CWC

Nigerian Government Revokes Licences of Seven Oil Blocks

By Prospect Mojiddo, in Warri

The Nigerian government has approved the request to revoke the licences of six Oil Mining Leases (OMLs) and one oil prospecting lease (OPL), in the onshore, shallow water and deepwater Niger Delta basin.

The request was made by the country’s Ministry of Petroleum Resources.

The assets are all held by Nigerian companies.

Revocation is the ultimate penalty for defaulting on royalty payments and the Nigerian government has not always be keen to wield the stick. Indeed, the country is perhaps the most lenient in Africa, in applying the full force of the law on oil acreage rent, especially when it concerns local E&P
companies.

The acreages affected include OML 98, an onshore asset located on the western flank of the Niger Delta, held by Pan Ocean, a company controlled by the Nigerian businessman Festus Fadeyi; OMLs 120 and 121, held by Allied Energy, which has changed its name to Erin Energy and has now gone bankrupt; OML 108, held by Express Petroleum, but whose technical activities are managed by Shebah Exploration & Petroleum, a company owned by Seplat Chairman A.B.C Orjiakor and OML 141, held by Emerald Resources whose principal, Emmanuel Egbogah, passed on recently..

The only OPL among the seven is OPL 206, held by Summit Oil International, a company founded by the late Moshood Abiola, politician and businessman, whose victory at the country’s Presidential elections in 1993 was annulled by the Military.

 



21 comments

  1. Otesanya Keji says:

    This is a step in the right direction but more should still be done so as to sanitize the entire Nigerian oil industry. Enough of this lob sidedness in Nigerians’ patrimony.

    • A step in the right direction, in fact, all oil wells should be taken over and controlled by government. The country and its resources belongs to all Nigerians and not to some few selfish individuals who use same for selfish reasons and to oppress the less privileged citizens or in some cases sabotage the efforts of same government. This indeed is a step in the right direction.

      • Matomkosa says:

        Where in the economic history of Nigeria has the FG been successful in managing any business? NNPC in it’s all its years of its existence it was repealed that it made $155bn loss whilst it’s contemporary ARAMCO of Saudi Arabia is valued at $111bn declares as the most profitable oil company on earth.

        This ridiculous idea or archaic thinking that FG can manage a utility successfully is a mirage.

        As it is stands all the government owned institutions is mired in the controversy of ethnicity, religion. The northern states that hardly contributes anything to the GDP of the country institutions are controlled by them in order to “empower” their tribe.
        Shine your eyes because in this country there’s no sense of justice for the owners of the wealth that northerners sit on. Rubbish.

        • Henry Goncalves says:

          First, Saudi Arabia owns one of the largest reserves of crude in the world. At the moment Saudis have about 10 times the reserves of crude in Nigeria which includes untapped fields. You cannot compare Apples to oranges nor can you compare the business cultures and environments
          Some people will take your submission and run with it without considering ofter circumstances. It is not fair to the country at all.

      • It's about time to dismantle these cults of greed says:

        Dismantle the gluts

        • Akam Ebolom says:

          This is a good move from the government…. kudos👍

        • Adewale says:

          So who runs these assets now? I think they all should be handed over to NPDC, the upstream arm of NNPC who has demonstrated her capabilities in handling such marginal fields.

          • Moses Chijioke Olisah says:

            Hi Ladies and Gentlemen, I support the government in revoking the licence of oil blocks owners for further amendments in Nigeria oil and gas sector and for the benefits of Nigeria people. Thanks.

  2. Johnny Ifiok Friday says:

    Is a step in the right direction, please more should be done to sanitize the system.

  3. Ngbodi says:

    This is an area we all need to tread with caution .
    All the oil wells should not be taken over and controlled by the Government.
    The Government should endeavour to sanitize the oil industry.
    Our Government is trying let us support the initiatives

    • Eric says:

      It’s very unfortunate witch hunting just started.

    • Martha Agbani says:

      I think ladies and gentlemen on this platform should look beyond party affiliations and for once be objective: Govt. has not stated its reason behind the revocation beyond the acreage stated, and if they are to reissue, then a partnership between the host communities, on technical, beneficiary ownership and remittance should be considered as the unequal application of privileges accrued to citizens following natural resources could sustain the environmental disasters some regions are facing and further the hike in insecurity.

      When the Niger Deltans (even when I can never support their actions) burst or get crude oil it is tagged theft but solid minerals are mined at the glare of govts and nothing is done to the people rather when there is an epidemic or death records in droves occasioned by the individual’s activities and actions govt wades in and categorises it as a disaster, sees it as emergency and votes huge sums of money to address the situation without anyone being apprehended or tagged a thief. Sometimes on TV stations you watch some of such persons declaring financial gains from causing tremor to the earth crust. Let me rest here. May God help us to live and speak the truth.

  4. Dave Sambo says:

    Good job by FGN
    Our oil is for ALL NIGERIANS and not for a group of individuals
    Revoke ALL LICENCES and spread our God given resources to ALL NIGERIANS

  5. Ukpong-collins says:

    Oil belongs to all Nigerians, but gold and would minerals are clandestinely mined and belongs to a certain region………. Shame of a nation.

    • Femi David says:

      This is a plus for the PMB-led administration. For those Nigerians who don’t know, this is one of the reasons why some supposed elites and some Nigerians are financing and supporting campaign of calumny against PMB. Thumbs up for this administration.

      • Asagwara Joshua says:

        That’s a good Start for the Country. The Federal Government should do more. Bcos PDP Led Govt, bastardized the Country’s economy to shoot their evil deeds.Especially Obasanjo Led Govt.

  6. Princess says:

    Whose hands are the revoked licences going back to?

Leave a comment

Comment form

All fields marked (*) are required

© 2019 Festac News Press Ltd..