Oil & Energy
SPDC, Journalists Partner On Pipelines’ Protection
Crude oil theft and
pipeline vandalism have remained two notorious factors militating against the desire for high productivity and target actualization in the Nigerian Oil and gas sector; with both accounting for billions of dollars loss to the Federal Government and the International Oil Companies (IOCs), annually.
However, last Tuesday one of the oil multinationals, Shell Petroleum Development Company of Nigeria (SPDC) drew the attention of media men to massive encroachment on its pipeline right of way at Oyigbo Local Government Area of Rivers State.
Infact, SPDC manager in charge of pipeline operations, Wenike Princewill lamented that over one hundred such structures were recorded in Oyigbo alone.
The Shell Manager emphasized that about 40 million barrels per day were lost when the company had to shut down operation of its Gas plant in the Oyigbo area due to the enchroachment.
He expressed worry that people live in the houses within the dangerous zone to the pipeline not knowing they were sitting on time bomb. “The pipe contains hydrocharbon which is inflammable as it could result in an explosion and fire”, he said.
A retired primary school teacher, Mrs Chidinma Nkwocha who lives in Oyigbo said some 15 years ago, land in the area was very cheap and people were rushing from different parts of the state and beyond to acquire and develop.
“The pillars were there quite well but they did not care because of the low rate of parcel of land there”, Nkwocha stated disclosing that some of her friends fell prey to dubious elements who were busing selling land they don’t know.
Oyigbo is a sub-urban city close to Port Harcourt, observers said high cost of land in Port Harcourt might have made people to be attracted to Oyigbo due to the closeness especially as land was very scarce in Port Harcourt City.
However, the hard reality owners of the structures would have to face is to loose such property since owning them is illegal.
Or would they choose to remain there and get consumed with their property and family members when devil’s appointed time comes?
One worrisome revelation is that some of the property were also owned by influential persons in the government who should have desuaded others. Presumably, their presence could have encouraged the ordinary members of the society to acquire such illegal spaces.
The Ministry of Ubrban Development and relevant agencies, definitely do not have to wait anymore but to commence steps that could correct the anomalies. The so much delay in taking action or rather, in action contributed to the compounded situation.
Such inactions by the appropriate government agencies have largely encouraged enchrochment in diverse ways. Take for instance, the public roads, it took courage in the part of the present government to demolish houses built in total disregard to law guiding right of way.
The various Committees in the National Assembly, also have responsibility and should be part of the campaign.
SPDC Manager, Government and Community Relations said the company remain committed to addressing social and developmental challenges affecting the communities in which they operate and solicited for the collaboration of the media in the campaign against encroachment into the company’s facilities.
It was resolved that authorities of the company should increase their sensitization programme on the issue and also localise it so that the ordinary people in the remote areas particularly the company’s host communities could get the awareness.
Regular gingles in the mass media on the campaign message would also help in educating the people on the danger of encroaching on such dangerous zone as pipeline.
Those who sold the land that does not belong to them may as well be called to question at least to defend their actions, they may as well face prosecution.
The impact of oil theft, vandalism of pipelines and the new challenge of encroachment of pipeline right of ways are scaring enough.
Though the company denied that its divestment onshore in preference to more investment offshore may obviously be linked to the increasing challenges be develling its operations in the country.
SPDC Manager, Government and Community Relations, Fufeyin Funkakpo reiterated the commitment of the company to issues of community development stressing that loss incurred by the company in shutting down its facilities due to sabotage invariably affects the economy of the action and its capacity to increase it commitment to community development.
The Chairman of Nigeria Union of Journalists (NUJ) in Rivers State, Mr. Opaka Dokubo commended SPDC for the senminar noting that it has increased their knowledge of the operations.
Dokubo who was represented by the Vice Chairman of the State NUJ, Mr. Omoni Ayo-Tamuno, particularly commended SPDC for the medical test, treatment and health lecture saying it would benefit the journalists greatly.
Chris Oluoh
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