Mr Cheney, who was chief executive of Halliburton between 1995 and 2000, and three other bosses were last week charged with bribery by Nigeria’s Economic and Financial Crimes Commission (EFCC).
The company itself and four related businesses were also charged. It is alleged that bribes were paid to Nigerian officials to secure contracts for the construction of a liquefied natural gas plant in the Niger delta.
Nigerian newspapers reported on Wednesday that the charges had been dropped after a deal was struck with help from George H.W. Bush, the former US President.
Femi Babafemi, a spokesman for the EFCC, said: “They have made offers of fines to be paid in penalties. They offered to pay $120 million in addition to the repatriation of $130 million trapped in Switzerland.” He reportedly added later: “I can tell you authoritatively that an agreement has been reached.” James Baker, the former Secretary of State, was also said to have intervened in the negotiations.
A Halliburton spokesman said last night: “We have no comment to make on this”.