Minority demands probe into $200m ‘questionable’ oil contract

The Minority Caucus in Parliament is pushing for a parliamentary probe into a $200 million contract between Jubilee oil partners and a subsea engineering company, Intesoll Engineering, tasked with providing subsea services.

The Minority indicates that Intesoll was awarded the contract without competitive bidding to offer subsea engineering services for the Go supporter subsea vessel.

Speaking to journalists on the concerns raised, the Ranking Member on the Energy and Mines Committee, John Jinapor expressed reservations about the contract and justified the need for an inquiry.

“We want to investigate the actual true value of the contract. We also want to investigate the value-for-money issues. We want to investigate the technical and financial competence of Intesoll. The previous contract was in a joint partnership with Sapura, and we all know the capacity of Sapura, an international company.

“The other thing we want to look at is why sole sourcing and not competitive bidding. We also want to investigate the technical reports and all the minutes relating to the award of the contracts.

“Finally, why five years? Because this is a time when the contracts are very, very high. And in finance, when financing and contracts are very high, you do not sign for such long periods.

“We would investigate this matter thoroughly, fully and all the agencies and stakeholders will be invited. GNPC will be invited, Petroleum Commission, Ministry of Energy, Tullow, the technical operator, and all those who matter.”