Bayelsa suspends agreements between host communities, oil firms

The Bayelsa state government has suspended all agreements between host communities and international oil companies.

In a statement on Friday, Duoye Diri, governor of Bayelsa, said agreements between oil firms and host communities should align with policies of the state government.

The suspension comes after the state government accused Shell Petroleum Development Company (SPDC) of fuelling crises in its host communities.

Diri said agreements would, henceforth, have to be approved and monitored by the state government.

“The state government is interested in being a party to such agreements to ensure all parties comply with the terms,” the statement signed by Daniel Alabrah, the governor’s chief press secretary, read.

“A situation where oil firms breach agreements with their hosts would no longer be tolerated. This often results in conflicts in communities.

“Consequently, no community in the state, especially those in Southern Ijaw Local Government Area, should sign any GMoU with IOCs and security companies operating in their area.

“Where such agreements have been inadvertently entered into, they remain invalid subject to a review by the Office of the Attorney-General through the Ministries of Local Government and that of Mineral Resources.”

Diri further said the agreement is to ensure the relationship between host and cluster communities with oil firms is “cordial”.