…Fuel crisis to get worse as depots remain sealed
By LOUIS IBA
The ongoing scarcity of petrol in some parts of the country might linger longer than envisaged, as efforts by the Asset Management Corporation of Nigeria (AMCON) to reopen the depots and fuel storage facilities of Capital Oil & Gas Industries Limited failed yesterday.
The oil firm controls about 35 per cent of the fuel storage and distribution capacity in the country and in the past one week has had its facilities shut down, following a court order, which mandated AMCON to take over the management of the assets of the company, with a view to recovering over N40 billion debt owed some indigenous banks.
The shutdown of the oil firm had resulted in the scarcity of fuel experienced at present in the country, as more than 260 trucks belonging to the NNPC and other oil marketing firms that had queued to take petrol out of the Apapa Depot of Capital Oil for onward distribution to retail outlets in the country were currently trapped inside the depot, following the court order.
AMCON last weekend had opened negotiations with the management of Capital Oil, with a view to facilitating the re-opening of the facility. AMCON officials, Daily Sun learnt, were at Capital Oil yesterday to take stock and inventory of the assets at the depot. But Daily Sun was informed that the negotiations had collapsed, as both parties could not come to an agreeable terms.
Specifically, an insider in the negotiation said the management of Capital Oil and Gas Limited had considered the terms put forward by AMCON as amounting to a ‘total takeover’ of the assets of the company, a negation of an earlier proposal, which had suggested a debt recovery programme that would entail a collaborative effort between AMCON and Capital Oil. “Capital Oil is ready to work with AMCON, but there are irreconcilable differences in the negotiations,” said the source. “Capital Oil should be treated as a going concern because we are still in business and making money.
But the terms they brought amounted to a total takeover of the management of the company and that is not a favourable term,” said the source.
Most oil marketers had decried the continuous shutdown of the oil firm’s depot, noting that the facility remains one of the most critical loading points for marketers, and even a core facility utilized by the NNPC to store, and offload its imported fuel to various retail outlets in the country.
Corroborating the breakdown in negotiation, AMCON yesterday, in a public statement, said the talks with Capital Oil failed to yield results. “AMCON would like to inform the general public that it is fully aware of the importance of Capital Oil and Gas Limited in the distribution of petrol and related products in Nigeria,” said the debt recovery agency, adding that it “has consistently made efforts to re-open the facilities of Capital Oil and Gas granted to it by the order of court in pursuant of its statutory duties.
It is, however regrettable to announce that Capital Oil and Gas and Mr. Ifeanyi Ubah have refused to co-operate with AMCON despite several meetings, which culminated in a signed agreement.” AMCON however said it would continue with its statutory functions and strive to re-open the facilities as soon as possible.
i can picture some political game in this matter……. i wonder why ifeanyi chose to declare his interest to run for Anambara state Governorship election in 2014……. i pray ohhhhhhh
The man ifeanyi Ubah hmmm, he knows what he is doing.
ifeanyi uba should go and learn some lessons from dangote, otedola etc, you cant mix business and politics together especially when the source of your money is from the same politicians
Ifeanyi is a disgrace.
An embarrassment to an average hardworking NNEWI man.
He want to rule anambra state with stolen money.
WHY SOME BIG FOOL LOVE TO MAKE USELESS STATEMENT,LOOK THIS YOUNG IS A VERY HARD WORKING PERSON. ONLY DOES CANT WORK HARD LIKE HIM WILL TRYING TO RUBBISH HIM. BUT GOD WILL NOT ALLOW SOME OF THIS IDIOT
WHY SOME BIG FOOL LOVE TO MAKE USELESS STATEMENT,LOOK THIS YOUNG MAN IS A VERY HARD WORKING PERSON. ONLY DOES CANT WORK HARD LIKE HIM WILL TRYING TO RUBBISH HIM. BUT GOD WILL NOT ALLOW SOME OF THIS IDIOT
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Okoro man is never stright foward in his life. They are just simply useless. The “jews of Africa”
George is from where? why don’t you bear your tribe name so that we can know where you come from. please stop casting aspersions on Igbos, they are hard working people.
Yes o o!!! Okoro man is never straight forward in his life. All these okoro men: Thief, sorry, Chief Bode George (fmr Chairman of NPA , Dimeji Bank-Ole (fmr Speaker of the House), Erastus Akingbola (fmr MD, Intercontinental Bank), Sen. Iyabo Obasanjo-Bello, the Baba himself OBJ who legalized corruption in Nigeria. All these Okoro men are never straight forward in their life
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@george BUSH, y not identified where u re coming 4rm so tht we can tell u how u look, so tht u can tell us if its only okoro pple are nt stright fowardness. let me tell u, when next u are trying to TRIBALIZED an issue, try to show ur face so tht we can open ur bombom as we all knew how we stand in this entity called 9ija and tell u how u look as we are ready 4 all of u tht says that we can not sit down and hve a bottle of coke to quench d civil war massarce u commited against this humble and industrious tribe and JEWS OF AFRICA. Amadioha & Ogbuneigwe gbu gi. dnt hide ur face.
@george BUSH, IDIOT ………………………………… BAGGER……………
What kind of a country eats up her up coming and enterprising children instead of nurturing them? why should this young man be liquidated just for declaring interest in a political post for which he has the constitutional rights to do so? what about the thousands of family dependent on this company for sustenance, not to mention the hardship on motorists by way of fuel scarcity by these political buccaneers.
I sympathize wit mr Uba,u dont mk unguided statement on national Tv, u ought 2 employ diplomacy in challenging d powers dat b..
..I sympathize wit mr Uba,u dont mk unguided statement on national Tv, u ought 2 employ diplomacy in challenging d powers dat b..
..I sympathize wit mr Uba,u dont mk unguided statement on national Tv, u ought 2 employ diplomacy in challenging d powers dat b…i’m sure he is not d biggest debtor in d system & it cannot b classified as bad dept…
lf Capital Oil sneezes Nigeria catches cold! 35% petrol distribution stake is no joke.
You guys should stop sympathising with Ifaenyi Ubah because he is a criminal that collected loans from many banks and refused to pay. He is blocking ways for young and upcoming enterpreneurs like us. He should pay his debt and have peace shikena.
My problem with Mr Uba is that he never denied collecting those money from banks, so the issue now is was he duped? You kept saying that you never new that your properties were used to secure the loan. Are you not the one who is using the loan to do business? I used my own properties to collect loan and I have paid so is the money not release to you or were u in perthnership with them. I don’t understand your lamentations, but you were reckless with money but even at that what is your problem. Is it the money owe you by finance ministry? come clear.