By Obas Esiedesa, Abuja

The KEFFES Host Communities Development Trust (HCDT) has issued a warning to NNPC Exploration & Production Limited (NEPL), threatening to shut down operations in the OML 86 and 88 oil fields over a lingering contract dispute.

In a letter addressed to NEPL’s Executive Director of Production and Asset Management, Chief Tuduo Christopher, KEFFES HCDT demanded urgent intervention, accusing Pennington Production Limited and its security vessel contractors of neglecting the concerns of host communities.

KEFFES HCDT represents eight oil-producing communities in Bayelsa State: Koluama 1 & 2, Ezetu 1 & 2, Foropa, Fish Town, Ekeni, and Sangana.

At the heart of the dispute is the reassignment of security vessel contracts—traditionally considered “community service contracts”—to external contractors without prior consultation or approval from the host communities. The move, according to the Trust, has deepened mistrust and sparked local unrest.

Despite assurances and several meetings held between April and May, the KEFFES communities allege that the newly appointed contractors—Multiplan Nigeria Limited and EDEMX—have shown little willingness to engage with local stakeholders. Community leaders say their patience is now exhausted.

Citing Section 257(2) of the Petroleum Industry Act, 2021, Chief Christopher warned in the letter that the situation, if left unaddressed, could escalate into vandalism, sabotage, or civil unrest, potentially disrupting oil production activities.

The letter stated: “Please note that if this happens, this letter serves as official notice and may be used as evidence of your failure to resolve this issue amicably.”

KEFFES HCDT issued a seven-day ultimatum to NEPL to convene a meeting between the Trust’s Board of Trustees and the new contractors. If the deadline is not met, the communities threatened to demand the evacuation of all contractors and vessels from the OML 86 and 88 fields within 14 days—warning of a complete shutdown of operations if their demands are ignored.

Additionally, the communities raised concerns over outstanding payments on invoices dating back to 2023. They noted that the unpaid sums have placed a heavy financial burden on local contractors, impacting their ability to sustain over 250 direct and 400 indirect beneficiaries.

“The vessels are not merely assets but are regarded as monuments of peace,” the letter emphasized, underscoring the critical social and economic role the contracts play in sustaining community stability.