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AMCON After Mike Adenuga's Conoil Over N39bn Debt - Business - Nairaland

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AMCON After Mike Adenuga's Conoil Over N39bn Debt by Oshoboy01: 11:16am On Jun 27, 2016

SPECIAL REPORT: Adenuga’s Mountain of Debt: Several firms, AMCON chase billionaire for unpaid bills - Premium Times

ConOil, owned by Nigeria’s second richest man is being pursued for a combined debt of over $140.5 million by two foreign and one local companies, PREMIUM TIMES has learned.

Despite making several pledges to pay, ConOil and other companies owned by Mr. Adenuga have reneged on paying the debts, multiple sources in the oil and gas sector have told this newspaper.
Things have got so bad that some of the creditor companies have either commenced or are considering commencing legal actions to force the billionaire businessman to pay up having exhausted all options to make him honour promises and agreement to pay.

In fact, one company has successful secured an interim order from a federal court to place one of Mr Adenuga’s companies under receivership.
The increasing debt profile of the telecom and oil mogul, who increased his net worth by almost $5 billion in the last year, according to luxury lifestyle magazine, Forbes, has hit some his creditors so hard that they had to shut down some of their operations.
One of such companies is Depthwize, a local oil servicing company, which is owed $40 million by ConOil.

The refusal of the management of ConOil to pay Depthwize, a small drilling contractor has forced the company to lay off workers and shut down services on two of ConOil’s rigs until the money is paid, those familiar with the matter said.

“Depthwize says it can no longer afford the day to day running cost of working on the rigs,” one source said.
Similarly, American oil and gas firm, Baker Hughes, was forced to lodge a court petition to wind up one of Mr Adenuga’s company, Belbop Nigeria Limited, over a USD $12.09 million bill they had been unsuccessfully trying to get the company to pay.
Baker Hughes argued that in 2009, Belbop awarded it a contract for the provision of directional drilling, MWD/LWD services and supply of drilling fluids and drilling bits, Logging cabin and surface acquisition system.

The company told the court that after it duly discharge its obligation and rendered all requisite services, Belbop refused to pay. Baker Hughes said it incurred a liability of $9.4 million in the course of executing the contract.

On April 12, 2016, Babs Kuewumi of the Federal High Court in Lagos placed an interim injunction on the accounts of Belbop pending the determination of suit.
The judge therefore appointed the Chief Registrar of the Federal High Court as the receiver/manager of Belbop until the substantive suit is determined.
Mr Adenuga has also been given multinational oil firm, Total, the runaround over a $28.5 million debt it owed the French oil giant since 2009.

Although Total has been trying to resolve the debt without litigation, the refusal of Mr. Adenuga to pay the debt has forced the company to stop work at OML 136 gas field. Total is ConOil’s technical partner in the project.

At a meeting held with Total in November 2015, it was agreed that ConOil would pay the $28.5 million dollars owed before January 31 2016.
That meeting, which minutes is in the possession of PREMIUM TIMES, was chaired by Mr. Adenuga and attended by four executives from Total.

But those familiar with the matter told this newspaper Mr. Adenuga’s company is yet to pay up. All attempts by Total to make him release the money have also failed, insiders said.

Some said they are baffled by Mr Adenuga’s refusal to pay Total the $28.5 million, which would have seen work commence on the lucrative oil field.
The OML 136 asset is considered to be one of the largest gas fields in Nigeria, with a proven reserve of 11 trillion cubic feet (TCF) of gas. The exploration of the oil assets would have boosted Nigeria’s economy by creating jobs and would have yielded massive return to Total and ConOil, they explained.
When contacted, Total’s spokesperson, Charles Ogan, in an email to PREMIUM TIMES, said the matter is an “obvious internal administrative subject.”


Also, ConOil is engaged in a decade-long dispute with British oil firm, Vitol, over its alleged failure to pay a $60 million debt incurred from lifting of cargoes of refined petroleum products.

Vitol secured a court judgement in the UK in respect of the debt but has been unable to enforce it in Nigeria because ConOil got a stay of execution from a Nigerian court.

Conoil’s financial problems, PREMIUM TIMES gathered, may have been caused by Mr Adenuga’s slowness in taking advantage in potential money earners for the company.

For instance, in 2005, ConOil was granted exploration licence for OPL 257 by the federal government, but the company surprisingly left the block fallow until its licence expired. Now it is frantically asking the government for a two-year extension of its expired licence to enable it explore the field.

On January 22, 2016, Taiwo Olushina, the managing director of ConOil, wrote a letter to the National Petroleum Investment Management Services (NAPIMS) blaming insecurity, high cost of drilling and technical hitches for its failure to explore the field before the expiration of the licence.

“Having attended to technical and financial challenges peculiar to ultra -deep offshore blocks, this approval will provide us with ample time in drilling three identified prospective locations in preparation for further development towards boosting national oil and gas reserves and production,” the letter read in part.

The spokesperson for Mr. Adenuga, Bode Opeseitan, could not be reached to comment for this story. He did not answer or return calls seeking comment.
Another spokesperson ducked when approached by this reporter to comment for this story.
Despite being identified by Truecaller app, Mike Oduniyi told PREMIUM TIMES that we had reached a wrong number and promptly terminated the call.
Tax palaver and bad loan

Mr Adenuga’s companies have also had tax issues in the recent past. In 2009, the Federal Inland Revenue Service (FIRS) sealed the Lagos office of ConOil, and Continental Oil and Gas, another company owned by the businessman, over the non-remittance of $610 million tax to government.

Last month, seven years after his companies were first sealed, the FIRS shut the Lagos office of Globacom, the second largest mobile telephone company in the country, owned by the billionaire, for allegedly failing to remit Value Added Tax worth N24.3 billion.

Earlier in February this year, the Osun State Internal Revenue Service (OIRS) sealed the offices of the telecommunication firm in the state for failing to pay outstanding taxes and other levies in respect of mast/ base stations and laying of fibre optics.
The state said several meetings were held with the company’s representatives in the past three years to resolve the issue, but that the company failed to comply.

The Asset Management Company of Nigeria (AMCON) also listed Mr. Adenuga as one of the country’s biggest debtors for a N2.4billion loan his real estate company, Convenant Apartments Complex Limited, took from Wema Bank.

AMCON acquired the loan from the bank in 2010, after Convenant Apartments failed to pay up.


http://www.premiumtimesng.com/news/headlines/205953-special-report-adenugas-mountain-debt-several-firms-amcon-chase-billionaire-unpaid-bills.html

3 Likes 1 Share

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by doyinisaac(m): 11:27am On Jun 27, 2016
With this recent debt crisis it is obvious that many Naija billionaires are not true billionaires...they are what my warri people call "borrow borrow make dem shine"

134 Likes 9 Shares

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by omolola15(m): 11:48am On Jun 27, 2016
We'll not shout tribalism or witch hunt because you are a Yoruba man. We'll be sincere. You are a billionaire but with all these revelation your business is in trouble. Go and pay your debt, its the right thing to do. What kind of business man makes money from a business and refuse to pay debts he's owing.

I no how much I dey give glo monthly, conoil is doing fine. I'm sure his other businesses are also booming. Then what da F Is his problem.

You are from my state and i don't support you not paying your debts.


DIFY20:
am waiting for some zombies to comment first..
since is their brother u will not c dem here

54 Likes 5 Shares

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by DIFY20(f): 11:49am On Jun 27, 2016
am waiting for some zombies to comment first..

since is their brother u will not c dem here

u Yorubas leave fake life alot

16 Likes 3 Shares

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by nairalandbuzz(m): 11:49am On Jun 27, 2016
All these big boys ehn... na gbese hang for them neck...

Not all that glitters is gold indeed!

32 Likes 1 Share

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by datola: 11:49am On Jun 27, 2016
Baba Ijebu pay our money!

3 Likes 1 Share

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Nobody: 11:50am On Jun 27, 2016
DIFY20:
since is their brother u will not c dem here

Ipad Youth Spotted

34 Likes 3 Shares

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by amdoyin82(m): 11:50am On Jun 27, 2016
We don hear... It is the season of amcon at least make we rest for efcc, cct and co.

4 Likes 1 Share

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Marvel1206: 11:51am On Jun 27, 2016
Well....
I have nothingg to say
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by justhelp(m): 11:51am On Jun 27, 2016
am a yoruba and i dont care where you come from if you are debtor pay your debt

51 Likes 1 Share

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by showblack(m): 11:51am On Jun 27, 2016
There is God oooo
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by miccheck58: 11:51am On Jun 27, 2016
All these billionaires for naija na wash.....
#AccidentalBillionaires

18 Likes 2 Shares

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Seuncoded(f): 11:52am On Jun 27, 2016
#WhoDemEpp

1 Like

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by martineverest(m): 11:52am On Jun 27, 2016
adenuga must be a pdp man.apc is winch-huntin him...wailers


borrowborrowBillionnaires everywhere

20 Likes

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Nobody: 11:52am On Jun 27, 2016
johnstar:
undecided

Dont you think that picture is going to far?
I mean, that is child nudity for christ sake

1 Like

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Ogbodavies(m): 11:53am On Jun 27, 2016
in Asa voice... there is fire on the mountain

1 Like

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by FakeNEWSevryday: 11:53am On Jun 27, 2016
Hmmm
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Nobody: 11:53am On Jun 27, 2016
That bastard GEJ used AMCON to buy loans off his silly friends and associates with govt money. Ko ni da fun

2 Likes

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by tommykiwi(m): 11:53am On Jun 27, 2016
we are waiting for them....
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by MaryAnne360: 11:54am On Jun 27, 2016
Dont judge a book by its cover at all.

miccheck58:
All these billionaires for naija na wash.....
#AccidentalBillionaires
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by ddeola: 11:54am On Jun 27, 2016
The debtor is a slave to the creditor...

1 Like

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Maxcollins042(m): 11:54am On Jun 27, 2016
This AMCON dem are not chillin at all. Economic hardship has finally made dem realise their calling.
Come to think of it sef,shey him net worth increased by $5 billion dollars last year,make him close eye commot money settle his pile of debts abeg. grin

3 Likes

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by MadCow1: 11:54am On Jun 27, 2016
Lalasticlala.. Shey to hail you don turn offense? angry
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Starships4u(m): 11:54am On Jun 27, 2016
con oil??
wap??
superstory??
this life??
papa ajasco??
wale adenuga??
why do rich men fuckup this much??
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by Cmoyor: 11:55am On Jun 27, 2016
hmmmmm
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by FakeNEWSevryday: 11:55am On Jun 27, 2016
miccheck58:
All these billionaires for naija na wash.....
#AccidentalBillionaires
I will gladly to be one, won't u? grin

1 Like

Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by davedpo(m): 11:55am On Jun 27, 2016
dis is disappointing!
Re: AMCON After Mike Adenuga's Conoil Over N39bn Debt by martineverest(m): 11:55am On Jun 27, 2016
wont be surprised to see babalowo( davido papa) too dey owe

3 Likes 1 Share

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