NEWS
Senate probes Shell over Joint Venture default, seeks $200m refund to FG
By John Akubo
For failing to comply with the Petroleum Act thereby breaching the Joint Venture Agreement entered into with the Federal Government the Senate, on Wednesday, constituted an Ad-Hoc Committee to investigate Shell Petroleum Development Company (SPDC)
The Ad-Hoc Committee was mandated to probe the Oil Mining Lease granted to SPDC between 1959 to 1989 and 1989 to 2019 under the SPDC/NNPC Joint Venture agreement.
The Ad-Hoc Committee which was constituted by the Senate President, Ahmad Lawan, has Senator Aliyu Sabi Abdullahi as its Chairman.
Other members on the panel include Senators George Thompson Sekibo, Abdullahi Yahaya, Bassey Albert Akpan, Olamilekan Solomon Adeola, Smart Adeyemi, and Aishatu Dahiru Ahmed.
Accordingly, the chamber demanded a refund of $200 million (USD) or any amount short of what was paid by SPDC, including penalties and interests under the said lease agreements to the coffers of the Federal Government.
The resolution was reached by the chamber after it considered a motion sponsored by Senator George Thompson Sekibo (PDP, Rivers East).
The motion was entitled, “non payment of the sum of $200,000,000 accruals from the Oil Mining Lease (OML), by Shell Petroleum Development Company of Nigeria Limited under the SPDC/NNPC Joint Venture Agreement and, illegal and unlawful renewal of Oil Mining Leases by the Ministry of Petroleum Resources/Department of Petroleum Resources (DPR) contrary to the provision of paragraph 10 of the First Schedule to the Petroleum Act 1969 (now Section 86(1) and 86(6) of the Petroleum Industry Act 2022.”
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Sekibo, in a presentation, observed that the SPDC/NNPC Joint Venture (JV) agreement, in contravention of the provisions of the Petroleum Act 1969, by the defunct Department of Petroleum Resources (DPR) and the Ministry of Petroleum Resources, granted to the SPDC/NNPC a 30-year Oil Mining Lease from 1959 to 1989.
He observed that doing so constituted an illegal extension of the Oil Mining Lease by 10 years in the first instance, instead of the prescribed term of 20 years, without recourse to the provisions of the Petroleum Act 1969 in paragraph 10 of the First Schedule.
According to the lawmaker, “upon the expiration of the initial Oil Mining Lease in 1989, SPDC/NNPC JV, was granted another 30-year Oil Mining Lease again from 1st July 1989 to 30th June 2019, by the Ministry of Petroleum Resource/DPR instead of the 20 years lease period prescribed by the Petroleum Act, which is contrary to paragraph 10 of the First Schedule to the said Act”.
He disclosed that in the initial additional 10 years Oil Mining Lease of 1969 to 1989, illegally granted to the SPDC/NNPC JV by the Ministry of Petroleum Resources/DPR, the Federal Government lost from fees, taxes, rents, and royalties the sum of $120, 000, 000.
He stated that in the second instance of the extra 10 years the Federal Government also lost a further sum of $80,000,000, making a total of $200,000,000.
He noted that a loss of $200,000,000, which is equivalent to N83, 130, 000, 000 billion, could have been of great value to the economy of the nation.
He observed that the illegal action by the Ministry of Petroleum Resources/DPR as regards the SPDC/NNPC JV may not be the only non-compliant grant as details of other Joint Venture agreements with Chevron Nigeria Limited, ENI Joint Venture, EXXON Mobil Upstream JV, Total E & P Nigeria Limited JV, need to be ascertained through a thorough investigation to verify compliance with the provisions of the extant law.
He expressed worry that the trend of illegal extension of Joint Venture (JV) period from 20 years to 30 years lease period without recourse to the Petroleum Act may have also applied to other Joint Venture agreements with the International Oil Companies (IOCs) and need to be investigated.
Sekibo informed the chamber that SPDC went to Court on the clarity of the lease period and the judgment was not in their favour as regards the additional 10 years lease period in the two instances.
“Regrettably, the court failed to order the SPDC to pay the arrears the 20 years lease period to the tune of $200,000,000 to the Federal Government for the illegal extensions”, he said.
The lawmaker further disclosed that a whistle-blower petitioned the EFCC on the need to recover the sum of $200,000,000 from SPDC for these illegal extensions by the Ministry of Petroleum Resources/DPR and to further investigate all other Joint Venture agreements that involved the aforementioned IOCs.
He noted that the power to make laws for the Federation as vested in the National Assembly by the Constitution also encompasses the power to make laws for the promotion of national prosperity and a dynamic self-reliant economy as provided in section 16(1)(a) of the 1999 Constitution of the Federal Republic of Nigeria as amended.
He emphasised that the Constitution also gives power to each House of the National Assembly to carry out an appropriate investigation on an observed misapplication of the laws enacted by the National Assembly, as provided in Section 88 of the Constitution.
He stated further that Section 89 of the same Constitution provides the process on how such investigation should be carried out.
Accordingly, the Senate resolved to constitute an Ad-Hoc Committee to investigate the non-compliance with the Petroleum Act and the Oil Mining Lease granted to SPDC between 1959 to 1989, and 1989 to 2019 under the SPDC/NNPC Joint Venture Agreement; and compel SPDC to refund to the Federal Government the sum of $200,000,000 or any amount short of what was paid, including penalties and interests under the said lease agreement.
NEWS
BREAKING: Tinubu Sends State Police Bill to Senate as Nigeria Moves to Overhaul Security System
President Bola Tinubu has transmitted a Constitution Alteration Bill to the Senate seeking the establishment of state police across Nigeria, in what is being described as a major step toward restructuring the country’s internal security framework.
The proposed bill aims to amend relevant sections of the 1999 Constitution to provide legal backing for the creation of state-controlled police forces in addition to the existing federal policing system.
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The reform is intended to decentralise security operations and improve rapid response to growing security challenges across different regions.
According to the proposal, state governments will be empowered to establish and manage their own police commands, with oversight structures expected to be defined through constitutional provisions and supporting laws.
The move comes amid rising concerns over insecurity, including terrorism, banditry, and kidnapping in several parts of the country.
The administration has repeatedly argued that a centralised policing system is no longer sufficient to address Nigeria’s complex security realities.
Tinubu had earlier called on the National Assembly to consider constitutional amendments that would enable state policing, describing it as a necessary step toward strengthening grassroots security management.
The proposal has already gained momentum within the National Assembly, where lawmakers have been working on various constitutional amendment bills aimed at decentralising policing powers.
The Senate is expected to deliberate on the bill in an emergency plenary session, as the proposal continues to generate nationwide debate on the future of policing and security in Nigeria.
Details later……….
NEWS
Why Taraba Sanitation Agency Slashed Street Sweepers’ Allowance Again to ₦10,000
The Chairman of the Taraba State Environmental and Sanitation Agency, Illiya Kefas, has explained the reason behind the latest reduction in the monthly allowance of street sweepers under the “Operation Keep Taraba Clean” programme, sparking fresh reactions across the state.
The allowance of the workers, popularly known as street sweepers, was reduced from ₦15,000 to ₦10,000, marking another cut in their earnings since the programme was introduced in 2023.
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Kefas said the decision was necessary to sustain the agency’s operations due to rising workforce numbers and increasing financial pressure across the state’s 16 local government areas in Taraba State.
According to him, the adjustment was not a directive from Governor Agbu Kefas, but an internal administrative measure taken by the agency to manage its expanding responsibilities.
“The arrangement was an internal decision to sustain the activities of the agency and not a directive from the governor,” he said.
He explained that the agency now oversees a large structure that includes 16 local government coordinators, supervisors, monitoring teams, and more than 100 casual sanitation workers.
Kefas added that coordinators earn between ₦100,000 and ₦200,000 monthly, while supervisors receive about ₦50,000, and the agency also spends over ₦5 million monthly on feeding casual workers engaged in sanitation duties.
The latest reduction has added to a series of pay cuts affecting street sweepers since 2023. Initially, workers earned ₦20,000 monthly when the programme began, but their pay was reduced to ₦15,000 in 2024 and further slashed to ₦10,000 in 2026.
Defending the decision, Kefas maintained that workers dissatisfied with the new allowance were free to leave the programme.
“I have the right to ask my people to work at ₦10,000. Anyone interested will work, and if you are not, you can go your way,” he stated.
He also cited limited allocations from the Federation Account and increasing wage obligations following new recruitments as part of the financial challenges affecting the agency.
The development has continued to generate mixed reactions, with many residents questioning the sustainability and fairness of the repeated salary reductions.
NEWS
‘They Died Instantly’ — Survivor Speaks on Deadly Plateau Ambush That Claimed Two Lives
At least two people have been killed following a deadly ambush by suspected gunmen in Talma Village, Ngel District of Jos South Local Government Area of Plateau State.
The victims, identified as Sadiq Muhammad, 28, and Mas’ud Abdullahi, 29, were reportedly attacked around 8 p.m. on Monday while heading to their cattle pen.
Confirming the incident, the Plateau State Chairman of the Miyetti Allah Cattle Breeders Association of Nigeria (MACBAN), Ibrahim Yusuf Babayo, condemned the attack and called on security agencies to bring the perpetrators to justice.
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According to Babayo, the attackers opened fire on the victims multiple times, killing them on the spot.
“The perpetrators shot them several times, resulting in their deaths. This act of terrorism has become an everyday occurrence. People can no longer move freely without being attacked or killed,” he said.
One of the survivors, Ismaila Haruna, narrated his ordeal, revealing how he narrowly escaped death during the attack.
Haruna said he and the deceased were travelling on motorcycles to their cattle pen when armed men suddenly emerged and began shooting indiscriminately.
“Three of us were riding motorcycles when suddenly gunmen opened fire indiscriminately. We all fell down. My colleagues died instantly, but I managed to escape and reported the incident to personnel of Operation Enduring Peace,” he said.
The survivor added that security personnel later escorted him back to the scene, where the bodies of the deceased and their motorcycle were recovered.
He said the remains of the victims were subsequently released to their families for burial.
Babayo urged members of the community to remain calm and avoid taking the law into their own hands while security agencies investigate the incident.
“I am calling on all members to remain calm and not take the law into their own hands. We should all be law-abiding citizens,” he added.
Efforts to reach the spokesperson of the Plateau State Police Command, SP Alfred Alabo, for comments were unsuccessful as of the time of filing this report.





