Why Anambra, 2 others not categorized as oil-producing states

The Department of Petroleum Resources (DPR) say the unresolved boundary issue between Anambra, Enugu and Kogi states was among the reason the states have not been categorized as oil producing state.

The Agency also said the oil producing firm in the area, Orient Oil needs to scale up its operations from oil prospecting to oil mining lease.

All of this was contained in a letter by the agency to the Senate Committee on Petroleum (Upstream).

But Chairman of the committee, Senator Tayo Alasoaduro representing Ondo Central who said his committee lacked the power to declare an oil-producing status on a state preferred to refer the arguments to the National Boundary Commission (NBC) for resolution.

Alasoadura noted that a report titled “the Federal Government confirms Anambra oil producing ‎status” threw up the matter to the front burner.

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He recalled that the commission had come to the rescue “when we had a similar issue in Ondo State in the past.’’

Meanwhile, Senator Chukwuka Utazi (Enugu North) traced the issue of OPL 915 and 916 dated back to antiquity.

Utazi said, “Kogi and Enugu states do not have problem; the two are in agreement. But Enugu and Anambra are not in agreement.

“We in Enugu want to be declared as oil producing state too. Let that be done pending when the boundary commission finishes its work.”

He added “an oil company that had been able to move from 3,000 to 10,000 barrels per day should have graduated from oil prospecting to oil mining lease.”

He submitted that DPR would be consulted to find out why Orient Oil refused to move from oil prospecting to oil mining lease.