Shell, Rivers government inaugurate CDB for Assa North/Ohaji South gas project


The Shell Petroleum Development Company of Nigeria Limited (SPDC)  and Rivers State government have inaugurated the Egi/Igburu Cluster Development Board (CDB) for pipeline communities to SPDC’s Assa North/Ohaji South Gas project.

According to SPDC, the project has a capacity for 300 million standard cubic feet of gas per day, and the potential to be one of the largest domestic gas projects in Nigeria when completed.

Speaking at the inauguration, the SPDC General Manager, External Relations, Mr. Igo Weli, urged the CDB to be prudent and implement projects and programmes that will deliver maximum benefits to the Egi/Igburu communities.

“The Global Memorandum of Understanding (GMoU), that you signed today, sets the framework for long-term partnership between SPDC JV and the Egi/Igburu Cluster.

“The GMoU runs on the principle of community-led development. Today, SPDC JV commits to providing funding to help you realise your community development aspirations.”

Weli, represented by SPDC External Relations Manager, Projects and Opportunities, Dr. Banji Adekoya, warned that government, SPDC JV and the communities, will hold the CDB accountable for the judicious utilisation of the development funds.

“With the inauguration, SPDC reiterates the company’s commitment to the Assa North Gas Project and to making it an exemplary one, particularly in Nigeria’s quest for energy sufficiency, for power generation and industrialization,” he said.

Also, the Rivers State Commissioner for Chieftaincy and Community Affairs, Elloka Tasie-Amadi, urged the Comrade Orikoha Ekwueme-led newly elected officials of the CDB, to use the opportunity of leadership to make positive impacts that will improve living standards in the communities.

“The state government is always available to support you. Always speak with your people, including the Community Trust Committees (which were also newly inaugurated). Adequate communication will ensure the buy-in of all your stakeholders”.

He decried those who see leadership as opportunity for self-seeking gains. “Leadership is more of sacrifice; not an opportunity for personal benefit.”

Responding, the new CDB said it is committed to use SPDC’s Global Memorandum of Understanding (GMoU) agreement, which is a community-led sustainable development and interface management model that puts the communities in the driving seat of development priorities, and implementation of projects to meet their needs.

The GMOU is a proven winning approach introduced in 2006, adopted across SPDC’s operational areas and provides a secure five-year funding for communities to implement development projects of their choice.

With the inauguration of the Egi/Igburu CDB, SPDC now has 40 active GMoUs in Abia, Bayelsa, Delta, Imo and Rivers States. Since 2006, SPDC JV has disbursed a total of $252 million to communities through these GMoUs.

The Assa North/Ohaji South Gas Development Project ranks top among the Federal Government’s Seven Critical Gas Development Projects aimed at accelerating Nigeria’s aspiration for energy sufficiency and diverse industrial growth.

It is a joint venture project involving the SPDC, the NNPC, Total E&P Nigeria Limited, and Nigerian Agip Oil Company, and will result in a new SPDC gas processing plant.

When completed, it will be able to produce 600 million standard cubic feet of gas per day, the energy equivalent of about 2400 megawatts which is enough to provide uninterrupted electricity to about 2.4 million homes.

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