Built2last:
I totally supported GEJ when he removed this subsidy in 2012

and i will support GMB to remove it. nonsense

we cant be held to ransome by some greedy vampires who think they are doing us a favour.

let petrol rise to 200 naira and see how investors will flood the market.

giving us the right to choice.

if subsidy is removed, competition will crash the market in less than two years.

why cant we make the sacrifice now and enjoy later but NO, we remain the most impatient people.

Cahmegga:
...sad enough, Nigeria is just moving round in circles....doctors will strike, come back, then strike again
...NUPENG will strike, come back, only to strike again.....its pathetic really...and oh...


expect ASUU to strike soon, its been a while . Smh .

Cahmegga:
...sad enough, Nigeria is just moving round in circles....doctors will strike, come back, then strike again
...NUPENG will strike, come back, only to strike again.....its pathetic really...and oh...


expect ASUU to strike soon, its been a while . Smh .

RICHIEBOI1:
The Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, and the Nigeria Union of Petroleum and Natural Gas Workers, NUPENG, branch of the Nigerian Petroleum Development Corporation, NPDC, yesterday shut down exploration activities in the country over the failure to reverse the alleged transfer of the operatorship of Oil Mining Lease, OML 42.

The unions had given a notice, which expired on Friday, urging the Federal Government to reverse the transfer of operatorship of the Joint Venture, JV, partnership in OMLs 40 and 42 to Neconde Energy Nigeria Limited and Elcrest Exploration and Production Limited.



A statement from the JV partners, said the shut-in has affected all NPDC operated assets in joint venture with indigenous companies that had applied for operatorship, except Neconde, who, prior to the crisis, had been awarded the operatorship of OML 42, and immediately got the JTF to secure the assets.

Elcrest (OML 40) which is next in line to be awarded operatorship, Shoreline OML 30 and FHN/Afren (OML 26) have now been shut as oil evacuation is hampered from OML 34 which relies on the OML 30 pumping station. The unions had accused the Minister of Petroleum Resources, Mrs. Diezani Allison-Madueke, of stripping the two oil blocks from NPDC, a subsidiary of Nigerian National Petroleum Corporation, NNPC.

In 2011, the Federal Government assigned 55 per cent equity in eight assets divested by the Shell Petroleum Development Company, SPDC to NPDC. The company had since retained the operatorship of most of the assets which included: OMLs 4, 26, 30, 34, 38, 40, 41 and 42. The partners in the statement also expressed worry over the impact of the industrial action on the already crippled country’s economy. According to the CBN Governor, Godwin Emefiele, “Nigeria has faced continued pressure from spiraling debts, in the face of dwindling revenues resulting from falling global crude oil prices.”

They argued that if the industrial action is allowed to persist, it will also affect the power sector as NPDC supplies at least 30 per cent of gas required to generate electricity. According to them, “Over the years, NPDC have been under constant attack for lacking the requisite technical competence and financial muscle to operate the assets in contention effectively and efficiently.

“Under NPDC’s operatorship, all the oil fields have taken a nose-dive in production volumes; obligations to communities have not been met; sharp drop in revenue, etc. All the indigenous companies that are in a JV with NPDC have suffered from the poor performance of NPDC since acquiring the licenses.” They also insisted on “NPDC’s lack of capacity to continue as the operator of the acreages they purchased from the Shell-led consortium. Their argument is that they could have gotten more production out of the fields than NPDC was doing as operator.

The government appears to have finally agreed with them and the perception in the industry is that the remaining three companies will soon have their prayers for operatorship answered.” A management staff of NPDC who pleaded anonymity, was quoted as saying that the strike had resulted from “a breakdown in communication” between the management of the company and the union members.

He further stated that under the new arrangement, the workers stand to benefit more, saying: “Both the NPDC and the indigenous companies are all understaffed, and would require more workers.” “With operatorship rights transferred to the indigenous companies, there is bound to be a sharp increase in oil production; an increase in revenue stream; increased gas supply to domestic markets to improve power generation; community development etc,” he added.

When contacted, NUPENG National Secretary, Comrade Isaac Aberare, said such shift in ownership will affect workers welfare. “Whenever there is a change like this, the interest and welfare of the workers are affected. Also, workers are always paid-off.” He argued that the assets are operating and do not need to be sold. “The asset is a producing field and is not a marginal field. If it is fully operational and working well, why sell it to make others suffer?

“The transfer however, would strip NPDC of its operation on that assets as well as affecting the production, and welfare of the workers. The sale was done without following due process,” he alleged.

http://www.nigerianeye.com/2015/05/pengassan-nupeng-on-strike.html

buJu234:


U 're 100% wrong abt Neconde funding capabilities.

because Neconde is one of the companies that I did contracts for in 2013-2014.

So I know those guys very well... They hardly owe u.. ok

NPDC was also my clients going to 4yrs now. They hardly pay for services ... Most of the communities along OML 42 (batan kantu odidi etc) 're still waiting for their pay that NPDC hasn't paid.

always research first.. in fact the daily news papers 're now getting the real truth..

The assets wasn't sold contrary to what Pengassen said. It's a joint operatorship. Joint assets management team finished.

If NPDC hands are clean why 're they afraid of the joint operationship.

You are rather misled my brother. I think you read too much of what our compromised journalists report. I comment as an insider and not as one who speaks based on what he read on the pages of newspapers. If NECONDE has paid you what they owe you on your contractual dealings with them it doesn't imply that they hv fulfilled their cash call duties on the Asset. Let me explain : If $5BILLION is budget and expected to be cost of running an asset for a year, the JV partners are expected to fund the budget in relation to the interest they hold in the asset. That is, if a partner's holding interest is 45%, then he is expected to provide 45%of the $5 billion for the running of the assets. This is where NECONDE is defaulting. Some commentators think it's deliberate so as to starve NPDC of funds for the running of the asset. This frustrates NPDC'S efforts and is aimed at making NPDC look incompetent in operating the asset.
On the sales of the asset you talk about, NUPENGASSAN hasn't said the assets were sold. Their grouse is against the clandestine transfer of operatorship to a partner who has not fulfilled his cash call obligations.

On your claim about NPDC owing communities around Batan, Odidi etc, that's utter gibberish. How can NPDC owe communities? Are they paying them subventions? No! Maybe you intend to say Community workers/Contractors. If you are truly an NPDC contractor, then you should know that as a matter of policy ( due to government's late approvals),NPDC requests her contractors to have the capacity to pay their workers 3 months salary evrn without receiving payments from NPDC. A contractor can only claim to be owed by NPDC 90 working days after the submission of his invoice. Most of you contractors know this, go ahead and sign the contract papers and then owe your workers several months salaries. You then hide behind the excuse that NPDC hasn't paid you.

For the joint operatorship you mentioned, I guess you read it on the papers! NUPENGASSAN was told of the JOM bring adopted but the letter that came to NPDC did not say JOM but instructed the MD, NPDC to hand over operatorship of the asset to NECONDE. Government says A but does B. This deceit was responsible for the strike action not being taken earlier. All along, the thinking was that a JOM was being implemented until that directive came.

My friend, you should know by now that I know more than you read on the pages of newspapers. Many journalists do not even understand this abracadabra so they report according to their understanding or compromised consciences.

Kingkamal:

I beg which sufferness do you want Nigerians to resist again apart from the one that brought GMB? I think you are among the brainwashed benefactor.

nwanwaoge:
Let the world know the truth about NPDC & NECONDE's imbroglio.

NPDC is in a Joint Venture partnership with Neconde Oil & Gas in OML42 in the ratio of 55% to 45% respectively.

NPDC was appointed operator of the block in Dec 2011 owing to her long years of experience (27 years) in the exploration and production of oil and gas in the country. The company is a wholly owned subsidiary of the Nigerian National Petroleum Corporation (NNPC) with responsibility for Petroleum Exploration and Production activities. It currently operates 10 assets under its portfolio with varied interest in many other concessions. The company is currently the 5th Largest Producer in the Country with about 205,007bopd production.

In the area of Gas production, NPDC is currently the largest domestic gas producer with more than 650MMSCF/D to its credit. The company has ramped up gas production from its Utorogu & Ughelli East fields in OML 34 to 420MMSCF/D, a feat that has never been achieved in the life of the block (even when Shell was the operator).

Neconde on the other hand was created 3 years ago (Dec, 2011). It has no record of exploration and production of oil and gas in Nigeria or anywhere in the world. Perhaps that explains why the company was not considered as the operator of the block from the onset. Curiously though, the owner of Neconde is also the owner of a major contracting company (Nest Oil), benefitting from most pipeline and other maintenance contracts from the asset. Neconde has been reported not to have being keeping up with their cash call obligation, however report/record shows that they have been lifting crude oil even though they have not fulfilled their financial obligation to the joint venture.

Ceding the operatorship of a National asset from a National Oil Company to a company that has no verifiable practical record of competence, capacity or experience in the exploration and production of oil and gas anywhere in the world is the greatest disservice Nigeria can do to herself. It could also affect her image in the organization of petroleum exporting countries (OPEC), where only countries with National Oil Companies are members.

989900:
Apparently, more than 50% of people that commented on this thread, can't read to save their lives.
Government/'your' assets are being sold by the minister to her cronies . . . you should be asking the right questions in lieu of generic comments.

buJu234:
What a funny union...

What a shame...

Ur members NPDC is grossly performing below standard (reducing oil production instead of increasing it) and instead of telling ur members to build up their professional capabilities to international standards like the IOC; u 're going on strike..

Same happened with Nitel and NEPA trade unions...

These gross way of mediocrity in Nigerian civil services has to stopped.

buJu234:

U 're 100% wrong abt Neconde funding capabilities.
because Neconde is one of the companies that I did contracts for in 2013-2014.
So I know those guys very well... They hardly owe u.. ok
NPDC was also my clients going to 4yrs now. They hardly pay for services ... Most of the communities along OML 42 (batan kantu odidi etc) 're still waiting for their pay that NPDC hasn't paid.
always research first.. in fact the daily news papers 're now getting the real truth..
The assets wasn't sold contrary to what Pengassen said. It's a joint operatorship. Joint assets management team finished.
If NPDC hands are clean why 're they afraid of the joint operationship.