Insecurity May Hinder Oil Companies From Returning To Niger-Delta –Minister

The Minister of State for Petroleum Resources, Timipre Sylva, has said that the continued security concerns in the region may hinder the relocation of these firms to the region.

The Minister, in a statement issued by the Nigerian Content Development and Monitoring Board, said that the precondition for multinationals to relocate to the region is for the youths and residents of the region to promote peace and security.

He said the current level of insecurity in the region, if not addressed would add to the cost of oil production.

Sylva said, “We look at it from the perspective of cost. It will be cheaper for oil companies to operate from here because it is nearer from the operating areas. The only concern is that we have a responsibility to bring peace and security because that is another source of cost.

“If you don’t have peace and security and the oil companies move back here, then you add to the cost of oil production.”

He further explained that the Federal Government has remained committed to the development of Bayelsa and other States of the Niger Delta, adding that it will make sense to the oil companies to return if the environment is safe because it will be cheaper for them.

“They were here before. Shell was in Port Harcourt and Warri and most of the other companies were here. They only ran away when insecurity took over the region.

“It is time to bring back peace and security so that those firms can return. On our part as the ministry, we are not against the oil companies moving back.”