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Lawmaker Demands Withdrawal Of Oil Blocs Allocated To Northerners

The debate on the Petroleum Industry Bill (PIB) took a new twist on Wednesday as a federal lawmaker, Senator Ita Enang, asked President Goodluck Jonathan … Continue reading Lawmaker Demands Withdrawal Of Oil Blocs Allocated To Northerners


The debate on the Petroleum Industry Bill (PIB) took a new twist on Wednesday as a federal lawmaker, Senator Ita Enang, asked President Goodluck Jonathan to revoke and re-award all the oil blocs allocated in the country. This he claims will balance the number of excess oil blocks owned by people from the northern part of the country compared to other ethnic groups.

Senator Enang claimed that 80 per cent of the nation’s oil blocs have been allocated to northerners contrary to the principle of federal character.

The Senator made the appeal while contributing to the on-going debate on the Petroleum Industry Bill (PIB) on the floor of the Senate.

It was in response to the criticisms by some northern lawmakers who on Tuesday opposed the provision of the PIB which stipulates that 10 per cent of revenue earned by oil companies must be donated to the Host Community Development Fund.

A breakdown of the oil bloc distribution as presented by Enang read:
“Cavendish Petroleum, the operators of the OML 110 awarded to Alhaji Mai Deribe of Borno State-North East, nets an average of about N4 billion monthly.
“Seplat/Platform Petroleum, operators of the Asuokpu/Umutu marginal field with Mallam (Prince) Sanusi Lamido, as a major shareholder and director.”

“South Atlantic Petroleum Limited (SAPETRO) established by General T.Y Danjuma, who is also the Chairman of Eni Nigeria Limited. SAPETRO partnered with Total Upstream Nigeria Limited (TUPNI) and Brasoil Oil Services Company Nigeria Limited to become operators of the OPL 246.”

“AMNI International Petroleum and Development Company is owned by Alhaji (Colonel) Sani Bello of Kontogora, Niger State. They are operators of OML 112 and OML 117. A former Petroleum Minister and former OPEC Chairman, Rilwanu Lukman, another northerner, manages AMNI oil blocs and with very key interest in the NNPC/Vitol trading deal.”

“Oriental Energy Resources Limited, a company owned by Alhaji Indimi runs three oil blocs: OML 115, the Oldwok field and Ebok field.”

“Alhaji Aminu Dantata’s Express Petroleum and Gas Limited operates OML 108.”

“OML 113 allocated to Yinka Folawiyo Petroleum Limited is owned by Alhaji W.I. Folawiyo.”

“OPL 291 was awarded to Starcrest Energy Nigeria Limited owned by Emeka Offor which was sold by Starcrest to Addax Petroleum. Emeka Offor still has a stake in Addax operations in Nigeria.”

“Mike Adenuga’s Conoil is the oldest indigenous oil exploration industry in Nigeria with six oil blocs.”

“Alhaji Saleh Mohammed Gambo’s Northeast Petroleum Limited is the holder of the OPL 215 License, NOREST Petroleum, which it is known as, was awarded the blocs OPL 276 and OPL 283 and closing thereupon a Joint Venture Agreement with Centrica Resources Nigeria Limited and CCC Oil and Gas.”

“INTEL is owned by Atiku, Yar’Adua and Ado Bayero and has substantial stakes in Nigeria’s oil exploration industry both in Nigeria and Sao Tome and Principe.”

Senator Enang, the Chairman, Senate Committee on Rules and Business is representing Itu and Ibiono Ibom Federal Constituency of Akwa Ibom State.

Richer than states

Mr. Enang, who spoke with journalists after the plenary, alleged that most of the owners of the oil blocs were richer than their geopolitical zone.

“Some people who own oil blocs in the North East are richer than their States. At least one person is richer than the entire six or seven states of the North East.”

“Now it is still said that the Niger Delta is taking too much when one person is taking from the profit he makes from each of the oil blocs more than what even the derivation that the totality of the states are taking.”

“Most of these oil blocs were awarded long ago. Most of the owners are so rich that the country becomes the poorer for it.”

“We should revoke all the oil blocs, re-allocate them either through this bill (PIB) or an Act of the Executive. This is the wealth of the nation” he demanded.

The Senator advised his colleagues to carry out thorough review of the inconsistencies in the PIB to ensure its prompt passage.

Also contributing to the debate, some lawmakers expressed their reservations over some sections of the bill.

The debate on the PIB is expected to be concluded on Thursday, but observers are worried  that the debate is focusing on issues based on ethnicity rather than looking at the bigger picture of producing a law which would sanitise the nation’s inept petroleum industry.