Delta Communities Threaten To Stop Oil Operations Over Neglect

Stakeholders in Isoko land have threatened to shut down oil operations unless something urgent is done to address their neglect by both the government and the oil firms.

The stakeholders led by Isoko Youth Assembly (IYA) lamented the deplorable state of their areas as a result of decades of neglect by the oil companies which operate in their communities.

By the Petroleum Industry Act (PIA) of 2021, oil companies are to channel three percent of their operating expenditure (OPEX) for the development of the host communities.

Of these funds, 75 per cent is earmarked for infrastructure while 20 per cent and five per cent are for investment and administrative purposes, respectively.

In a statement by Erere Okpako and Angela Akpofa, for Isoko Grassroot Mobilisers (IGM), they lamented that nearly two years after the inauguration of AIO Host Community Development Trust (AIO HCDT) as mandated by the Petroleum Industry Act (PIA) of 2021, the situation remains the same.

“As we write this, even the five percent that is to enable a proper take off has not been released let alone those for infrastructure and reserve. The various communities are disturbed thus calling for a review of any relationship that exists between them and the oil companies, particularly the Nigerian National Petroleum Company Exploration and Productions Limited (NEPL) operators of OML 26 and the new players, Sterling Global.

“The AIO HCDT has been working without tools, not even office accommodation. Indeed, so many meetings have been held with the NEPL in Warri and Ozoro with the hope of resolving all grey areas but back and forth have been the ordeal of the HCDT and now the communities say enough is enough,” the duo said.

“The Isoko stakeholders say the oil companies should not over reach their luck as “we can no longer allow them to take us for granted.

“We implore the operators to expedite actions to forestall any possible consequences that may result from a shutdown,” they added.

The stakeholders also sought the government’s interventions to save the situation and avoid economic losses to all parties.

A community leader who declined to be named, said, “We wonder if PIA is a curse or a blessing?”
According to him, before the advent of the PIA and the inauguration of the HCDTs, the administration of community activities was carried out under the Global Memorandum of Understanding (GMoU) as a doctrine of necessity thinking that a more structured PIA will make for easier and better administration but sadly, the situation has not been any way better.

“Earlier in October, 2025, NEPL communicated to the AIO Board of Trustees (BoT) chairman the approval of the five percent administrative budget but as we write this, the bank account has not been funded thus creating more complications to operationalising the HCDT activities,” he said.

While the agitated communities including the IYA are set for a show down with the oil companies, the BoT of the AIO HCDT is trapped between two difficult sides of the divide.
Insiders at the NEPL admitted that things were slow but pleaded for time and understanding from the communities, especially the stakeholders.

Hon Peter Okagbare Uviejitobor, the state commissioner for Oil and Gas, declined to answer phone calls on the communities’ threat.