by Ogunyemi Bukola

The Nigerian National Petroleum Corporation (NNPC), has come under scrutiny from the House of Representatives over the sale of seven oil blocks in a deal valued at N59 trillion.

There are suspicions that the sale of the seven oil blocks, located in Delta State and formerly operated by the Shell Petroleum Development Company (SPDC) did not follow due process.

The House then set up an ad hoc committee to look into the deal and ascertain the role played by each of the major players including NNPC, Atlantic Energy Drilling Concept Limited, Septa Energy Limited and the Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke.

Leading the debate on the issue, Deputy Chairman, House Committee on Media and Public Affairs, Afam Ogene, alleged that the Federal Government, indigenous operators and local communities were short-changed in the shady deal. According to him, the federal government would have earned N126 trillion rather than the N59 trillion realised if the bidding for the oil blocks had been open and competitive, in line with Section 16 of the Public Procurement Act, 2007.

Reports say there have been protests against the transaction by youths from Isoko, Ndokwa, Itsekiri and Urhobo ethnic nationalities in Delta State, who have had letters forwarded to to the President of the Senate and Speaker of the House of Representatives.