The Petroleum and Natural Gas Senior Staff Association of Nigeria has issued a stern warning of a potential mass withdrawal of its members from both office and field locations. This drastic action is in response to the alleged sale of Eni Nigeria and Nigerian Agip Oil Company Limited to O and O Plc.
Eyong Survival, the Branch Chairman of Agip Group PENGASSAN in Port Harcourt, Rivers State, expressed deep concern about Oando’s acquisition of 100% shares of Nigerian Agip Oil Company Limited and Eni Nigeria’s sale of its 20% equity share in NAOC JV to O and O without any prior consultation or information provided to the union.
Survival revealed that the union had engaged in discussions with the company’s management once news of the NAOC JV assets sale to O and O became public. However, the managing director allegedly refuted any knowledge of such a plan.
This impending sale of NAOC JV assets has raised serious concerns among union members, particularly due to the challenging economic conditions in the country. Survival highlighted the lack of transparency in this process, as neither the union nor its members were informed beforehand.
Survival stated, “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 per cent equity share in NAOC JV, comprising OML 60, 61, 62 & 63, covering parts of Rivers, Delta, Bayelsa and Imo States to Oando Nigeria Limited, transferring all her assets and liabilities to O and O, without recourse to outstanding financial obligations to the workers, vis-avis their employee savings plan, pension and gratuity.”
He further noted that the union had attempted to seek clarity on the potential sale in a meeting held on July 12, 2023, but the managing director vehemently denied any such plans and instead discussed plans for injecting IPP phase 2-generated power into the national grid and the possible conversion of OPL 245 to OML by the Government.
Survival emphasized that over 3000 indigenous workers might face unemployment due to the lack of transparency in the sales transaction, and many employees were now experiencing health challenges as a result of the announcement by the MD of Eni Nigeria.
In response to these developments, the union has taken the stance that due process must be followed by Eni Management. As a result, the union has ordered the complete withdrawal of its members from all company offices and field locations until a satisfactory agreement is reached with Eni Nigeria and AGIP Group PENGASSAN.
This withdrawal action has already had significant consequences, with gas supply to Indoranma being affected, daily oil production of 30,000 barrels of crude oil suspended, approximately 10 million standard cubic feet of LNG gas to NLNG cut off, and about 350MW of Okpai IPP power to the national grid shut down.
Survival further noted that, preceding the shocking announcement of the NAOC JV sale, the management had already evacuated all Italian expatriates from field locations.