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Labour Strike to have Little to no Effect on Crude Oil Exports – NNPC

By on January 6, 2012

Even as the Nigerian Labour Unions, including the Oil and Gas workers union, PENGASSAN and NUPENG, have pledged to embark on a strike on Monday that will cripple economic activities in the country, many oil and gas insiders believe that there will be little or no threat to upstream oil processes that generate government revenue.

Security is being beefed up at oil and gas installations across the country in order to thwart any adverse effect on government revenue.

According to news agency, Reuters, a spokesman for the Nigerian National Petroleum Corporation said by telephone, “If union members strike, management will take over their roles in the short term,” and “If talks fail and there is a strike, we will make sure all our facilities are secure. We are reliant on oil production for our foreign exchange earnings, so we will sustain production.”

Other insiders also chimed in indicating that most of the processes are indeed automated and therefore would have little or no impact on output.

Senior oil and gas officials did say that if union demonstrators were organized and determined enough to attempt a total blockage on production as was the case during protests concerning the MKO Abiola election in 1993, then production would be seriously affected. However they added, many did not expect the protests to be that organized and determined.