The Federal Government has threatened to withdraw licences of 17 indigenous operators, who have failed to develop their allotted marginal oil fields 10 years after.
The Director, Department of Petroleum Resources (DPR), Osten Olorunsola, said all idle marginal oil fields would be withdrawn next year for re-award.
Olorunsola argued that the marginal fields were awarded to the operators in the 2003 bid and having left the fields undeveloped since then, the government would have no option than to withdraw the licences granted on the fields.
According to him, “Marginal fields awards of 2003 will expire sometime next year. If the beneficiaries are not actively working on them, we will take them back. That is what the guideline says… These are fields considered to be commercially unviable by the oil majors, because of their small production.” he said.
