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SPDC’s Gbaran-Ubie Phase 2 Comes On Stream …As Firm Spends N10.5trn On Host Communities
The Shell Petroleum Development Company of Nigeria Ltd (SPDC) has commenced production at Gbaran-Ubie Phase 2, a key project in the Niger Delta that will help to boost gas supply to the domestic market and maintain supply to the export market.
A statement by Shell, made available to The Tide in Port Harcourt, said Gbaran-Ubie Phase 2 follows the success of the first phase of the Gbaran-Ubie integrated oil and gas development, which was commissioned in June 2010.
It explained that peak production at Gbaran-Ubie Phase 2 is expected in 2019 with approximately 175,000 barrels of oil equivalent (kboe) per day.
A breakdown of this peak period production is approximately 864 million standard cubic feet of gas per day (MMscf/d) and 26,000 barrels of condensate per day.
SPDC Managing Director and Country Chair, Shell Companies in Nigeria, Osagie Okunbor, said “The latest development at Gbaran-Ubie is a powerful statement on the continuing commitment of SPDC and our Joint Venture partners to harness Nigeria’s oil and gas resources for the benefit of the country and stakeholders”.
“The project was delivered safely through an integrated team with a significant engagement and empowerment of community service providers and Nigerian companies,” Okunbor added.
The Tide gathered that 18 wells have been drilled and a new pipeline constructed between Kolo Creek and Soku, which connects the existing Gbaran-Ubie Central Processing Facility (CPF) to the Soku Non-Associated Gas (NAG) plant.
First gas flowed from the wells in March, 2016, with the facilities coming on stream in July, 2017.
Vice President, Nigeria and Gabon, Peter Costello, said: “This is exciting news for Nigeria as it signals Shell’s continued strategy of deploying investment and expertise in our areas of strength.
“Our aim is to continue to explore areas of partnership in Nigeria where the right conditions exist and where we can add best value,” Costello added.
The Tide investigation show that Gbaran-Ubie Phase 2 will help to process the condensate from Kolo Creek, Gbaran, Koroama and Epu fields, thereby assisting in reducing the volume of flaring from SPDC operations.
The project has contributed to economic development in the Niger Delta and assisted the local community and Nigerian companies.
During construction, members of the community and local sub-contractors provided goods and services in line with the provisions of a Global Memorandum of Understanding (GMoU).
Training was also provided to the community in pipeline maintenance, scaffolding, welding and piping fabrication.
SPDC is the operator of a joint venture (the SPDC JV) involving the Nigerian National Petroleum Corporation (NNPC,) SPDC, Total E&P Nigeria Ltd and ENI subsidiary Nigerian Agip Oil Company Limited.
Meanwhile, the Shell Petroleum Development Company of Nigeria Limited said it has made an economic contribution of $29billion (approximately N10, 564,127,764,127.76) to Nigerian Government as well as empowering and positively impacting on lives, especially in its host communities in the Niger Delta region and the country at large in the last five years.
The company explained that on the average, it contributes N7billion monthly for the implementation of Global Memorandum of Understanding (GMoU) and Social Investment initiatives in the region.
This was disclosed during an integrated stakeholders’ forum organized by SPDC-JV for its host communities from Ahoada-West in Port Harcourt, last Tuesday.
Shell General Manager, External Relations, Mr Igo Weli stated that Shell Companies in Nigeria (SCiN) work in partnership with state governments, communities and civil society groups to implement policies on social investment that would better the lives of Nigerians, especially those in host communities.
“This is done through Social Investment activities, which focus on community and enterprise development, education, health, access to energy and road safety. This, however, excludes community-driven development programmes and initiatives delivered through GMoU which focuse on various themes as determined by benefitting communities,” Weli said.
Represented by the Shell Stakeholder Relations Manager, Dr Alice Ajeh emphasized that the GMoU cluster community for Ekpeye, which was frozen for many years ago, has now been reactivated, noting that all payments made in respect to GMoU implementation were available for perusal by affected communities.
He stressed that while forming the community clusters for the proper utilization of funds for the GMoU, SPDC strives to ensure that 30 per cent of members were women while 70 per cent men.
The general manager explained that the chairmen of the Cluster Development Boards make up the governing body for the GMoU, adding that the board provides for the immediate basic needs of their communities.
He noted that plans were underway to organize interactive forum with the community cluster development boards (CDBs) to provide accountability platform on how they have been utilising the monthly N7billion GMoU fund.
Speaking, the Cluster Board Chairman, Abua/Odual Local Government Area, Isaac Abraham stated that SPDC has positively impacted on the people of the area, adding that the company was not to blame for the many infrastructure deficit issues in communities.
Abraham commended SPDC for positively impacting on the lives of host communities, especially the youth, adding that if other stakeholders were fulfilling their obligations as much as Shell, the Niger Delta would have been transformed.
“I said I have positive commendation for SPDC because for several years, if you go to the grassroots, there is no presence of government, but what we experience as development here now is from SPDC through the proper utilisation of GMoU funds.
We are ready to give account of how we spent the GMoU fund,” he said.
In separate interviews with The Tide on the way forward to reduce the high rate of pipeline vandalism and sabotage of crude oil assets in the Niger Delta, some concerned youth of communities in Abua/Odual, Ekpeye and Engenni, expressed readiness to collaborate with Shell to safeguard critical oil and gas facilities in host communities.
The Uwema Aminigbo Community Palace Secretary, January Igoma, appealed to SPDC to make Aminigboko Emughan Community hospital built since 1995, functional, adding that the community wants the medical staff withdrawn from the facility reinstated.
He also listed other demands as rehabilitation of the two water projects, the Owerewere Link Road, Emughan junction linking Aminigboko Road, as well as the Emesu linking the Emesu Waterside Road.
Speaking, the Engenni people listed their demands to include scholarship to the youth, reconstruction of internal roads, skills acquisition programmes, pipe-borne water, employment and empowerment opportunities for the people, while urging for investment in agriculture development to make the people self-sufficient in food production.
Susan Serekara-Nwikhana
Rivers State Governor, Sir Siminalayi Fubara, has described the ongoing construction of the brand new 13.52-kilometre Ngo-Atlantic-Oyorokoto Road as a bold and visionary effort by his administration to open up the coastal region for economic growth and harness the full potential of the state’s blue economy.
The Governor made this remark during an inspection visit to the project site in Andoni Local Government Area. The road, being constructed by Monier Construction Company (MCC), cuts through challenging coastal terrain and leads to a newly identified beachfront facing the Atlantic Ocean.
Governor Fubara explained that while the original plan was to construct a road leading to Oyorokoto Town and its popular beach, his administration decided to expand the project to create an entirely new route that would open access to another pristine beachfront.
“We are doing another inspection today. This particular one is a virgin road, 13.52 kilometres of a new pathway to the blue economy,” Governor Fubara stated.
“Initially, we were constructing a road to Oyorokoto Beach, one of the finest tourist centres in this area. But as we progressed, we discovered another beach directly facing the Atlantic Ocean. It became clear that we shouldn’t limit development to just one site. We want to harness this new beach front as part of our broader plan to develop the blue economy.”
The Governor emphasised that the project, once completed, will not only improve access to coastal communities but also stimulate tourism and economic activities, boosting revenue for Rivers State.
Describing the area’s difficult terrain as challenging, he commended the contractor for its dedication, and expressed confidence that the road would be completed and commissioned by March next year.
“You can see for yourself, it’s a brand-new road in a very difficult terrain, just like the one we saw yesterday. But I strongly believe we will overcome it. From what we’ve seen today, the contractor, MCC, is doing their best, and by next year, hopefully by March, we’ll have the cause to commission this project and give God all the glory,” the Governor affirmed.
Governor Fubara also visited Opobo/Nkoro Local Government Area to assess the progress of work on the Epellema axis of the ongoing 5.2km Kalaibiama-Epellema road project featuring a 450-meter bridge.
Rivers State Governor, Sir Siminalayi Fubara, has expressed satisfaction with the level of progress recorded on the ongoing Trans-Kalabari Road project, revealing that about 75 percent of the critical piling work has been completed.
Governor Fubara made this known while addressing journalists after an on-the-spot inspection of the 12.5-kilometre road project, which will connect the state capital to several Kalabari communities across the sea.
The Governor rode on a boat from a jetty at Rumuolumeni in Obio/Akpor Local Government Area through the rivers and creeks on the project route during the inspection.
The project was awarded to Lubrik Construction Company Limited, on May 15, 2024, with an initial 32-month completion timeline.
The Governor said the visit was aimed at verifying reports from the Ministry of Works regarding the project’s advancement. He commended the contractors for their dedication, and described the progress as “a true reflection of hard work and commitment to excellence.”
“The first phase of the project takes us to Bakana, and features four major river-crossing bridges and nearly five deck-on-pile structures. The terrain is difficult, and the engineering work required is complex. But to the glory of God, I can confirm that the reports I’ve been receiving are accurate. Almost 75% of the piling job, which is the most critical part of the project, has been achieved,” Governor Fubara said.
He emphasised that the Trans-Kalabari Road is one of the most technically demanding infrastructure projects in the state due to its challenging marine terrain but reaffirmed his administration’s resolve to deliver it on schedule.
Governor Fubara highlighted the strategic importance of the road in connecting the Kalabari Kingdom to Port Harcourt, and stimulating economic growth across riverine communities.
“This is a key project that will turn around the lives of the Kalabari people immediately it is concluded. By the grace of God, in the next six months, if we return here for inspection, we might be driving across the bridge,” he said.
Governor Fubara assured Rivers people that his administration remains focused on delivering transformative infrastructure projects that will improve lives and bring lasting development to rural communities.
“We have made a promise to our people to embark on projects that will change lives and bring development, and this is a testament to that commitment,” he added.
The Governor of Rivers State, Sir Siminalayi Fubara, says that the impact of flooding and erosion on the inhabitants of Rivers State, especially those living in coastal communities, are of great concerns to the government.
Governor Fubara lamented the consequences of flood on both human and biotic life, which sometimes lead to loss of life, property, and degradation of the environment.
The Governor made the remark in Port Harcourt during the launch of a book titled, ‘Coastal Zone Flooding And Erosion in Developing Communities, Principles, Cases and Strategies,” written by Emeritus Prof. Wiston Bell-Gam.
According to the Governor, who was represented by the Secretary to the State Government, Hon. Benibo Anabraba, his administration, would continue to undertake and encourage adaptation strategies to combat flooding.
In his words: “The Rivers State Government will continue to undertake and encourage adaptation strategies, such as construction of seawalls and breakers, canals and channels, restoring coastal ecology and ecosystem for coastal resilience and where necessary, the relocation of communities on the coastline.
“These issues are currently receiving the much needed attention and intervention by the recent approval of the construction of shoreline protection along the coastlines of more than five communities in Ogba/Egbema/Ndoni and Opobo/Nkoro LGAs respectively.”
“It is important that as stakeholders in the protection and preservation of marine environment, we all act and advocate for mitigation strategies such as reduction in emission of Green House Gasses that causes climate change and rise in sea levels. Let us promote the use of clean energy and against fossil fuel.
Governor Fubara further cautioned residents to desist from building on waterways.
“We also need to encourage our people to stop developing buildings on and along natural water courses, indiscriminate sea mining and dredging activities on our coastline without consideration for mangroves and swamps,” he stressed.
He appreciated the author for his advanced contributions to the body of knowledge in both Rivers State and globally.
Also speaking, a former Military Governor of the old Rivers State and Amayanabo of Twon Brass, King Alfred Ditte-Spiff, who was Royal Father at the Event, stated that the book was timely to enable stakeholders manage the challenges of global warming.
“Global warming is real. If it’s not addressed globally, a time will come coastal areas will find themselves under water. The coastline of Nigeria is shocking with many mangroves gone,” he noted.
The Reviewer of the Book, who is also the Vice Chancellor of Olusegun Agagu University of Science and Technology, Ondo State, Prof Temi Ologunorisa, explained that the 14-chapter book is timeous as it fills literary gaps between desire and available knowledge on coastal flood and erosion in developing communities.,
“A major beauty of the book that sets it apart is the detailed consideration of flood and erosion control from around the world,” he stated, adding that the book is based on detailed field investigation.