Nigeria’s oil sector faces fresh uncertainty as host communities in Bayelsa State have issued a 14-day ultimatum to NNPC Exploration & Production Limited (NEPL), threatening to shut down operations at Oil Mining Leases (OMLs) 86 and 88 over a dispute regarding security contracts.
In a letter dated March 28, 2025, signed by community representatives, including Chief Christopher Tuduo and Dr. Amakiri Ngozi, the communities protested NEPL’s decision to terminate Multiplan Nigeria Limited’s contract and reduce the number of community-owned security vessels from three to two.
The affected communities—spanning Brass and Southern Ijaw LGAs—argue that the security contracts, introduced by Chevron in 2007, were meant to safeguard oil infrastructure and maintain peace. They accused NEPL of breaching prior agreements by awarding a security contract to an external firm without consulting them.
The KEFFES Host Communities Development Trust (KHCDT) has demanded the reinstatement of the three security vessels, payment of outstanding invoices from 2024, and an urgent meeting with NEPL’s management within seven days.
“If our demands are not met within 14 days, we will take all necessary steps to shut down oil production at OMLs 86 and 88,” the statement warned.
The standoff raises concerns over potential disruptions to Nigeria’s oil output, as President Bola Tinubu’s administration aims to increase production to two million barrels per day by 2027 and three million by 2030.
This development comes amid Tinubu’s recent decision to sack NNPCL Group CEO Mele Kyari and the company’s board.
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