February 28, 2024
Addax oil

INDICATIONS are that the nation’s oil output may have further shrank by 22, 000 barrel per day following  the resumption of strike action embarked upon by over 324 employees of Addax Petroleum Development Nigeria.

It may be recalled that the Federal Government and management of the company has been unable to address the anti-labour practices and payment of their exit packages as Addax is ready to exit Nigeria.

Addax is owned by China’s Sinopec Group with four Oil Mining Licences, OML 123, 124, 126 and 137. The company is operating the assets in Production Sharing Contract (PSC) with the Nigerian National Petroleum Corporation (NNPC) Limited.

Read Also: NNPC: Optimising oil & gas investments for economic development

Government withdrew the operating licences from Addax in March 2021 due to the company’s refusal to fully develop the oil wells.

NNPC has since taken over the assets hitherto ran by Addax and has resumed lifting all the oil thereof since June 2022.

According to the workers, Addax has tidied up on her exit, but the NNPC has refused to execute the exit agreement for reasons best known to them, adding that while this drama continues to linger, the employees continue to suffer.

Leave a Reply

Your email address will not be published. Required fields are marked *