Lekoil Nigeria, in collaboration with its JV partners, Green Energy International Limited has awarded developmental contracts to three of its host communities in Andoni Local Government Area of Rivers State.
The contracts, which are in line with the provisions of the Petroleum Industry Act (PIA) for oil companies to set aside 3% of their profit for the development of host communities, include internal road projects, completion of town hall building projects, construction of culvert and scholarship and bursary schemes from primary to postgraduate levels in Ukama Ekede, Asukama and Asukoyet communities respectively.
Speaking with journalists shortly after the contract signing in Port Harcourt, Rivers State, Thursday, the Chairman, Board of Trustees, Ukama Ekede, Ayama Ekere, Asukama, Asukoyet Host Communities Development Trust Fund (HCDT), Asuk Sampson, stated that the contracts were selected in consultation with the communities.
He said: “What happened today is the manifestation of a series of activities from the signing into law of the Petroleum Industry Act. Immediately after the signing, Green Energy International Limited and its technical partners, Lekoil and Oil Services Nigeria Limited, in consultation with the communities and in line with the PIA engaged the communities to identify their needs.
“The needs were identified and were incorporated into the community’s development plan of the four communities. From then, we started working in the boardroom trying to put things together. Today is the manifestation of those things that we did a long time ago.
“Today is the signing and award of contracts. Those projects that communities have identified as their needs, that we see as interventions that could be achieved, that could be given to the communities for the improvement of their lives is what we have just done.”
Asuk stated that the contract award went through a competitive bidding process, pointing out that the contracts were awarded to local contractors in line with the PIA Act and further to drive economic development in the communities.
“We have a time frame of about three months for the execution of the projects. Each of the communities has about N84 million to its credit for the execution of their projects,” he stated.
On his part, the Base Manager of Lekoil and Gas Limited, Mr Chris Okoli, expressed the commitment of the company and its JV partners to work with the communities in line with the provisions of the PIA.
He also solicited the assistance of the leadership of the communities to prevail on their youths to avoid sabotaging their operations.