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PENGASSAN halts operations at OML-18 in Rivers

Nigeria may lose N1.7trn as PENGASSAN mulls 30 days shutdown

Operations at Oil Mining Lease (OML-18) in Rivers State have been suspended due to industrial action by the Petroleum and Natural Gas Senior Staff Association of Nigeria.

The OML-18 facility, situated along the Cawthorne Channel between Degema and Akuku Toru Local Government Areas, was closed as the union confronted NNPC Eighteen Operating Limited, a subsidiary of the Nigerian National Petroleum Company Limited.

In a strike notice issued on Wednesday, PENGASSAN’s Port Harcourt Zonal Assistant General Secretary, Sere Nwikiabeh, instructed members to “withdraw your services immediately until our demands are met.”

The union stated that the shutdown comes after a 14-day ultimatum and an additional grace period expired without any resolution. PENGASSAN accused NEOL management of remaining “adamant to our demands” despite multiple rounds of engagement.

The association outlined its grievances, citing the non-deduction and remittance of outstanding check-off dues for members attached to ND Engineering Limited, the failure to redeploy these members to other contractors, management’s refusal to respond to its Charter of Demands for initiating branch Collective Bargaining Agreement negotiations, and the ongoing non-recognition of the Branch Executive Committee’s “due rights and privileges.”

In an earlier letter dated July 14, 2025, PENGASSAN accused NEOL of “persistent unfair labour practices,” including failing to remit check-off dues, ignoring its Charter of Demands, and disregarding the elected branch leadership.

“Despite several reminders and engagements, management has continually failed to address these matters,” the letter stated. The union warned that the strike will continue until NEOL addresses all concerns, stressing that it is prepared to take every lawful step necessary to safeguard members’ rights and interests.

The union added that the strike is expected to cause significant disruption to NEOL’s operations until a resolution is reached.