and the Bolowei of the Ijaw Nation, has dragged Shell Petroleum Development Company (SPDC) and Renaissance African Energy Limited to the Federal High Court in Warri over the highly controversial sale of Oil Mining Leases (OMLs) 28, 43, and 45.
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The lawsuit, filed through his legal representatives, Dr. Mudiaga Odje SAN & Co, is predicated on alleged violations of due process, disregard for local content laws, and exclusion of an indigenous oil and gas company—SMU-TUNS Nigeria Ltd, owned by Chief Tunde Smooth—from a fair and transparent bidding process.
OMLs 28, 43, and 45 are some of the most strategic and lucrative oil blocks in Nigeria’s onshore and shallow offshore terrain, stretching across the rich hydrocarbon zones in Delta and Bayelsa States, including host communities such as Forcados, Omadino, and Escravos—areas predominantly inhabited by the Ijaw and Itsekiri ethnic nationalities.
Originally operated by Shell under the NNPC/Shell Joint Venture, these assets were slated for divestment as part of Shell’s broader exit from onshore oil operations in Nigeria, citing challenges such as insecurity, community disturbances, and sabotage.
Allegations of Exclusion and Lack of Transparency.:
In a detailed affidavit, filed by his legal team,Chief Tunde Smooth claims that as early as October 13, 2021, he had officially expressed interest in acquiring the OMLs through SMU-TUNS Nigeria Ltd. He further asserts that his company secured the backing of international technical partners and reputable financial institutions with the capacity to finance the multi-billion-dollar acquisition.
Despite these efforts, Shell allegedly failed to give SMU-TUNS a fair chance, misleading the firm with repeated assurances that their expression of interest was being processed. Instead, Shell reportedly proceeded with a closed-door sale to Renaissance African Energy Limited, a relatively new player in the industry said to have links to foreign interests, in a transaction allegedly marred by opacity.
Legal Demands and Reliefs Sought :
Chief Smooth, through Dr. Akpo Mudiaga Odje, Principal Associate at Dr. Mudiaga Odje SAN & Co., is seeking wide-ranging reliefs from the court, including:
A declaration that SMU-TUNS Nigeria Ltd, as a qualified indigenous firm, should have been given priority in line with the provisions of the Nigerian Oil and Gas Industry Content Development Act and the Petroleum Industry Act (PIA).
An order setting aside the sale of OMLs 28, 43, and 45 to Renaissance African Energy Limited.
An injunction restraining further transfer or operational takeover of the assets by Renaissance until the determination of the case.
A court-supervised, transparent bidding process that includes SMU-TUNS and other credible indigenous firms.
A refund of the reported $1.3 billion already paid by Renaissance to Shell as part of the acquisition deal.
Broader Implications and Stakeholders Reaction;
The legal showdown is already fueling heated discourse among Niger Delta stakeholders, civil society groups, and energy industry watchers, particularly concerning the rights of host communities, indigenous participation in the oil and gas industry, and the credibility of Nigeria’s oil asset divestment processes.
Several Niger Delta advocacy groups have voiced support for Chief Smooth, emphasizing that any sale of oil assets within the region must prioritize community interest, fairness, and indigenous empowerment. They warn that failure to adhere to these principles could further inflame regional tensions and jeopardize peace efforts.
Industry experts argue that the outcome of this case could set a major precedent, influencing future divestments by International Oil Companies (IOCs) and determining the extent to which Nigerian laws protecting local players are respected or sidelined in high-stakes energy deals.
Background on Renaissance African Energy Limited :
Renaissance is part of a consortium involving ND Western, Aradel Holdings (formerly Niger Delta Petroleum Resources), First E&P, Waltersmith, and Petrolin. While the consortium positions itself as Nigerian-led, critics argue that many of its financiers and controlling interests are foreign, thereby raising questions about the authenticity of its “indigenous” credentials—especially when compared to firms like SMU-TUNS, owned by a well-known Niger Delta leader.
Looking Ahead :
With the matter now before the Federal High Court, all eyes are on the judiciary to uphold the rule of law, transparency, and fairness. Chief Tunde Smooth’s case is not just about the sale of oil blocks—it is being widely viewed as a litmus test for local content implementation, regional equity, and the integrity of Nigeria’s divestment framework in the post-Shell era.
As the nation waits, the court’s decision may well redefine the power dynamics of Nigeria’s oil industry, and by extension, the economic fate of host communities in the Niger Delta.
