A group of indigenous contractors from the Niger Delta has initiated legal proceedings against the Nigerian National Petroleum Company Limited (NNPCL) and its previous Group Chief Executive Officer, Mele Kyari, claiming illegal exclusion from a lucrative pipeline surveillance contract.
The plaintiffs, functioning under the Incorporated Trustees of the Agip Indigenous Contractors Association, assert that the NNPCL granted the multi-billion naira surveillance contract to Tantita Security Services Limited without a fair or transparent bidding process.
They argue that their companies sent numerous letters of interest but were overlooked, breaching the Nigerian Oil and Gas Industry Content Development Act.
Court documents reveal that seven contractors from the Niger Delta contend that the contract was secretly awarded to Tantita, a company owned by former militant leader Government Ekpemupolo, commonly known as Tompolo.
They claim that the process excluded qualified, community-based contractors with strong ties to the local areas in favor of a firm with political connections.
Their attorney, R.U. Afangide, informed the Federal High Court in Abuja that the law requires community involvement and local content participation, urging the court to compel NNPCL to ensure equal opportunities for indigenous companies to compete for the contract.
Afangide underscored that the plaintiffs have the necessary capacity and experience to effectively execute the job.
“The law is unequivocal regarding community participation. These contractors hail from the same communities where these pipelines are located. They possess the expertise, local knowledge, and track record to perform the work,” Afangide asserted.
NNPCL and Mr. Kyari have denied engaging in any misconduct. They contend that the company now operates under the Petroleum Industry Act as a commercially-driven entity, and therefore is not obligated to follow public procurement regulations.
Their defense maintains that all contracts, including that of Tantita, were awarded in accordance with current laws, including those related to local content.
Nevertheless, the Agip contractors insist that the matter extends beyond the mere selection of any indigenous firm; it concerns the intentional exclusion of businesses from the communities directly impacted by the pipeline activities.
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They emphasize that these local contractors have been instrumental in maintaining peace and oil production in the Niger Delta, and should not be marginalized.
“Granting such an essential contract to a single firm, without fair competition, undermines the purpose of the local content law and exacerbates economic exclusion in the region,” the group argued in their statement.
The case has been postponed until July 7, 2025, after the plaintiffs’ attorney notified the court that some defendants had not yet received the hearing notice. Justice G. Umar ordered that new notices be served before the next court session.
