Why The Fuss Over Another Shell Sale Of Onshore Assets
January 27, 2024 | News
-By Zik Gbemre
Why The Fuss Over Another Shell Sale Of Onshore Assets
Shell has its right to sell off its interests if the company is no longer interested in operating it. It is their interests the company wants to sell or has sold.
The assets are still located in South South region. You can't force one not to sell what belongs to him or her. Shell has long sold its interests in the West and East operations. It is not just happening.
The company officially made it public recently. The people have forgotten that Shell was just an operating partner and not the owner of the entire assets in the West and East of its operations.
Federal Government through NNPC has the highest interests and has been the senior partner of the assets being operated by Shell.
Shell has two operations known as West in Warri and East in Port-Harcourt.
It has two major export terminals, one in Forcados in Delta, and the other in Bonny in Rivers apart from the Bonga FPSO export terminal. Any demand or agitation arising from the divestment should be directed to the new operators and NNPCL in my opinion.
Shell's intention to quit all onshore operations in Nigeria is not a decision of Shell leaders in Nigeria but that of Royal Dutch Shell shareholders and investors now known as Shell Plc since 21st January 2022 when it relocated its official headquarters to Shell Centre in London.
The shareholders and investors of Shell Plc are business people and not a charity organization and they decide what to invest and where to invest for business growth. You can't force the company to stay where they consider not business friendly and non-profitable.
The decision of the shareholders and investors to invest in a business is entirely theirs. Any business company can invest and divest when necessary. The purpose of every business is to maximize profit.
The Nigerian government and people can only woo them to invest more in Nigeria given enabling incentives and a conducive atmosphere for their oil and gas business in other areas and not the environments they have already divested.
There are rooms for innovations and improvement in every business. I am not speaking for Shell Companies in Nigeria, SCIN, but simply stating it as it were. For the Nigerian government to woo investors it must be seen to be committed to providing needed infrastructures and enabling environment where kidnapping and mass killings have stopped.
At a time the local communities in the South South see Shell as an alternative government they know since the politicians can't be held accountable. They want Shell to build schools, construct roads, drill boreholes to provide water for the locals, and do everything the government ought to do.
It is not the responsibility of Shell and other oil companies to take over the responsibility of the government while politicians feed on public treasuries as though they are family treasuries. The government of the day has absconded from its statutory roles.
The Nigerian government is not responsive. Shell provides their own power to operate their facilities instead of using public power and pay bills. The tax money is free money for politicians and top civil servants who collude with politicians.
Zik Gbemre
January 27, 2024
We Mobilize Others To Fight For Individual Causes As If Those Were Our Causes
-By Zik Gbemre
Why The Fuss Over Another Shell Sale Of Onshore Assets
Shell has its right to sell off its interests if the company is no longer interested in operating it. It is their interests the company wants to sell or has sold.
The assets are still located in South South region. You can't force one not to sell what belongs to him or her. Shell has long sold its interests in the West and East operations. It is not just happening.
The company officially made it public recently. The people have forgotten that Shell was just an operating partner and not the owner of the entire assets in the West and East of its operations.
Federal Government through NNPC has the highest interests and has been the senior partner of the assets being operated by Shell.
Shell has two operations known as West in Warri and East in Port-Harcourt.
It has two major export terminals, one in Forcados in Delta, and the other in Bonny in Rivers apart from the Bonga FPSO export terminal. Any demand or agitation arising from the divestment should be directed to the new operators and NNPCL in my opinion.
Shell's intention to quit all onshore operations in Nigeria is not a decision of Shell leaders in Nigeria but that of Royal Dutch Shell shareholders and investors now known as Shell Plc since 21st January 2022 when it relocated its official headquarters to Shell Centre in London.
The shareholders and investors of Shell Plc are business people and not a charity organization and they decide what to invest and where to invest for business growth. You can't force the company to stay where they consider not business friendly and non-profitable.
The decision of the shareholders and investors to invest in a business is entirely theirs. Any business company can invest and divest when necessary. The purpose of every business is to maximize profit.
The Nigerian government and people can only woo them to invest more in Nigeria given enabling incentives and a conducive atmosphere for their oil and gas business in other areas and not the environments they have already divested.
There are rooms for innovations and improvement in every business. I am not speaking for Shell Companies in Nigeria, SCIN, but simply stating it as it were. For the Nigerian government to woo investors it must be seen to be committed to providing needed infrastructures and enabling environment where kidnapping and mass killings have stopped.
At a time the local communities in the South South see Shell as an alternative government they know since the politicians can't be held accountable. They want Shell to build schools, construct roads, drill boreholes to provide water for the locals, and do everything the government ought to do.
It is not the responsibility of Shell and other oil companies to take over the responsibility of the government while politicians feed on public treasuries as though they are family treasuries. The government of the day has absconded from its statutory roles.
The Nigerian government is not responsive. Shell provides their own power to operate their facilities instead of using public power and pay bills. The tax money is free money for politicians and top civil servants who collude with politicians.
Zik Gbemre
January 27, 2024
We Mobilize Others To Fight For Individual Causes As If Those Were Our Causes