Ikuru community in Andoni Local Government Area (LGA) of Rivers State has signed a contract worth N500 million. This agreement, facilitated by the Host Community Development Trust (HCDT) Board of Trustees (BoT), involves two local contractors and is aimed at providing reliable water access while exploring commercial bottled water production to support economic growth.
The water project is part of the 3% operating expenses (OPEX) allocated by Joint Ventures (JV) under the Petroleum Industry Act (PIA) guidelines, with Green Energy and Lekoil implementing the initiative through the HCDT and its independent board. This partnership is structured to foster long-term development, offering both immediate and sustainable benefits for Ikuru.
The initiative includes two major contracts. GEMARK Construction Limited will lead the water drilling project, while PEEMAN Integrated Services will construct the facility house. Both contractors are expected to ensure timely project delivery and adhere to high standards of quality.
Professor Lysias Gilbert, Chairman of the BoT of Ikuru Town HCDT, highlighted the community’s unique location—surrounded by ocean and saltwater—as a major factor in the decision to start bottled water production. This terrain poses distinct challenges in securing safe, potable water, and the new project aims to address this issue comprehensively.
“That is why we want to tackle this challenge as much as possible this time, believing that we will have a major breakthrough,” Professor Gilbert said.
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The project, estimated at over N500 million, will be executed in phases. The first phase involves water drilling by GEMARK, budgeted at N30 million, and construction of the facility house by PEEMAN at approximately N40 million. Gilbert expressed optimism that the 3% OPEX allocation will help fund subsequent phases, including the construction of water storage tanks.
“When good water is produced by GEMARK that is odorless, tasteless, and colorless, we will be able to lay pipes to connect the entire community with water,” Gilbert explained.
The community aims to complete this initial phase by December, with plans to establish a commercial bottled water facility by the end of next year. The revenue from bottled water production is anticipated to support future projects and create a sustainable income stream for the community.
Representing Green Energy and Lekoil JV, Godwin Okeke highlighted the significance of the water project for both the Ikuru community and the JV partners. He noted that past attempts to establish reliable water infrastructure in the area, including those led by major international oil companies, were unsuccessful due to the area’s unique environmental challenges.
“In the past, several water projects, even by well-known IOCs, were not successful,” Okeke said, emphasizing that a strong relationship with the Ikuru community will facilitate the project’s successful and timely completion.
“The JV has an excellent relationship with the communities. In fact, we were the first company to initiate community development projects even before the first well was drilled,” he added, explaining that the JV has a long-standing commitment to local development through annual funding and ongoing support.