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NNPC yet to receive notice of OML 11 takeover from Presidency

Days after the Presidency ordered the Nigerian National Petroleum Corporation (NNPC) to take over the operatorship of the entire OML 11 from Shell Petroleum Development Company (SPDC), the petroleum regulating body said such notice hasn’t reached the Corporation.

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Oil Mining Lease 11, OML 11, Nigerian National Petroleum Corporation, Shell Petroleum Development Company, SPDC, NNPC

Days after the Presidency reportedly ordered the Nigerian National Petroleum Corporation (NNPC) to take over the operatorship of the entire OML 11 from Shell Petroleum Development Company (SPDC), the petroleum regulating body said such notice hasn’t reached the Corporation.

SPDC is a local arm of Anglo-Dutch oil major, Shell.

NNPC reacts to takeover notice: According to a report by Daily Trust on Thursday, NNPC had yet to receive any letter or memo informing them of the takeover. NNPC spokesman, Ndu Ughamadu said that the notice, which has already been made public, is alien to the corporation.

Nairametrics had reported that the Federal Government, yesterday, ordered the immediate revocation of the operating licence previously given to Shell Petroleum Development Company (SPDC) over Oil Mining Lease 11.

In line with the revocation, the Nigerian National Petroleum Commission (NNPC) was directed to take over the operation of the oil facility. The information is contained in a March 1st letter that was signed off by the President’s Chief of State and addressed to the Group Managing Director of the NNPC.

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Why was Shell’s license revoked?

The action was reportedly taken out of respect for the inhabitants of Ogoniland, who have not have the most cordial relationship with Shell. Ogoniland is where the OML 11 is located. And over the years,  the Movement for the Survival of Ogoni People (MOSOP), have been fighting against the degradation of their environment by Shell’s operation.

Just last month, MOSOP said that Shell’s conduct while it was operating in Ogoniland, was tantamount to a national shame and crime against humanity. According to a factional President of MOSOP, Fegalo Nsuke, if Nigeria were a country where citizens’ health and welfare were taken seriously, Shell’s operating license for OML 11 would have been revoked a long time ago.

Meanwhile, the revocation is in line with the Joint Operating Agreement

Information gathered that the revocation of the operating licence of Shell by the president was in line with the Joint Operating Agreement (JOA) signed by the joint venture partners.

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The partners involved in the joint venture are the NNPC with the ownership of 55% shares in the OML 11, Shell, Total and Agip, with the ownership of 30%, 15% and 5% respectively.

The conflict dates back to 1993

SPDC had abandoned activities in the Ogoni section of the lease for about 26 years following the crisis that erupted following the killing of prominent Ogoni leaders including Ken Saro-Wiwa.

Although in 2015 SPDC agreed to pay a settlement of $15.5 Million (N3 billion), just to resolve the case.

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About the OML 11

OML 11 lies in the southeastern Niger Delta and contains 33 oil and gas fields of which eight are producing as per 2017. In terms of production it is one of the most important blocks in Nigeria. The terrain is swamp to the south with numerous rivers and creeks.

Olalekan is a certified media practitioner from the Nigerian Institute of Journalism (NIJ). In the era of media convergence, Olalekan is a valuable asset, with ability to curate and broadcast news. His zeal to write was developed out of passion to shape people’s thought and opinion; serving as a guideline for their daily lives. Contact for tips: [email protected]

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Just-in: Air Peace to recall some sacked pilots after Minister’s intervention

Air Peace had trained over 80 pilots, giving its staff the best remuneration package.

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Boeing 737 Max crash, Air Peace crash, Ethiopian Airlines crash, Lion Air crash, Allen Onyema, Chairman and CEO Air Peace

Air Peace would soon recall some of the pilots that were sacked recently. This coming after the Minister of Aviation, Hadi Sirika had intervened.

This was disclosed by the Ministry of Aviation via its Twitter handle on Tuesday.

The recall was the fall-out of an intervention meeting called by the Minister between the airline management and the leadership of the National Association of Airline Pilots and Engineers (NAAPE) held in his office on Tuesday.

Back story: Nairametrics reported as Nigerians woke up to the news that Air Peace had sacked about 70 pilots under its employment across its fleet and also reduced staff salaries by 40%. The airline said the exercise was due to the devastating impact of the Coronavirus pandemic on its business.

It added that the move was made to protect the majority of the existing jobs and the possibility of creating new ones in the future, as well as ensuring the survival of the airline.

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In the verbal agreement, Chairman, Air Peace, Chief Allen Onyema acceded to the Minister’s appeal for the recall of the maximum number of pilots that the airline can accommodate without going under.

Chairman, NAAPE, Galadima Abednego explained that as a union it was a painful thing to see a large number of their members thrown into the labour market, and further appealed to employers of labour to see the union members as partners, and not adversaries.

On his own, Onyema expressed his sadness and disappointment over what he called the ingratitude of some of the airline’s pilots after everything is done to make them comfortable on their jobs.

He recalled how Air Peace had trained over 80 pilots and an equal number of aircraft engineers, giving its staff the best remuneration package within the sector only for them to disappoint at a time their understanding was needed.

He however commended Senator Hadi Sirika for providing the required leadership to the industry and promised his full cooperation in ensuring the growth of the aviation sector in Nigeria.

The Aviation Minister called for the understanding of everyone, especially the Labour unions, of the prevailing situation in the aviation industry, saying it was not the time for unnecessary upheavals.

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He commended Chief Onyema for his enormous contributions in developing the industry, but appealed to him to recall the maximum number of the sacked pilots that the airline can comfortably accommodate in the prevailing circumstances to which airline operator agreed.

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Coronavirus

WHO gives condition for approving Russia’s COVID-19 vaccine as the vaccine gets a name

Russia has named its first approved COVID-19 vaccine, Sputnik V for the foreign markets.

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Vaccine, COVID-19: Russia to roll out vaccine in September ahead of the West 

The World Health Organization (WHO) said that any form of approval of prequalification of the Russian vaccine will require rigorous review and assessment of all required safety and efficacy data.

This disclosure was made by the spokesman of the WHO, Tarik Jasarevic, during a United Nations briefing in Geneva about clinical trials.

He said that the UN health agency and the Russian health authorities are currently discussing the process for possible WHO prequalification for its newly approved COVID-19 vaccine.

Tarik Jasarevic, during the UN briefing in Geneva said, “We are in close contact with Russian health authorities and discussions are ongoing with respect to possible WHO prequalification of the vaccine, but again prequalification of any vaccine includes the rigorous review and assessment of all required safety and efficacy data.”

Meanwhile, in a related development, Russia has named its first approved COVID-19 vaccine Sputnik V and it is available for foreign markets. The name references the world’s first satellite, which marked a symbolic accomplishment for the USSR during the cold war and space race era. Now, the Russian Government basks in its success at becoming the first country to approve a vaccine for COVID-19.

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The head of Russia’s Direct Investment Fund (RDIF) pointed out that Russia had already received requests from more than 20 countries for 1 billion doses of its newly registered COVID-19 vaccine.

Nairametrics had earlier reported today the announcement of the registration of the first COVID-19 vaccine in what could be described as a step ahead of other vaccine developments. The Russian President, Vladimir Putin, who made the disclosure during a televised government meeting, said that Russia had become the first country in the world to grant regulatory approval to a COVID-19 vaccine after less than 2 months of human testing.

However, the speed at which Russia is moving to roll out the vaccine has prompted some western countries and international scientists to question whether the Russian government is putting national prestige ahead of solid science and safety.

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Business

Nigeria signs African Trade Insurance Agency agreement

The African Trade Insurance Agency was launched to provide risk solutions for investors.

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Nigeria signs African Trade Insurance Agency agreement, Xenophobia, FG returns tollgates sixteen years after Obasanjo scrapped it from federal roads

President Muhammadu Buhari has signed the instrument of accession agreement for Nigeria for the establishment of the African Trade Insurance Agency. This was announced by the Federal Government on Monday night.

READ ALSO: Kenyan Candidate emerges as strong contender to Iweala for WTO

READ MORE: Brent crude records minor gain as growing concerns over COVID-19 limit upside

The agreement is coming after the Federal Executive Council ordered that an instrument be prepared and forwarded for execution.

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The African Trade Insurance Agency was launched in 2001, to provide risk solutions for investors, after the East African economic Union (COMESA) executed a World bank funded study to discover why Africa does not attract more Foreign Direct Investments.

READ ALSO: GEEP provides COVID-19 palliative microloans to 87,614 traders

The organization said it added credit insurance to its portfolio in 2006 after its members identified global trade as a major pillar of growth in the continent which has seen it grow as a market leader for risk mitigation in Africa.  The ATI also attracts funding from the African Development Bank and World Bank

Nigeria joining the agreement would provide Nigeria with the necessary insurance financing to increase investment inflows into the country and improve economic productivity.

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