$225m debt: Court orders arrest of Nduka Obaigbena’s oil vessel

$225m debt: Court orders arrest of Nduka Obaigbena’s oil vessel

 A Federal High Court in Rivers State has issued an order for the detention of the cargo of the floating Production Storage and Offloading (FPSO) Vessel Tamara Tokoni. This follows an application by the First Bank of Nigeria over $225 million in debts.

The court has tasked the Nigerian Navy to arrest and detain an oil vessel belonging to General Hydrocarbons Limited, a company promoted by Nduka Obaigbena, Chairman of the ThisDay Editorial Board.

The court order on the detention of the cargo, Floating Production Storage and Offloading (FPSO) Vessel Tamara Tokoni, followed an application by the First Bank of Nigeria over $225million debts.

The court document titled: “Warrant of arrest and detention of (a) the cargo of crude oil on board the Floating Production Storage and Offloading (FPSO) Vessel Tamara Tokoni presently located at (b) Rivers State or any Port of within Nigeria Territorial Waters,” cited on Wednesday, was issued and sealed by Justice E. A. Obile, the presiding Judge in Suit No: FHC/PH/CS/02/2025.

The Suit is between First Bank of Nigeria Limited as Plaintiff And General Hydrocarbons Ltd; The Cargo of Crude Oil on Board FPSO Tamara Tokoni; Owners/Operators of the FPSO Tamara Tokoni and The Master, FPSO Tamara Tokoni as 1st to 4th Defendants.

The order read: “To the Admiralty Marshall of the Federal High Court and all and singular his substitute WHEREAS it appears that the (c) CARGO OF CRUDE OIL ON BOARD THE FLOATING PRODUCTION STORAGE AND OFFLOADING (FPSO) VESSEL TAMARA TOKONI currently CURRENTLY LOCATED AT RIVERS STATE OR ANY PORT OF WITHIN NIGERIA TERRITORIAL WATERS is about to leave Nigeria outside the Jurisdiction of the Court. The Plaintiff’s claim is as per the writ of summons being served along with this warrant of Arrest.

“This is therefore to require and order you forthwith to arrest and detain the said CARGO OF CRUDE OIL ON BOARD THE FLOATING PRODUCTION STORAGE AND OFFLOADING (FPSO) VESSEL TAMARA TOKONI and to keep same under detention untill you shall receive further order(s) from the Court.”

Meanwhile, in compliance with the Court order over a $225 million debt owed to First Bank of Nigeria, unconfirmed reports said security operatives arrested and detained the oil vessel belonging to General Hydrocarbons Limited in the early hours of Wednesday.

“TAMARA TOKONI (IMO: 8302131), a Floating Storage/Production, sailing under the flag of Panama, owned by GHL, was arrested and detained at the Escravos, in Delta state by operatives from the Navy who flew two hours from the Naval base in Lagos to the Vessel’s location”

According to the source, Navy personnel with naval Gunships are currently in the FPSO and have taken over the Vessel.

Obaigbena’s oil firm GHL and FBN have been locked in a legal conflict over credit facilities his company took. The bank claimed the company missed several repayment deadlines.

First Bank is claiming $225.8 million, which it said is the indebtedness on General Hydrocarbons‘ account with the lender as of 30 September 2024.

The 9 January ruling by Justice E.A. Obile ordered the detention of the crude oil cargo on board FPSO Tamara Tokoni pending the provision of a “satisfactory Guarantee from a first-class Nigerian Bank of $19.7 million plus interest and costs by the said Defendants…”

The order also directed officers of the Nigerian Navy, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the Nigerian Maritime Administration and Safety Agency (NIMASA), and the Harbour Master of the Nigerian Ports Authority (NPA) to provide the necessary assistance in implementing the order of arrest of the FPSO Vessel Tamara Tokoni.

The judge also ordered the security officials to take necessary steps, including providing “regular patrols and surveillance around the cargo of crude oil to prevent General Hydrocarbons Limited from dissipation until the Order of this Court has been complied with in respect of the arrest of the FPSO on board Tamara Tokoni.”

The court then adjourned the matter to 9 February 2025 for a continuation of the substantive suit.

In a subsequent letter to the Chief of Naval Staff, the Federal High Court sought the Nigerian Navy’s assistance in executing the court order to arrest and detain the crude cargo on board FPSO Tamara Tokoni.