…As Nestoil shut as banks place firm under receivership
By Udeme Akpan, Energy Editor
The corporate headquarters of Nestoil Limited, located on Victoria Island, Lagos, has been sealed by the police after the company was reportedly placed under receivership by a consortium of lenders over a debt estimated at $1 billion.
A Federal High Court in Lagos, on October 22, 2025, issued a Mareva injunction authorising First Trustees and its subsidiary, FBNQuest Merchant Bank, to take possession of the company’s assets.
In the suit, presided over by Justice D. I. Dipeolu, the order was granted against Nestoil Limited, its affiliate Neconde Energy Limited, and the company’s principal promoters, Ernest Azudialu-Obiejesi and Nnenna Obiejesi.
Also listed as defendants in the court proceedings are several financial and corporate institutions, including Citibank Limited, Central Securities and Clearing Systems Plc, Fidelity Bank Plc, Guaranty Trust Bank Plc, Globus Bank Limited, Keystone Bank Limited, Opay Limited, Polaris Bank Limited, Providus Bank Limited, and Stanbic IBTC Bank Limited.
Others include Standard Chartered Bank Nigeria, Sterling Bank Plc, Titan Trust Bank Limited, Unity Bank Plc, Wema Bank Plc, Gobowen Exploration and Production Limited, Hammakopp Consortium Limited, Krawcod Properties Limited, Santa Spring Oil and Gas Limited, Marine & Ocean Infinity Nigeria Limited, and White Dove Shipping Company Limited.
The order empowers the listed financial institutions to take control of the defendants’ assets pending the determination of the substantive case, scheduled for hearing in November 2025. The injunction also restrains any dealings in funds amounting to $1,012,608,386.91 and ₦430,014,064,380.77, representing the total alleged indebtedness as of September 30, 2025.
In addition, there are other debts guaranteed by Ernest Azudialu-Obiejesi, reportedly totaling ₦366.8 billion, $61.2 million, $152 million, and ₦10.4 billion, owed to Access Bank, First Bank, and Zenith Bank.
However, in a statement issued by the company, Nestoil Group clarified that the matter was a commercial dispute currently before the courts, emphasizing that the group remains operational.
“The situation relates to a commercial matter currently before the courts, which is being addressed through appropriate legal and regulatory channels,” the statement read.
“The Group continues to cooperate fully with all relevant authorities and financial partners to resolve any outstanding matters in a transparent and responsible manner. Constructive discussions are ongoing, and we remain confident that these engagements will result in a fair and lasting resolution.”
The company further assured stakeholders that its business operations remain unaffected across all divisions:
“Nestoil remains fully operational across all business lines. Our subsidiaries, projects, and commitments in the oil, gas, power, and infrastructure sectors continue without disruption. Proactive measures have been implemented to protect our workforce, sustain operations, and uphold our obligations to clients and partners.”
Highlighting its three-decade legacy, Nestoil reaffirmed its commitment to integrity and professionalism:
“For over three decades, Nestoil has built a reputation as one of Nigeria’s foremost indigenous EPC and energy companies. We remain guided by our core values of resilience, integrity, and transparency, and will continue to conduct our business with professionalism and respect for the rule of law.”
The Group urged the public and media to rely only on official communications, assuring that it remains financially strong, operationally stable, and strategically focused despite the ongoing legal proceedings.
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