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OML 25: Shell, Communities Broker Peace …Sign MoU July1, Reopen Flow Station
The stakeholder communities of Oil Mining License (OML) 25 in Akuku-Toru Local Government Area of Rivers State and Shell Petroleum Development Company (SPDC) have agreed on the procedures for the re-opening of the oil facility.
As such, the stakeholder communities and Shell will on Monday, July 1, 2019 sign a Memorandum of Understanding (MoU) to be facilitated by the Rivers State Government on their respective responsibilities in the final resolution of the two-year old conflict.
This was the outcome of the meeting, yesterday, between the stakeholder communities of OML 25, SPDC, service commanders and officials of the Rivers State Government on the directive of Governor Nyesom Wike.
To this end, the representative of the Rivers State Governor and Secretary to the Rivers State Government, Dr Tammy Danagogo, has directed the Solicitor-General of the State to draft a memorandum of understanding on the premise of the resolutions reached at the meeting.
He also said that the memorandum of understanding would be signed on Monday, July 1, 2019.
Danagogo outlined the four key resolutions reached during the crucial meeting on the re-opening of OML 25, to include that, “SPDC should pay the agreed funds into an account. The Permanent Secretary, Community Affairs has been mandated to ensure that the funds are transferred to the communities.
“SPDC should be able to pay the available sum latest by Monday. Shell would pay N260million and N75million by Monday.
“The communities should within seven days of signing the resolution, vacate the facility. Also within two weeks, Shell should pay the remaining part of N1.014billion”
The Secretary to the Rivers State Government added that the meeting resolved that SPDC would therefore obtain approval from NAPIMS to pay the money that accrued between 2009 and 2013.
He added that within two weeks of signing the resolution, Rivers State Government will set up a platform for Shell and stakeholder communities to renegotiate the Global Memorandum of Understanding (GMoU).
The General Manager, External Relations of Shell Petroleum Development Company, Mr Igo Weli said the first set of funds to the stakeholder communities will be paid on Monday.
He stressed that the outcome of the financial reconciliations will be paid within two weeks of signing the resolution.
Weli added that SPDC, in line with the resolution of the meeting, would seek the approval of NAPIMs for payment of funds for 2009 and 2013.
The Chairman of Akuku-Toru Local Government Area, Rowland Sekibo said that the meeting initiated by the Rivers State governor has recorded a milestone with agreement on the funds to be paid by SPDC.
Member of the Rivers State House of Assembly representing Akuku-Toru Constituency 1, Major Jack commended the Rivers State Government, SPDC and stakeholder communities for building synergy which will end in the signing of a Memorandum of Understanding on Monday.
Amanyanabo of Opu-Kula, King Hope Opusingi said that the people of the area were happy with the agreement reached at the meeting, especially the reconciliation of the funds to be paid by SPDC.
He said those occupying the flow station were being paid to do so, adding that technically, the flow station has been opened as the occupants of the facility were doing so illegally.
Also speaking, the Amanyanabo of Kula, King Kroma Eleki called for the development of Kula upon the reopening of OML 25, appealing that the developmental challenges of the community should be resolved.
It would be recalled that Rivers State Governor, Chief Nyesom Wike on June 22, 2019, directed the Secretary to the Rivers State Government, Dr Tammy Danagogo, to convene a meeting of all key stakeholders in the presence of security service commanders, for the host communities to outline their grievances to Shell Petroleum Development Company (SPDC) and for the company to address such development concerns.
Earlier during the first meeting, the Rivers State Government reiterated that the Oil Mining License (OML) 25 must be re-opened for operations with the interest of host communities protected by the operating company, Shell Petroleum Development Company (SPDC).
The host communities of OML 25 also stated their developmental concerns, urging SPDC to address them for mutually beneficial relationship with the company to be entrenched.
In a meeting the state government convened between the host communities and SPDC, the representative of Rivers State Governor and Secretary to the State Government, Dr Tammy Danagogo, said that Governor Nyesom Wike remains committed to the protection of host communities’ interest.
He said: “The flow station of that facility must be opened. For that to happen, we think that the interest of the host communities must be protected, so that in future, we don’t have a repeat of what happened.
“That is why it is in the best interest of everybody concerned to state very genuine concerns of what Shell has to do”.
He said that the Rivers State Government was discharging its responsibility of ensuring the peaceful resolution of the issues.
“At the initial stage, we didn’t want to get involved because we felt that the Shell licence was almost terminating. But at this stage, it is clear to everybody that the Federal Government has renewed the licence of Shell for another 20 years. What it means is that for the next 20 years, Shell must be there.
“As a law abiding government, what we will do is to see that Shell does not trample upon the rights of our people. So, now, Shell will listen to our people on what they ought to do”, he said.
He urged the communities to do what is right; assuring that the state government would, on that premise, prevail on Shell to release the Global Memorandum of Understanding (GMoU) funds.
In his remarks, General Manager, External Relations of Shell, Mr Igo Weli said that the SPDC was ready to dialogue with the communities and resolve the issues raised.
Weli said that the existing GMoU has expired, but assured that working with the communities, another GMoU would be worked out for the development of the communities.
“The third one is retaining of fund. The fund for each community is stipulated in the GMoU, and each community will have their community trust, and even though one community has a problem, we can give you your money to go ahead.
“So, once we do it properly, specify how much belongs to each community, have your own community trust, one community will not hold the other communities down. If you have a problem, we localise the problem and sort out the one we can operate. That’s what we have been doing”, Weli added.
He disclosed that there was N960million on ground outstanding from the previous GMoU, saying that the company was ready to invest the funds.
“There is no perfect solution. Once we get 80 per cent of the people to agree, then, let’s do it. We want to operate in a way that all stakeholders will feel recognised. There are rules. Once we agree on the rules, we will move forward. The GMoU will be modified to meet the new realities”, he said.
Also speaking, the Amanyanabo of Kula, King Kroma Eleki alleged that Shell had worked with a section of the kingdom and marginalised others, insisting that some community leaders also created the atmosphere for the marginalisation of the kingdom.
He said that when Shell started operations, it was agreed that 60 per cent of proceeds must go to Kula community and 30 per cent to Belema, but regretted that Shell failed to respect the agreement.
Eleki said though the Federal Government can open the OML 25, Shell should carry out its Corporate Social Responsibility (CSR) diligently to the communities, and also called on the Federal Government to work towards protecting the interest of the host communities.
Amanyanabo of Belema, King Ibinabo Kalaoriye said Belema was the host community, but all the funds meant for the host community were diverted to Kula.
He said that OML 25 was illegally occupied by some persons who connived with another set of soldiers to take over the facility.
Kalaoriye said that going forward; no funds meant for the development of Belema community should be sent to Kula, explaining that despite the challenges, Shell had executed some important projects in the area as a result of the existence of the OML 25.
Also speaking, the Amanyanabo of Opu-Kula, King Hope Opusingi said Shell should come out clean and declare the funds due the communities on the basis of the GMoU.
He said that the meeting should agree on the amount of the funds that Shell should invest and the communities that are entitled to the investment.
The meeting had in attendance the Chairman of Akuku-Toru Local Government Area, Hon Rowland Sekibo, the member representing Akuku-Toru Constituency 1 at the Rivers State House of Assembly, Hon Major Jack and member representing Akuku-Toru Constituency 2 at the Rivers State House of Assembly, Hon Opuende Lolo, and the community development committees of the stakeholder communities of OML 25.
President Bola Tinubu yesterday signed into law four tax reform bills aimed at transforming Nigeria’s fiscal and revenue framework.
The four bills include: the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill.
They were passed by the National Assembly after months of consultations with various interest groups and stakeholders.
The ceremony took place at the Presidential Villa, yesterday.
The ceremony was witnessed by the leadership of the National Assembly and some legislators, governors, ministers, and aides of the President.
The presidency had earlier stated that the laws would transform tax administration in the country, increase revenue generation, improve the business environment, and give a boost to domestic and foreign investments.
“When the new tax laws become operational, they are expected to significantly transform tax administration in the country, leading to increased revenue generation, improved business environment, and a boost in domestic and foreign investments,” Special Adviser to the President on Media, Bayo Onanuga said on Wednesday.
Before the signing of the four bills, President Tinubu had earlier yesterday, said the tax reform bills will reset Nigeria’s economic trajectory and simplify its complex fiscal landscape.
Announcing the development via his official X handle, yesterday, the President declared, “In a few hours, I will sign four landmark tax reform bills into law, ushering in a bold new era of economic governance in our country.”
Tinubu made a call to investors and citizens alike, saying, “Let the world know that Nigeria is open for business, and this time, everyone has a fair shot.”
He described the bills as not just technical adjustments but a direct intervention to ease burdens on struggling Nigerians.
“These reforms go beyond streamlining tax codes. They deliver the first major, pro-people tax cuts in a generation, targeted relief for low-income earners, small businesses, and families working hard to make ends meet,” Tinubu wrote.
According to the President, “They will unify our fragmented tax system, eliminate wasteful duplications, cut red tape, restore investor confidence, and entrench transparency and coordination at every level.”
He added that the long-standing burden of Nigeria’s tax structure had unfairly weighed down the vulnerable while enabling inefficiency.
The tax reforms, first introduced in October 2024, were part of Tinubu’s post-subsidy-removal recovery plan, aimed at expanding revenue without stifling productivity.
However, the bills faced turbulence at the National Assembly and amongst some state governors who rejected its passing in 2024.
At the NASS, the bills sparked heated debate, particularly around the revenue-sharing structure, which governors from the North opposed.
They warned that a shift toward derivation-based allocations, especially with VAT, could tilt fiscal balance in favour of southern states with stronger consumption bases.
After prolonged dialogue, the VAT rate remained at 7.5 per cent, and a new exemption was introduced to shield minimum wage earners from personal income tax.
By May 2025, the National Assembly passed the harmonised versions with broad support, driven in part by pressure from economic stakeholders and international observers who welcomed the clarity and efficiency the reforms promised.
In his tweet, Tinubu stressed that this is just the beginning of Nigeria’s tax evolution.
“We are laying the foundation for a tax regime that is fair, transparent, and fit for a modern, ambitious Nigeria.
“A tax regime that rewards enterprise, protects the vulnerable, and mobilises revenue without punishing productivity,” he stated.
He further acknowledged the contributions of the Presidential Fiscal Policy and Tax Reform Committee, the National Assembly, and Nigeria’s subnational governments.
The President added, “We are not just signing tax bills but rewriting the social contract.
“We are not there yet, but we are firmly on the road.”
The Senate has issued a 10-day ultimatum to the Nigerian National Petroleum Company Limited (NNPCL) over its failure to appear before the Senate Committee on Public Accounts probing alleged financial discrepancies amounting to over ?210 trillion in its audited reports from 2017 to 2023.
Despite being summoned, no officials or external auditors from NNPCL showed up yesterday.
However, representatives from the representatives of the Economic and Financial Crimes Commission, Independent Corrupt Practices and Other Related Offences Commission and Department of State Services were present.
Angered by the NNPCL’s absence, the committee, yesterday, issued a 10-day ultimatum, demanding the company’s top executives to appear before the panel by July 10 or face constitutional sanctions.
A letter from NNPCL’s Chief Financial Officer, Dapo Segun, dated June 25, was read at the session.
It cited an ongoing management retreat and requested a two-month extension to prepare necessary documents and responses.
The letter partly read, “Having carefully reviewed your request, we hereby request your kind consideration to reschedule the engagement for a period of two months from now to enable us to collate the requested information and documentation.
“Furthermore, members of the Board and the senior management team of NNPC Limited are currently out of the office for a retreat, which makes it difficult to attend the rescheduled session on Thursday, 26th June, 2025.
“While appreciating the opportunity provided and the importance of this engagement, we reassure you of our commitment to the success of this exercise. Please accept the assurances of our highest regards.”
But lawmakers rejected the request.
The Committee Chairman, Senator Aliyu Wadada, said NNPCL was not expected to submit documents, but rather provide verbal responses to 11 key questions previously sent.
“For an institution like NNPCL to ask for two months to respond to questions from its own audited records is unacceptable,” Wadada stated.
“If they fail to show up by July 10, we will invoke our constitutional powers. The Nigerian people deserve answers,” he warned.
Other lawmakers echoed similar frustrations.
Senator Abdul Ningi (Bauchi Central) insisted that NNPCL’s Group CEO, Bayo Ojulari, must personally lead the delegation at the next hearing.
The Tide reports that Ojulari took over from Mele Kyari on April 2, 2025.
Senator Onyekachi Nwebonyi (Ebonyi North) said the two-month request suggested the company had no answers, but the committee would still grant a fair hearing by reconvening on July 10.
Senator Victor Umeh (Anambra Central) warned the NNPCL against undermining the Senate, saying, “If they fail to appear again, Nigerians will know the Senate is not a toothless bulldog.”
Last week, the Senate panel grilled Segun and other top executives over what they described as “mind-boggling” irregularities in NNPCL’s financial statements.
The Senate flagged ?103 trillion in accrued expenses, including ?600 billion in retention fees, legal, and auditing costs—without supporting documentation.
Also questioned was another ?103 trillion listed under receivables. Just before the hearing, NNPCL submitted a revised report contradicting the previously published figures, raising more concerns.
The committee has demanded detailed answers to 11 specific queries and warned that failure to comply could trigger legislative consequences.
The National Association of Nigerian Travel Agencies (NANTA) said over 17 million Nigerians travelled out between 2023 and 2024.
This is as the association announced that it would be organising a maiden edition of Eastern Travel Market 2025 in Uyo, Akwa Ibom State capital from 27th to 30th August, 2025.
Vice Chairman of NANTA, Eastern Zone, Hope Ehiogie, disclosed this during a news briefing in Port Harcourt.
Ehiogie explained that the event aims to bring together over 1,000 travel professionals to discuss the future of the industry in the nation and give visibility to airlines, hospitality firms, hospitals and institutions in the South-South and South-East, tagged Eastern Zone.
He stated that the 17 million number marks a significant increase in overseas travel and tours.
According to him, “Nigerian travel industry has seen significant growth, with 17 million people traveling out of the country in 2023”.
Ehiogie further said the potential of tourism and travel would bring in over $12 million into the nation’s economy by 2026, saying it would be a major spike in the sector, as 2024 recorded about $4 million.
“The potential of tourism and travel is that it can generate about $12 million for the nation’s economy by 2026. Last year it was $4 million.
“In the area of travels, over 17 million Nigerians traveled out of the country two years ago for different purposes. This included, health, religious purposes, visit, education and others,” Ehiogie said.
While highlighting the potential of Nigeria’s tourism, he said the hospitality industry in Nigeria has come of age, saying it is now second to none.
The Vice Chairman of NANTA, Eastern Zone further said, “We are not creating an enabling environment for business to thrive. We need to support the industry and provide the necessary infrastructure for growth.”
He said the country has a lot of tourism potential, especially as the government is now showing interest in and supporting the sector.
Ehiogie emphasized that NANTA has been working to support the industry with initiatives such as training schools and platforms for airlines and hotels to sell their products.
He added, “We now have about four to five training schools in the region, and within two years, the first set of students will graduate. We are helping airlines sell tickets and hotels sell their rooms.”
Also speaking, former Chairman of the Board of Trustees of NANTA, Stephen Isokariari of Dial Travels, called for more support from the industry.
Isokariari stated, “We need to work together to grow the industry and contribute to the nation’s Gross Domestic Product.
“With the right support and infrastructure, the Nigerian travel industry has the potential to make a significant contribution to the nation’s economy.”