Business Hilights
Tracking Nigeria's Headline Business News Online

5 days to June 12, FG revokes Abiola family’s oil licence, others

Ahead of first national celebration of June 12 as Democracy Day, the Federal Government Thursday upturned the joy of the family members of late pillar of democracy, Chief MKO Abiola, on whose instance the build up for the national democracy day was decided.
Business Hilights gathered that the Department of Petroleum Resources (DPR), revoked five Oil Mining Licences (OML) and one Oil Prospecting Licence (OPL) belonging to five companies.
The regulatory body averred that the revocation was based on a presidential directive to “recover legacy debts” owed by the companies operating the licences.
Five firms affected included Pan Ocean Oil Corporation (OML 98); Allied Energy Resources Nigeria (OML 120 and 121); Express Petroleum and Gas Company (OML 108); Cavendish Petroleum Nigeria (OML 110) and Summit Oil International (OPL 206), belonging to the family of late Chief M.K.O. Abiola.
Additional details showed that whereas Pan Ocean hopes is at the verge of commencing oil and gas production from OML-147 at Owa Aladima, the well is one of the northern most developments in the Niger Delta, and also the first to be on production among the 2007 bid rounds.
More shocking is the fact that the firm’s three projects which will be ready for unveiling at the technical start up taking place June 10, 2019, is expected to contribute significantly to Nigerian industrialisation and economic growth, on the highway one part and empowerment of the host and impacted communities.
Though industry observers say the development was not completely unexpected as the immediate former Minister of State for Petroleum Resources, Mr. Ibe Kachikwu, had last February announced plans to recover the oil licenses of the companies indebted to it.