Indigenous oil firms, the Frontier Oil Ltd and Savannah Energy, Uquo Gas Ltd have assured affected communities of prompt payment of 3 per cent operational expenditure, Opex, as contained in the Petroleum Industry Act 2021.
The Managing Director/Chief Executive Officer of Frontier Oil Ltd, Engineer Dada Thomas spoke at the weekend during the inauguration of the Board of Trustees (BoT) of Ekid Host Community Development Trust in Eket Local government.
Dada explained that the Trust Fund is set up in line with the provisions of the PIA to provide a platform for the development of the companies’ host communities of Eket and Esit Eket local government areas.
“The process of selecting the trustees was consultative and thorough. Seven persons (three and four drawn from Eket and Esit Eket respectively) are the trustees of Ekid Host Community Development Trust(EHCDT).
“These are men and women of integrity and professional standing and I have no doubt that they will work as a formidable team in collaboration with the Settlors to deliver the desired participatory and sustainable development of our host communities.
‘FOL-SEUGL JV herein reiterates her commitment to the implementation of the provisions of the PIA 2021. We shall ensure prompt payment of the Opex and undertake to support the timely and successful implementation of agreed community development projects.
“To further demonstrate our commitment to the PIA implementation, we have opened four bank accounts in the name of the Trust with Zenith Bank, Ewet and have also deposited FOL’s share of the 3% Opex for 2021 and 2022. We are confident that Savannah Energy Uquo Gas Ltd will do likewise shortly”.
He warned against the vandalization of oil pipelines in the communities, saying such incidents was capable of robbing the communities of 3per cent Opex.
Chairman of the BoT EHCDT, Dr. Macaulay Akpan promised to manage and utilise the funds provided by the oil companies for the development of the host communities.
“We are entering into a social contract with Ekid people. We are conscious of the socio-economic and infrastructural needs of our people and we will discharge our functions with the fear of God.
“We will work with relevant stakeholders and governnment agencies such as the state government, the NDDC to avoid duplication of projects.
“We will also partner with the state government in the areas of skills development, rural development, health etc and even to get the governnment to augment the 3per cent”, he said.
Akpan further promised that the BoT will work with stakeholders and the communities to provide a conducive environment for the operation of the oil companies.
