PENGASSAN Pickets General Electric over Debts Owed Arco Group

By Ejiofor Alike

Senior oil workers under the aegis of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) on Wednesday sealed off the offices of General Electric in Lagos and Port Harcourt for several hours over the company’s indebtedness to Arco Group.

Nigerian Agip Oil Company (NAOC) joint venture had awarded a multi-million dollar maintenance service contract for gas turbines and related equipment for OB/OB, Ebocha and Kwale Gas plants in Delta State to GE International Operations Nigeria (GEION) Limited, with Arco Petrochemical Limited as local partner.

It was gathered that a dispute arose after GE directed Arco to demobilise from the multi-million dollar maintenance service contract without paying for the job done, but the indigenous service provider spurned the directive.

However, following the intervention of the Minister of Labour and Employment, Dr. Chris Ngige, GE was said to have made a commitment to issue procurement invoice, which would mature in 30 days to Arco if the indigenous firm showed evidence that it had demobilised from the site.

With the strong commitment of GE to pay the debts, Arco was said to have withdrawn in January 2017 but GE allegedly failed to fulfill its own part of the bargain in line with the agreement reached with Ngige.

More to follow…