NNPC, Shell Sign N240 Million Contract On Environment

In line with the federal government’s objective to achieve local participation in the oil and gas sector, Shell Development Company, SPDC and the Research & Development division of the Nigerian National Petroleum Corporation, NNPC recently signed a N240 million contract to enable the Anglo giant reduce the level of its operation’s impact on the environment.

Under the agreement, the two would engage the division to carry out environmental compliance monitoring of its locations in the Niger Delta, in accordance with the regulatory requirement of the government on environmental issues.

Speaking at the occasion, the Group General Manager, Research and Development (R &D) Division, Engr. Sola Alabi explained that petroleum exploration and production activities produce wastes of varying chemical compositions, which are generated at each phase of the operation. Some of these, according to him, included atmospheric emissions, drill cuttings, drilling fluid, deck drainage, sanitary sewage and accidental oil spills. He said that it was therefore imperative to acquire data from operational locations to ascertain the levels of various parameters in the ecosystem before, during and after exploration activities to enable operators plan for remedial action to reduce the levels of impact in the environment where necessary.

Engr. Alabi explained: “the objectives of the standards and guidelines (1999) are to establish the environmental impact of dredging, drilling activities and identify ways to minimise any claims of third parties on environmental matters in relation to specific SPDC activity through generated data”, adding that the scope of the services to be provided to Shell would include an extensive literature review of the related work, fieldwork/sample collection and laboratory analysis.

The environmental compliance monitoring would be implemented in three phases baseline studies, monitoring after three, and six months of Shell operations in the area. The exercise, according to Engr. Alabi, would include sample collection and analysis of the components of the ecosystem such, as soil, sediments, water, air, vegetation, industrial emissions or discharge. Data obtained from the scientific investigation, according to him, would be evaluated and predictions made for the future. He pointed out that the benefits accruable to the NNPC and the nation from the landmark agreement would be the enhancement of the facilities of the corporation’s research and development division. He added that it would be supportive of the rejuvenated Nigerian content policy of the Federal government and the preservation of the Niger Delta environment.

The Wells Manager of the SPDC, Mr. Hans Flikkema signed on behalf of Shell. The contract will last for one year.