The union committee of Canadian Nexen continues its negotiation with the ministry of oil and minerals and Nexen management to put an end to the ongoing strike at both company headquarters in Sana’a and the field of Block (14) and block (51), east Alhajr.
At the same level the union asked the employees to start the second phase strike as per an earlier plan to escalate their action against the company in phases, and it will turn into halting the operation and production activities by the end of this week.
The strike comes as a result of company’s alleged neglect of its workers labor rights, since the latter’s first formal complaint in 2007.
Sub-contractor employees have also gone on strike, demanding direct employment with the company, and they have been demonstrating in large numbers in front of the doors of company, which has prevented work in the Sana’a office.
Canadian Nexen is the largest oil producer in Yemen working for almost 20 years in Block (14) in al-Masila, Hadramawt. The production sharing agreement (PSA) of the company with the Yemeni government has expired and the company submitted to hand over the business operation to the government by the middle of December 2011.
“The headquarters of Canadian Nexen Inc. in Calgary is seeking to renew the agreement with the government and the ongoing problems over the issue of employee’s rights is an attempt to push on the government to sign on the renewal contract” said a union member.
Yemen is facing a severe petrol and gas crisis, and the majority of the oil production companies in Marib and in the al-Jawf basin have suspended their operations due to the continuous bombing of the oil pipeline in Marib by restive tribes.