Business Hilights
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Shell denies neglect of Kula, Belema towns, restates commitment to GMoU

Pioneer International Oil Company (IOC), the Shell Petroleum Development Company of Nigeria Ltd. operated Joint Venture (SPDC JV), has debunked allegations of neglect of communities in Kula kingdom, and Belema in Rivers State, insisting that it had implemented a Global Memorandum of Understanding (GMoU) in the area

The company also claimed that spirited implementation of GMoU in both communities has led to a variety of social investment projects including university scholarships awards.

Shell also noted its commitment to the welfare of host communities in the Niger Delta remains unshaken, and decried the illegal occupation of the Belema Flow Station and Gas Plant last week, by some persons suspected to come from the embattled communities demanding for jobs and amenities.

Though relevant authorities have been put on notice of the occupation, Shell said in a statement that it is working towards resuming safe operations.

Shell said the Rivers State Government initiated a mediation process for the resolution of the disagreements in the community, which had resulted in the creation of the Kula Project Implementation and Monitoring Committee (PIMC) in 2012.

Business Hilights gathered that the PIMC served as an interim platform for the delivery of social investment initiatives and programmes worth N263million in the Soku-San Berth Project. These projects are separate from the GMoU projects initiated by communities using funds provided by the SPDC JV.

Our correspondent gathered that even though the GMoU had been signed since 2014 for the Kula Cluster, it has not been implemented due to observed lingering intra-community misunderstandings.