About the publication: This is just chapter one of a dissertation, if you intend to have the full dissertation, contact us:

ABSTRACT

Oil and gas resources are very essential for the wealth and wellbeing of a country. As important as it is, oil and gas resources can be an excellent key to unlocking social change if well managed. However, despite the link that may exist between oil resource and economic development, there is the problem of disconnect in the dynamic relationship between the citizen and the Cameroonian oil and gas industry. It is within this background that this study critically examines by way of a qualitative research methodology the effectiveness of mechanisms for the management of oil and gas resources in Cameroon by SNH. Findings revealed that the corporation has from the date of creation recoded several achievements including; transparency and increased contribution to the national budget. Notwithstanding the achievements, the corporation also faces some challenges that hampers its smooth functioning, including, recurrent oil-related conflicts, governance challenges, and increased dealing with contraband fuel. It is therefore recommended that the Government of Cameroon implements the various laws regulating the management of oil and gas resources, synergize with different actors at the national and international frontiers, increase its exploitation of oil and gas resources, and strengthens the transparency in the management of oil and gas resources.

Keywords: Management, Oil, Gas, Resources.

LIST OF CASES

• Egbe Maureen v. Ruth Eyong, Elf Oil Cameroun & 3 Others Suit No. HCK/1994, unreported
•  Elf v. Texon Drilling Co 146 Tex. 575 S.W.2d 558 Tex. 1948
•   Marsh v. Alabama, 326 U.S S.Ct. 276, 278 1946
• SERAC v Federal Government of Nigeria Judgement No ECW/CCJ/JUD/18/12

LIST OF STATUTES

• The 1982 United Nations Convention on the Law of the Sea (UNCLOS)
• The Rio Declaration on Environment and Development, 1992
• United Nations Framework Convention on Climate Change, May 9, 1992
•  The Cameroon Constitution; Law No.2008/001 of 14 April 2008 to amend and supplement some provisions of the 1996 Law to amend the Constitution of 2 June 1972
• Cameroon Gas Code, by Law No 2002/013 of the 30^th of December 2002
• Development of Associate Gaz, law No. 2011/025 of 14 December 2011
• Cameroon penal Code: Law No. 2016/007 of 12 July 2016 relating to the Cameroonian Penal Code
• The Cameroon Petroleum Code, Adopted by the Law No 2019/008 of 25^th April 2019 to institute the Petroleum Code.

LIST OF ABBREVIATIONS

• ACHPR: African Charter on Human and Peoples’ Rights
• CONAC: National Anti-corruption Commission
• ECOWAS: Economic Commission of Central African States
• EITI: Extractive Industries Transparency Initiative
• GPP: Groupement Professionnel des Pétroliers
• IGU: International Gas Union
• MINEE; Ministere De L’eau Et De L’energie
• MINEP; Ministry of Environment, Nature Protection and Sustainable Development
•  MINFI : Ministry of Finance 
• MINMIDT: Ministry of Mines, Industry and Technological Development
• NAFI: National Agency for Financial Investigation
• NCIHS; National Commission for Industrial Health and Safety
• NGO:   Non-Governmental Organizations
• PC: Penal Code
• PWYP: Publish What You Pay
• SERAC: Social Economic Right Action Centre
• SNH: National Hydrocarbons Corporation
• SONARA: The National Oil Refinery
• TEPCAM: Total Exploration Production Cameroon

CHAPTER ONE

GENERAL INTRODUCTION

1.1 BACKGROUND TO THE STUDY

The discovery of oil and gas resources in the world, Africa and Cameroon in particular has over time affected the lives of countless individuals and shaped the destinies of several nations. In modern times, oil and gas resources are perhaps the most important source of energy globally.[1]It is critical to national strategies and crucial to international politics. According to Feyide.[2]

Developing countries that have no oil are faced with a grim struggle for survival; If they lose, they are relegated to the fourth world; The march of progress will be retarded and life itself would become unbearable if the world were to be deprived of oil and gas resources.

This assertion can be supported by that of Winston Churchill who when speaking as first British Admiralty at the House of Commons on 17 July 1913 emphasized the extremely high priority that oil had acquired for the British Navy and the National survival. Churchill^[3] stated that,

If we cannot get oil, we cannot get corn, we cannot get cotton and we cannot get a thousand and one commodities necessary for the preservation of the economic energies of Great Britain

This speech had an enormous economic impact on the daily newspapers and public opinion, and had the effect of accelerating the implementation of (an already drafted) plan for the government to take an active interest in the oil industry. Considering the importance that was attributed by Churchill to oil and gas resources that he went as far as proposing that the government play a leadership role in its management, it becomes important that such importance be attributed to Cameroon’s oil and gas industry especially in contemporary times.

The importance of oil and gas resources to an economy should therefore not be overemphasized. It acts as an important source of energy, facilitates globalization and the transportation of goods and services. The world’s dependence on oil and gas resources keeps increasing as global economies and infrastructures continue to rely heavily on petroleum products that continue to yield incredible influence in international economics and politics.^[4]

The oil and gas industry has a long history that dates back to the fourth century when the world’s first oil wells were drilled in China in 347 AD. The Chinese utilized simple bamboo poles to drill these wells, to the depths of up to about 800 ft. (240 m), and the oil that was extracted was used primarily as a source of fuel. In later centuries, oil was found across Asia and Europe. The modern oil industry began in the mid-nineteenth century, following the 1859 discovery of the first underground oil reservoir near Titusville, Pennsylvania, in the United States of America (“USA”) by Colonel Edwin Drake.[5] Colonel Drake’s well initially produced 30 barrels of oil per day. Its success marked the beginning of global interests in the commercial viability and economic relevance of oil and gas resources. Following its commercial discovery, a variety of products were eventually developed from crude oil. These products include kerosene, gasoline and diesel amongst others.[6]

As an invaluable resource, oil exploration in Cameroon began in 1947 during the colonial period, and led to the discovery of the first commercial deposits in 1972. Commercial production started in 1977 in the Rio del Rey basin on the west coast of Cameroon, run by the French oil company Elf Aquitaine.[7] With the retrocession of the potential oil and gas rich peninsula of Bakassi by Nigeria in 2006 following the signing of the Green Tree Accord, new explorations have been registered and discoveries are expected to boost the country’s reserves considerably.[8]

The significance of the oil sector is even more visible regarding its contribution to the
country’s foreign exchange earnings and government revenues. Crude oil products are Cameroon’s main export, representing more than 55% of export revenues in 2007, far beyond timber and wooden constructions, at about 15% of revenues, and cocoa beans, at 0.2%.[9]

However, despite the enormous gains that oil and gas resources bring to a country, working in the oil and gas sector is often very risky as workers are exposed to various risk that makes them prone to damages on their health and safety. The oil and gas sector is characterized by a combination of very heavy equipment’s, flammable chemicals and processes that are usually under constant high pressure which could lead to hazard. In fact, in the ground breaking case of Egbe Maureen v. Ruth Eyong, Elf Oil Cameroun & 3 Others,[10] the defendant was liable to the plaintiff who suffered severe burns due to the defendants’ negligence in mixing petrol with kerosene that led to an explosion.

The Cameroonian Government in an attempt to manage this sector has enacted various laws and put in place commendable institutional mechanism. The 1999 Petroleum Code,[11] the 2002 Gas Code[12] and several International Conventions are the foremost legislations that regulate the management of this sector.

The above laws are accompanied by laudable institutional mechanisms and at the core of the sector, is a public corporation directly controlled by the presidency called the National Hydrocarbons Company (Societe Nationale des Hydrocarbures, SNH). SNH is a public industrial and commercial company with financial autonomy, created in 1980. It has the mission to promote and valorize the national mining domain and manage State interests in the hydrocarbons sector. SNH plays a vital role in the oil sector, as regulator and joint venture associate in all oil activities. Two line ministries share some responsibilities over the sector namely, the Ministry of Energy and Water (MINEE) and the Ministry of Industry, Mines and Technological Development (MINIMIDT).

The corporation also engages in Corporate Social Responsibility. It has hitherto acted as main sponsor of cycling in Cameroon and also contributes to the development of other sports disciplines such as gulf. As part of its project, SNH gives priority to options aiming at the development of areas where oil operations are conducted both in terms of business and employment, opportunities and infrastructure. With regards to the infrastructure aspect, some of the achievements include the construction or rehabilitation of roads and the construction of boreholes to give the local population access to drinking water, particulary in Mvia Edea and Bipaga Kribi. Depending on available funds, SNH grants donations and subsidies of a social nature, to the benefit, in particular, of socially disadvantaged people.[13]

The Cameroonian courts also play the role of a legal enforcement institution. These institutional arrangements are there to ensure that oil and gas resources be managed for the wellbeing of Cameroonians in general and host communities in particular.[14]

Although the government of Cameroon has put in place legal and institutional frameworks regulating the management of oil and gas resources in the country, it is rather unfortunate that the implementation of the rules by SNH is lacking behind expectations. Against this backdrop, this study seeks to analyse and evaluate the various challenges that affects the effective management of oil and gas resources in Cameroon by SNH.

1.2 STATEMENT OF THE PROBLEM

Oil and gas resources can be an excellent key to unlocking social change. In fact, oil and gas resources are essential to global economic growth, fiscal and energy stability. However, the unstable manner in which Cameroon’s oil well has been managed has made life unbearable for many of its vulnerable citizens. Despite the laws and institutional frameworks that has been put in place to better manage the resources, the challenges are many and as a result of that the link that may exist between oil resource and economic development, there is the problem of disconnect in the dynamic relationship between the citizen and the Cameroonian oil and gas industry. While the discovery of oil in 1977 and initial prudent management accentuated hopes, Cameroon has become an example of growth collapse.^[15] In Cameroon, recurrent oil price volatility, oil-related social conflicts and poor oil revenue management has caused the nation to be one of the poorest and economically marginalized, despite its natural resource endowment.[16]

The National Hydrocarbons Corporation (SNH) forecast on oil output in November 2011 was that it will rise to about 36.5 million barrels in 2012, that is an equivalent of about 100,000 bpd[17], “a very conservative estimate” . During the 4^th quarter of 2011, SNH transferred some 209,444 billion CFA francs in the third quarter, thanks to the very good prices in the world market. Total revenue transferred to the state treasury was 572,675billion CFA francs, up from 420.108 billion in 2010 or an increase of 32.32%.[18] Notwithstanding, the revenue generated by SNH to the State, the increasing rate of corruption, lack of governmental accountability and income disparities hampered the effective utilization of these finances. To this extent, this research examines some of the challenges that exacerbate the management of oil and gas resources in Cameroon by SNH.

1.3 RESEARCH QUESTION

1.3.1 General Research Question

• How effective is the management of oil and gas resources by SNH?

1.3.2 Specific Research Questions

• What is the evolution of oil and gas resources in Cameroon?
• How does SNH manage oil and gas resources in Cameroon?
• What legal and institutional frameworks regulate the management of oil and gas resources in Cameroon?
• Are there challenges faced by SNH in the management of oil and gas resources in Cameroon?
• Which policy recommendations are needed to ensure effective management of oil and gas resources in Cameroon?

1.4 RESEARCH OBJECTIVES

1.4.1 General Research Objectives

• To critically examine the effectiveness in the management of oil and gas resources in Cameroon by SNH.

1.4.2 Specific Research Objectives

• To examine the evolution of oil and gas resources in Cameroon.
• To examine the efforts made by SNH in the management of oil and gas resources in Cameroon.
• To ascertain the legal and institutional framework regulating the management of oil and gas resources in Cameroon.
• To investigate the challenges SNH faces in the management of oil and gas resources in Cameroon.
• To propose relevant recommendations to improve on the management of oil and gas resources in Cameroon.

1.5 RESEARCH METHODOLOGY

The study adopts a qualitative research methodology which is suitable for this research. It encompasses a more comprehensive range of methods that involves content analysis of both primary and secondary sources of data information. To this end, primary data is derived from conventions[19], national legislations[20], and case laws touching on issues of oil and gas management in Cameroon. These primary sources will go a long way to bring to lamplight available legislations governing oil and gas management in Cameroon.

The researcher further uses secondary data information, which includes; textbooks, journal articles, reports online internet sources, thesis, periodicals like magazines and encyclopedias. In so doing, the university of Buea library and other public libraries are used. This approach helps the researcher draw insights from the scholarly works of past researchers who have for decades embarked on this area of study. It also helps the researcher identify the challenges faced by SNH in the management of oil and gas resources so as to come forth with recommendations that may go a long way to resolve issues that previous works did not preview.

For better analysis, the researcher thought it necessary to do unstructured interviews and observations at SNH since the topic is a practical one. The use of these research methods help the researcher to have an in-depth knowledge of the various challenges faced by SNH in the management of oil and gas resources. The findings obtained after such interviews and observations guided the researcher to suggest what possible recommendations are good to enhance the proper management of oil and gas resources by SNH and Cameroon in general.

1.6 LITERATURE REVIEW

All the attempts to review existing literature on the management of oil and gas resources in Cameroon has been humdrum task, taking into cognizance the numerous text books and journal articles that have been written by different authors over the years. As sensitive and sacrosanct as the subject may be, it has drawn the interest of many scholars both within and without Cameroon. The present research therefore identifies the major trends in the literature which can be a useful bedrock on which the study is conducted.

In a report, Zeufack and Gauthier[21] averred that the discovery of oil and gas resources and prudent management at the onset accelerated hopes that the oil and gas industry is a blessing for Cameroon but laments that the recent apparatus of lack of transparency and accountability in the management of oil and gas resources accounts for Cameroons poor state notwithstanding its rich natural resource endowment. He suggests the need for acceleration in the implementation of laws regulating oil and gas resources in Cameroon, good governance and a host of other incentives which will go a long way to improve the rate of transparency and accountability in the management of oil and gas resources in the country. This is incongruous with this present study which also adopts the view that the lack of transparency and accountability of proceeds in Cameroon’s oil and gas industry impedes the management of oil and gas resources. This notwithstanding, this study highlights other impediments that hamper the management of these resources in the country.

Rumarick[22] avers that ownership and management of oil and gas resources are very crucial to a country’s wealth and wellbeing and therefore should not be treated with levity.  He analyzed the various legal and institutional arrangements regulating ownership over oil and gas resources in the country. He purports that persistent illegal sale of oil and gas resources and recurrent conflicts for ownership over oil and gas resources are the foremost problems affecting ownership and management of oil and gas resources in Cameroon. As panacea, he advances the need to swiftly implement the terms of the Green Tree Accord and the enforcement of existing legislations governing oil and gas resources in Cameroon. However, even though he expounded on the institutional mechanisms for the management of oil and gas resources, he failed to examine the activities of SNH, a leading corporation managing oil and gas resources. Unlike his work, this research considers SNH as a flagship institution charged with the management of oil and gas resources in Cameroon.

Agnes Ncheng Abunaw[23] makes recourse to the numerous laws adopted by the Cameroonian government for the implementation of hygiene and safety standards in the oil and gas industry, especially SONARA. She posits that the management of SONARA has at its core of operations, policies on hygiene and safety but laments that their implementation is farfetched. This research strives to investigate the various challenges faced by the management of SNH in the implementation of hygiene and safety measures.

Similarly, Emuejevoke Akakparo[24] argues the need for strict implementation of laws regulating the oil and gas sector. He believes that if these rules are applied strictly, the numerous impediments affecting the management of oil and gas resources will be checked. However, he failed to highlight the various challenges faced by those charged with the management of oil and gas resources. This research expounds on the varied challenges faced by SNH in the management of oil and gas resources.

Colbert[25] focuses on the right of the indigenes over oil and gas resources. His research points to the fact that the Ndian Division of Cameroon hosts a greater percentage of Cameroon’s oil and gas resources. This notwithstanding, he laments that this Division which host a greater percentage of Cameroons oil and gas resources still remains highly impoverished, enclave, and underdeveloped. He therefore suggests that oil and gas resources in that locality be prema facie managed for the wealth and wellbeing of host communities. Unlike his work, this research is underpinned by the provisions of the preamble of the Cameroonian constitution which provides that natural resources be harnessed for the wellbeing of all Cameroonians without distinction.

Bede[26] in an article articulates on the fact that the proceeds from natural resources, specifically oil and gas resources be managed for the attainment of Human Rights. It demonstrating the nexus between Human Rights and the management of oil and gas resources, he posits that oil and gas resources be managed in a way that will lead to sustainable development. If this is achieved, the ageless practice of conflicts over territories that are rich in oil and gas endowment will stop and will thus pave the way for the respect of the right to development. This paper not only shows how an improvement in the management of oil and gas resources will act as a panacea to multiple conflicts plaguing this sector but goes further to show other benefits that accrue from better management of oil and gas resources.

Furthermore, Stephane Cosse[27] emphasizes on the importance of transparency in the management of oil and gas resources in Cameroon. He recognizes the fact that the Cameroonian Government has taken considerable steps to strengthen transparency in its oil and gas sector but stresses on the need to augment these initiatives. It is therefore on this premise that this study aims at aligning with that of other scholars by identifying other key impediments to the management of oil and gas resources in the country. 

Similarly, Bernard Mommer[28] stresses on the need for international corporation in the management of oil and gas resources. He regrets the fact that various efforts at the national, regional and international scene to fight illegal undertakings in the oil and gas sector have proved futile for decades. He therefore stresses on the need to strengthen international corporation in the management of oil and gas resources. While this author concentrated on the various international mechanisms that could be employed in the management of oil and gas resources, this present study is more or less centered on the various national measures that could be employed in the management of oil and gas resources

Oyewole Mustapha & Micheal Ayodele[29] explains that adequate compensation to communities which host oil and gas resources stands out as one of the primary tools for conflicts that plague communities with natural resource endowment. To arrive at such compensation value, there is need to review the legal framework governing oil and gas resources.

Similarly, Abilabi Colbert[30] stresses on the need for the implementation and compliance with environmental regulations in the oil and gas industry. He stresses on the need for companies that carry out operations in the upstream and downstream sector to comply with regulations relating to the right to healthy environment in Cameroon. Using PERENCO as case study, Colbert decries the wanton disregard for environmental regulations by companies involved in the exploration and exploitation of oil and gas resources in the country. While Colbert’s work was limited to environmental challenges posed in the exploration and exploitation of oil and gas resources in Cameroon, this study on the other hand focusses on challenges in the management of these resources.

Again, Agwara Jonh[31] expatiates on the resource curse phenomenon. He posits that the resource curse refers to the paradox that countries with abundant natural resources[32] have less economic growth than countries that do not possess these natural resources. According to this author, one reason for this is the mismanagement of revenues gained from the natural resource sector. To solve this problem, he suggests the need to harmonize and improve the Anti-corruption sector, reform governance systems and increasing national pressure for transparency and accountability.

Finally, Asoh Sharmmah[33] explores the various measures governing the exploration and exploitation of oil and gas resources in Cameroon. She regrets the fact that PERENCO a leading company involved in the exploration and exploitation of oil and gas resources in the country disregards the various laws governing the exploration and exploitation of oil and gas resources in the country as its activities have led to devastating environmental effects. Unlike Asoh whose research was more or less centered on activities in the upstream oil and gas sector, this present study goes further to look at other impediments in the downstream oil and gas sector.

Gaps in Literature

The above portrays the surfeit of literature that exist on oil and gas. These literatures are important to this study because it shows what other scholars have written on oil and gas law which is in line with this work and which can be a useful basis upon which this research is conducted. Credence should therefore be given to all these authors for their contribution to the body of knowledge. However, most of the abovementioned literatures expounds on some general challenges plaguing Cameroon’s oil and gas industry. This study, unlike others, not only identifies the prevailing challenges in Cameroon’s oil and gas industry but is more or less centered on difficulties encountered by SNH in the management of these treasures. In fact, while most authors mentioned hitherto focus on criticizing the way oil and gas resources in Cameroon are managed, this research seeks to investigate on the various challenges faced by SNH in the management of these resources.

 Finally, most authors focused on either the upstream or the downstream oil and gas sector, with almost none focusing on the challenge that affects the two. This work unlike others examines the various challenges that affects the management of oil and gas resources in both the upstream and downstream.

1.7 THEORETICAL FRAMEWORK

The study is underpinned by three main theories, to wit: Triple Pronged Theory, the theory of Good Governance, the Agency Theory and the Legitimacy Theory.

1.7.1 The Triple Pronged Theory

The triple pronged was developed by Henry Shue in 1986. It advocates for the duty to respect, protect, and to fulfill human rights. [34] The theory was further expounded upon by great scholars such as Adam Mc Beth.[35] According to Adam Beth, the duty to respect is essentially the duty not to infringe upon a person’s right. The duty to protect human rights entails putting in place measures to ensure that entities do not infringe on the rights of others while the duty to fulfill requires positive steps aimed at realizing those rights. Henry Shue’s tripartite analysis was affirmed by the Maastricht Guidelines on the violation of Economic, Social and Cultural Rights[36] in 1997 as representing the contemporary status of international law.

As stated in the research problems, some of the problems that necessitate this study are the challenges faced by the government in the management of oil and gas resources. These resources are supposed to be managed in a way that will benefit all Cameroonians but the reverse is rather a truism as numerous challenges impede the smooth management of these treasures. All of these challenges would have been avoided if the government had implemented already established mechanisms aimed at ensuring that the indigenous people in whose land oil and gas deposits are found are being accorded some privileges. Also, specific laws should be instituted to punish any person who fails to respect the laws regulating the management of oil and gas resources.

This study, therefore, adopts this theory confidently because it is clear that due to the challenges faced in the management of oil and gas resources Cameroon has failed to protect the rights of indigenes in whose land commercial deposits of oil and gas resources are found. The Ndian Division[37] of south west Region of Cameroon is one of the richest in terms of oil and gas resources as it provides approximately 89 percent of Cameroon oil. With all these natural endowments, the Ndian Division has been described as “Rich yet an Abyss of underdevelopment”.[38] This raise concerns as to how oil and gas resources are managed in that area. In fact, companies carrying out exploitation of oil and gas resources in this area are expected to carry out social projects within the context of Corporate Social Responsibility.

The triple pronged theory which compels the government to fulfill human rights is thus important to this study as it will pave the way for the government to enforce the rights of indigenes whose land is endowed with oil and gas. In as much as the law provides for state ownership over oil and gas resources, the researcher considers that fulfilling the rights of citizens will pave the way for lesser conflicts over oil and gas.

Moreover, the government has laid down several obligations in the petroleum code with regards to petroleum operation. Some of which compels the holder of a petroleum contract to adhere to environment standards, [39] granting preference to persons of Cameroonian Nationality when employing its staffs[40] and compliance with standards of hygiene and safety.[41] Adherence to these standards will also go a long way in ensuring the protection of individuals rights to health, safety, and employment which will in turn lead to a serene atmosphere over oil and gas operations. All of these can only be attained if oil and gas resources are effectively managed.

1.7.2 The Good Governance Theory

The good governance theory is a theory that sets some basic principles according to which a good government, whatever its form must be run. Such principles include accountability, control, responsiveness, transparency, public participation, efficiency, and economy. It involves an efficient public service, an independent judicial system and legal framework to enforce contracts and responsible administration of public funds. Other aspects of good governance include an independent public auditor to a representative legislator, respect for the law and human rights, and a pluralistic institutional structure.[42]

Apart from the above, the theory is predicated on three segments of the society which have direct effects on governance. These three segments include the type of political regime, the process by which authority is exercised in the management of the economic and social resources with a view to development, and the capacity of governments to formulate policies and have them effectively implemented.[43]

This theory is very relevant to this study as its principles will aid the understanding of the study as it can be used as indices to measure or assess the management of Cameroons oil and gas industry. Therefore, a proper understanding of the theory of good governance and its principles is a sine qua non to a proper understanding of governance in Cameroons oil and gas industry. Unfortunately, when it comes to good governance practice in Cameroons oil and gas industry, it is observed that Cameroon, is seriously lagging behind. As already pointed out in the research problem, SNH contributes hundreds of billions to the Cameroonian treasury annually, however, the impacts of the oil and gas industry is least felt in contemporary Cameroon. This is partly due to the failure of the Cameroonian Government in effectively implementing policies regulating the management of oil revenues. The good governance theory seeks to promote effectiveness and efficiency as well as stable and predictable economic growth. In order to effectively manage the oil and gas industry, the Cameroonian Government must be accountable, transparent, and responsible.

1.7.3 The Agency Theory

Developed by Jensen and Meckling in 1976,[44] the agency theory explains the important relationship that exists between the principal and their relative agents. In the most basic sense, the principal is someone who heavily relies on the agent to execute specific financial decisions that can result to fluctuating outcomes.[45] The theory brings out a distinction between the owners of a company or an organization and those designated or hired to manage the organization called “the agent”. In this relationship, the principal hires an agent to do the work or perform a particular task on his behalf. For instance, in a corporation, the principals are the shareholders delegating to the agents, that is, the management of the company, to perform tasks on their behalf.[46]

It argues that the goal of an agent is to fulfill the principals’ goals. For this to be possible, the theory suggests the need for strict control, supervision and monitoring of the performance of those appointed as agents. In this light, the agent is considered as a manager who manages the affairs delegated to him by the principal for his interest. The manager (agent) is not the owner but person employed to ensure that the interests of the owner be attained.[47]

In context, SNH, the representative of the state in the upstream hydrocarbons sector must manage the resources for the best interest of the state. The state must monitor, supervise and control the activities of SNH, ensuring that the challenges faced in the management of oil and gas resources be handled. The researcher therefore considers the SNH as an agent to the state in the Cameroonian oil and gas industry who should manage oil and gas resources for the best interest of the state.

1.7.4 The Legitimacy Theory

Another important theory that relates to this study is the legitimacy theory which originated Davis’s iron law of responsibility.[48]  The theory argues that a business is a social institution that must use its power responsibly if society is not to revoke it. It further argues that it’s the society that grants power and legitimacy to a business. Those who do not use power in a manner which society consider responsible will tend to lose it in the long run.

Suchman[49] defines legitimacy as a generalized perception or assumption that the actions of an entity are desirable, appropriate or proper within some socially, constructed system of norms, values, beliefs and definitions. He suggests three strategies that managers can consider to gain and maintain legitimacy for organizational success; moral, pragmatic and cognitive.

Moral legitimacy is based on a positive normative assessment of the organizations and its activities not on whether a certain activity is profitable but rather whether the activity “is the right thing to do”[50]. This criterion aims to decipher whether the activity of any corporation upholds societal welfare.

Pragmatically, legitimacy is centered on the relationship between a firm and its immediate stakeholders. It gears towards a self-interested calculation of the expected value of the firm’s activities to an immediate audience. Cognitive legitimacy on the other hand takes the form of belief rather than evaluation and provides a framework for everyday routine for firms. Cognitive legitimacy is to the effect that society judge’s legitimacy of a company based on the corporate image.

Legitimacy theory therefore emphasizes that organizations should continually ensure that their activities are legitimate and in line with societal norms within which they operate. A corporation is said to be legitimate when it is judged to be “just and worthy of support”[51].

This theory fits this study. The moral aspect of legitimacy provides that any activity undertaken by managers must result in societal welfare. In context, those charged with managing oil and gas resources in Cameroon must do so for the welfare of the society as a whole. The preamble of the Cameroonian Constitution echoes this when it provides that ‘we the people of Cameroon resolve to harness our natural resources for the wellbeing of all Cameroonians without distinction.[52] Oil and gas resources must therefore be managed by the powers that be for the welfare of all Cameroonians and for this to take place, the challenges that affect effective management of these resources must be dealt with.

1.8 JUSTIFICATION FOR THE STUDY

Several factors motivated the researcher to gain scholarly interest in this particular area of research. Worthy of mention is the fact that oil and gas resources are the lifeblood of any given society.[53] It is therefore important for the researcher to examine the management of this sector in Cameroon.

This research which focuses on the challenges in the management of oil and gas resources in Cameroon comes at a time when Cameroon seeks to attain emergence by 2035. With oil and gas resources accounting the most for the country’s foreign exchange earnings, the researcher considers that an examination into the various challenges that affects the management of these resources will go a long way to pave the way for a more efficient and effective management of these resources and consequently facilitate the attainment of Cameroons emergence on or before 2035.

Moreover, the Cameroonian Government has put in place various measures aimed at ensuring effective and efficient management of oil and gas resources. The Government has put in place laudable legislative and institutional frameworks regulating the management of oil and gas resources in the country. However, despite the measures put in place by the Cameroonian Government, several challenges still hamper the smooth functioning of the oil and gas industry in the country. It therefore becomes important for a research like this to be embarked upon so as to bring to lamplight these challenges and propose recommendations so it could be redressed.

In fact, in an attempt to better manage states interest in the oil and gas sector, the National Hydrocarbons Corporation was created on the 12^th March 1980 and had as mission to develop, monitor and promote oil and gas activities throughout the national territory so as to enable the country achieve economic growth and development. However, it is worth noting that 31 years after its creation, the oil and gas industry is yet to have significant impacts on the Cameroonian economy as a whole. All these, therefore, makes this study on the challenges in the management of oil and gas resources not only essential but a compelling one.

1.9 SIGNIFICANCE OF THE STUDY

This research brings to lamplight the specific challenges faced by SNH in the management of oil and gas resources in Cameroon. The recommendations of this study will therefore pave the way for an efficient and effective management of these treasures which has for decades formed a major theme in the economic chronicle of Cameroon.  As such, the research will be of much benefit to the Cameroonian government, the academic world and policy makers.

To the government, the findings and recommendation of this study will go a long way to assist the government in identifying some of the lacunas in the management of oil and gas resources in the country. The recommendations will thus enable the government better address these lacunas. Once addressed, there are going to better manage the resources.

Finally, this thesis will be beneficial to legal scholars as it will greatly contribute to the body of knowledge available in this field. Thus, while providing satisfactory information to some extent, it will also prompt further research.

1.10 SCOPE OF THE STUDY

The scope of this study is thematic, periodic and geographical in nature. Thematically, the research does not cover all aspects of oil and gas law but is limited to the challenges that affects the effective management of these resources by SNH. In so doing, it examines the various legal and institutional measures regulating the management of oil and gas resources in the country and the various challenges hindering these mechanisms geared towards improving the management of oil and gas resources in the country. This thematic scope is justified by the fact that SNH, the lone corporation charged with the management of states interest in the oil and gas industry experiences numerous impediments. If these impediments are identified, and measures taken for its redress, the Cameroonian oil and gas industry will contribute more to economic development, thereby securing the wealth and wellbeing of all Cameroonians. 

Historically, the study dates back from 1972 when the first commercial deposits of oil and gas were discovered in Cameroon to 2021. The reason for this periodic scope is to help the researcher better ascertain the trends in the management of oil and gas resources from the very day it was discovered to present date where Cameroon still faces a host of challenges in the management of oil and gas resources.

Geographically, the study is limited to Cameroon. Located in the Western side of Cenral Africa, Cameroon is bordered by Eqautorial Guinea, Nigeria, Chad, Gabon and Central African Republic. Based on the Worldometer elaboration of the latest United Nations data, Cameroons’ population as of February 3^rd 2021, stands at 26,933,967 inhabitants an equivalent of 0.34% of the total world population. With a population density of 56 per Km, Cameroon has a total land area of 472,710 Km.[54]

Cameroon is made up of ten Regions and endowed with abundant natural resources such as oil, timber, natural gas, cobalt, cocoa, rubber, palm oil and cotton.[55] The researchers’ choice for Cameroon as case study owes to the nations quest to attain emergence by 2035. This can only be done if the oil and gas deposits which accounts the most for the country’s foreign exchange earnings are managed in a manner that may facilitate the growth and emergence of the nation by 2035.

1.11 LIMITATIONS OF THE STUDY

In carrying out this research, the researcher faced a considerable number of challenges. To begin with, the researcher was denied access into SNH. This made the researcher unable to get practical insights on the subject matter. To overcome the challenge, the researcher resorted to online information published on the Corporations website. The researcher equally, by correspondence talked to one of the workers of SNH who mentioned some challenges faced by the corporation.

Another limitation experienced by the researcher was the dearth of Cameroonian literature on the subject matter. This necessitated the borrowing of foreign sources on oil and gas law.

1.12 CONCEPTUAL DEFINITION OF KEY TERMS

1.12.1 Challenges

Challenges connotes the situation of being faced with something that needs great mental or physical effort in order to be done successfully and therefore tests a person’s ability.[56] In this context, it would mean the various impediments that hinder the smooth management of oil and gas resources in Cameroon.

1.12.2 Management

Management is the coordination and administration of tasks to achieve a goal. Such administration activities include setting the organization’s strategy and coordinating the efforts of staff to accomplish these objectives through the application of available resources.[57] It is a process of planning, decision making, organizing, leading, motivation and controlling the human resources, financial, physically and information resources of an organization to reach its goals efficiently and effectively.[58]

In this study, the Cameroonian government must ensure that oil and gas resources be managed in a way that will translate into the wellbeing of all Cameroonians.

1.12.3 Oil and Gas

Oil and gas are the liquid and gaseous forms of petroleum, a chemically complex substance composed of hydrogen and carbon with trace amounts of oxygen, nitrogen, and sulphur. Petroleum occurs in gaseous, liquid, and solid states, depending upon its physical composition, temperature, and pressure. [59]

Conventional oil and gas, therefore, refers to petroleum, or crude oil and raw natural gas extracted from the ground by conventional means and methods. In practice, conventional oil and gas or resources apply to oil and gas which can be extracted, after the drilling operations, just by the natural pressure of the wells and pumping or compression operation. [60]

1.12.4 Natural Resources

Described as a gift of nature and an endowment of comfort that makes the existence of mankind complete, natural resources are raw materials extracted from the soil.[61] They are found naturally embedded in the soil and can only be modified by man for his benefit and use. It includes, fossil fuels, coal, oil, natural gas, gold, copper, diamond, iron, diamonds, and minerals.[62]

Oil and gas are considered natural resources because they occur naturally and are used for economic gains.[63] Unlike other types of natural resources oil and gas resources are considered non-renewable natural resources.[64] As non-renewable natural resources, these resources should be managed in a manner that will ensure futurity.

1.13 SYNOPSIS OF THE CHAPTERS

The study is divided into six major chapters. Chapter one provides an introductory overview of the study. It embodies the background to the study, statement of the problem, the research questions and research objectives, it highlights the research methodology, examines relevant literature and theories that relate to the subject matter, justify and provides the significance of the research, the scope of the study, defines key terms as used in the study and mentions the synopsis of other chapters of the study. Chapter one therefore sets the pace for the research.

Chapter two focuses on the evolution of Cameroons’ oil and gas resources. It expatiates on the importance of oil and gas resources to Cameroon and its impact on the Cameroonian economy, the exploration, production, refinery, and transportation of oil and gas resources in Cameroon.

Chapter three expounds on the management of oil and gas resources in Cameroon by SNH. It expounds on the historical background of SNH, the values and mission of the Corporation and the activities carried out by SNH in the management of oil and gas resources in Cameroon.

Chapter four focusses on the legal and institutional frameworks regulating the management of oil and gas resources in Cameroon. It examines both domestic and international conventions regulating the management of oil and gas resources in Cameroon.

Chapters five provides the various challenges in the management of oil and gas resources in Cameroon by SNH. While expounding on specific challenges hampering the smooth management of these treasures, it also investigates the reasons for the hitherto challenges in the management of oil and gas resources.

Chapter six which is the last chapter dwells on the summary of findings, conclusion and possible recommendations.

BIBIOGRAPHY

Aladeitan. L, ‘Ownership and Control of Oil, Gas, and Mineral Resources in Nigeria: Between Legality and Legitimacy”, (2013) Thurgood Marshall Law Review, Vol. 38:159, Pp. 187 – 197.

Benjamin Smith, “Oil Wealth and Regime Survival in the Developing World” (2004), American Journal of Political Science 42(2), Pp. 232 – 246.

Beth A., ‘Breaching the vacuum; A consolidation of the role of international Human Rights law in the operations of international financial institutions’ (2006), The International Journal of Human Rights, vol.10, No.8 Pp. 389-398.

Damilola S. Olawuyi., Extractives Industry Law in Africa, (Springer Nature Switzerland AG 2018).

Dowling. and Pfeffer; “Organization legitimacy: social values and organizational behavior” (1975) Pacific sociological Review, Pp. 122-136.

Ewoh, Andrew I. E. “The Role of Nongovernmental Organizations in Africa Public Policy,’’ (2002), Africa Social Science Reviews: Vol. 2: Iss. 2, Pp. 10 -24.

Ferrier R.W, & Bamberg J.H., The History of British Petroleum, 1^st ed, (Cambridge University Press, 2008).

Feyide M.O, The Prize: The Epic Quest for Oil Money and Power, 1^st ed, (Free Press, 2020).

Gauther B, &  Zaufack A, “Governance and Oil Revenues in Cameroon” (2019), Revenue Watch Project, OxCARRE, Oxford University,. Pp. 1 – 24.

Geo Z., International Petroleum Contracts: Current Trends and New Directions, (Graham & Trotman 1994).

Hyne, N,J,. Nontechnical Guide to Petroleum Geology, Exploration, Drilling, and Production, 2^nd Ed, (Tulsa, Oklahoma: Penn Wall Corporation, 2019).

Keith D, The case for and against Business Assumption of Social Responsibilities, (1973) Academy of Management Journal, 16, Pp. 312-322.

Koontz H, “The Management Theory Jungle” (1961), Journal of the Academy of Management, Pp 174 – 188.

Lowe J, Oil and Gas Law in a Nutshell., 5^th Ed, (West Academic Publishing, 2010).

Mario, Z., , Petroleum Well Construction (West Sussex England, Geo-Science Ltd, 1998).

Michael T. and Miebaka N. “Ownership of Mineral Oils in Nigeria: The need for Judicial Review of Legislations Affecting the Niger Delta Region” (2019) International Journal of Law, Humanities and Social Science, Vol.3 Pp. 1-29.

Mommer B., The Governance of International Oil: The Changing Rules of the Game, (Oxford Institute for Energy Studies, 2010).

Norman, J. Hyne, Non-Technical Guide to Petroleum Geology Exploration, Drilling and Production, 2^nd ed, (U.S.A. Plenum Press, 2001).

Okonkwo T., “Ownership and Control of Natural Resources under the Nigerian Constitution 1999 and its Implications for Environmental Law and Practice”, (2017), International Law Research; Vol.6, No.1; Available at httpa://dio.org/10.5539/ilr.v6n1, P.162 (Accessed on the 02/02/2021).

Olawuyi D., Legal strategies and tools for mitigating legal risks associated with oil and gas investments in Africa. (2015) Opec Energy Review 39(3):247–265.

Oshionebo E., “Transnational Corporation, Civil Socity and social responsibility in Nigeria’s oil and gas industry” (2007), Africa Journal of International and Comparative Law’, Vol. 15, No. 1. Pp. 23-41.

Oyewole B, & Ayodele M, “Adequate Compensation as a Tool for Conflict Resolution in Oil Polluted Westlands of Niger Delta Region of Nigeria” (2016) 3^rd International Conference on African Development Issues, Pp 455 – 561.

Reynolds J. M., Introduction to Applied Environmental Geophysics. (England, Geo-Science Ltd 1997).

Roonwal G.S, The Indian Ocean: Exploitable Mineral and Petroleum Resources, (Springer-Verlag: Berlin, Heidelberg, New York, 1986).

Smil V., Oil: A Beginners Guide., (Oxford: One World Publications, 1^st ed. 2008).

Suchnman M.C. “Managing Legitimacy: strategic and institutional Approaches” (1995), Academic of Management Review, 20(3), Pp.571 – 580.

Thomas, O, et al., Production Operations: Well Completions, Workover, and Stimulating, 4^th ed, (Penn Well Corp, Hardcover, 1993).

Waleola J. Ekundayo., “Good Governance Theory and the Quest for Good Governance in Nigeria” (2017) International Journal for Humanities and Social Science, Vol. 7, Pp. 154 – 161.

Wokocha R.A, Resource control in Nigeria. The Legal and Regulatory Challenges and Implications, (Civincs Publishers Nig. Owerri, 2005).

Woodruff Smith, The German Colonial Empire, (Chapel Hill: University of North Carolina Press, 1978).

Yergin D, The Prize: The Epic Quest for Oil Money and Power, (New York: Free Press, 2008).

Zhighuo, G.C., Environmental Regulation of Oil and Gas, (Scotland, UK. Inland INC, 1997).

Theses

Abilabi C., The implementation and compliance with Environmental Regulations relating to the Right to a Healthy Environment in Cameroon; Case of the oil and gas Industry., (PhD Thesis, Department of English Law, University of Buea, 2018).

Abilabi C., The Rights of the Indigenous Peoples over Natural Resources: A case study of the Ndian Division of Cameroon. (LLM Thesis University of Buea, (2012).

Abunaw N. A, “Management and Occupational Health and Safety in Selected Organizations of the South West Region of Cameroon” (Master Thesis in Strategic Human Resource Management, Department of Business Studies, Pan African Institute for Development-West Africa, 2015).

Asoh S., The Measures Governing the Exploration and Exploitation of oil and gas Resources in Cameroon: Case of PERENCO., (Unpublished LLM Thesis, Department of English Law, University of Buea, 2021).

Awa R., An Appraisal of Ownership Rights over oil and Gas Resources in Cameroon: The case of the South West Region, (Unpublished LLM. Thesis, University of Buea, 2020).

Mbifi R., Corporate Human Rights Responsibility and Development in the Oil Industry: The case of Cameroon (Unpublished PhD Thesis, Faculty of Social and Management Science, University of Buea 2012).

Ncheng A., Management of Occupational Health and Safety in selected organizations of the South West Region of Cameroon, (Unpublished Master’s Thesis, Pan African Institute for Development – West Africa, Buea, Cameroon 2015).

Terence Onang E., Modern Law and Local Tradition in the Forest Heritage Conservation in Cameroon: The Case of Korup, (2002 PhD Thesis, unpublished, Brandenburg University of Technology in Cottbus).

Reports

Akakparo E., Legal Redress from Pollution Arising from Petroleum Explorations in NigeriA., (A seminar paper on Energy Resources Law, University of Lagos Nigeria; Faculty of Laws 2018.

Bikas C., Wilfred A., et al, Development of the Oil Industry in Cameroon and its Implications for Education and Training, IIEP Research Report No. 79 1990.

Blasiur Ngome, “Magazine of the National Refinery Company LTD”, SONARA NEWS No.103, published in September 2018.

British High Commission-Yaounde, The Oil and Gas Sector in Cameroon (2013). The Office of the British High Commission Yaounde.

Cosse S., “Strengthening Transparency in the Oil Sector in Cameroon: Why Does it Matter”., (IMF Policy Discussion Paper, 2006).

Parker Follett, The Giving Orders (Collected Papers of Mary Parker Follett: New York 1925).

Tamfu, S. Perspectives of the Petroleum Extraction and Production Sector in Cameroon, (Exploration Manager, SNH, Presented at Cameroon EITI Workshop, 22^nd September 2008, Yaounde, Cameroon).

World Bank “A New Resolve to Sustain Reforms for Inclusive Growth”, Country Economic Memorandum, 29268-CM, The World Bank, Washington, D.C. (2006).

World Bank., A New Resolve to Sustain Reforms for Inclusive Growth (2006), Country Economic Memorandum, 29268, The World Bank, Washington DC.

Online Sources

.Agency Theory – Overview, Relationship, Types, and Problems., Available at https://corporatefinanceinstitute.com/resources/knowledge/other/agency-theory/&ved (Accessed on the 17/04/2021).

Agency Theory., Available at https://portal.abuad.edu.ng/lecturer/documents/1508187226AGENCY_THEORY.pdf&ved (Accessed on the 17/04/2021)

Agency Theory: An Explanation – Seven Pillars Institute., Available at https://sevenpillarsinstitute.org/ethics-101/agency-theory-2&vd (Accessed on the 17/04/2021)

Agwara, J. “Resource Curse in Nigeria: Perception and Challenges”., 2006/2007., International Policy Fellowship Program., Available at http://www.policy.hu/themes06/resource/index.html (Accessed on the 30/01/2021)

Bede O,N, Nwette, “Human Rights and the International Natural Resource Industry. MNCs and BTC Pipeline Project: Any Hope for Human Rights and Sustainable Development?” (2004), Oil, Gas and Energy Law Journal, Vol.2, Issue 4. Available online at www.ogel.org/article.asp (Accessed on the 16th/07/2021).

Cameroon Population (2021) – Worldometer., Available at, https://www.worldometers.info/world-population/cameroon-population/&ved (Accessed on the 03/02/2021)

Cameroon-Country Profile – Nations Online Project., Available at https://www.nationsonline.org/oneworld/cameroon.htm&ved (Accessed on the 03/02/2021)

CHALLENGE/ meaning in the Cambridge English Dictionary, Available at, https://dictionary.cambridge,org/amp/englisgh/challenge (Accessed on the 2/2/2021)

Evelyn Morison “The Role of Courts in a Society”, March, 2018, Available at http://www.insearchofsanuk.com/the-role-of-courts-in-a-society/&ved (Accessed on the 27/ 06/2021).

Frank Garriba, How Transparent is Oil Management in Cameroon? Available at http://edennewspaper.net/index.php? (Accessed on the 23/05/2021).

H Samuel., “The Force of Cameroons Legal System”, Available at; http://www.hg.org/article.asp?id=7156 (Accessed on the 05/07/2021)

https://www.bareta.news/ndian-division-rich-yet (accessed on the 31/01/2021).

Jacques L. & Bob P, Conducting oil and Gas activities in Cameroon, 2016, P.1, Available at, https://www.extractiveshub.org/servefile/getFile/id/5724&ved (Accessed on the 09 /07/2021).

Land: an Achilles’ heel in Cameroon’s 2019 Petroleum Code, Available at https://www.landcam.org/en/land-achilles-heel-cameroons-2019-petroleum-code-&ved (Accessed on the 05/04/2021)

Ministry – MINMIDT, Available at, www.minmidt.cm/en/ministry/&ved (Accessed on the 09/07/2021).

Muunyi Fred, “Tracing the Flow of Nigeria’s stolen oil to Cameroon”, 2018, Available at; https://amp.dw.com/en/tracing-the-flow-of-nigerias-stolen-oil-to-cameroon/a-45918707&ved (visited on the 14/08/2020).

Organisation Chart of the National Hydrocarbons Corporation, Available at https://www.snh.cm/index.php/en/presentation-of-snh/organization-chart&ved ( Accessed on the 13/07/2021).

Refining crude oil – the refining process – U.S. Energy Information, Available at www.eia.gov/energyexplained/oil-and-petroleum-products/refining-crude-oil-the-refining-process.php (Accessed on he 05/04/2021).

Renewable Resource Co., Top 11 Natural Resources., Available at, https://www.renewableresourcescoalition.org/top-natural-resources/&ved (Accessed on the 02/02/2020)

Sheng, Y.K. What is Good Governance? (United Nations Economic and Social Commission for Asia and the Pacific UNESCAP) Available at http:www.unescap.org. (Accessed on the 5/05/2021)

SNH Unveils its 2020-2024 development plan focused on revenue optimization (May 2020); Available at: www.businessincameroon.com/index.php/mining (Accessed on the 2/06/2021).

Vikash Kumar., Concept of Management /Definition of Management/ Characteristics of Management, (June 2019), Available at www.roarwap.com/manageent-process/concept-of-management/eved (Accessed on the 1/06/2021)

What is Management? Definition, Features (Explained)., Available at https://www.iedunote.com/management&ved (Accessed on the 03/02/2021)

What Is Management? Definitions and Functions /   Indeed.com., Available at, https://www.indeed.com/career-advice/career-developments/what-is management/resources.&ved (Accessed on the 03/02/2021)

www.projectsmartexplorer.com/cambridge-Energy-Group-Ltd-eu2409.aspx. (Accessed on the 31/01/20210).

footnotes

---

[1] Geo Z., International Petroleum Contracts: Current Trends and New Directions., (Graham & Trotman 1994), P.1.

[2] Feyide M.O, The Prize: The Epic Quest for Oil Money and Power., 1^st ed, (Free Press, 2020), P. 3.

[3] Ferrier R.W, & Bamberg J.H., The History of British Petroleum, 1^st ed, (Cambridge University Press, 2008), p. 336.

[4] Asoh S., The Measures Governing the Exploration and Exploitation of oil and gas Resources in Cameroon: Case of PERENCO., (Unpublished LLM Thesis, Department of English Law, University of Buea, 2021), P. 1.

[5] Damilola S. Olawuyi., Extractives Industry Law in Africa, (Springer Nature Switzerland AG 2018) P. 21.

[6] Ibid.

[7] Gauther B, &  Zaufack A, “Governance and Oil Revenues in Cameroon” (2019), Revenue Watch Project, OxCARRE, Oxford University,. Pp. 1 – 24:8.

[8] Ibid.

[9] Ibid.

[10] Suit No. HCK/1994, unreported.

[11] Law No. 99/013 of the 22 of December 1999 to institute the Petroleum Code which was revised by the 2019 Petroleum Code.

[12] Law No. 2002/013 of 30 December 2002 to institute the Gas Code.

[13] Corporate Social Responsibility, Available at, https//www.cm/index./php/en/20₋contenu₋en/corporate₋social₋responsibility [accessed on the 13/01/2022]

[14] Gauther B  &  Zaufack A, Ibid.

[15]  Gauthier B & Zuefack A., Ibid.

[16] D. Tlogane Ibid.

[17] BPD means barrels per day which is an equivalent of 0.0292 gallons of crude oil per minute and approximately 50 tons per year.

[18] British High Commission-Yaounde, The Oil and Gas Sector in Cameroon (2013). The Office of the British High Commission Yaounde.

[19] Conventions such as the 1982 United Nations Convention on the law of the Sea and the 1992 Rio Declaration of the Environment and Development are analyzed.

[20] National laws such as the2002 Gas code, the 2019 Petroleum Code, and the Cameroonian Penal Code, regulates the Cameroonian oil and gas sector

[21] Zeufack A., and Bernard.G, “Governance and Oil Revenue in Cameroon” (2009), Journal of Law, Revenue Watch Project , Vol.8, Pp. 4 – 11: 4

[22] Awa R., An Appraisal of Ownership Rights over oil and Gas Resources in Cameroon: The case of the South West Region, (Unpublished LLM. Thesis, University of Buea, 2020)

[23]Ncheng A., Management of Occupational Health and Safety in selected organizations of the South West Region of Cameroon pg. 19-25 (2015) Unpublished Master’s Thesis, Pan African Institute for Development – West Africa, Buea, Cameroon (Accessed on the 4/05/2021).

[24] Akakparo E., Legal Redress from Pollution Arising from Petroleum Explorations in NigeriA., (A seminar paper on Energy Resources Law, University of Lagos Nigeria; Faculty of Laws 2018), P. 39

[25] Abilabi C., The Rights of the Indigenous Peoples over Natural Resources: A case study of the Ndian Division of Cameroon.,LLM Thesis University of Buea, (2012)

[26] Bede O,N, Nwette, “Human Rights and the International Natural Resource Industry. MNCs and BTC Pipeline Project: Any Hope for Human Rights and Sustainable Development?” (2004), Oil, Gas and Energy Law Journal, Vol.2, Issue 4. Available online at www.ogel.org/article.asp (Accessed on the 16th/07/2021)

[27] Cosse S., “Strengthening Transparency in the Oil Sector in Cameroon: Why Does it Matter”., (2006), IMF Policy Discussion Paper, P. 2

[28] Mommer B., The Governance of International Oil: The Changing Rules of the Game., (Oxford Institute for Energy Studies, 2010), P. 26.

[29] Oyewole B, & Ayodele M, “Adequate Compensation as a Tool for Conflict Resolution in Oil Polluted Westlands of Niger Delta Region of Nigeria” (2016) 3^rd International Conference on African Development Issues, Pp 455 – 561: 455

[30] Abilabi C., The implementation and compliance with Environmental Regulations relating to the Right to a Healthy Environment in Cameroon; Case of the oil and gas Industry., (PhD Thesis, Department of English Law, University of Buea, 2018)

[31] Agwara, J. “Resource Curse in Nigeria: Perception and Challenges”., 2006/2007., International Policy Fellowship Program., Available at http://www.policy.hu/themes06/resource/index.html (Accessed on the 30/01/2021)

[32] Like gold diamond, oil, gas and other resources.

[33] Asoh, S. The Measures Governing the Exploration and Exploitation of oil and gas Resources in Cameroon: Case of PERENCO., (Unpublished LLM Thesis, Department of English Law, University of Buea, 2021)

[34] Shue H, Basic Rights:Substancse, Affluence and US Foreign Policy, (Princeton, NJ: Priceton University press) 1980.

[35] A.Mc Beth ‘Breaching the vacuum; A consolidation of the role of international Human Rights law in the operations of international financial institutions’ (2006), The International Journal of Human Rights, No.8 vol.10,Pp. 389-398:389

[36] Maastricht Guidelines on the violation of Economic, Social, and Cultural Rights, reprinted in Human Rights Quarterly. Vol 20 (1998), p.691.

[37] The Ndian Division harbors the rich oil Bakassi and Fish Peninsular and the Korup Biodiversity Reserve. It is the origin of big names such as Prime Minister Dion Ngute, Governor Naseri Paul Bea and late Ottou Wilson but lacks good road network linking it to the rest of the country.

[38] https://www.bareta.news/ndian-division-rich-yet (accessed on the 31/01/2021).

[39]Section 82-83 of the petroleum Code.

[40] Section 76-77of petroleum Code.

[41] Section 78 of the petroleum Code.

[42] Waleola J. Ekundayo., “Good Governance Theory and the Quest for Good Governance in Nigeria” (2017) International Journal for Humanities and Social Science, Vol. 7, Pp. 154 – 161: 154

[43] Sheng, Y.K. What is Good Governance? (United Nations Economic and Social Commission for Asia and the Pacific UNESCAP) Available at http:www.unescap.org. (Accessed on the 5/05/2021)

[44] Agency Theory., Available at https://portal.abuad.edu.ng/lecturer/documents/1508187226AGENCY_THEORY.pdf&ved (Accessed on the 17/04/2021)

[45] Agency Theory – Overview, Relationship, Types, and Problems., Available at https://corporatefinanceinstitute.com/resources/knowledge/other/agency-theory/&ved (Accessed on the 17/04/2021)

[46] Agency Theory: An Explanation – Seven Pillars Institute., Available at https://sevenpillarsinstitute.org/ethics-101/agency-theory-2&vd (Accessed on the 17/04/2021

[47] Ibid

[48] Davis Keith, The case for and against business assumption of social responsibilities., (1973) Academy of Management Journal, 16, Pp. 312-322: 312.

[49] Suchnman .M.C. “Managing Legitimacy: streategic and institutional Approaches” (1995), Academic of Management Review, 20(3), Pp.571 – 580: 579

[50] Ibid at page 579

[51] Dowling. and Pfeffer; “Organization legitimacy: social values and organizational behavior” (1975) Pacific sociological Review, Pp. 122-136: 122

[52] Worth mentioning here is the fact that the Preamble of the Cameroonian Constitution is considered part and parcel of the Constitution by virtue of Article 65 of the Constitution.

[53] Smil V., Oil: A Beginners Guide., (Oxford: One World Publications, 1^st ed. 2008), P.1

[54]Cameroon Population (2021) – Worldometer., Available at, https://www.worldometers.info/world-population/cameroon-population/&ved (Accessed on the 03/02/2021).

[55]Cameroon-Country Profile – Nations Online Project., Available at https://www.nationsonline.org/oneworld/cameroon.htm&ved (Accessed on the 03/02/2021).

[56]CHALLENGE/ meaning in the Cambridge English Dictionary, Available at, https:S//dictionary.cambridge,org/amp/englisgh/challenge (Accessed on the 2/2/2021)

[57] What Is Management? Definitions and Functions / Indeed.com., Available at, https://www.indeed.com/career-advice/career-developments/what-is-management/resources.&ved (Accessed on the 03/02/2021)

[58]What is Management? Definition, Features (Explained)., Available at https://www.iedunote.com/management&ved (Accessed on the 03/02/2021)

[59] Lowe J, Oil and Gas Law in a Nutshell., (West Academic Publishing, 5^th Ed. 2010), P. 2

[60] www.projectsmartexplorer.com/cambridge-Energy-Group-Ltd-eu2409.aspx. (Accessed on the 31/01/20210).

[61] Aladeitan. L, ‘Ownership and Control of Oil, Gas, and Mineral Resources in Nigeria: Between Legality and Legitimacy”, (2013) Thurgood Marshall Law Review, Vol. 38:159, Pp. 194 – 197: 197

[62] Okonkwo T., “Ownership and Control of Natural Resources under the Nigerian Constitution 1999 and its Implications for Environmental Law and Practice”, (2017), International Law Research; Vol.6, No.1; Available at httpa://dio.org/10.5539/ilr.v6n1, P.162 (Accessed on the 02/02/2021)

[63]Renewable Resource Co., Top 11 Natural Resources., Available at, https://www.renewableresourcescoalition.org/top-natural-resources/&ved (Accessed on the 02/02/2020)

[64] Ibid