Halkin Exploration and Production Limited, an indigenous oil and gas firm and operator of the Atala Field, formerly Oil Mining Lease 46, has debunked claims that it did not follow due process before the field was awarded to it by the Federal Government.
The clarification came on the heels of several allegations leveled against it by former owners of the field, Hardy Oil Nigeria Limited.
Hardy Oil had filed a petition against the defunct Department of Petroleum Resources before the Senate Committee on Ethics, Privileges and Public Petitions, alleging breach of trust, corruption and illegal revocation of OML 46 and re-awarding same to Halkin Exploration and Production Company Limited, in breach of due process.
However, in response to The PUNCH’s enquiries, Halkin’s Director of Communications, Osagie Amusa-Eke, said reports on the reallocation were one-sided with facts of the matter distorted.
According to him, Halkin is a “responsible private company only interested in conducting legitimate business.”
He added, “In 2003, the Department of Petroleum Resources (now Nigerian Upstream Petroleum Regulatory Commission) issued 13 licenses to indigenous oil firms. However, on the expiration deadline of 2018, the Atala Field had yet to come into full production.
“Following the failure to bring the field into full production the The Atala Field license was then revoked and returned to the basket as approved by His Excellency, President Muhammadu Buhari.
“Over a year after the license was revoked by the NUPRC, in line with Nigeria’s petroleum laws, Halkin legally applied and was duly awarded OML 46 to operate, on the condition that Halkin brought the field into full production and a signature bonus of over $8m paid to the Federal Government.
“When there were petitions to Halkin being awarded the license, Halkin was cleared by NUPRC after a thorough investigation of Halkin’s application process.
“Within a year of taking over the Atala field, Halkin has invested millions of dollars into its operations in the field, with over a 100 Nigerian personnel operating on site.”
He said the firm had continuously engaged its host communities to foster a peaceful working relationship in its operating environment and concluded CSR projects in the communities.
“This is the reason why members of the host communities are delighted that Halkin is now in charge of the oil field,” he said.
Although the Senate had called for the return of the Atala Marginal Oilfield to its original owners, Bayelsa State, the pronouncement currently awaits the final decision of the President.