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Failure to honour Local Content Act, host communities issue quit notice to NECONDE on OML 42

OML 42 Host Communities Forum in Warri South West of Delta State yesterday issued a 21 day ultimatum to  NECONDE to sort some lingering issues raised or quit the area.

The host communities also called on the Federal Government to revoke the mining lease licence granted NECONDE, for failing to localized the Local Content Act.

Making this call on behalf of other host communities leaders during a press briefing and an organized protest at Ishaka Hotel Ekpan, Comrade Mulade Sheriff, Chairman, Kokodiagbene said the quit notice and revocation call was timely to avoid imminent crisis.

According to Comrade Mulade, since the recommencement of oil exploration activities in OML 42 in 2012, no single community re-entry project has been executed in the host communities.

He further said it was disheartening and provocative the refusal of GMD, NECONDE Energy Limited to honour his agreement with OML 42 host communities to remit 5 percent of its host communities, which according to him was inimical to peace in the region

“More disheartening and provocative is the blatant refusal of the GMD of NECONDE Energy Limited to honour his agreement with OML 42 host communities to remit 5 percent of its 45 percent to host communities, an act inimical to continuous peace in the region”, Comrade Mulade added.

He said unwholesome activities of NECONDE tactically relegating all indigenous Niger Delta contractors by re-awarding all contracts in OML 42 operations to their cronies and tribesmen was unacceptable.

“The evil attempt to relegate indigenes by NECONDE and replace all communities workers currently working in all the flow stations with non-indigenes, relatives, and friends is a calculated attempt to short change local indigenes of their source of livelihood”, Mulade said.

The Kokodiagbene Chairman stated that the host communities would do everything possible to ensure that the host communities rights were achieved, added that OML 42 would also be shut down should the company ignore or treat the order with disdain.

He however assured that if the company meet their conditions the quit notice and revocation calls would be lifted.

Reacting to the allegations, the Chief Operating Officer of NECONDE, Chief Olajide Ishola said the whole agitation was a mere oil politics, stressing that the company has honoured its agreement with host communities.

According to Chief Ishola, there was no 5% agreement consummated with the host communities as at when Shell sold its equity shares to his company.

He further stated that the company has employed indigenes to operate and manage facilities of the company.

“We have employed a lot of the indigenes to operate and manage the facility. Unless they want my position as the number two man in the company is Ijaw man”, he said

The Chief Operating Officer of NECONDE, Chief Olajide Ishola promised to engage the communities and reach a compromise, saying NECONDE is a peaceful company.


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