The Nigerian National Petroleum Corporation( NNPC) has launched an aggressive exploratory pursuit in the Chad Basin. During an oversight visit to the on going data acquisition operations recently, the Group Managing Director of the Corporation Mr. Austen Oniwon declared that NNPC, this time around, must find the oil, if it exists.
To this end, NNPC has deployed state-of-the-art technology in the present data acquisition and will
continue to do so in all aspects of exploration including drilling. All these efforts will lead to a clearer definition of the prospectivity of the basin. During the visit the GMD informed the government of Borno State that 3,550 square km of high resolution seismic data is planned to be acquired in two years. The data acquired will be processed and evaluated to identify drillable locations.
Currently about 420 square km of data has been acquired by IDSL (a subsidiary of NNPC) in partnership with Bureau for Geophysical Prospecting/China National Petroleum Corporation (BGP/CNPC) of China. By the end of the year 2010, NNPC expects to acquire over 500 square km of 3D seismic data from the basin. The seismic acquisition activities brought about the employment of over 1,000 youths. This is a contribution to the economic empowerment of the youths with the associated multiplier effects in the surrounding communities
and the state at large.
Further to the seismic activities, NNPC awarded the Environmental Baseline Studies (EBS) and Environmental Impact Assessment (EIA) to the University of Maiduguri as part of its corporate social responsibility. Prior to this, NNPC had drilled water boreholes in its operational area and also built and refurbished primary school blocks as part of its sustainable community development. The Frontier Exploration Services (FES) Division was created in 1989, from the former Exploration and Production (E&P) Division of the Oil and Gas Sector during the commercialization of NNPC.
The functions of FES include the following:
1 |
Engagement in Petroleum Exploration activities in all unassigned acreages in Nigeria, aimed at evaluating
those acreages |
2 |
Stimulating investment interests in the frontier basins presently avoided by the oil companies due to high risks. These basins include Anambra, Benue, Bida, Dahomey and Sokoto |
3 |
Providing exploration related services to Government and its Agencies on request. |
The commercial discoveries in the neighbouring Niger, Chad and Central African Republics in their portions of the Chad Basin, spurred the need to further appraise the Nigerian portion of the Chad Basin and Benue Trough due to similarity in their geological setting.
Exploration activities commenced in the Chad Basin in 1976 and continued till 1996. During this period 33,000 km of 2-D Seismic data was acquired, processed and interpreted. Twenty three (23) wells were drilled out of which two recorded non-commercial gas discoveries (Wadi-1 & Kinasar-1).
Exploration was then suspended in the Chad Basin in 2000 for lack of commercial discoveries. In 2002, the Federal Government directed that the data generated should be evaluated to further ascertain the prospectivity of the Basin.
A Consortium of 10 Consultants was engaged to carry out integrated Studies utilizing all the accumulated data. The study formed the basis for the present exploration strategy. Two years ago precisely on October 23, 2008 the top Management of NNPC led by the then GMD Engr. Abubakar Lawal Yar’adua paid a visit to the Government of Borno State to inform them of NNPC’s intention to re-enter the Chad Basin for exploratoryactivities.
COMMUNITY DEVELOPMENT IN NIGER-DELTA - THE NNPC/SPDC JV STORY
In its bid to establish cordial relationship with its host communities, the NNPC/SPDC JV‘s corporate social commitment and performance have evolved over the years. What started as Community Assistance (CA) by way of scholarships, donations and other social cultural support has transited into Community Development (CD) programmes and Sustainable Community Development (SCD).
The earlier approach (CA) lacked Community involvement in defining its own problems, needs and charting its developmental path. Thus the programme failed to inspire beneficiary ownership which is critical to programme success.
Therefore, Community Development strategy was adopted to correct these short comings and encourage participation and ownership by the Communities.
This strategy focused on two major principles which was to encourage participatory development technique, and the other was to focus on building community capacity to manage own development. After implementing this strategy for 5 years, it was observed that the approach did not address some critical sustainability issues such as programme integration, active beneficiary involvement, duplication of efforts in the communities.
An improved concept of Community Development programmes came to Sustainable Community DevelopmentProgrammes driven by integration of all stakeholders most especially the Communities in decision making was embarked upon. Today our Communities are empowered to deliver their projects from conception to execution stage through collaboration with NNPC/ SPDC Joint Venture.
This partnership has helped to deliver projects that not only meets the need of the beneficiary Epie-Zarama Town Hall communities but can also be maintained by them. Now the communities are enjoying the benefits of the projects long after it has been completed.
Presently, the Joint Venture is implementing regional social investment programmes in the areas of Human Capital Development, Economic Empowerment, Community Health, Infrastructural Development and Partnership.
HUMAN CAPITAL DEVELOPMENT
To encourage learning in the country, NNPC/SPDC JV in any given year has scholarship running for about 16,200 secondary school students and 3,400 university students (2730 secondary school and 850 university scholarships yearly). In the past 5 years, N2.08billion ($16 million) has been paid to beneficiaries of both scholarship schemes.
In the past 5 years a total of 113 modern classroom blocks and fully equipped laboratories, each fitted with water supply system, and sanitary facilities have been built to augment the insufficient primary and secondary schools in the Niger Delta region. Our Human Capital development also extends to the Youth Training and Enterprise Programme where 5,225 youths from 294 Niger Delta communities have been trained and equipped to set up their own businesses in Computer Maintenance, Welding and Fabrication, Hair dressing, Fashion designing, Enterprise Management, Plumbing and Pipe-fitting.
COMMUNITY HEALTH
Many of the communities in the Niger Delta, especially those in the remote areas, lack the basic modern medical care and First Aid facilities. In light of this, the NNPC/SPDC JV has built 27 health centres and over 15 marine and land ambulances.
The Health Care centres are fully equipped with modern facilities, adequate medical supplies, and well
trained staff to meet the primary health care needs of the communities. In addition to this, a drug revolving fund scheme in the 27 health centres was setup to ensure that drugs are readily available as well as promote accountability.
In addition to the health care facilities, training sessions are held on a regular basis for Traditional Birth Attendants and Voluntary Village Health Workers to ensure that the primary healthcare system is strengthened. Overall, the Joint Venture, in the past five years, has spent N2.5 billion ($19 million) on its programme for improving community healthcare delivery.
ECONOMIC EMPOWERMENT
NNPC/SPDC JV has structured economic development programmes to enable communities and individuals increase their income and improve their standard of living. Since 2002, 177 groups have been assisted to set up micro credit schemes, thereby enabling 4,844 members to gain access to credit. In the past five years, 90 land and marine transport businesses; 43 viable agricultural enterprises have been established. 240 youths were also trained and provided with capital for them to establish or expand their small and medium size businesses.
During the period under review (Past 5years), a total of N3.9billion ($30 million) was invested in economic empowerment of the Niger-Delta region.
INFRASTRUCTURAL DEVELOPMENT
In the last 5 years, NNPC/SPDC JV has supported the Niger Delta communities to build over 200KM of roads in addition to the several bridges and jetties, all in the bid to help facilitate the movement of people and goods inthe region. NNPC/SPDC JV has provided over 184 water schemes in the past 5 years, which serves over 1.5million people in the area. Hooking the community up to the national grid, was also part of the projects embarked on. However the JV did not stop at this, it also provided generating sets, and diesel to fuel thesegenerators to many of these rural communities in the Niger Delta area.
With over N16.5billion ($126.8 million)investment in infrastructure development in these communities in the past five years, NNPC/SPDC JVis helping to lay the foundation for Sustainable Community Development in Niger Delta.
PARTNERSHIP
NNPC/SPDC JV realised that there is a need to attract more developmental fund from international andmultinational donor agencies to help with the development of Niger-Delta, and as such, the JV has over the years partnered with the following organisations to develop job creationprogrammes.
A 5 year partnership with United States Agency for International Development (USAID) to provide CassavaEnterprise Development Project (CEDP) which is being implemented by IITA – International Institute for Tropical Agriculture was signed up since 2004. The projects which costs N2.6 billion ($20million), supports thedistribution of high-yield Cassava Mosaic Disease resistant varieties, expansion of production, establishmentof small and medium scale processing mills, and the marketing of finished products. So far, 20,000 farmers have being trained under this project.
Another partnership with United Nations Development Programme (UNDP) was signed in 2004 to help reduce poverty by improving local governance, through sustainable environmental /biodiversity programmes with a focus on agriculture. The partnership which is worth N2.4billion ($18million) will also help to improve healthcare delivery with emphasis on better management of HIV/AIDS across the Niger Delta.
A three year N576million ($4.5 million) partnership with Africare was endorsed with a view to reduce maternal/infant mortality rate, as well as morbidity associated with malaria.
Asides from healthcare and agricultural development, NNPC/ SPDC JV entered into 70:30 partnership with NDDC – Niger Delta Development Commission. The Joint venture bears 70% of the cost for the construction of the N9.676billion ($73million) Nembe-Ogbia Road in Bayelsa State.
An initiative to support young entrepreneurs between the ages of 18 – 30 in setting up mobile centres, led the Joint Venture to partner with Globacom, a major privately owned Nigerian telecommunication company. The initiative tagged Telecoms Self Employment Programme (TELSEP), has led to the establishment of over 860 call centres in the past three years. So far this project has gulped N50.23million, with NNPC/SPDC JV bearing 65% of the cost.
The JV is experiencing its own share of challenges in the deployment of its social responsibilities, however we will continue to partner with all stakeholders and multi-national donors to achieve Sustainable Community Development, as we have come to realise that this is the only way forward.
