Court declares oil firm unable to pay $15.3m debt, appoints administrator

The Federal High Court in Lagos on Friday declared an oil and gas exploration company, AMNI International Petroleum Development Company, unable to pay its debts and appointed Sam Aiboni, a lawyer, as Administrator over the company’s assets and operations.

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In his ruling, the judge, Chukwujekwu Aneke, made the order in a suit following an application filed by Cenroc FPSO Solutions Nigerian Limited.

In the certified true copy of the ruling obtained by PREMIUM TIMES, the judge held that AMNI failed to pay $15.3 million ($15,261,329) owed to Cenroc under contracts dated 1 April 2019.

The court referenced Contracts Nos. CAP-AMN-CFS-1121-AGR-20001 and 03-AMN-CFS-GE-CNT-10001 in arriving at its decision.

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Mr Aneke declared that the respondent had become unable to pay its debts, having regard to its financial position and failure to discharge the outstanding contractual sum.

The court appointed Mr Aiboni as Administrator over all the assets, properties, funds, business and affairs of AMNI, including the performance of its contracts wherever they may be situated.

The judge authorised the Administrator to take immediate custody, management and control of AMNI’s office complex at Plot 1377, Tiamiyu Savage Street, Victoria Island, Lagos, or any other address of the company.

The order also covers the vessel, FPSO Princess Aweni (formerly Armada Perkasa), and its appurtenances lying or berthed at Okoro Field in Port Harcourt, Rivers State, within Nigeria’s territorial waters, as well as other assets located within and outside Nigeria.

The court further directed that Cenroc be recognised as a ranking creditor in the administration of AMNI and that its claim be accorded priority in creditor rankings.

Mr Aneke granted a perpetual injunction restraining AMNI, its directors, officers, agents and privies from interfering with or obstructing the Administrator in the discharge of his duties under the Companies and Allied Matters Act, 2020.

Under the Companies and Allied Matters Act (CAMA) 2020, administration allows a court-appointed administrator to assume control of a financially distressed company to protect assets and safeguard creditor interests.

Proceedings

The application, dated 23 July 2025, was supported by a 24-paragraph affidavit deposed to by Oghenekaro Okodiya, with exhibits and a written address signed by Olalekan Kareem.

At the hearing, Messrs Kareem and Okodiya moved the motion for the applicant.

The respondent was represented by Bedemi Ademola-Bello, who is a Senior Advocate of Nigeria (SAN), alongside Ochu Agbai-Abosi and Damilola Akeredolu, who opposed the applicant’s prayers.

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After hearing arguments from both sides, the court delivered its ruling in open court and granted the application.

At the time of filing this report, AMNI has not released a statement.

Background

AMNI is one of Nigeria’s established indigenous oil producers and has operated in offshore exploration and production for over three decades. The company operates offshore blocks including OML 112 and OML 117.

The Okoro Field, where the FPSO Princess Aweni is stationed, began production in 2008 and remains a key asset in the company’s portfolio.

The ruling comes amid heightened scrutiny of indebtedness in Nigeria’s upstream oil sector. In 2025, a House of Representatives review identified several oil companies, including AMNI, as owing substantial sums to the federal government in royalties and fees.

By placing the company under court-supervised administration, the judgement shifts operational control of its defined assets to the Administrator while restricting actions that could undermine the orderly management of the company and the protection of creditor interests.