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Frontier Oil Ltd/Savannah Energy Budget N400M In 5years To Develop Host Communities …set to train 50 Engineering graduates in 5years, signs MOU with AKSG

Gov. Udom Emmanuel

By Unwana Assam

Frontier Oil Limited and Savannah Uquo Gas Limited (FOL/SUGL), have set a target to spend a total of N400m only, to develop host communities in the period of 5years as well as train at least 50 indigenous engineering graduates in the same intervals of 5years.

The agreement is contained in the newly signed MoU between Akwa Ibom State Government, Frontier Oil Ltd/Savannah Energy, and the host communities on the 9th day of September, 2021, in Uyo, Akwa Ibom State.

As contained in the 18-page document, as part of its capacity-building initiatives for members of the host communities, FOL/SUGL shall provide opportunities for a minimum of Ten (10) Engineering graduates from the host communities to be trained annually in the company for a period of one year only. According to the MoU, certificates shall be issued to trainees after each successful year of training. The document emphasized that the award shall not be by nomination,  but through proven educational performance as it will also be verified from the respective institutions of learning.

As also contained in the document, FOL/SUGL shall set aside annually, a minimum sum of N80m only,  for its “sustainable community development projects” and this will run to the tune of N400M in 5 years for the duration of the MoU.

“Frontier Oil Ltd/Savannah Energy shall advertise professional vacancies that may exist in their companies from time to time in The Pioneer Newspaper, one National Newspaper, Notice Boards of the Ministry, Eket and Esit Eket local government councils and in their respective websites and also inform the host communities via the UFMIC”, the document revealed.

The document also clearly stipulated that monitoring and audit of performance and implementation of the MoU shall be carried out by a Joint Verification Committee coordinated by AKSG.

It also stated that sharing benefits and opportunities accruing from it shall be shared with the following sharing formula:
i. Immediate Host Communities – 50%ii. Host Communities in Eket LGA – 20%iii. Host Communities in Esit Eket LGA – 20%iv. Akwa Ibom State – 10%
For the benefit of those who may not understand, Immediate Host Communities are:
i. Ukwa community, Eketii. Ebe Ekpi/Ebok Asak Communityiii. Edo Community, Esit Eketiv. Uqua Isi Edoho/ Idung Udonsak community, Esit Eketv. Ekpene Obo Community, Esit Eket.
While host communities are Eket and Esit Eket local government areas.

Meanwhile, the parties agreed that FOL/SUGL shall set aside 10% of the total Community Development Funds for each year to support skills acquisition training for indigenes of the host communities. That is, 40 indigenes shall be trained by the companies each year and starts pacts equipment would be presented to the successful trainees. In the period of 5years where the MoU will last, a total number of 200 indigenes shall be trained by the companies.


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