Nestoil receivership confirmed as lenders take over company assets in Lagos following court order over $1bn debt
Nestoil receivership has been confirmed after a consortium of lenders placed the Nigerian oil and gas company, owned by Dr Ernest Azudialu-Obiejesi, under receivership over an alleged $1 billion debt.
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Police operatives on Tuesday sealed off the company’s corporate headquarters in Victoria Island, Lagos, following a Federal High Court order issued on October 22, 2025.
The court granted a Mareva injunction authorising First Trustees and its subsidiary, FBNQuest Merchant Bank, to take possession of Nestoil’s assets pending the resolution of the debt case.
The enforcement action marks a significant development in the financial sector, as Nestoil, one of Nigeria’s leading indigenous engineering, procurement, and construction companies, faces increasing pressure from creditors seeking to recover outstanding obligations.
Security personnel were seen stationed at the company’s premises, restricting access as officials of the receivership team commenced documentation of assets and operations.
Dr Azudialu-Obiejesi, a prominent businessman with interests spanning energy, construction, and real estate, has not yet publicly responded to the development.
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The Nestoil receivership case underscores growing scrutiny of corporate debt management within Nigeria’s oil and gas sector, where high borrowing costs and fluctuating global prices continue to impact operations.
