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    Home » Shell confirms losing operatorship of Oil Mining Lease 11

    Shell confirms losing operatorship of Oil Mining Lease 11

    July 30, 2019
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    OML 11

    *DPR/Petroleum Ministry renews OMLs 31, 33 and 36

    OpeOluwani Akintayo

    Lagos — The Shell Petroleum Development Company, SPDC, has confirmed losing the operatorship of Oil Mining License, OML 11, with the asset missing from those listed in its 2018 annual report.

    After several speculations, a letter attributed to the presidency back in February had instructed NNPC’s flagship oil exploration and production subsidiary, the Nigerian Petroleum Development Company, NPDC, to take over operatorship of controversial OML 11, not later than April 2019, however, the international oil major had kept mum over the development.

    The license is jointly owned by other international oil firms such as Eni and Total alongside Nigeria while Shell Petroleum Developmental Company, SPDC is the operator.

    OML 11 is located in the southeastern Niger Delta and contains 33 oil and gas fields of which eight are producing as per 2017. The terrain is swamp to the south with numerous rivers and creeks.

    “The 20-year renewal of 16 oil mining leases (OMLs): 17, 20, 21, 22, 23, 25, 27, 28, 31, 32, 33, 35, 36, 43, 45 and 46 were achieved in December 2018. These OMLs expire in October 2038”, its annual report had listed, leaving out OML 11.

    OMLs 31, 33 and 36 which were said to have been initially denied renewal by the Department of Petroleum Resources eventually got renewed.

    In their reaction, the Movement for the Survival of the Ogoni People had faulted Buhari’s order to the NNPC to take over the operatorship of OML 11 in Ogoniland from SPDC.

    MOSOP specifically said it had resisted attempts to resume oil production in Ogoniland without consulting the people of the area.

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