A Federal High Court sitting in Lagos has ruled that the Federal Government’s 2020 revocation of the Dawes Island Marginal Field licence was unlawful and void.
Justice A. O. Awogboro nullified the revocation of the licence held by Eurafric Energy Limited, describing the action of the Ministry of Petroleum Resources as “unlawful, procedurally flawed and unjustified.”
The court also set aside the entire revocation process, including the subsequent award of the oil field to Petralon 54 Limited and all related agreements entered into with the Nigerian National Petroleum Corporation (NNPC).
Justice Awogboro held that the ministry breached statutory procedures, failed to grant Eurafric Energy a fair hearing, and acted on an invalid premise. The judge noted that the government’s stated reason for the revocation—alleged failure to develop the field—was contradicted by evidence showing that Eurafric had produced over 62,000 barrels of crude oil from the field between 2016 and 2018.
The court further ruled that the ministry was barred from revoking the licence after it had approved the evacuation of crude oil from the same field in January 2020.
Justice Awogboro consequently ordered the renewal of the Dawes Island licence in favour of Eurafric Energy Limited and issued perpetual injunctions restraining the Federal Government from reallocating the field.
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