This announcement came following a significant meeting held in Port Harcourt, the state capital, which included representatives from Shell, regulatory bodies, the Rivers State government, community leaders, and other stakeholders.
Chief Anabs Sara-Igbe, the spokesperson for the OML 25 communities, addressed the media after the meeting, highlighting that the prolonged halt in Shell’s operations is not attributable to the communities but rather to the company's failure to honor past agreements. He stated that the host communities are prepared for Shell to commence operations immediately, provided that all agreed-upon terms are met, asserting, “We will not accept anything less than the community development we have been promised.”
The meeting brought together representatives from Kula, Ofoin-Ama, Belema, and other neighboring communities, focusing on an 8-point agreement established with Belemaoil, a local partner, which delineates essential development objectives such as employment opportunities, infrastructure improvements, and healthcare services.
Sara-Igbe emphasized that despite over 60 years of oil production exceeding 200,000 barrels per day, local communities have not reaped any significant benefits, including essential services like roads, hospitals, electricity, or clean water.
“The residents of Kula and adjacent communities have endured enough hardship. Shell has not fulfilled its commitments, and we are now insisting that they enter into a Purchase Order (PO) with Belemaoil to guarantee our people access to jobs, training, and necessary community services,” he stated. The communities also urged for a solid commitment to an operation and maintenance contract between Shell and Belemaoil, ensuring local involvement in security and community development initiatives.
We are not instigators, but we will not permit Shell to operate without honoring its commitments, stated Sara-Igbe. The communities have agreed to ensure security for the facility, but this is dependent on Shell adhering to the development agreements. The spokesperson cautioned that if these conditions are not satisfied, Shell should refrain from returning to OML25.
Local stakeholders emphasized that any new operators in the area must assume responsibility for Shell’s existing obligations, with Belemaoil granted the first right of refusal should Shell choose to divest from the asset.
Sara-Igbe expressed optimism that the ongoing discussions would result in the long-awaited development of the region, ensuring that the oil wealth of OML25 benefits the local population rather than solely corporate interests.
The state government has engaged with Shell and Belema, and the community has insisted that Shell must formalize an agreement with Belema to address the issues raised. Shell has been evasive, but they have assured us that they will sign a Purchase Order (PO) shortly, after which they will be free to commence operations.
We are dissatisfied that 45,000 barrels of crude oil have been held up for seven years daily. The loss of 25,000 barrels per day over this period represents significant resources that the federal, state, and local governments, as well as Shell, NNPCL, and the community, are all forfeiting.
Sara-Igbe further stated, “We have reached an agreement with SPDC that they must meet all these conditions before proceeding, and we have also requested the regulatory authority to ensure they assess the development status of the communities producing this oil to prevent being misled by SPDC.”
The state government has engaged in discussions with Shell and Belema, during which the community expressed that Shell should formalize an agreement with Belema to address the majority of the issues raised. Shell has been evasive, but they have now committed to signing a Purchase Order (PO) in the near future. Once this PO is signed, they will be permitted to commence operations.
The community is dissatisfied that 45,000 barrels of crude oil have been held up for seven years on a daily basis. The loss of 25,000 barrels per day over this period represents a significant loss of resources for the federal, state, and local governments, as well as for Shell, NNPCL, and the community itself.
Sara-Igbe further stated, "We have reached an agreement with SPDC that they must meet all stipulated conditions before proceeding. We have also requested that the regulatory authority take the initiative to assess the development status of the communities involved in oil production to ensure they are not misled by SPDC."
While Shell and other attendees at the meeting refrained from commenting to the press, it was noted by THISDAY that the meeting proceeded without incident.