Sat. May 8th, 2021

I was not involved in $650m scam: Magnus Abe

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Senator Magnus Abe who is a member of the Nigerian National Petroleum Corporation, NNPC, board, on Thursday, has denied any alleged involvement in a $650 million oil contract scam, he went on to insist that it only exists in the imagination of those interested in ripping Nigeria off.

In his statement, he noted that the report was calculated in such a way that it creates the impression of a major scandal and a ploy. In a recent attempt, the Federal Government revoke some oil blocks from a foreign company, Addax Petroleum.

In the presidential inter-ministerial committee, Abe gave a recent report to the FG on the abandoned $1 billion Kaztec Engineering Limited (KEL) fabrication yard, located in Ilase village, Snake Island, Amuwo-Odofin LGA, Lagos State. While he was Presenting the report, Abe went on to stress that aside from the 3,000 jobs lost to the collapse of the facility in which Kaztec invested over $650 million, after Addax declared a force majeure over an concerning an unrelated issue, monies invested in equipment were also wasted.

 Still on his explanation he said the committee was set up by presidential directive conveyed by the chief of staff to the president, stating that the community was not given an assignment that involved the allocation of oil blocks.

 He went further to say that the Nigerian company, Kaztec that had invested millions of dollars in the project with Addax was forced to bear the repercussion of the entire dispute, which was nothing but a dispute between Addax petroleum and the Nigerian government.

 “Nigerians must look beyond the needless sensationalism and ask the hard questions that need to be answered.”

Furthermore he queried by asking whether it was the company accused of tax fraud and abandoned its Nigerian investments for over 10 years or the Department of Petroleum Resources, he said it is the  DPR, that is responsible for deceiving the president and also trying to to hold them to account that should be held responsible.

He, Abe still repeated it is not in the place of NNPC to award and revoke oil mining license neither was the Kaztec committee was not set up by the Minister of Petroleum to award any oil block. In addition he said the committee report focused particularly on measures and reliefs which the government can legally extend to the company to re-claim the catastrophic losses to an indigenous company.

 “There is absolutely no scam on oil blocks, or contracts involved in the Kaztec committee report. Issues of revocation, allocation and management of oil blocks are exclusively the preserve of the DPR.”

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