The Minister of State for Petroleum Resources (Oil) Senator Heineken Lokpobri, Thursday announced a committee to resolve pending issues hindering supply of crude oil to Dangote Refinery and others.
The committe was set up following a meeting with Oil Producers Trade Section (OPTS) and the Independent Petroleum Producers Group (IPPG)
Lokpobri said the committee which is headed by the Permanent Secretary Ambassador Nicholas Ela, is expected to turn in its report on Tuesday
The Minister said the meeting with the OPTS and IPPG has been able to resolved most of the grey areas of conflict in the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) policy on Crude Oil Supply Obligation implementation.
The policy is enshrined in section 109(2) of the Petroleum Industry Act (PIA).
He said: “The reason why we are gathered here today: we feel we should discuss a very important issue in the oil industry. There seems to be some misunderstanding of regulation made by NUPRC.
“That has to do with domestic crude oil supply obligation by oil companies. And as part of our policy here in the ministry that whenever there is a seeming misunderstanding we bring parties together with a view to resolving whatever misunderstanding parties will have.
“And that is why we are gathered here today to discuss on issues raised by both OPTS members, who are the international oil companies and the IPPT members who are the indigenous oil companies.
“And at the end of the day, we were able to agree except for one or two grey areas. So what we have resolved is that there should be a small committee to be headed by the Permanent Secretary that will look at the matter between Monday and Tuesday and report back to me.”
The Minister also pointed out government readiness to create a globally competitive environment that can allow the sector thrive.
He said: “We can inform them here that look, contrary to whatever opinion you people may have, one, we are committed to support local refining.
” We are also committed to ensuring that we create an environment that is globally competitive to allow operations in the oil and gas sector to continue. And that is essence of government.
“And that is why since we were appointed that has been a major policy trust that wherever there are issues we sit down and resolve the issues.
Gentlemen of the press, please report to Nigerians that there is no disagreement.
“Those issues that people thought were very fundamental issues have all been agreed and all of us are committed, all the companies in Nigeria are committed to ensuring that we meet that part of the PIA that has to do with domestic crude oil supply obligation.”
