Moves by some members in the House of Representatives from Kogi, Anambra and Enugu states to have their states accorded the recognition of oil producing states have generated heated arguments in the House in recent times.
Three members, Honourable members Tony Nwoye (Anambra), Patrick Asadu (Enugu) and Emmanuel Egwu (Kogi) had through a motion on Thursday prayed the House to help kick start the process that would make the Federal Government to declare the three states as oil producing states.
Their concern was the continuous delay in kick starting oil exploration in the Anambra Basin since the discovery of oil in the area in 2012.
Though there is no consensus among the three states on who owns what quantity of oil in the basin, the lawmakers however found unity on the floor of the House of Representatives, in a bid to ensure oil exploration activities commence in the Anambra basin.
In effect, the lawmakers had wanted the Federal Government to start full scale production of oil through opening of bids for oil prospecting and mining in the already discovered wells.
The three lawmakers jointly moved a motion to that effect. Honourable Egwu, who moved the motion titled: “Need to declare Kogi, Enugu and Anambra States as Oil Producing States,” also indicated that the motion touched on the boundary disputes involving the three states and the oil producing communities.
The lawmaker in his motion said that though there are lingering boundary demarcation cases before the National Boundary Commission between Anambra, Enugu and Kogi States, leading to violent actions among the neighbours the communities are willing to see oil exploration kick started soonest.
The lawmaker said that his colleagues have resolved to pinch the government on the need to start full time oil exploration in the aforementioned states. He said that it has become necessary “in order to optimise the commercial mining in the basin (where hydrocarbon activities began in 2012), for the benefits of the three states and to increase oil revenue for the country and resolve all outstanding boundary issues between Anambra, Kogi and Enugu States.”
Honourable Egwu while moving the motion, acknowledged the concerted efforts by the Federal Government in prospecting for oil deposits in various parts of the country in the hope of increasing domestic production.
The lawmaker attempted a history of oil find in the Anambra basin thus: “Government is fully aware of already explored and determined huge oil and gas deposits in commercial quantities in Anambra Basin, which cuts across Ibaji Area, Idah-1 , Alade-l, Atu-l , Inni-1 in Kogi State; Eziagulu Otu, Enugwu Otu, Nzam, Ezi-Anam, Anaku, Omor in Anambra State and Igga, Ojo, Uzo Uwani Areas in Enugu State.”
According to him, “The failure to optimally explore these already established huge deposits in the Anambra Basin which would generate social and economic activities in the Basin has caused disaffection and crisis across those bordering states.”
He further stated that between 1952 and 1986, three companies, namely Shell BP (now Shell Petroleum Development Company (SPDC), Elf (now Total Fina Elf) and Agip Energy had dug 25 exploration wells in this Basin but abandoned them due to government’s policy then that they are meant to be on strategic reserve.
In addition, he said that OPL 901 and OPL 902 (previously OPL 444) were all abandoned to waste in the region despite NNPC /NPDC on their own having carried out seismic activities in the Basin in parts of Kogi, Enugu and Anambra States with the same results.
He further explained : “Oriental Resources Plc has, since 2012, been prospecting on OPL 915 and OPL 916, derivable from the three adjoining states of Kogi, Enugu and Anambra state.”
“These have not been commercially mined as it is still awaiting Oil Mining Licence (OML) from the Department of Petroleum Resources (DPR) years after former President Goodluck Jonathan flagged off the operations of Oriental Petroleum Resources.”
The lawmaker stated that if the three states are declared as oil producing, it will not in anyway affect the on-going field tracing and provisional boundary demarcation between the states by the National Boundary Commission but will rather aid in determining the percentage of derivation accruable to the three states.
While opposing the motion, Chairman, House Committee on Federal Capital Territory, Honourable Herman Hembe declared that the motion was deficient, adding that the focus of the motion should have been boundary adjustment, adding that any of the states could lose their status if the boundary adjustment is completed.
Hembe said that there was the need to determine who owns what among the three states, adding that it was not proper to declare that the states are oil producing when the disputes had not been resolved.
The lawmaker then moved that prayers one and two of the original motion should be deleted. Prayer one read: “urge the Federal Government to direct the Ministry of Petroleum Resources, the Department of Petroleum Resources, DPR and Nigerian National Petroleum Corporation, (NNPC) to open up round table bids for oil prospecting and mining on the existing discoveries.
Prayer two read: “Urge the Federal Government to declare Kogi, Anambra and Enugu States as oil producing states since exploration/mining activities have begun in the Basin since 2012.”
House Minority Leader, Hon. Leo Ogor spoke in same vein as Hembe. He said that for a State to be declared an oil producing state, it must have an oil well which is able to produce 10,000 barrels per day. He said that the relevant government agencies should be allowed to move in to determine the oil status of the three states.
However, there was confusion on which of the prayer of the motion, Hon. Hembe asked that should be deleted in his counter motion. Hon. Buba Jibril, who hails from Kogi State had objected to Hembe’s submission that prayers one and three be deleted. He told the sitting that Hembe only asked that prayers one and two of the motion be deleted rather than prayers one and three. This confusion delayed proceeding for some minutes as members argued back and forth. The Speaker; Hon. Yakubu Dogara had to call for a replay of what Hon. Hembe actually said.
Eventually when the submission was replayed, it showed that Hembe asked that prayer one and two should be deleted. At the end of the day the House resolved to set up an ad-hoc committee to determine the commercial viability of the oil and gas deposits in the Anambra Basin in order to optimize commercial mining in the Basin.
The House noted that hydrocarbon activities had begun in the area in 2012, adding that there is every need to ensure the three states derive the benefits of the oil revenue, while Nigeria will also receive increase revenue upon the commencement of production activities.
The heated debates notwithstanding, the House was unable to resolve the subject of the motion at that sitting. It looks like the three lawmakers from Anambra, Enugu and Kogi were attempting a short cut of what has proved a protracted crisis but the turn out of the motion has further confirmed only a carefully patterned due process can yield the desired results.
As the House awaits report of the adhoc Committee, it is hoped that the decision would go a long way in dousing tension in the affected boundary states, and breathe life into the oil exploration activities of the Anambra Basin.
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