Oil & Energy

SNEPCo Suspends Relocation As Wike Wades In …To Meet Shell, NPA To Stave Off Unrest

Published

7 years ago

September 17, 2018

To forestall a breakdown of law and order, the Amanyanabo of Okochiri in Okrika Local Government Area, King Ateke Tom and the Rivers State Director of the Department of State Service (DSS), have prevailed on thousands of youths under the aegis of Rivers State Youth Federation (RSYF) to shelve their planned protest while also prevailing on the management of Shell Nigeria Exploration and Production Company (SNEPCo) to suspend the phased relocation of the Supply Base of the company at Onne to Lagos.
Both mediators secured the armistice, following their swift intervention to prevent a complete shutdown of business activities at the Oil and Gas Free Zone, Onne, in Eleme Local Government Area, last Wednesday, over the move by the Shell subsidiary to relocate its Supply Base out of Rivers State, a move the youths vehemently kick against.
Sources at the meeting told The Tide that both the DSS and the Rivers State Government were concerned about the long term security implications for the state should SNEPCo’s relocation to Lagos be implemented.
Sequel to the resolution, the Rivers State Governor, Chief Nyesom Wike, will next week meet with the top management of Shell Petroleum Development Company of Nigeria, Nigerian Ports Authority (NPA), Oil and Gas Free Zones Authority (OGFZA) and other relevant stakeholders over the planned relocation of the Supply Base of SNEPCo from Onne to Lagos.
It would be recalled that thousands of youths and women groups in Rivers State have staged peaceful protests to express their displeasure over the planned relocation of the SNEPCo Supply Base from Onne due to its adverse economic and security implications on the state and the entire Niger Delta region.
Last Wednesday, the director of DSS in Rivers State and King Ateke Tom had intervened in what would have been a stand-off between thousands of Rivers youths and the Shell subsidiary, and negotiated a deal to give the state government time to find an amicable solution to the impasse.
Speaking shortly after the meeting, President, Rivers State Youth Federation, Comrade Saviour Patrick, said the Amanyanabo of Okochiri and the DSS director have promised to work with other stakeholders to address the concerns of the youth, adding that they were going to wait for the outcome of the dialogue with the state governor.
Another source from the meeting said, “The youths are upset although the DSS director told them there was not much they could do, but he is worried that the situation does not degenerate into renewed militant activities in the state.”
The source added that this would not be the first time Shell had attempted to relocate its business from Rivers State, hinting that Shell’s decision was likely more political than commercial.
In August, more than 1,000 youths under the aegis of the Onne Youths Council (OYC) staged a peaceful protest at the SNEPCo Supply Base, asking the company to rescind its decision to relocate the base from the Onne Oil and Gas Free Zone to Lagos port.
The President of OYC, Comrade Philip John Tenwa, who led the peaceful protest, said the planned relocation would lead to the loss of more than 5,000 direct and indirect jobs.
The Tide gathered that SNEPCo workers have also kicked against the company’s plan to move the Supply Base from Onne to Lagos.
The workers, in a statement made available to newsmen on August 2, 2018, described the planned relocation as “hurried and ill-advised and against the interest of the Niger Delta region”.
The statement signed by one Edward Otaru reads: “We, the affected operations staff and expatriates of SNEPCO wish to bring the attention of the Federal Government and well-meaning Nigerians of a plan by the management of our company to forcefully relocate our operations from Onne, Port Harcourt to Lagos.
“The hushed, hurried but forceful relocation order emanated under a strange and suspicious condition, as it was neither discussed with the staff nor backed by any justifiable reasons.
“We decided to bring this hurried relocation order to the notice of the government and the general public because of its implication on our families and friends who might suffer unnecessary dislocation and also its implication on the Niger Delta region.”
The workers called on the Federal Government to halt the planned movement in the interest of jobs and development of the Niger Delta region.
The Paramount Ruler of Onne Community, King John Dennis Osaronu, also called on SNEPCo to rescind its planned relocation, saying that the community has hosted the company for more than 20 years without any disagreements.
In a reaction to the Onne youths protest, spokesperson for Shell Nigeria Exploration and Production Company (SNEPCo) said, “Shell Nigeria Exploration and Production Company (SNEPCo) has no intention of shutting down the Logistics Supply Base in Onne, Port Harcourt.
“The base will continue to be utilised by The Shell Petroleum Development Company of Nigeria Limited (SPDC), operator of the SPDC Joint Venture for SPDC Joint Venture operations.
“SNEPCO’s operations are in the Bonga field 120 kilometres off Nigerian coast in the Gulf of Guinea and our operations staff and contractors work offshore in Bonga.”

Susan Serekara-Nwikhana

Oil & Energy

Take Concrete Action To Boost Oil Production, FG Tells IOCs

Published

16 hours ago

February 9, 2026

The Tide

The Federal Government has called on urged International Oil Companies (IOCs) operating in Nigeria to take concrete steps to ramp up crude oil production, following the country’s ambitious target of reaching 2.5 million barrels per day by 2027.

Speaking at the close of a panel session at the just concluded 2026 Nigerian International Energy Summit, the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, said the government had created an enabling environment for oil companies to operate effectively.

Lokpobiri stressed that the performance of the petroleum industry is fundamentally tied to the success of upstream operators, noting that the Nigerian economy remains largely dependent on foreign exchange earnings from the sector.

According to him, “I have always maintained that the success of the oil and gas industry is largely dependent on the success of the upstream. From upstream to midstream and downstream, everything is connected. If we do not produce crude oil, there will be nothing to refine and nothing to distribute. Therefore, the success of the petroleum sector begins with the success of the upstream.

“I am also happy with the team I have had the privilege to work with, a community of committed professionals. From the government’s standpoint, it is important to state clearly that there is no discrimination between indigenous producers and other operators.

“You are all companies operating in the same Nigerian space, under the same law. The Petroleum Industry Act (PIA) does not differentiate between local and foreign companies. While you may operate at different scales, you are governed by the same regulations. Our expectation, therefore, is that we will continue to work together, collaborate, and strengthen the upstream sector for the benefit of all Nigerians.”

The minister pledged the federal government’s continued efforts to sustain its support for the industry through reforms, tax incentives and regulatory adjustments aimed at unlocking the sector’s full potential.

“We have provided extensive incentives to unlock the sector’s potential through reforms, tax reliefs and regulatory changes. The question now is: what will you do in return? The government has given a lot.

Now is the time for industry players to reciprocate by investing, producing and delivering results,” he said.

Lokpobiri added that Nigeria’s success in the upstream sector would have positive spillover effects across Africa, while failure would negatively impact the continent’s midstream and downstream segments.

“We have talked enough. This is the time to take concrete actions that will deliver measurable results and transform this industry,” he stated.

It would be noted that Nigeria’s daily average oil production stood at about 1.6 million barrels per day in 2025, a significant shortfall from the budget benchmark of 2.06 million barrels per day.

Oil & Energy

Host Comm.Development: NUPRC Commits To Enforce PIA 2021

Published

16 hours ago

February 9, 2026

The Tide

The Chief Executive of the Nigeria Upstream Petroleum Regulatory Commission (NUPRC), Mrs. Oritsemeyiwa Eyesan, has restated the commission’s commitment to ensuring oil companies comply with the Petroleum Industry Act (PIA) 2021 to promote sustainable development in host communities.

Eyesan made the remark at a Sensitization Programme in Owerri, Imo State, explained that the PIA 2021 mandates oil companies to contribute 3% of their annual operating costs to Host Communities Development Trusts (HCDTs) for community development projects.

Represented by Atama Daniel, Eyeso said “The funds will be used for education, healthcare, infrastructure, and economic empowerment”.

Eyesan assured that the commission would facilitate a smooth implementation process and ensure compliance by oil companies.

She, however, urged oil-producing communities to protect oil facilities in their areas as well as stop all illegal oil exploration activities within their communities.

The chief executive also disclosed that NUPRC has established Alternative Dispute Resolution Centres to resolve disputes between oil companies and host communities.

Earlier, the National President, HOSTCOM, Dr. Benjamin Tamarenebi, advised the host communities to always embark on sustainable development projects rather than frivolous projects.

He warned traditional rulers against bidding for contracts for execution of projects approved for their communities in line with the provisions of the Petroleum Industry Act.”

Tamarenebi noted that monarchs, as heads of Host Communities Board of Trustees, have the responsibility of supervising the awarding and execution of projects approved for the communities and ensuring accountability, adding that awarding contracts to themselves will lead to compromise.

He disclosed that funds disbursed to the communities are now higher than before and urged the communities to take good advantage of it.

“They can build schools and other sustainable projects and think of something that will always be a more economical variable in the community; if this is done there would be economic activities and development. In order not to waste the funds, manpower, train your children with the funds, give them scholarships instead of buying vehicles or renting apartments in the city”, he said.

In his remarks, the Deputy Executive Director, Environmental Defenders Network (EDEN), Johnson Abiye, urged regulators to ensure smooth implementation of the Petroleum Industry Act as it relates to the oil producing communities.

Abiye noted that many communities that were supposed to be part of HOSTCOM were omitted and called for the situation to be redressed.

Oil & Energy

PETROAN Cautions On Risks Of P’Harcourt Refinery Shutdown

Published

16 hours ago

February 9, 2026

The Tide

The Petroleum Products Retail Outlets Owners Association (PETROAN) has expressed fears of rust, corrosion, abandonment, lack of lubrication, and eventual destruction of installed equipment at the PortHarcourt Refinery due to continued Shutdown.

PETROAN said it would also result in rendering the entire revamp effort futile if urgent action is not taken.

The Public Relations Officer and Spokesperson of the Association, Dr. Joseph Obele, in a statement, noted that over $1.5 billion of public funds were reportedly expended on the rehabilitation of the Port Harcourt Refinery, which was reopened in November 2024 and shut down again in May 2025 due to alleged financial losses.

Speaking on the sidelines of the recent remarks credited to the Group Chief Executive Officer of NNPC Limited, Engr. Bayo Ojulari, in which he described the re-operationalisation of the Port Harcourt Refinery and Petrochemical Company as a ‘waste of resources’ and admitted that NNPC lacks the capacity to operate refineries profitably, Obele expressed disappointment, describing the statement as troubling, demoralising, and deeply disturbing, and raising fundamental questions about institutional responsibility, governance, and the stewardship of public resources.

With the huge funds already spent on the rehabilitation process, Obele stated

therefore, that for the GCEO of NNPC to dismiss the entire exercise as a waste of resources, without clear attribution of responsibility, performance audits, or accountability measures, is unacceptable to Nigerians.

“If NNPC truly lacks the capacity to run refineries profitably, as admitted by its own GCEO, then Nigerians deserve to know who advised the investment, who supervised the rehabilitation, who certified the restart, and who benefited from the contracts and operations.

“Public institutions cannot casually dismiss a multi-billion-dollar national asset as a mistake without consequences”, he said.

The PETROAN spokesperson also faulted the narrative by Ojulari that Nigerians should be “thankful” solely because of the success of the Dangote Refinery.

While acknowledging the strategic importance and commendable achievement of the privately owned refinery, he stressed that private investments cannot replace the constitutional and economic obligation of government to efficiently manage public assets.

“Dangote Refinery is a private investment driven by profit and efficiency. NNPC, on the other hand, holds national assets in trust for Nigerians. One cannot be used as an excuse for the failure of the other,” Dr. Obele emphasized.

The energy expert further warned that repeated public admissions of incompetence by NNPC leadership risk eroding investor confidence, weakening Nigeria’s energy security framework, and undermining years of policy efforts aimed at domestic refining, price stability, and job creation.

He described as most worrisome the assertion that there is no urgency to restart the Port Harcourt Refinery because the Dangote Refinery is currently meeting Nigeria’s petroleum needs.

“Such a statement is annoying, unacceptable, and indicative of leadership that is not solution-centric,” he said.

The PETROAN National PRO reiterated that Nigeria cannot continue to normalise waste, institutional failure, and retrospective justification of poor decisions stressing that admitting failure is only meaningful when followed by accountability, reforms, and a clear, credible plan to prevent recurrence.

By: Lady Godknows Ogbulu