The protracted dispute over the OML 25 oil flow station in Kula Kingdom, Rivers State, appears to be nearing resolution after seven years of standoff. Key stakeholders, including Shell Petroleum Development Company (SPDC), host communities, and government officials, recently convened in Port Harcourt to finalize discussions on reopening the facility.
OML 25, capable of producing an estimated 45,000 barrels of oil per day, has been shut since 2017 following protests by youths and women from Offoiama, Ngeji, Belema, and Kula communities. The protesters accused SPDC of neglecting its social responsibilities, citing decades of oil extraction without providing basic amenities or employment opportunities.
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In 2019, the Federal Government brokered an eight-point agreement aimed at resolving the impasse. The agreement included allocating 7% shares to Belema Oil and creating job opportunities for local youths. However, SPDC cited security concerns, leading to delays in implementing the agreement and reopening the facility.
During the recent meeting, stakeholders revisited unresolved aspects of the agreement and explored pathways to restart operations. The gathering included representatives from SPDC, Belema Oil, the Nigerian National Petroleum Company Limited (NNPCL), regulatory bodies, Rivers State officials, and community leaders, including the Paramount Ruler of the Sara-Igbe Dynasty in Kula, Chief Anabs Sara-Igbe.
Community leaders expressed concerns over SPDC’s planned divestment from OML 25, while youth representatives highlighted frustrations over the lack of remediation efforts for the communities affected by years of neglect.
Efforts to secure comments from SPDC and government representatives regarding a timeline for reopening were unsuccessful, as they declined interviews.
The reopening of OML 25 is expected to significantly boost Nigeria’s oil production, which currently stands at approximately 1.8 million barrels per day. Host communities remain optimistic that the ongoing dialogue will resolve the seven-year impasse, leading to a more equitable partnership with SPDC and tangible development in the region.
