Breaking News Chief Tunde Smooth influential Niger Delta Leader Drags Shell and Renaissance to Court Over Multibillion-Dollar Oil Deal in OMLs 28. 43, &45

By Wilson Macaulay

WARRI, NIGERIA — In a legal twist that could reshape the narrative of indigenous participation in Nigeria’s oil sector, the Bolowei of the Ijaw Nation and revered Prime Minister of the Niger Delta, Chief Tunde Smooth, has instituted a landmark legal action against global oil giant Shell Petroleum Development Company (SPDC) and its recent transaction partner, Renaissance African Energy Limited.

The case, filed at the Federal High Court, Warri Judicial Division, through the chambers of Dr. Mudiaga Odje SAN & Co., centers around the contentious sale of Oil Mining Leases (OMLs) 28, 43, and 45—prime oil blocks spanning host communities in Ijaw and Itsekiri lands, particularly Forcados, Omadino, and Escravos.

Chief Smooth, acting through his company SMU-TUNS Nigeria Ltd, contends that the sale process not only sidelined credible indigenous bidders but allegedly contravened provisions of the Nigerian Oil and Gas Industry Content Development Act, the Nigerian Petroleum Industry Act (PIA), and international best practices on transparency and fairness in asset divestment.

A Bid Ignored, A Right Denied:

According to documents available at our  disposal, SMU-TUNS had formally expressed interest in the acquisition of the said OMLs as far back as October 13, 2021. The company reportedly backed this interest with the assembly of a consortium of seasoned international technical partners and credible financial institutions positioned to underwrite the acquisition.

Chief Smooth insists that Shell gave repeated verbal and written assurances that the bid was active and under consideration. Relying on these assurances, SMU-TUNS incurred significant financial obligations, including consultancy fees, technical assessments, and compliance documentation.

To the shock of stakeholders, however, Shell proceeded to finalize the divestment to Renaissance African Energy Limited in a deal said to be worth over $2.4 billion, with $1.3 billion already paid as a deposit—without providing any formal response or feedback to SMU-TUNS.

Core Reliefs Sought:

Chief Smooth is asking the court to:

Declare the sale of OMLs 28, 43, and 45 null and void;

Compel Shell to conduct a fresh, inclusive, and transparent bidding process;

Recognize SMU-TUNS as a qualified indigenous company entitled to right of first refusal;

Order Renaissance to be refunded the $1.3 billion deposit should the sale be reversed.

The suit, signed by Dr. Akpo Mudiaga Odje Esq., has been described by legal experts as a potential test case for the enforcement of indigenous rights and due process in Nigeria’s oil and gas divestment policies.

Local Content and the Niger Delta Factor :

The lawsuit has triggered a wave of commentary across the Niger Delta, with community leaders, activists, and civil society organizations hailing Chief Smooth’s bold step as a watershed moment for local empowerment.

“The divestment of oil assets must not be another cycle of exclusion,” said one Niger Delta activist. “Indigenous companies must not be mere spectators while foreign corporations reap what our people bear the burden for.”

The Nigerian Content Development and Monitoring Board (NCDMB), the Department of Petroleum Resources (DPR), and the Federal Ministry of Petroleum Resources are expected to monitor proceedings closely as the case may set a precedent for all future asset transfers under Nigeria’s new petroleum reform laws.

A Broader Conversation Begins

This legal showdown could reverberate beyond the courtroom. It brings into sharp focus the broader questions around energy justice, host community rights, and the role of indigenous players in Nigeria’s oil-rich but deeply marginalized regions.

As the nation and the international energy sector watch closely, Chief Tunde Smooth’s case may well redefine not just who controls Niger Delta oil, but how it must be done—with fairness, equity, and respect for local stakeholders.