Fresh Push To End Oil Wells Ownership Conflicts
By ESTHER McWILLIS-IKHIDE
THE Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has pledged to ensure fairness and transparency in resolving disputes over the location of oil and gas wells across Nigeria’s oil-producing states.
The assurance was given on Monday in Abuja by the Chairman of the Commission, Dr. Mohammed Shehu, while briefing journalists on the ongoing plotting of coordinates for disputed and newly drilled oil and gas wells.
Disputes Span Multiple Oil-Producing States
According to Shehu, the disputed oil and gas locations involve several oil-producing states, including Akwa Ibom, Cross River, Bayelsa, Edo, Ondo, Rivers and Delta, as well as offshore fields.
He explained that the exercise, which is expected to last several days, is aimed at establishing accurate boundaries and ownership of oil wells to ensure that revenues are shared appropriately among entitled states.
“I want to assure the affected parties that the commission will be an unbiased umpire and will deploy justice, equity and fairness for which it is known,” Shehu said.
He urged representatives of all affected states to participate actively in the coordinate plotting process, noting that transparency and inclusiveness were essential to producing an outcome acceptable to all stakeholders.
Constitutional Basis for the Exercise
Shehu noted that the RMAFC is constitutionally mandated to monitor revenue accruals and disbursements from the Federation Account, including ensuring the equitable distribution of the 13 per cent derivation fund to oil and gas-producing states.
He explained that the verification of oil well coordinates is critical to determining which states are entitled to derivation payments, particularly when new oil fields commence production.
The chairman disclosed that the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) formally requested RMAFC’s involvement to verify the coordinates of newly drilled and disputed oil wells.
Inter-Agency Technical Collaboration
In response, RMAFC inaugurated an Inter-Agency Technical Committee (IATC) in July 2025, comprising officials from the NUPRC, the Office of the Surveyor-General of the Federation and the National Boundary Commission.
The committee conducted extensive fieldwork between September and October 2025, with surveyors-general from oil-producing states participating as witnesses during the coordinate-taking exercise.
Shehu said the technical team visited inland creeks, offshore locations and high seas, adding that the fieldwork has been concluded and reports submitted to the commission.
Next Steps and Expected Outcome
The chairman disclosed that coordinate plotting would take approximately five days and would rely on advanced equipment, including drones, to access difficult terrain.
He added that data analysis would be carried out in the presence of representatives of the affected states to guarantee openness.
Shehu said no state was currently in open conflict, stressing that competing claims were natural until facts were established.
He expressed optimism that the final report, expected next week barring litigation, would significantly reduce disputes among oil-producing states.
