• Wednesday, May 08, 2024
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NNPC GMD leads top team to reopen 35,000bpd Kula flow-station

NNPC urges professionals to find solutions to oil industry challenges

The shadow- fighting over right to operate the 35,000bpd Kula oilfield known as Oil Mining Lease (OML) 25 is over. Now, the Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, is to flag off the shutdown flow station located at Belema town.

OML 25 is located 50 km (of water travel) southwest of Port Harcourt in the onshore eastern delta and is part of the NNPC/SHELL Joint Venture (JV).

SPDC and Belemaoil reached deals on September 17, 2019, in Abuja at the instance of the new Petroleum Minister (Timipre Sylva) after the groundwork had been done by Kyari, all to resolve the dispute and plug the daily loss of about $1.9m. Shell got reaffirmation of their license which was renewed in November 2018 while Belemaoil got the right to maintain the oil field including right to jobs and contracts; and the communities got huge payouts and community development projects. This has led to jubilation in all quarters especially in the communities.

The founder of Belemaoil, JackRich Tein Jr, has paid a visit to Kula to report to the monarchs and the people and make way for the visit of the top industry leaders from Abuja. Belemaoil is to facilitate safe operations in the oceanic field.

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A statement from Belemaoil said the GMD is to lead a high powered delegation to Kula on September 28, 2019, with a view to the re-opening of OML 25 Flow Station in the area which was shutdown over two years ago due to a protracted dispute between Shell and its host communities, but with Belemaoil at the background.

The Belemaoil statement said; “The move followed a peace agreement brokered by the Group Managing Director of NNPC and the new Minister of State for Petroleum Timipre Sylva between Shell and Belemaoil Producing Limited.

The statement by the Belema Founder said under the peace agreement, while Shell retains the ‘Operatorship License’ of the oil facility, Belemaoil will control Maintenance, Operation, Employment, Contracts and Surveillance jobs. Jack-rich further explained that both companies will jointly handle the developmental needs of the host communities.

According to the engineer, “The agreement enables Belemaoil and Shell to work together. Shell remains the ‘License Owner’, remains the License Operator’; but Belemaoil will be responsible for ‘Operation and Maintenance’, Belemaoil will employ the personnel in the entire field, Belemaoil will ensure that all the ‘Surveillance and Patrol Services’ are carried out in the field. Belemaoil and Shell will jointly work with the host communities to understand their developmental programmes and needs and ensure that they are carried out to the satisfaction of the communities.

“It is a critical deal and it is a winwin deal where everybody is happy”, he said. The founder said at thanksgiving in Kula that the peaceful resolution calls for unity among all sons and daughters of Kula Kingdom, and an end to all forms of hostility in Kula.

For his part, the king of Belema people, Bourdillon Allen Ekine, the Oko XXVIII, described the Tein Jr as the Moses of the people sent by God to liberate them from enslavement and backwardness.

Also speaking, the spokesperson of Belema Community, a chief, Fiala Okoye-davies, described the founder as eminent ambassador of Kula Kingdom, a trail blazer, a pathfinder, a high flier, and a pacesetter. Other leaders also spoke in same vein.