PENGASSAN threatens total shutdown over sale of NAOC, Eni Nigeria

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…3000 native workers will be laid off, it says.

Due to the suspected sale of Eni Nigeria and Nigerian Agip Oil Company Limited to O and O Plc, the Petroleum and Natural Gas Senior Staff Association of Nigeria has threatened to remove all of its members from field and office locations.

Eyong Survival, the Branch Chairman of Agip Group PENGASSAN in Port Harcourt, Rivers State, gave the announcement at a speech on Tuesday.

He expressed disapproval at Eni Nigeria’s outright sale of its 20% equity stake in NAOC JV to O and O and Oando’s acquisition of 100% of the shares of the Nigerian Agip Oil Company Limited without consulting or alerting the union.

 

When news of the sale of NAOC JV assets to O and O became the public, he said that the union held a meeting with the company’s management, but the managing director apparently denied that such a plan existed.

Given the difficult economic climate in the nation right now, Survival worried that the sale of NAOC JV will force many of its members into the labor market.

“The Managing Director of Eni Nigeria, Mr. Fabrizio Bolondi, invited the workforce to a meeting on the 4th of September, 2023, and callously informed us that Eni has sold its 20% equity share in NAOC JV, consisting of OML 60, 61, 62, and 63, covering portions of Rivers, Delta, Bayelsa, and Imo States to Oando Nigeria Limited, transferring all her assets and liabilities to O and O, without recourse

“It is important to emphasize that the Union, who represents the workers, was not informed beforehand that the sales deal would begin.

“Not long after that, the Union, on hearing rumors about sales of the assets, held a meeting with the Management on July 12, 2023, where the question was put forward to Eni Nigeria Management, asking if they had any plans to sell the NAOC JV assets to O and O or any other Company, but the managing director vehemently denied any plan of selling the JV assets.”

He went on to say, “Instead, the MD presented presentations on planned injections of IPP phase 2 generated power into the national grid, as well as potential government conversion of OPL 245 to OML.

“Over 3000 indigenous workers may be forced into the labor market as a result of the news of the sale of NAOC JV assets to OANDO, as the specifics of their sales transaction weren’t disclosed.

“As a result of that heartless announcement made by the MD of Eni Nigeria, a significant number of NAOC employees have suddenly had some health issues.

According to the union, Eni Management should follow the law. Up till an appropriate arrangement is achieved with Eni Nigeria and AGIP Group PENGASSAN, the Union has ordered a complete withdrawal of all of its members from all offices and field locations of the company.

“By that pullout move, gas supply to Indoranma has been impacted, daily oil production on 30,000 nbbls of crude oil has been discontinued, approximately 10 mscf of LNG gas to NLNG has been cut off, and approximately 350 MW of Okpai IPP electricity to the national grid has been shut down.”

According to Survival, the management had already removed all Italian expats from field areas before the stunning announcement of the NAOC JV sale.

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