Delta Community Protests Alleged Neglect By Chevron

The Chairman Ugborodo Community Management Committee, Austin Oborogbeyi

 

Residents of Ugborodo community in Itsekiri municipality located around the Escravos Waterways in Delta State have protested alleged neglect by oil giant, Chevron Nigeria Limited.

The protesters who picketed the company’s Operational Headquarters in Warri South-West Local Government Area of the state demanded that Chevron should honour the agreement made by both parties.

Chairman Ugborodo Community Management Committee, Austin Oborogbeyi, who spoke to Channels Television, accused Chevron of refusing to construct shoreline protection against erosion.

“Service boats continually ply this Escravos river causing waves leading to erosion on our land.”

Oborogbeyi pointed to Channels Television, an electric pole which was erected in 2000 and was inside the community, but today, the pole is on the seashore.

“And I can assure you that if nothing is done in the next 6 months, the next pole you are seeing there will be gone. And that means we will continue to move our electric poles, we will continue to move our houses.

“Chevron does not give us electricity. Chevron has electricity in the tank farm. If we can get two hours a day, we are lucky. There is no water,” he stated.

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Similarly, a Youth President in the community, Samuel Ugbonu, said oil companies have been doing business yet the community has nothing to show for it.

He called on the Federal Government to come to their aid by compelling Chevron and Shell oil companies to see to their plights.

“The community is going down day by day. And who is the company working here? Chevron and Shell. Look at, nothing for the people to show.

“If you go there, you will see that there is nothing to show that this is the community they are exploiting oil day and night,” he said.

Meanwhile, the management of Chevron Nigeria Limited in a press statement denied the allegations made by the community leaders.

The oil company said that it is committed to its Corporate Social Responsibility not just to Ugborodo community but to other host communities where its operations go on.

“CNL wishes to state that the allegations are not true.

“In fact, CNL has a long-standing relationship with Ugborodo community which dates back to years before the establishment of its new community-driven participatory partnership model for community development known as the Global Memorandum of Understanding (GMoU),” it said.

Chevron To Acquire US Rival Anadarko For $33bn

(FILES) In this file photo taken on June 02, 2015 a picture shows the logo of US oil giant Chevron during the World Gas Conference exhibition in Paris. Eric PIERMONT / AFP

 

Chevron announced Friday it will acquire smaller US rival Anadarko for $33 billion in a deal that strengthens the oil giant’s exploration and production holdings in its home market.

The cash-and-stock transaction is centred on Anadarko’s properties in the Permian Basin in Texas and the Gulf of Mexico, two areas where Chevron is already a big player and where economies of scale can help drive value with suppliers and in key drilling and production operations.

Anadarko also has a handful of overseas ventures, including a major liquefied natural gas project in Mozambique that Chevron said would help bolster one of Chevron’s major global businesses.

“This transaction builds strength on strength for Chevron,” said Chevron Chief Executive Mike Wirth.

“The combination of Anadarko’s premier, high-quality assets with our advantaged portfolio strengthens our leading position in the Permian, builds on our deepwater Gulf of Mexico capabilities and will grow our LNG business.”

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For Chevron, the second-biggest US oil company after Exxon Mobil, the takeover of Anadarko marks its biggest deal since its purchase of Texaco, which closed in 2001.

In another transaction, Chevron in 2005 bought Unocal for $18.3 billion after raising the price during a high-profile bidding war with China’s CNOOC that drew interest from lawmakers in Washington.

The acquisition is composed of 75 per cent stock and 25 per cent cash, with Anadarko shareholders receiving 0.39 shares of Chevron and $16.25 in cash for each Anadarko share held.

By combining the companies, Chevron expects to cull $1 billion in costs. The oil giant will also “high grade” its portfolio and sell off some $15 billion to $20 billion of assets.

In 2018, Chevron had $42.4 billion in revenues and pumped 3.1 million barrels oil equivalent per day, above the level of most members of the Organization of the Petroleum Exporting Countries.

Anadarko had $13.4 billion in revenues last year and pumped 666,000 barrels of oil equivalent per day.

Anadarko is perhaps best known for being a minority partner on BP’s ill-fated Macondo project in Gulf of Mexico, the site of the worst offshore oil spill in US history in 2010, following a well explosion that killed 11 people.

Anadarko in October 2011 transferred its interest in Macondo to BP as part of a settlement that resolved claims between the two companies.

Anadarko shares surged 32.1 per cent in pre-market trading to $61.80, while Chevron fell 3.1 per cent to $122.10.

AFP

 

Ecuador Court Upholds $9.5bn Damages Ruling Against Chevron

 

 

Ecuador’s highest court upheld in a ruling released Tuesday a $9.5 billion damages award against oil giant Chevron over decades of pollution that harmed indigenous people.

But the decision by the Constitutional Court is largely symbolic because Chevron now owns no assets in Ecuador, meaning the country will have to keep pressing its case in foreign courts.

In a ruling dated June 27 and released Tuesday, the court said “there is no violation of the constitutional rights” of Chevron in throwing out its appeal of a lower Supreme Court ruling against it in 2013.

Chevron was sentenced in Ecuador over environmental damage blamed on Texaco, which Chevron acquired in 2001, in this country’s rainforest during oil operations from 1964 to 1990.

Chevron did not deny that pollution had occurred. But the company blamed it on state-run Petroecuador, with which Texaco worked in a consortium, and has refused to pay the settlement on the grounds that it was the result of fraud and bribes.

Chevron spokesman James Craig said in an email to AFP that the upholding of the damages award “is consistent with the pattern of denial of justice, fraud and corruption against Chevron in Ecuador.”

Pablo Fajardo, a lawyer for the plaintiffs, who include indigenous people, said Chevron cannot appeal the court’s decision.

As Chevron holds no assets in Ecuador, the plaintiffs have tried in vain to sue the company in the United States, Argentina, Brazil and Canada in order to have Chevron assets seized.

Although their case is now still alive only in Canada, Fajardo said “there is no turning back.”

“It might take us a bit longer in foreign courts, but Chevon must pay. It cannot act like a fugitive from justice forever,” he said.

The plaintiffs argued that spills of toxic chemicals during oil drilling operations contaminated groundwater and soil in indigenous communities that were home to 30,000 people in the eastern provinces of Sucumbios and Orellana.

AFP

NNPC, IOC Sign Cash-Call Exit Agreement

NNPC, IOC, Cash-Call AgreementThe Nigerian National Petroleum Corporation (NNPC) and International Oil Companies (IOC) have signed an agreement to exit the Joint Venture Cash-Call Arrangement.

This brings to an end, the NNPC’s counterpart funding for 60% equity shareholding it owns in various oil and gas fields in international and indigenous oil firms.

The agreement was signed on Thursday in Abuja between the national oil company and Shell Petroleum, Nigeria Agip Oil, Total, Chevron and Exxon Mobil.

It is coming barely 24 hours after President Muhammadu Buhari announced that the Federal Government would cut provisions for the Joint Venture Cash-Calls, starting from January 2017.

The Minister of State for Petroleum, Dr. Ibe Kachikwu, noted that a governance process would be set up with immediate effect, to manage a new funding mechanism that would provide for cost recovery.

The NNPC Group Managing Director, Maikanti Baru, on his part, explained that the exit has set the stage for a review of the cash-call agreement.

He added that it has also created an opportunity for the adoption of a more sustainable funding arrangement with international oil companies’ joint venture operations.

Cash-calls is a counterpart funding the NNPC pays annually for the 60% equity shareholding it owns in various oil and gas fields operated by IOC and indigenous oil firms.

In 2016, underfunding for cash-calls amounted to $2.5 billion, bringing the national oil firm’s total cash-call arrears over the years to $8.5 billion.

Shell Resumes Oil Exports From Forcados Terminal

ShellRoyal Dutch Shell has resumed crude oil exports from the forcados terminal. This follows the restoration of the damaged facilities by Niger-Delta militants in the south-south region of the country.

The development was communicated to the presidency by the Director of Global Upstream of Shell, Andrew Brown.

Forcados crude has been under force majeure from operator, Shell, since a militant attack on the sub-sea pipeline in February.

Exports from the terminal was between 250,000 and 300, 000 barrels per day before the strike claimed by militant group, Niger Delta Avengers.

Meanwhile, the militant group at about 4am on Wednesday reportedly blew up a Chevron offshore export pipeline at Escravos in Delta State.

Niger Delta Avengers Blow Up Pipeline In Warri

NNPC, Niger delta avengersAs Muslims across the world prepare to celebrate Eid-El-Fitr, which signifies the end of the Ramadan fast, here in Nigeria, the government is faced with the challenge of stopping incessant bombing of pipelines in the Niger Delta.

The militant group, blew up a Chevron well and oil pipelines near Warri in Delta State.

“At 10.23pm Monday night, the Niger Delta Avengers Blow up Chevron pipeline at Batan and Makarava.”, the group said via their twitter handle, warning that their “struggle” cannot be stopped.

The latest in the string of bombings over the past weeks has contributed to a fall in Nigeria’s crude oil production to a 30-year low.

The group also claimed responsibility for vandalising an Nigerian Petroleum Development Company (NPDC) remote manifold, close to Banta, and two crude pipelines.

“Other attacks was carried out at 11:15pm as Niger Delta Avengers blow up NPDC Manifold close to Banta and two PPMC/NNPC crude oil trunk Lines” it said in a statement signed by its spokesman, Brig.Gen Mudoch Agbinibo.

The signed statement was posted on their website.

Soyinka Condemns ‘Senseless’ Attacks On Oil Facilities In Niger Delta

Wole Soyinka, Niger Delta, OilNobel laureate, Professor Wole Soyinka, has described as ‘senseless’, the attacks on Nigeria’s oil facilities by the Niger Delta Avengers.

This comes as the Federal Government considers dialogue in order to end the violence on oil installations in the oil rich Niger Delta region.

At the side line of an event in Lagos State, Professor Soyinka told Channels Television that unlike the Movement for the Emancipation of the Niger Delta (MEND), he was yet to find out what exactly the militants actually wanted.

He noted that the only thing he had seen was the unjust destruction of the nation’s oil facilities.

The Niger Delta Avengers have claimed responsibility for recent attacks on infrastructure in the oil rich region, crippling oil production and rendering the energy sector paralytic.Niger Delta, US, Nigeria

The latest attack carried out by the group was the attack on a crude oil pipeline belonging to Chevron Nigeria Limited in the early hours of Wednesday, June 8.

The group said on its Twitter feed that it blew up Well RMP 20, belonging to Chevron, located 20 meters away from Dibi flow station in Warri North Local Government Area of Delta State.

The group also tweeted that it has rejected an offer to start talks with the government to end a series of attacks on oil facilities.

“At 1:00am today, the @NDAvengers blow up Well RMP 20 belonging to Chevron located 20 meters away from Dibi flow Stattion in Warri North LGA.

“This is to the general public we’re not negotiating with any Committee. if Fed Govt is discussing wth any group they’re doing that on their own”, the tweets said.

 

Oshiomhole, Masari Condemn Attacks On Oil Facilities

Adams Oshiomhole, Aminu Masari, Niger Delta AvengersEdo State Governor, Adams Oshiomhole, and his Katsina State counterpart, Governor Aminu Masari, have condemned the recent blowing up of oil pipelines by militants in Nigeria’s Niger Delta region.

Speaking with State House correspondents shortly after a meeting he had with President Muhammadu Buhari in the Presidential Villa, Governor Oshiomhole noted that what the President deserved was the support of all Nigerians.

He said what was happening in the southern region would make the area unattractive for investment and called on the people of the Niger Delta to be patient with the Buhari-led administration that had so far shown determination to provide jobs for the unemployed.

The Edo State Governor explained that the cash crunch, which has made it difficult for state governments to pay workers’ salaries was brought about by what he called “the misrule of the past”.

He said he and five of his colleagues had earlier met with the President to discuss the huge challenges being faced by many of the states.

Oshiomhole lamented that the unpaid salaries had created a vicious circle with landlords not getting their rents and market women unable to sell, leading to a depressed economy.

masari-katsinaOn his part, Governor Masari while speaking to Channels Television in Abuja condemned the recent attacks on the nation’s oil and gas facilities by the militant group, Niger Delta Avengers.

He said the group have no justification for their actions which he said were threatening Nigeria’s unity and should be condemned by all Nigerians.

This comes after the Niger Delta Avengers allegedly blew up another oil and gas facility belonging to Chevron in the southern region.

Lay Down Your Arms, N/Delta Leaders Appeal To Avengers

ND AvengersA group of elders in the Niger Delta region under the auspices of the Concerned Niger Delta Leaders are appealing to the Niger Delta Avengers, to lay down their arms.

The leaders are urging the new militant group to embrace peace for the development of the region.

Speaking at a press conference, National Coordinator of the Group, Mr Mike Loyibo, said the agenda of the militant group is still unclear, maintaining that their “current actions are clear sabotage and criminality against the state and humanity”.

The group also asked the federal government to take decisive action to develop the region.

The militant group on Wednesday claimed an attack which blew up Chevron Oil Well RMP 23 and RMP.

The group said the attack on the facility occurred at about 3:44AM.

Although the attack had not been confirmed by security agencies or Chevron, a tweet on the group’s Twitter handle read: “With the heavy presence of 100 Gunboats, 4 Warships and Jet Bombers NDA blew up Chevron Oil Well RMP 23 and RMP 24 3:44am this Morning”.

According to the NDA, the attack was carried out to “show the whole world that Nigeria Military is good in harassing innocent Civilians”.

It further explained in another tweet that RMP 24 and RMP 23 are Chevron Swamp Highest producing Wells.

The attack is coming barely 24 hours before President Muhammadu Buhari  launches the Ogoni clean-up project.

 

Niger Delta Avengers Claims It Blew Up Chevron Oil Well

Niger Delta AvengersA militant group in Nigeria’s Niger Delta region, the Niger Delta Avengers (NDA), on Wednesday claimed it blew up Chevron Oil Well RMP 23 and RMP.

The group said the attack on the facility occurred at about 3:44 a.m.

Although the attack  had not been confirmed by security agencies or Chevron, a tweet on the group’s Twitter handle read: “With the heavy presence of 100 Gunboats, 4 Warships and Jet Bombers NDA blew up Chevron Oil Well RMP 23 and RMP 24 3:44am this Morning”.

According to the NDA, the attack was carried out to “show the whole world that Nigeria Military is good in harassing innocent Civilians”.

It further explained in another tweet that RMP 24 and RMP 23 are Chevron Swamp Highest producing Wells.

Militancy is resurging in Niger Delta, with the group claiming responsibility for most of the recent attacks on oil facilities in the region holding Nigeria’s oil wealth.

The Niger Delta Avengers had last week said something big was coming, without giving details.

The attack came weeks after President Muhammadu Buhari had promised oil companies carrying out mining activities in the region that the government had intensified efforts to end the attacks on their facilities.

Anglican Primate Condemns Attacks On Nigeria’s Oil Pipeline

Minimum WageThe Primate of the Anglican Church in Nigeria, Most Reverend Nicholas Okoh, has condemned the recent attacks on the nation’s oil pipeline by the Niger Delta Avengers.

Most Reverend Okoh spoke on Friday at the 2016 Synod of the Church held in Abuja.

Further condemning the situation with huge potential of affecting the nation’s revenue that largely depends on crude sales, he, however, called for a ceasefire by the agitators in the interest of national development.

The Primate also urged the Federal Government to collaborate with host communities to secure oil pipelines.

“Nigeria is fighting too many battles at this time,” Most Reverend Okoh said.

His condemnation of the attack on pipelines came a day after a gas pipeline operated by the Nigerian National Petroleum Corporation in the region was attacked.

A spokesman for a local community group and a witness in Niger Delta region confirmed the attack to Reuters new agency.

The group, Niger Delta Avengers, has claimed some of the attacks on some pipelines on the region.

The attacks have affected the crude oil production of the nation at a period of volatile oil price, with a drop below 1.6 million barrels per day.

The attacks had forced U.S. oil major, Exxon Mobil Corp, to suspend exports from Nigeria’s top crude stream.

Days before the company suspended exports, militants attacked a Chevron platform.

After the attack, Chevron Nigeria Limited shut its Okan offshore facility, with resources deployed to respond to a resulting spill.

 

Nigeria’s Oil Production Shows Further Strain

Oil ProductionNigeria’s oil production showed further signs of strain on Thursday as intruders blocked access to Exxon Mobil’s terminal exporting in Qua Iboe, the country’s largest crude stream.

Exxon Mobil said that the terminal continued to operate even as the intruders blocked staff from gaining access from early morning hours.

The incident is the latest in a string of attacks and other problems at the oil infrastructure in Africa’s largest crude producer.

Militant activity in the oil-rich Niger Delta has taken out some 500,000 barrels per day of crude oil production from other companies in Nigeria, pushing oil output in Africa’s largest-producing nation to more than 22-year lows.