Due to the sale of NAOC and Eni Nigeria, PENGASSAN has threatened a complete shutdown.

In response to the reported sale of Eni Nigeria and Nigerian Agip Oil Company Limited to O and O Plc, the Petroleum and Natural Gas Senior Staff Association of Nigeria has threatened to remove all of its members from offices and field locations.

The notification was given on Tuesday in Port Harcourt, Rivers State, by the Branch Chairman of Agip Group PENGASSAN, Eyong Survival.

He was upset that Oando had purchased all of the shares of the Nigerian Agip Oil Company Limited and that Eni Nigeria had sold O and O its whole 20 percent equity stake in the NAOC JV without consulting or alerting the union beforehand.He added that after information about the sale of NAOC JV assets to O and O became public, the union had a meeting with the company’s management.

However, the managing director was said to have denied the existence of any such scheme.Survival bemoaned that, given the dire economic circumstances currently facing the nation, the sale of NAOC JV will force many of its members onto the job market.

The Managing Director of Eni Nigeria, Mr. Fabrizio Bolondi, invited the employees to a meeting on September 4, 2023, he said, “without recourse to outstanding financial obligations to the workers, vis-avis their employee savings plan, pension, and gratuity.

Eni has sold its 20% equity share in NAOC JV, comprising OML 60, 61, 62, and 63, covering parts of Rivers, Delta, Bayelsa, and Imo States, to Oando Nigeria Limited. This transfer of all her assets and liabilities to O and O has occurred.

“It is crucial to remember that the Union, which represents the workers, was not notified in advance of the sales agreement’s start.”Recently, the Union convened a meeting with the Management on July 12, 2023, following rumours of asset sales. The purpose of the meeting was to inquire if the Eni Nigeria Management had any intention of selling the NAOC JV assets to O and O or any other company.

The Managing Director categorically denied having any such plans.”Continuing, he stated, “Instead, the MD delivered presentations on the government’s potential conversion of OPL 245 to OML and the anticipated injection of IPP phase 2 generated power into the national grid.

“Over 3000 indigenous workers may be forced into the labour market as a result of the news of the sale of NAOC JV assets to OANDO, as the specifics of their sales transaction were not disclosed.Many NAOC employees are currently experiencing health issues as a result of the disrespectful statement made by the MD of Eni Nigeria.

“The union position is that Eni Management should adhere to due procedure. Members of the Union have been directed to completely leave all business offices and field areas until adequate negotiations with AGIP Group PENGASSAN and Eni Nigeria have been completed.

“That withdrawal action has affected the gas supply to Indoranma, suspended daily oil production of 30,000 nbbls of crude oil, cut off about 10 mscf of LNG gas to NLNG, and shut down about 350 MW of Okpai IPP power to the national grid.

“Surviving further stated that the management had removed all Italian expatriates from field sites prior to the startling announcement of the NAOC Partnership sale.