Delta communities threaten shutdown of oil operations


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Delta communities threaten shutdown of oil operations
Posted on: May 26, 2015, 10:44:12 PM
WARRI—HOST communities to Jones Creek Oil Mining Lease, OML 42, in Warri South-West Local Government Area, Delta State, have vowed to occupy and shut operations in the oil field if issues in dispute with Nestoil, a major contractor to the Nigerian Petroleum Development Company, NPDC, operators of the oil field were not promptly resolved.

This is contained in a resolution by the communities, namely, Kokodiagbene, Omadino, Ekpemu Akpata, Okerenkoko and Akpata Gbe-Gbe, following Monday’s truce meeting with Nestoil mediated by the 3 Battalion, Nigerian Army, Warri.

In the resolutions read by Sheriff Mulade, Chairman of Kokodiagbene, the communities alleged that NPDC and its major contractor have marginalised them since taking over operations of the field from Shell Petroleum Development Company in 2010.

He said: “There is connivance with NPDC top management to register companies in their names and sub-let contracts to same companies to look as if it was in conformity with local content stipulations of the Federal Government.

“We have details of these companies and one of them is even trying to get an FTO (Freedom to Operate) from the host communities.

“Another bone of contention is the no-employment policy of NPDC towards the host communities, a development that can best be described as appalling and atrocious.”

The communities are demanding among others “That, Jones Creek Oil Field host communities will no longer sign any fresh FTO with Nestoil Plc. Payment of workers’ salaries shall not exceed 10th of the new month.”

Source: vanguard