Latest update May 25th, 2026 12:35 AM
If a contract is parasitic, it must be nullified – Kenyan anti-corruption expert, PLO Lumumba on Stabroek Block deal
Kaieteur News – Renowned Kenyan law professor and anti-corruption crusader, Patrick Loch Otieno Lumumba, is of the view that if a contract is parasitic, the people have a responsibility to mobilise and ensure that it is nullified.
Lumumba
He recently shared his views on the refusal by government to renegotiate Guyana’s Stabroek Block production sharing agreement (PSA) during a special airing of the Glenn Lall Show on Saturday, April 27.
Lumumba, who served as the Director of the Kenya Anti-Corruption Commission, is widely respected for his commitment to exposing corruption and advocating for justice.
When told that sanctity of contracts is a principle being used to reject renegotiation of the Stabroek Block PSA, Lumumba said one must not rely on legal technicalities to legitimize unjust agreements.
He stated, “We must not use black letter law to legitimise the illegitimate”. Drawing on historical examples, he reminded listeners that even atrocities like apartheid in South Africa, and Nazi Germany, were once legally sanctioned. Therefore, the mere legality of a contract does not automatically make it just or fair.
In the case of Guyana’s Stabroek Block PSA, Lumumba suggested that if the contract is found to be parasitic, it is incumbent upon the people of Guyana to seek redress through their courts or other international tribunals. He called for the nullification of unfavourable agreements that legitimize theft, specifically referring to the contract between the government of Guyana and ExxonMobil. Lumumba argued that such a contract would not be acceptable in the United States, where ExxonMobil is headquartered, and advised the people of Guyana to make their voices heard and seek legal remedies both domestically and internationally.
Lumumba cited examples of African countries such as Nigeria, Gabon, Congo, and Angola, which have faced grievous detriment from partnering with multinational oil companies.
“There are many stories, and remember, these companies, particularly in the oil sector because they monopolise technology. They don’t care. They don’t have a conscience. They are there to reap and rape. And they must be stopped by clear and unequivocal voices,” the expert said.
He further suggested that politicians who often engage with these companies may be influenced by bribery and corruption, pointing out that they are “bought for a song” and lured with luxury properties abroad. Thus, the anti-corruption expert underscored the need for civic organizations and the general public to counteract the manipulative tactics of these multinational corporations.
Lumumba’s comments echo the sentiments of Guyanese who argue for a fairer and more equitable distribution of benefits from Guyana’s petroleum endowment.
The fiscal terms of the Stabroek Block Production Sharing Agreement (PSA) in Guyana have been a subject of scrutiny and controversy. Under the current terms, Guyana initially receives approximately a 14.5% stake in revenues during the early days of production, with the expectation that its share will increase as the Stabroek Block consortium recovers its investments. Vice President, Dr Bharrat Jagdeo has criticized the fiscal terms, describing them as one of the worst and a “shitty” deal. He has however refused to push for a renegotiation of the lopsided terms.
Lumumba’s background as a law professor and former Director of the Kenya Anti-Corruption Commission has positioned him as an influential figure in the fight against corruption in Africa. Known for his Pan-Africanist views and commitment to speaking truth to power, Lumumba has gained recognition for his fearless advocacy for justice and the rule of law.
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