Heritage Energy Operational Services Limited (HEOSL), the operator of OML 30 in Delta State, has reaffirmed its continued commitment to a mutually beneficial relationship with OML 30 host communities.
The oil firm in a statement on Thursday appreciated the phased resumption of production after the shutdown was called off by the majority of the host communities stakeholders on the 20th of November 2020.
Heritage also thanked the Joint Venture Partners for their support and involvement in resolving the shutdown.
”The decision by the community stakeholders to call off the shutdown was largely influenced by the significant progress made by the company in meeting its commitments to the host communities, which include; Inauguration of the GMoU Contracts Committee, Commitment to release additional GMoU funds, Tangible progress with the award of contracts to community contractors in line with the GMOU, Payment of a large number of community contractor creditors.
”The economic downturn and the resultant drop in oil prices is the major reason for the Company’s current cash flow challenges. Despite this, the company continues to work steadfastly to secure inflows of funds, to settle the balance of outstanding commitments.
”The Company remains confident that it will continue to be able to meet its obligations and contribute to the local and national economy and reminds the community stakeholders that HEOSL’s financial position is dependent on its ability to maintain production.
“This means shutdowns are not in the best interests of the Company, the Communities, the JV Partners or the Federal Government of Nigeria.
”The company expressed its appreciation to the leadership of the community for rejecting calls that the company should be removed from the management of OML30 because of their conviction that despite the challenges, HEOSL remains a preferred partner for the operatorship of the asset,” Heritage said in the statement.