Nembe communities vs Aiteo: Court adjourns suit indefinitely

A Federal High Court in Yenagoa has adjourned indefinitely a suit by Nembe communities, hosts to Oil Mining Lease (OML 29) against Aiteo Exploration and Production Limited.
Justice Abimbola Awogboro suspended the hearing, pending a Court of Appeal ruling in an interlocutory appeal in the substantive suit.
Ms. Awogboro had, on March 3, 2020, declined to stay proceedings in the ongoing litigation by the communities over the adverse impact of oil exploration.
Mrs. Awogboro had joined Aiteo Eastern Exploration Limited and other adjourning communities in the suit but declined an application to strike out Aiteo Exploration and Production Company from the suit.
The judge maintained that she could not stay proceeding because the appeal was merely a subsidiary issue and had no bearing with the major substance before her, noting that she would allow the appellate court to rule before proceeding on the case.
She explained that the adjournment was to see if the appellate court will grant an order on the appeal before it asking that Aiteo be excluded from the suit.
The Nembe communities in Bayelsa had filed the suit against Aiteo, but another firm, Aiteo Eastern Exploration, and Exploration Company approached the court to be joined as the holder of the OML 29 lease.
Aiteo Exploration and Exploration had approached the court of Appeal in Port Harcourt and applied to the Federal High Court to stay proceedings pending the appeal’s determination.
Earlier, counsel to the communities, Ezekiel Ikoli, told the court that given the court’s decision to suspend the hearing pending the interlocutory appeal’s outcome, there was a need for an adjournment since there was no update from the appellate court.
Mike Ozekhome (SAN), Aiteo’s counsel, urged the court to adjourn the matter indefinitely since a superior court was already hearing an appeal on the case.
On June 24, 2019, the court declined an application to halt the renewal of OML 29 pending the determination of a suit by Nembe communities in Bayelsa.
The OML 29 host communities seek an environmental audit of the impact of the oil field on the host communities and the implementation of the host communities’ social obligations by the oil block operator, amongst others.
The lease expired on June 30, 2020, while the operator of the oilfields had commenced renewal formalities with the payment of $82 million to the Department of Petroleum Resources.
The plaintiffs are Ikaonaworio Eferebo-Igoma, Iyerite Chiefson Awululu-Atubu, Ayebaesin Edoghotu-Omoh, Markson Amaegbe-Orutari, B.C. Benwari-Yousuo and Doibo Evans, representing OML 29 host communities.
The defendants are the Attorney-General of the Federation, Minister of Petroleum Resources, Federal Ministry of Environment, and Shell Petroleum Development Company of Nigeria.
Others are Aiteo Exploration and Production Ltd, Attorney-General of Bayelsa and the Deeds Registrar, Bayelsa Ministry of Lands.
Shell Petroleum Development Company in 2015 divested its equity in OML 29 and transferred its interest in the oil block, including the 97km Nembe Creek Trunk Line for $2.4 billion to Aiteo.
However, the host community said the divestment was done “without resolving the untold negative impact of their operations on the people.”
(NAN)
We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.
More from Peoples Gazette

Agriculture
FG tasks ECOWAS on leveraging financing strategies for agroecology
The federal government has urged stakeholders in the agriculture and finance sectors in the West Africa region to leverage financing strategies to enhance agroecology practices

Politics
Katsina youths pledge to deliver over 2 million votes to Atiku
“Katsina State is Atiku’s political base because it is his second home.”

NationWide
ICPC’s court order breach claim false, says El-Rufai
Mr El-Rufai described the ICPC’s July 7 statement as inaccurate in both facts and law.

Economy
Naira further depreciates, loses N3.32 against dollar at official market
Data from the official website of the Central Bank of Nigeria (CBN) revealed that the naira lost N3.32.

Sport
Chelsea, Manchester United agree £50 million deal for Andrey Santos
Santos will undergo a medical to finalise his move to Old Trafford.

NationWide
NDC senatorial candidate blames civic apathy for Nigeria’s crises
Mr Orette criticised the growing culture of celebrating politicians rather than evaluating their competence.

Economy
CBN seeks bold ESG reforms to unlock Africa’s sustainable growth
Mr Ikeazor said Africa was warming rapidly and facing its worst climate crisis in more than a decade.

States
Police seek stronger collaboration with customs to strengthen border security
Mr Ojajuni said that sustained collaboration, intelligence sharing, and joint operations remain indispensable in addressing emerging security threats.





