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Nigeria loses $5.1m daily as communities shut eight flow stations in Delta


Nigeria has been losing over $5.1m daily since Friday, November 6, 2020, as the OML 30 cluster communities shut down eight flow stations that produce 80,000 barrels of crude oil per day.

The OML 30 oil fields operated by Heritage Energy Operational Services Limited (HEOSL) is said to be the most viable and largest oil block in the country.

Cluster Management Committee (CMC) of OML 30 and presidents-general of the 112 communities, told journalists yesterday that the flow-stations were shut down over HEOSL’s failure to honour agreed obligations to the host communities.

Chairman of the committee, Dr. Harrison Patrick Oboghor and Secretary, Ibuje Joseph, disclosed that HEOSL was indebted to the communities to the tune of over N2.4b, adding that the firm had not been honouring Global Memorandum of Understanding (GMoU) with the host communities.


When contacted, a community liaison manager of HEOSL, who asked not to be named, confirmed that all the flow-stations in the OML 30 fields had been shut down, but declined to provide further details.

“They have shut all the flow stations down. We are no longer operating. What else do they want? He asked.

The CMC said the flow-stations would remain shut until the outstanding N2.4b owed the 112 communities were fully paid.

The Guardian learnt that in May 2020, the Delta State Ministry of Oil and Gas waded into the matter after HEOSL appealed to the state government to intervene.

Commissioner for Justice and Attorney General, Peter Mrakpor, who mediated in the matter, urged the firm to fulfill its agreement to members of the host communities, who had maintained a peaceful environment for its operations.

The CMC further accused HEOSL of consistent failure of its obligations to the host communities, stoppage of scholarship award and payment to communities, refusal to carry out staff audit of its Edjeba and Lagos offices as agreed and reneging on community projects since becoming assets operator.

It also accused the OML 30 operators of non-inclusion of indigenous personnel in management position reflecting 70/30 as enshrined in the GMoU, failure of HEOSL to pay vendors despite hitch-free operations and non-payment of salaries to access control workers for several months.

Other infractions are, hindering communities from accessing the deducted five per cent investable find from the GMoU fund and HEOSL’s refusal to abide b y the GMoU’s Article 5’10 of awarding the asset security and grass cutting directly to the host communities.


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