Sarki Auwalu
The Director/Chief Executive Officer, Department of Petroleum Resources, Engr. Sarki Auwalu, in this interview spoke about the achievements and strategic business plans of the regulatory agency. Obinna Chima brings the excerpts:
We would like to know if you engaged Addax Petroleum to find out the challenge they were having before the decision to revoke their licences was taken and what condition did you give to the new company that is taking over the assets?
First, there is no company that we do not have constant interaction with. The DPR is the lifeline of every oil and gas company in Nigeria. We assess their performance, we give them visibility, when they produce, we give them extra parlay, and we manage their reserves. So, the issue of interaction is there.
Emmanuel Addeh in Abuja
The federal government has received the report of the compensatory contracts and other incentives committee on the abandoned $1 billion Kaztec Engineering Limited (KEL) fabrication yard, located in Ilase village, Snake Island, Amuwo-Odofin Council, Lagos State.
Submitting the report to the Minister of State, Petroleum, Mr. Timipre Sylva, in Abuja, Chairman of the Committee and Member of the Board of the Nigerian National Petroleum Corporation (NNPC), Senator Magnus Abe, described the assignment as sensitive.
Members of the inter-ministerial committee were drawn from the Department of Petroleum Resources (DPR), federal ministry of defence, ministry of finance, ministry of justice and the NNPC.
2 Min Read
LAGOS, April 7 (Reuters) - Nigeria’s oil and gas regulator has revoked four licences held by Addax Petroleum, it said in a statement on Wednesday, a highly unusual move for licences with producing assets.
Department of Petroleum Resources director Sarki Auwalu said in a post on the DPR website that Addax was not developing the assets sufficiently.
A DPR spokesman said the licences had already been re-awarded to Kaztec Engineering Limited and Salvic Petroleum Resources Limited.
Two Addax representatives in Nigeria did not immediately respond to messages on LinkedIn seeking comment.
Addax is owned by China’s Sinopec Group. Of the four revoked assets, OML 123, OML 124, OML 126 and OML 137, three have producing fields, Addax’s website says.
By Edith Ike-Eboh
Abuja, April 7, 2021 The Federal Government has formally received the report from committee on compensatory contracts and others incentives for KAZTEC Engineering Ltd.
Kaztec Engineering Limited is a subsidiary of Chrome Group, an indigenous engineering and fabrication company owned by Chief Emeka Offor.
The Company’s Fabrication yard on Snake Island, which houses Badagry Creek Industrial Park Free Trade Zone, licensed in 2014 was grounded in March 2015 when Addax Petroleum had tax issues with the Federal Government.
The grounding of the company also led to abrupt halt of the platform construction for oil production from Antan and Ofrima/Udele fields and unpaid salaries to workers, contractors, and vendors.