The Federal Government has said that the revocation of some Oil Mining Licenses held by Addax (a Chinese owned company) was purely a commercial decision that will not have any impact on the excellent relationship between the two countries.
The assurance is the highpoint of a meeting between the Chinese Ambassador to Nigeria CUI Jianchun and Timipre Sylva, the Minister of State for Petroleum Resources for Nigeria.
The meeting was held on Thursday at the Minister’s office at the Nigerian National Petroluem Corporation Towers, Abuja.
A statement by the Media Adviser to the Minister, Garba Deen Mohammed, explained that the two top officials agreed on excellent relations that exist between their two countries and expressed the need to deepen this partnership
The statement said, “The Chinese Ambassador to Nigeria H.E CUI Jianchun and H.E. Timipre Sylva, the Honourable Minister of State for Petroleum Resources for Nigeria, met today in the Minister’s office at the NNPC Towers, Abuja.
“The two top officials agreed on excellent relations that exist between their two countries and expressed the need to deepen this partnership.
“Among other issues, they both agreed that the recent revocation of some OMLs held by Addax (a Chinese owned company) was purely a commercial decision and will not have any impact on the excellent relationship between the two countries.
“H.E Sylva and Ambassador CUI Jianchun concluded their discussions with the Chinese Ambassador extending an invitation to the Nigeria Minister of State to visit China.
“Responding, H.E. Sylva graciously accepted the invitation anc promised to pay a visit to China later in the year.”
The Department of Petroluem Resources, had on April 7 revoked the four Oil Mining Licences belonging to Addax Petroleum due to the non-development of the assets by the petroleum company.
The Director/Chief Executive Officer, DPR, Mr. Sarki Auwalu, had told journalists in Lagos that it was discovered that over 50 per cent of the assets had remained underdeveloped.
He said the non-development of the assets had led to the loss of revenue by the Federal Government
But few days after the revocation by the DPR, President Muhammadu Buhari reversed the revocation and gave approval for the restoration of the leases on the four Oil Mining Licences to the Nigerian National Petroleum Corporation.
The oil licences affected are OMLs 123, 124, 126 and 137.
The President had also directed the DPR to retract the letter of revocation of the leases.
He also directed the NNPC to utilise the contractual provisions to resolve issues in line with the extant provisions of the Production Sharing Contract arrangement between NNPC and Addax.