ACQUISITION OF ASSETS (BRITISH PETROLEUM COMPANY LIMITED) ACT
Act · Energy
Policy date: 1979-01-01
An Act provides for the Federal Government's acquisition of British Petroleum's assets in Nigeria. It targets the petroleum sector to transfer assets to national entities for management. This supports indigenization of the oil industry.
ACQUISITION OF ASSETS (BRITISH PETROLEUM COMPANY LIMITED) ACT
What Is This Policy?
An Act providing for the Federal Government's acquisition of British Petroleum's Nigerian assets in 1979, as part of Nigeria's response to UK support for apartheid South Africa.
Who Does It Target?
British Petroleum Company Limited (historical) NNPC as acquirer of BP's assets Federal Ministry of Petroleum Resources International oil companies as industry context
What Does It Aim to Achieve?
Formalise the government's acquisition of BP's Nigerian petroleum assets, transferring them to NNPC as part of Nigerian petroleum sector indigenisation policy.
Key Features
Asset Acquisition: Provides legal authority for the government to acquire BP's Nigerian petroleum assets. Compensation: Prescribes the basis for compensating BP for acquired assets. Transfer to NNPC: Transfers BP's operational interests to NNPC. Historical Significance: Part of Nigeria's use of petroleum policy as a foreign policy instrument in 1979.
Current Status
Rollout Stage: Historical — acquisition completed in 1979 Coverage: Historical petroleum sector Beneficiaries: NNPC; national petroleum resource control Funding: Federal Government
How to Access
Historical reference only — acquisition was completed in 1979 Application method: Historical document — no current application.
Important Terms
Nigeria and BP eventually normalised their commercial relationship The acquired assets were incorporated into NNPC's portfolio Demonstrates Nigeria's willingness to use nationalisation as a policy tool
Official Resources
Website: https://www.nnpcgroup.com Contact: NNPC Limited (historical reference)
Legal Framework
The Acquisition of BP Assets Act 1979 operated under the Federal Military Government Decree-making powers exercised through the Supreme Military Council, and is recognized under Section 315 of the 1999 Constitution as an existing law. It aligns with the Land Use Act 1978, the NNPC Act (which received the acquired assets), and international investment law principles as developed under bilateral investment treaties applicable at the time of acquisition.