Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

World Video | Defence | Foreign Affairs | Natural Events | Trade | NZ in World News | NZ National News Video | NZ Regional News | Search

 

We'll Disrupt Oil Production In Nigeria - Group Warns

AN oil watch group, the Niger Delta Indigenous Movement for Radical Change has threatened to disrupt continued oil exploration and production activities in the country's oil and gas basin, if stakeholders continued to act with ''impunity'' in the Niger Delta area.

They are alleging that ''juicy jobs'' in that sector of the country's economy are still being given to foregn firms in a seeming disregard to the Local Content Act. They told AkanimoReports on Wednesday that the Act was yet to make any ''appreciable impact'' in the oil region, since according to them, ''oil majors in connivance with the Nigeria National Petroleum Corporation (NNPC) are subverting the law with impunity''.

They lashed out at Misan Fenegbitse, a foreign petroleum engineer, over his alleged ''hostile comments'' on the Amukpe-Escravos Pipeline Project that was recently awarded to FENOG Nigeria Limited, a local oil servicing company, by Pan Ocean. They claimed that Misan Fenegbitse is being used by ''destabilizing agents''.

The foreigner however, faulted the manner the Amukpe-Escravos Pipeline Project was awarded to the local firm, by Pan Ocean Oil Corporation, saying it is unacceptable to them.

But, President of the oil watch group, Nelly Emma, the Secretary, John Sailor, and Publicity Secretary, Mukoro Stanley, knocked him for not encouraging efforts of local firms that are trying to rquare up with their foreign counterparts in the oil-industry.

According to the aggrieved group; “rather than hailing indigenous oil and gas exploration and production company, Pan Ocean Oil Corporation and FENOG Nigeria Limited for coming together to give the local people true value for their oil wealth, the foreign agents are seeing nothing good in the contract award.”

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

They claimed that FENOG has built up capacity over the years in the oil region to face the challenges in the industry, pointing out that ''the hostile comments did not come to us as a surprise because oil majors have been doing everything to undermine the Local Content Law. We will no longer fold our hands, and watch them subvert development in the Niger Delta''.

Continuing, they said, ''as an oil monitoring group, we have observed that FENOG Nigeria Limited is an emerging major player with their Horizontal Directional Drilling (HDD) technology capable of burying pipelines beyond the reach of vandals and this is very good for the oil industry. This technology has been widely accepted by the NNPC, Pan Ocean , the Nigeria Content Development and Monitoring Board and others.

''We are therfore, using this medium to implore Fenegbitse, to take out time to know more about the HDD technology. It is only those with skeleton in their cupboard that are afraid of the HDD and we strongly believe that the partnership between Pan Ocean and FENOG will create more job opportunities for our people in the Niger Delta region. There is no way a major project like the Amukpe-Escravos Pipeline Project will be carried out without the locals benefiting from it.”

Adding, they said, ''all these years, we have been complaining about how the people of the region are being short-changed by the oil majors and it should be a thing of joy to us that indigenous oil firms are now being given the opportunity to prove themselves and for the past ten years, most of the oil companies have not been able to meet their production quota as a result of the activities of vandals and this is why we should all embrace the HDD,” the group said.

AkanimoReports however, gathered that the Warri- Forcados truckline belonging to the Anglo-Dutch super major, Shell, was vandalized, forcing the oil company to shut down the Otorogu Gas Plant as a result of that interference.

Industry watchers say HDD is a better option for investors, pointing out that it helps to safeguard pipelines and boost oil production. This is coming as the protesting group insisted, ''we are committed to ensuring that our local contractors are encouraged and not short-changed by the big foreign firms.

''We have been fighting for transparency in the oil industry; our oil must be a blessing to our people and not curse and people like Fenegbitse should not allow oil money to tear our communities apart; we must be wise, when a contract is awarded to one of our own, we should not raise dust over it''.

Oil production activities in the Niger Delta have been relatively stable since the Amnesty Programme of the late President Umaru Yar'Adua, which saw militants surrendering their arms and ammunition, and embracing their rehabilitation schemes. As a result, production level has exceeded two million barrels a day.

****


ENDS

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
World Headlines

 
 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.