By Samuel Ogenyi, Uyo
Akwa Ibom Oil Producing Community Development Network (AKIPCON), has demanded for N16.4 billion as compensation from the Nigerian National Petroleum Corporation (NNPC), for oil spills that devastated some communities in the state.
The demand was contained in a letter obtained by our correspondent in Uyo last weekend addressed to NNPC Managing Director and signed by the organisation’s lawyer, Barr. N. Williams of Reliance Chambers.
The letter was also copied to the Managing Director, Nigerian Petroleum Development Company Limited (NPDC); the Managing Director, Sterling Oil Exploration & Energy Production Company Ltd. (SEEPCO); the Executive Secretary, National Human Rights Commission (NHRC), the Manager, Cooperate Lands Management, and the Village Head, Ikot Ada Udo Community, Ikot Abasi L.G.A, Akwa Ibom State.
AKIPCON, in the letter said it has for several years for many years demanded for compensation from Shell Petroleum Development Company (SPDC) and other oil companies due to the negative effects of hydrocarbon pollution (oil spills, gas flaring from corked and uncorked wells, especially those belonging to SPDC Ibibio I at Ikot Ada Udo and elsewhere in the State.
“In the case of Ikot Ada Udo, SPDC Ibibio 1 , oil spills incident first occurred in the year 1997. It re-occurred in 1999, 2004 and lasted till 2007 due to Ibibio 1 oil well head facility failure. The spills resulted in the discharge of remarkable quantity of crude oil into the majorly rural farmlands and water bodies in Ikot Ada Udo and adjoining villages in Ikpa Nung Asang Clan in Ikot Abasi L.G.A, Ibiaku/Ukpum Minya Clans in Mkpat Enin L.G.A and Abak Midim in Oruk Anam L.G.A. The spills drastically affected the ecosystem, wellbeing of the inhabitants and the environment.
“Sequel to this unfavorable development, the community Attorney consulted an Accredited Estate Surveyors and Valuers who carried out valuation of the damages caused by the said spill/gas emissions which is in the sum of N4,136,484,000.00 only for Ikot Ada Udo.
“The valuation for villages in Ikpa Nung Asang in Ikot Abasi L.G.A, Ukpum Minya/Ibiaku Clan in Mkpat Enin L.G.A and other SPDC’s host communities in Akwa Ibom State is N12,266,950,000.00 (Twelve Billion, Two Hundred and Sixty-Six Million, Nine Hundred and Fifty Thousand Naira) only, totaling N16,403,434,000.00 (Sixteen Billion, Four Hundred and Three Million, Four Hundred and Thirty-Four Thousand Naira) only.” It stated.
The association alleged that SPRC in order to avoid payment of the compensation sold their stakes in the oil wells to the NNPC while waiting for the Court of Appeal and National Human Rights Commission’s Special Investigation Panel (SIP) set up in 2016 to investigate oil spills and environmental pollution to conclude all AKIPCON matters before it.
“SPDC surreptitiously sold out Ibibio 1 & II oil and gas wells to your company which has now become part of your OML13. This is in order for SPDC to avoid payment of compensation to alleviate the long years of sufferings of their host community of Ikot Ada Udo and other affected communities.
“It is upon these facts and circumstances that our Client has instructed us to raise this representation to you to inform you that since you have bought and fully taken over the aforesaid assets of SPDC (Ibibio 1 & II oil and gas wells – being part of your OML13).
“You should take immediate steps to settle the liabilities left behind by paying compensation to the victims of the said oil spill using Valuation Report already submitted to SPDC, within 30 days upon the receipt of this letter.” The letter demanded.
The letter expressed hope that as responsible and responsive company operating under the Law and International Best Practices, NNPC would create an avenue of dialogue with AKIPCON to negotiate on the matter for the sake of justice and industrial harmony.
