Oil & Energy
‘Cause Of Nembe Creek Oilfields’ Explosion Still Unknown’
The cause of the March 1 explosion from Oil Well No.7 within Nembe Creek oilfields remains unknown, as the investigation into the incident enters day two, the Federal Government says.
The National Oil Spills Detection and Response Agency (NOSDRA) said on Friday that it had commenced investigations into the explosion located within OML 29 operated by Aiteo Eastern Exploration.
It would be recalled reports that an explosion from an oil well within the oil block on March 1 ignited a fire which Aiteo officials said was put off on March 2, had already discharged crude oil and gas into the environment.
NOSDRA’s Director-General, Dr Peter Idabor, had told newsmen that a Joint Investigative Visit (JIV) had been scheduled for Thursday to ascertain the possible cause of the incident.
The volume of crude oil and gas discharged into the surrounding environment arising from the explosion is yet to be ascertained
Idabor explained that the JIV, a statutory probe of leak incidents in the oil and gas sector would determine the cause of the explosion, the volume of oil leakage as well assess damage to the environment.
He said that a JIV report signed by representatives of the community, NOSDRA, Bayelsa State Government and the oil firm who participated in the investigation was expected at the end of the probe.
A member of the joint investigative team, from the Nembe Creek field, said that the team was yet to arrive at a conclusion on the cause of the blast.
“The JIV is still ongoing; it was not rounded up as we progressed with physical inspections on Thursday without arriving at the probable cause from physical examinations.
“There appears the need for a more detailed and technical assessment to understand the primary cause of the incident prior to explosion that is more visible at moment on the riser.
“The investigation therefore requires further details and is still open,” Donald Egba, a community representative on the JIV said.
However, a statement signed by Management of the oil firm made available by its Public Relations Manager, Mr Ndiana-Abasi Mathew on March 2, confirmed that there was no human casualty.
Aiteo, an indigenous Oil and Gas Exploration and Production firm pledged that investigation into the incident was of utmost priority.
It said that the explosion did not affect the 97 km Nembe Creek Trunk Line (NCTL) which was shut down on February 28 prior to the incident. However, fears that oil export would be affected by the outage of the 150,000 barrels per day capacity export line were allayed as the JIV team member who spoke to NAN said that the facility had been restarted.
“The NCTL from our findings at the field is up and running as the incident did not in any way have links with the pipeline. Shell Petroleum Development Company in 2015 divested its equity in OML 29 and transferred its interest in the oil block including NCTL for 1.7 billion dollars to Aiteo.
Nigeria’s losses due to crude oil theft has been said to be more significant than those of some other members of the Organisation of Petroleum Exporting Countries(OPEC).
The Chairman, Senate Ad- hoc Committee on Crude Oil Theft, Senator Ned Nwoko, made this known in an interview with newsmen in Abuja.
Nwoko noted with dismay the detrimental impact of the issue, which, he said include economic damage, environmental destruction, and its impact on host communities.
According to him, the theft was not only weakening the Naira, but also depriving the nation of vital revenue needed for infrastructure, healthcare, education and social development.
The Senator representing Delta North Senatorial District described the scale of the theft as staggering, with reports indicating losses of over 200,000 barrels per day.
Nwoko disclosed that the ad hoc committee on Crude Oil Theft, which he chairs, recently had a two-day public hearing on the rampant theft of crude oil through illegal bunkering, pipeline vandalism, and the systemic gaps in the regulation and surveillance of the nation’s petroleum resources.
According to him, the public hearing was a pivotal step in addressing one of the most pressing challenges facing the nation.
‘’Nigeria loses billions of dollars annually to crude oil theft. This is severely undermining our economy, weakening the Naira and depriving the nation of vital revenue needed for infrastructure, healthcare, education, and social development.
‘’The scale of this theft is staggering, with reports indicating losses of over 200,000 barrels per day more than some OPEC member nations produce.
‘’This criminal enterprise fuels corruption, funds illegal activities and devastates our environment through spills and pollution.
‘’The public hearing was not just another talk shop; it was a decisive platform to uncover the root causes of crude oil theft, bunkering and pipeline vandalism.
‘’It was a platform to evaluate the effectiveness of existing surveillance, monitoring, and enforcement mechanisms; Identify regulatory and legislative gaps that enable these crimes to thrive.
‘’It was also to engage stakeholders, security agencies, host communities, oil companies, regulators, and experts to proffer actionable solutions; and strengthen legal frameworks to ensure stricter penalties and more efficient prosecution of offenders”, he said.
Nwoko noted that Nigeria’s survival depended
Shell Nigeria Exploration and Production Company Ltd. (SNEPCo) has called on Nigerian companies to position themselves strategically to take full advantage of the growing opportunities in upcoming offshore and shallow water oil and gas projects.
The Managing Director, SNEPCO, Ronald Adams, made the call at the 5th Nigerian Oil and Gas Opportunity Fair (NOGOF) Conference, held in Yenagoa, Bayelsa State, last Thursday.
Adams highlighted the major projects, including Bonga Southwest Aparo, Bonga North, and the Bonga Main Life Extension, as key areas where Nigerian businesses can grow their capacity and increase their involvement.
“Shell Nigeria Exploration and Production Company Ltd. (SNEPCo) says Nigerian companies have a lot to benefit if they are prepared to take advantage of more opportunities in its offshore and shallow water oil and gas projects.
“Projects such as Bonga Southwest Aparo, Bonga North and Bonga Main Life Extension could grow Nigerian businesses and improve their expertise if they applied themselves seriously to executing higher value contracts”, Adams stated.
Adams noted that SNEPCo pioneered Nigeria’s deepwater oil exploration with the Bonga development and has since played a key role in growing local industry capacity.
He emphasized that Nigerian businesses could expand in key areas like logistics, drilling, and the construction of vital equipment such as subsea systems, mooring units, and gas processing facilities.
The SNEPCO boss explained that since production began at the Bonga field in 2005, SNEPCo has worked closely with Nigerian contractors to build systems and develop a skilled workforce capable of delivering projects safely, on time, and within budget both in Nigeria and across West Africa.
According to him, this long-term support has enabled local firms to take on key roles in managing the Bonga Floating, Production, Storage and Offloading (FPSO) vessel, which reached a major milestone by producing its one-billion barrel of oil on February 3, 2023.
The Emohua Local Government Area Administrator, Franklin Ajinwo, has pledged to improve electricity distribution in Oduoha Ogbakiri and its environs.
Ajinwo made the pledge recently while playing host in a courtesy visit to the Oduoha Ogbakiri Wezina Council of Chiefs, in his office in Rumuakunde.
He stated that arrangements are underway to enhance available power, reduce frequent outages, and promote steady electricity supply.
The move, he said, was aimed at boosting small and medium-scale businesses in the area.
“The essence of power is not just to have light at night. It’s for those who can use it to enhance their businesses”, he said.
The Administrator, who commended the peaceful nature of Ogbakiri people, urged the Chiefs to continue in promoting peace and stability, saying “meaningful development can only thrive in a peaceful environment”.
He also charged the Chiefs to protect existing infrastructure while promising to address the challenges faced by the community.
Earlier, the Oduoha Ogbakiri Wezina Council of Chiefs, led by HRH Eze Goodluck Mekwa Eleni Ekenta XV, expressed gratitude to the Administrator over his appointment and pledged their support to his administration.
The chiefs highlighted challenges facing the community to include incessant power outage, need for new transformers, and the completion of Community Secondary School, Oduoha.
The visit underscored the community’s expectations from the LGA administration.
With Ajinwo’s assurance of enhancing electricity distribution and promoting development, the people of Oduoha Ogbakiri said they look forward to a brighter future.
By: King Onunwor