A Review of the Nigerian Energy Industry

Delta community gives oil firms 72-hour ultimatum over GMOUs

25 October 2015, Abuja – Nigeria’s crude oil revenue faces a fresh challenge as the Ojobo Community in Burutu Local Government Area of Delta State has given Shell Petroleum Development Company, SPDC, a 72-hour ultimatum to implement various agreements reached with the community or have its oil field in the area shut down.

ShellA similar 72-hour ultimatum was handed down to Saipem Contracting Nigeria Limited and E. A. Temile Development Company, to shut down all operations at the Beniside Flow Station or risk the consequences.

Speaking to Vanguard, in Abuja, weekend, the Youth President of Ojobo Community (which hosts the Beniside Oil Field), Mr. Sergeant Cinema and a spokesperson of the community, Mr. Cletus Zuokumor, explained that the ultimatum became necessary in view of oil companies’ alleged refusal to implement various agreements reached with the community, despite several peaceful attempts at resolving the issues.

According to him, “We have given the oil companies operating at the Beniside Oil Field 72 hours to close shop and vacate the area to avoid any confrontation or likely showdown with us. What they are doing is because of the heavy military presence in the Flow Station which they have been using to intimidate and harass members of the community.

“This time around, if they are not prepared to effect the FTOs (Freedom to Operate) or Global Memorandum of Understanding (GMOUs) which were established almost three years ago, they should shut down and pack out from our community before the expiration of this ultimatum.

“The oil firms feel that they can ignore us. In fact, they have been boasting that as far as there is military presence at Beniside Flow Station, the community cannot do anything or dare the Flow Station. We want to make it abundantly clear that with or without the military, we will mobilize to the Flow Station to effect compliance with the quit order.”




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