Home / Business /  SPDC’s position on the purported takeover of SPDC JV’s Kidney Island and OML 11 by Rivers State Government

 SPDC’s position on the purported takeover of SPDC JV’s Kidney Island and OML 11 by Rivers State Government

The Shell Petroleum Development Company of Nigeria Limited (SPDC) has dismissed the purported takeover of Kidney Island asset of the SPDC Joint Venture in Port Harcourt by the Rivers State Government in the exercise of rights purportedly gained through a court auction process that is still the subject of ongoing appeals at the Court of Appeal sitting in Port Harcourt.

According to SPDC, any purported exercise of rights allegedly gained through that process including any attempt to take over or seal up the Kidney Island asset or other assets of the SPDC JV to satisfy claims in pending suits is premature and prejudicial to the ongoing court proceedings, and therefore not recognized.

Under the Nigerian Petroleum Act, any acquisition or assignment of interests in a license or lease would require the consent of the Minister of Petroleum. We have given no such consent with the purported acquisition by the Rivers State Government.

In addition, the ruling of the Supreme Court on 27 November 2020 did not decide liability or the size of the award in the underlying suit of Chief Ogbara & Others Vs SPDC  neither did the ruling affirm the purported sale of SPDC JV’s assets to the River State Government as being claimed by the state.

Meanwhile, there is pending litigation by SPDC in which the Federal High Court has issued an interim order restraining further enforcement of the underlying Agbara judgment pending the hearing of the motion on notice fixed for hearing on 14 January 2021.

SPDC, therefore, calls on the Rivers State Government and those claiming an interest in the SPDC Kidney Island asset to stay further action to allow the due process of the law as enshrined in the Nigerian Constitution.

We remain of the view that until the pending appeals are heard and determined, any exercise of rights including any attempt to take over or seal up SPDC JV’s assets by the Rivers State Government is premature and unlawful.

About Gladys Johnson

Gladys Johnson The Publisher/Editor-In-Chief Global Business Drive Phone: +13465619347 Email: info@globalbusinessdrive.com gladysjohnsonmedia@gmail.com gladys@globalbusinessdrive.com globalbusinessdrive@gmail.com

Check Also

OGTAN Celebrates Seplat Energy’s Outstanding National HCD Scholarship Scheme

Seplat Energy, a leading indigenous energy company in Nigeria has been recognized by the Oil …

Leave a Reply

Your email address will not be published. Required fields are marked *

pub-5127930111112337, DIRECT, f08c47fec0942fa0