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Oil companies to relocate to Niger Delta says Senate

Oil companies to relocate to Niger Delta says Senate

The Senate has said all oil companies in Nigeria should relocate their operational base to Niger Delta to foster smooth operation and production cost.

According to Peoples Gazette, this was made know at the plenary on Tuesday, following the adoption of a motion by Senator Albert Akpan, a PDP member representing Akwa Ibom State.

Senator Akpan argued that the companies initially operated from their respective operational bases in Niger Delta before relocating due to several reasons.

According to him, “the companies attributed their operation outside their host communities to insecurity and hostilities in the host communities.

“Their operation outside of host communities and operational bases accounted for the high cost of oil and gas production.

“This is a big setback to the country’s oil and gas industry, and it is militating against maximum revenue from crude oil and gas sales to the federation account,” he said.

Mr Akpan said the eventual relocation would further boost development in the region and enhance corporate social relationships.

He also said this move would strengthen the nation’s collective resolve to reduce the contentious cost of production in the oil and gas sector.

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