Barring any last minute agreement, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASAN ) will embark on an indefinate strike action on Wednesday, in order to protest the way and manner the Minister of Petroleum Resources, Dr. Ibe Kachikwu, has been running the oil sector since assuming office.

Sunday Telegraph learnt that the National Leadership of PENGASAN met in Kaduna yesterday to strategise on how to prosecute a successful all out strike immediately after the Sallah holiday.

According to an insider, senior Staff of the petroleum sector are particularly angry with Dr . Kachikwu over Federal Government’s failure to fund its Joint Venture Companies (JVC) with multi national oil companies.

The source told our correspondent, “Already , the multi nationals are threatening to lay off staff and this will affect our members mostly. You will recall that we had embarked on a warning strike sometimes back but the issues have not been addressed.”

The source, who doesn ’t want to be named, accused the Minister of running a “one man show “ as he doesn't consult anyone regarding how the oil sector should operate.

“The management style of Kachikwu has pitched him against most senior Staff and experts in the Industry ,” the source said. Our correspondent also learnt that the Minister ’s decision to transfer all the management staff of PPMC to Abuja since last year , has been another source of friction between Kachikwu and PENGASAN.

“The management staff of PPMC are redundant in Abuja because they have nothing to do , having been deployed there without any clear cut reason for doing so, “ he added.

He pointed out that although citizens will be faced with another round of fuel scarcity , it has become necessary to embark on the strike in order to save the industry from collapse, owing to Kachikwu ’ s alleged high handedness.

According to him, the strike is a necessary inconvienence which will highlight the problems in the oil sector , contrary to what the Minister is making the government to believe. As at the time of filing this report, the National leadership of PENGASAN was still meeting at its secretariat along Constitution Road, Kaduna.

Thewrath:
Ontop this #145 per litre?

shukuokukobambi:
The cash call debt inherited by this admin is in excess of $6Billion and its still increasing.

Last last, buhari go need to carry Aisha and Zahra go do money juju for okija or soka because I don't know where he and Kachikwu go see money settle these gbese with low oil prices

otokx:
These unions keeping taking Nigerians for fools, where were they when petrol was increased to 145 naira per litre?

NavierStokes:


They need not pay all at one go, as it wasn't acxummulated in one goal, they just need to show the will, settling this thing in small sums until it's cleared.
Right now companies are using reserves to pay salaries, things are getting out of hand, the right sizing is just around the corner.

shukuokukobambi:


No matter how they push it, right sizing or down sizing is inevitable. Reading oil and gas dot com will reveal how many thousands of oil workers have been dropped worldwide. Its not a Nigerian problem and these are even in regions where nothing like cash calls features in their business.

I know Kachikwu has started some novel financing strategies e.g the $1.2B deal with chevron but the reality is that govt's failures over the years have stretched them to breaking point and something might give soon.

NavierStokes:


Yea the right sizing has been taking place worldwide but then mostly not from producers as much as it is from drilling contractors and service companies. Here in Nigeria the right sizing is knocking at the doors of these producing companies, having previously swept through the service guys.
Left for oil prices alone most of the producers are weathering the storm pretty well, but when you include the cash call issues, government's over regulation plus the restiveness then the producers have to go beyond cutting off fat and start chopping the bone as well.
Let's address their concerns one after the other, cos this style of carrying crude without remitting nothing doesn't show any will or empathy or understanding from the government.

shukuokukobambi:


The cash call issue is the main issue and its being going on for years. Despite the fact that most of these oil companies have it better in their PSC's in Nigeria than most places, the failure of govt in meeting up their financial obligations is just killing.

If only NNPC had been taken off govt control since.....

Thewrath:
Ontop this #145 per litre?