Contractor seeks Reps’ intervention on $30m Agip debt



An oil and gas engineering firm; DE COON Services Limited has approached the House of Representatives for an intervention on the non-payment over $30m and N70m allegedly owed it by Nigeria Agip Oil Company (NAOC).

The company in the petition lamented that NAOC has received over 70 percent of these monies via several cash-calls performed with NAPIMS for the said contract but failed to pay the received monies to De Coon Services Limited.

Managing director of the firm, Nelson Onubogu, in the petition addressed to the speaker of the House of Representatives, said the amounts represent only the debt NAOC has refused to issue the required Purchase Orders that would allow the company submit invoices for payment, despite the services already provided to NAOC. He added that an addition  $7m is also owed the company for invoices unpaid within the system.

He alleged that NAOC who owns 20 percent share in the Joint Venture (JV) operation with  the federal government is trying to frustrate and transfer his company’s contracts to its Italian, local contractors and stooges. The federal government  through the NNPC owns 60 percent while OANDO owns the balance of 20 percent.

He accused Mr.Ikechukwu Iyeh and Lawrence Osakwe, both staff of NAOC, of being used to perpetuate the contractual and  financial crimes against his company in collaboration  with one Ms. Obiageli Okeke of OANDO.

He therefore appealed to the House of Representatives through its committee on Petroleum Resources (Upstream), led by Sarkin Musa Adar, to carry out a thorough investigation into the allegations raised by his company, and persuade NAOC to pay all outstanding bills due to his company, including compensation for late payment.

He also prayed for the House to direct NAOC to allow his company to supply the two new gas generators to submit her invoices since NAOC, NAPIMS and OANDO participated in the Factory Acceptance Test at the Original Equipment Manufacturer’s (CATERPILLAR) facility in the USA and signed the Test Reports. The managing director also demanded for the immediate implementation by NAOC of the 2018 rate of the CAT, GMC contract as directed by NNPC via NAPIMS.

After receiving the petition, the Committee, fixed August 12, 2020 for continuation of the investigative hearing for all concerned to ensure appearance.

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