Court Freezes Nestoil Assets, Grants $1bn Mareva Injunction in Debt Recovery Suit
The Federal High Court, Lagos Division, presided over by Justice Dehinde Dipeolu, has issued a far‑reaching Mareva injunction in favour of First Trustees Limited and FBNQuest Merchant Bank Limited, acting on behalf of a consortium of creditor banks, in respect of an alleged indebtedness exceeding US$1.012 billion and ₦430 billion.
By the order dated 22 October 2025, the applicants were authorised to assume possession and control of the assets and subsidiaries of Nestoil Limited and its affiliate, Neconde Energy Limited, under receivership. The injunction also extends to the companies’ principal promoters, Ernest Azudialu‑Obiejesi and Nnenna Obiejesi.
Pursuant to the directive, enforcement officers, supported by the police, sealed Nestoil’s corporate headquarters at 41/42 Akin Adesola Street, Victoria Island, Lagos, compelling staff to vacate the premises while bailiffs executed the possession order.
The injunction restrains the defendants from dissipating or tampering with funds, shares, and other assets held in over 20 financial institutions, pending the hearing and determination of the substantive debt recovery suit. Justice Dipeolu further empowered the appointed receiver/managers to take control of Nestoil’s operations and preserve its assets from alienation or encumbrance during the pendency of proceedings.
The dispute arises from multiple credit facilities obtained by Nestoil and Neconde Energy from a consortium of Nigerian banks led by FBNQuest Merchant Bank. Following alleged defaults in repayment, the lenders appointed First Trustees Limited as trustee to recover the outstanding sums.
Nestoil, incorporated in 1991, is a leading indigenous Engineering, Procurement, Construction and Commissioning (EPCC) company in Nigeria’s oil and gas sector. Its affiliate, Neconde Energy Limited, established in 2010, holds an upstream interest in Oil Mining Lease (OML) 42, acquired in 2011 under a joint venture with the Nigerian Petroleum Development Company (NPDC).
