Host communities of Oil Mining Lease (OML) 25 in Rivers State have agreed to allow Shell Petroleum Development Company (SPDC) to resume oil production, provided the company fulfills long-standing commitments.
Following a crucial meeting in Port Harcourt with Shell representatives, state regulators, community leaders, and other stakeholders, spokesperson for the communities, Chief Anabs Sara-Igbe, emphasized that the delay in reopening the facility is due to Shell’s failure to honor agreements made over the years.
“The host communities are ready for Shell to begin operations immediately, but only if the agreed terms are met. We will not accept anything less than the community development we have been promised,” Sara-Igbe stated.
The meeting, attended by leaders from Kula, Ofoin-Ama, Belema, and surrounding communities, centered on an eight-point agreement made with Belemaoil, a local partner. The agreement highlights key development goals, including employment, infrastructure, healthcare, and local participation in security.
Sara-Igbe noted that despite decades of oil production yielding over 200,000 barrels daily, the local communities have seen no significant benefits such as roads, hospitals, electricity, or clean water.
“The people of Kula and surrounding areas have suffered long enough. Shell has failed to deliver on its promises. We demand that they sign a Purchase Order (PO) with Belemaoil to ensure job creation, training, and essential community services,” he said.
The communities also stressed the need for Shell to commit to an operational and maintenance contract with Belemaoil, ensuring local involvement in the project’s execution and security.
While promising to provide security for the facility, Sara-Igbe warned that Shell’s failure to fulfill the agreements would prevent any resumption of operations. He further called for accountability, stating that any new operators must take responsibility for Shell’s existing liabilities, with Belemaoil having the first right of refusal if Shell decides to divest from OML25.
Sara-Igbe expressed hope that the dialogue would lead to the long-awaited development of the region, ensuring that oil wealth benefits the local communities.
“SPDC must fulfill all conditions before proceeding. Regulatory authorities should also inspect the underdeveloped state of our communities, despite being significant oil producers, to avoid being misled by Shell,” he added.
The peaceful meeting concluded with Shell representatives promising swift action to address the outlined demands.
