A group of Nigerian banks has placed Nestoil Limited, a leading oil and gas services firm, under receivership due to an outstanding debt of approximately $1 billion.
The action follows a federal high court order obtained on October 22, 2025.
The Federal High Court in Lagos issued a Mareva injunction, an asset-freeze order, allowing First Trustees Limited and its subsidiary FBNQuest Merchant Bank to assume control of Nestoil’s assets.
The injunction, granted by Justice D. I. Dipeolu, targets Nestoil Limited, its affiliate Neconde Energy Limited, and principal promoters Ernest Azudialu-Obiejesi and Nnenna Obiejesi.
Following the court order, police officers sealed Nestoil’s headquarters on Victoria Island, Lagos, to enforce the receivership and prevent any movement or disposal of company property. Staff were asked to leave as the order was carried out under heavy security.
Founded in 1991 by Ernest Azudialu-Obiejesi, Nestoil is Nigeria’s largest indigenous EPCC (Engineering, Procurement, Construction, and Commissioning) company in the oil and gas sector.
The company has reportedly struggled in recent years with liquidity issues and mounting debts to lenders, which led to the current intervention.
