By Oscarline Onwauemenyi
ABUJA – The Nigeria National Petroleum Corporation (NNPC) has said that issues between it and its partners could be resolved without recourse to arbitration.

The Group Managing Director of NNPC, Engr. Austen Oniwon, who expressed his dismay on issues of arbitration between the Corporation and its Joint Venture (JV) partners, stressed that “arbitration should be the last resort when all avenues of dialogue between us are exhausted.”

He noted that NNPC is committed to continuous dialogue between itself and the International Oil Companies (IOCs) towards resolving key areas of concern.

“The best way forward is working together. I assure you that as partners, we’ll sustain the culture of dialogue in resolving our key issues and challenges. I’ll not be tired of dialogue especially that which will bring about the desired progress,” Oniwon stated.

According to him, the IOCs who have been very dominant in the upstream sector should also demonstrate their interest and commitment towards the downstream sector so as to generate the desired results and turnaround for the nation’s refineries.

He also commended them for their perseverance especially during the period of unrest in the Niger Delta, adding that the Federal Government will continue to ensure that the relative peace currently eanjoyed in the region is not short-lived.

“I hope that with the amnesty in place, we’ll continue to enjoy the peace we all need for our smooth operations.  I therefore appeal to you to maximize this peaceful period to re-engage the host communities so that the peace will be long-lasting.
“We want you to translate your commitment to the job on ground so that the host communities and the entire Nigerians will see that the nation’s oil and gas industry is still vibrant,” he said.
On the various issues raised by the IOCs concerning the Petroleum Industry Bill (PIB), the GMD assured them that all the gaps will be closed and the issues thrashed so as to move forward.
To this end, Engr Oniwon said a technical committee will be set up to look at the various interests of all parties and harmonise them before the bill is finally passed into law.

“Whether we agree or we don’t agree, a bill will definitely be passed by the government. So it is left for us to work together and ensure that a good bill which will bring about a win-win situation for all parties is passed.

He later charged them to utilize the opportunity provided by the Federal Government’s new gas pricing regime to look into their various gas projects and see how they will be fast-tracked.

Speaking on behalf of the five IOCs at the meeting, the MD of ExxonMobil, Mr. Mark R. Ward, pledged their commitment to working together with the NNPC “as a senior partner”, especially in resolving their areas of concern.

Some of the key concerns, according to Ward include stability in reasonable return on investments for their shareholders vis-a-vis government take; protection for existing investments and agreements as well as the long-standing issue of funding.

The IOC chiefs present at the meeting were: MD Total, Guy Maurice; VP Commercial Shell, Peter Robinson; MD NAOC, Ciro Pagano and ED Chevron/NNPC JV, Supo Shadiya who represented his MD, Mr. Andrew Fawthorp.