Friday 27 February 2015

LADOL BOSS ALLAYS FEARS OVER MULTIBILLION NAIRA EGINA PROJECT

Oil-plant04032011.jpg - Oil-plant04032011.jpgThe Managing Director of the Lagos Deep Offshore Logistics base (LADOL), Dr. Amy Jadesimi has allayed fears over the execution of the multibillion naira Egina project.

She said although the oil price fall portends danger for the economy, Nigeria’s fledging logistics sector may not be affected.
 

NEW NIGERIAN DISCOVERIES BOOST EXXONMOBIL RESERVES

261012F1.Exxon-Mobil-sign.jpg - 261012F1.Exxon-Mobil-sign.jpgExxon Mobil has replaced by 104 per cent its 2014 production by adding proved oil and gas reserves totalling 1.5 billion oil-equivalent barrels, including a 162 per cent replacement ratio for crude oil and other liquids.

According to the company’s chairman and chief executive officer, Rex Tillerson, ExxonMobil’s diverse global portfolio of attractive opportunities puts it in a unique position to execute its strategy to identify, evaluate and develop new energy supplies.
 

RISING OIL PRICE WILL ENCOURAGE INVESTMENT

100215F-Barrels-of-oil.jpg - 100215F-Barrels-of-oil.jpgThe Nigerian National Petroleum Corporation (NNPC) has expressed satisfaction with the recovery of oil prices, even if the corporation’s comment is premature.

The corporation hopes that the changes noticed in the oil price recently would further encourage investment in the oil and gas sector. Oil price in the international market last week indicated sign of improvement selling above $60 per barrel.
 

Thursday 26 February 2015

NIGERIA IN ‘OIL RECESSION’, AS SECTOR FALLS 2 QUARTERS IN A ROW

Nigeria, Africa’s largest economy is experiencing an oil and gas recession after the sector posted negative growth for two quarters in a row in 2014. The current value of ‘crude petroleum and natural gas’ output fell by 15 percent and 18 percent in Q3 and Q4 2014 respectively, according to full year GDP figures released.

Read more @ Businessday

FG EXPECTS MORE GAS FROM TWO PLANTS

The Federal Government is expecting additional 50 million standard cubic feet of gas per day and 40mscf/d from the Utorogu and Oben gas plants respectively to increase the power-generating capacity of existing power plants across the country.
 
With work ongoing and now reaching completion at the gas plants, the government said by the end of this year, there would be constant supply of gas to power plants to generate 6,000 megawatts in the country.
 

HOUSE GIVES OKONJO-IWEALA ONE-WEEK ULTIMATUM TO SUBMIT PWC FORENSIC AUDIT ON NNPC

B21102-Ngozi-Okonjo-Iweala.jpg - B21102-Ngozi-Okonjo-Iweala.jpgThe House of Representatives Public Accounts Committee (PAC) on Wednesday gave the Coordinating Minister for the Economy and Minister of Finance , Dr Ngozi Okonjo-Iweala, one week to furnish it with the PricewaterhouseCoopers (PwC) forensic audit report on the alleged un-remitted $20 billion by the Nigerian National Petroleum Corporation (NNPC).

This follows a resolution mandating PAC to look into the matter last week. The report to be submitted to the House "must include the Initial Draft Report, the Executive Summary and Management/Internal Control Letters."
 

Tuesday 24 February 2015

CHEVRON, SEPLAT, BRITTANIA-U TO MEET IN SUPREME COURT OVER OIL BLOCKS

The Supreme Court will today entertain an appeal brought against Chevron Nigeria Limited and Seplat Petroleum Development Company Plc by Brittania-U Nigeria Limited over the sale of Chevron’s Oil Mining Leases (OMLs) 52, 53 and 55.
Chevron, Seplat, Brittania-U to Meet in Supreme Court Tuesday over Oil Blocks
Chevron had sold the three oil blocks despite the pending litigations at a Federal High Court, Appeal Court and the apex court arising from the disputes in the bid process leading to the sale of the three leases.
 

ALISON-MADUEKE MEETS MARKETERS TO AVERT FUEL CRISIS


Alison-Madueke Meets Marketers in Lagos to Avert Fuel CrisisIn a move to avert a looming scarcity of petroleum products in the country, the Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke, on Monday met with the Chief Executive Officers of Oil Marketing and Trading (OM and T) companies in Lagos.

The protracted meeting which lasted from noon till late in the evening, was held at the Eko Hotel behind closed doors to find solutions to the threats by the banks and marketers to stop financing and importing products, respectively.
 

OIL COMPANIES SEEK ALTERNATIVE ROUTE TO FORCADOS EXPORT TERMINAL

220714-F-Crude-oil-pipeline.jpg - 220714-F-Crude-oil-pipeline.jpgSix oil and gas exploration and production (E & P) companies that deliver crude oil to the Forcados Export Terminal in Delta State, through the Trans -Forcados Pipeline are seeking an alternative crude oil supply route, following incessant vandalism of the current pipeline networ.

Trans-Forcados Pipeline, which is used by E & P companies operating in the Western Niger Delta to transport crude oil to the 400,000 barrels per day capacity Forcados export terminal, has been the target of attacks by vandals.
 

OIL SLUMP HITS MARGINAL FIELD OPERATORS

Crude oilMarginal field operators, whose fields have yet to start producing either oil or gas since they were awarded licences in 2003, are under increasing pressure from the plunge in oil prices and may lose their licences next month, industry analysts have said.
 
The Department of Petroleum Resources, which regulates the oil and gas industry, had recently said it would revoke the licences of non-performing marginal fields in March this year.
 

Monday 23 February 2015

FG PLANS BAIL OUT FOR LOCAL OIL FIRMS

The Federal Government has begun moves to save indigenous oil firms from imminent bankruptcy triggered by oil price rout rocking the industry, with a bail out.

Prices of oil at the global markets have crashed by about 50 per cent since June last year and weakened the currencies of oil exporting countries such as Nigeria, which depends on crude exports for 80 per cent of her revenue.

Read more @ New Telegraph

ABUJA BUSINESS SOCIETIES PROTEST HIGH ELECTRICITY TARIFF

Business groups in Abuja on Friday protested the hike in electricity tariff by the Abuja Electricity Distribution Company.

Power1The groups, under the name Co-operative Business Societies of Abuja, in a protest letter signed by its Coordinator, Mrs Maricel Romero, said the increase would ruin business in the city.

They appealed to the National Electricity Regulatory Commission (NERC) and the Federal Ministry of Power to intervene in the interest of the public.

Read more @ SweetCrude Reports

COURT TO HEAR DISPUTE ON OML 25 TODAY


Court to hear dispute on OML 25 todayA Federal High Court in Lagos will on Monday (today) adjudicate on all pending applications in a suit seeking to resolve the dispute over Oil Mining Lease (OML) 25. Trial judge, Justice Ibrahim Idris had ordered Shell Petroleum Development Company (SPDC) of Nigeria Ltd; Total E & P Nigeria Ltd and Nigeria Agip Oil Company Ltd to preserve their 45 percent participating interests in the said OML 25.

The order followed arguments presented by Tayo Oyetibo, (SAN), counsel to Crestar Integrated Natural Resources Limited which approached the court to complain against the defendants.

Read more @ Daily Independent

PETROL SCARCITY LOOMS OVER DELAYED SUBSIDY PAYMENT, DEVALUATION

IPMAN-fuel pumpNigerians have enjoyed relative stability in the supply of Premium Motor Spirit across the country for some time now, but may be in for a difficult time in the coming months due to a combination of factors.
 
Last Wednesday’s decision of the Central Bank of Nigeria to fix the exchange rate of the naira to the dollar at 198 and the initial devaluation of the currency as well as rising petrol subsidy arrears have forced some oil marketers in the country to reduce the stock of petrol they supply to the market.

Read more @ SweetCrude Reports

NIGERIA GETS LOCAL CONTENT LAW FOR POWER SECTOR, OTHERS

A new era is set to unfold in the electricity power sector as the country finally gets a local content law with far-reaching provisions for prioritisation of employment of Nigerian workers, technologies and consultants.

Among other things, the law mandates the electricity power utilities to first give consideration to goods and services of Nigerian origin in the award of contracts

Read more @ SweetCrude Reports

Friday 20 February 2015

NATION’S REFINERIES TO OPERATE AT OPTIMAL CAPACITY BY 2016 —NNPC

Nation’s refineries to operate at optimal capacity by 2016 —NNPCThe Nigerian National Petroleum Corporation (NNPC), on Wednesday, said the nation’s refineries would begin to operate optimally up to 90 per cent capacity by 2016. The Group Executive Director (GED), Refining and Petrochemicals, Mr Ian Udoh, stated this in an interview with the News Agency of Nigeria (NAN) in Abuja.

Udoh said the corporation commenced rehabilitation of refineries in the country in October 2014 and was expected to last for 18 months. He listed refineries to include the Port Harcourt Refining Company, Kaduna Refining and Petrochemical Company Ltd., and the Warri Refining and Petrochemical Company Ltd

Read more @ Nigerian Tribune

WORLD BANK TO SPEND OVER $1BN TO INTERVENE IN NIGERIA’S GAS FLARE CHALLENGE

The World Bank has announced plans to work closely with Nigerian officials curb gas flare from oil fields in the Niger Delta region.

It noted that the partnership is also aimed at encouraging significant investments in gas-to-power initiatives to further help the country realise its power sector reform process.

Rea more @ SweetCrude Reports

NUPENG DISTANCES SELF FROM BOTCHED NLC ELECTION

Following the condemnation that trailed the bungled Nigeria Labour Congress election last week, the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has distanced itself from the crisis, saying it was not in any way involved in the manipulation of ballot papers while the process lasted.


NUPENG distances self from botched NLC electionThe denial came just as the National
Executive Council of the NLC met in Abuja two days ago to decide the next line of action. NUPENG, in a statement of denial, had accused the President of Health Workers’ Union, Dr. Ayuba Wabba, of desperation in an attempt to emerge president of the NLC.

Read more @ New Telegraph

HOUSE SPECIAL COMMITTEE TO MEET WITH OKONJO-IWEALA OVER OIL BENCHMARK

The House of Representatives has resolved to meet with the Minister of Finance and Coordinating Minister of the Economy, Dr Ngozi Okonjo-Iweala, over the falling crude oil price at the international market.

At the House’s plenary on Wednesday, a special committee was constituted to represent the lawmakers at the meeting.

Read more @ SweetCrude Reports

REPS DEMAND RELEASE OF AUDITED NNPC REPORT

House of Representatives yesterday urged the Presidency to immediately release to it, the recent report of forensic audit of the Nigeria National Petroleum Corporation (NNPC).

house-of-reps2The chamber said the demand for the audited report which was recently presented to President Goodluck Jonathan by PriceWaterHouseCooper was for “purpose of accountability,” explaining that it was acting in compliance with the Freedom of Information (FOI) Act.

Read more @ Sun Online

Thursday 19 February 2015

ENI TO CUT SPENDING AS CRUDE PRICES FALL

Eni, the Italian oil and gas group, is to cut capital spending this year in response to the collapse in crude prices, reporting on Wednesday a one-third slide in operating profits in the fourth quarter of last year.
 
Adding to the list of big energy companies hit by a near 50 per cent slide in the price of oil since last summer, the company said adjusted operating profit fell 33.8 per cent to €2.3bn in the last three months of 2014 from the same period the previous year, although that was better than analysts’ estimates it would be down to €1.9bn.
 

GLOBAL LNG DEMAND TO REACH 490BCFPD BY 2035

The BP Energy Outlook 2035 has predicted that the global natural gas demand would grow by 1.9 per cent yearly, reaching around 490 billion cubic feet per day (bcfpd) by 2035.
 
The report released on Tuesday, expects the Liquefied Natural Gas (LNG) market to experience a growth spurt with a slew of new projects adding 22 bcfpd by 2020.

Read more @ Guardian
 

IOCS MAY SUSPEND EXPLORATION IN NIGERIA

Part of the potential impact of a drastically reduced oil price on Africa is that oil companies may be forced to suspend further exploration in Nigeria, PricewaterhouseCoopers has said.
IOCs may suspend exploration in Nigeria
In a new report entitled, ‘Fit for $50 oil in Africa’ the company said oil and gas explorers must rethink their capital expenditure on exploration activity across the African continent in the wake of the significant drop in the global oil price
 

Wednesday 18 February 2015

OIL FIRMS FACE PROJECT DELAYS, LAYOFFS OVER SLUMP IN OIL PRICE

4454-Joseph-Dawha.jpg - 4454-Joseph-Dawha.jpgContrary to the public posturing by some of the oil companies operating in Nigeria that their projects would not be affected by the slump in the price of crude oil, it has been gathered that most of the projects initiated by some of these companies are facing delays or outright cancellation.

This is coming as Addax Petroleum Development Company, last Monday, sacked over 90 per cent of the contract staff without prior notice, fuelling concern that the slump in oil price is taking its tolls on the company.
 

NATURAL GAS LIQUID PRODUCTION HIT OVER 1.1 MILLION METRIC TONNES IN 2014

According to NNPC’s latest released monthly petroleum information, Natural Gas Liquid (NGL) production reached 1.1 million metric tonnes as at September 2014, with ExxonMobil Nigeria accounting for 51 percent while NNPC was responsible for the remaining 49 percent.

Read more @ Businessday Online

EGINA DEEP WATER ATTRACTS $1BN INVESTMENT

The local content component of the Egina deep-water project has hit over $1billion, the Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Ernest Nwapa has disclosed.

Nigeria’s oil output shoots up by 44,000 barrels per day  Egina-Total Exploration and Production’s $15billion deep water project is the first major oil and gas project to be started under the Nigerian Content Act and it includes an FPSO unit, an oil offloading terminal and subsea production systems such as risers, 52 kilomres of oil and water injection flow lines, 12 flexible jumpers, 20km of gas export pipelines, 80 kilometres of umbilical and subsea manifolds

Read more @ Guardian
 

NIGERIA’S OIL OUTPUT SHOOTS UP BY 44,000 BARRELS PER DAY

Against odds, Nigeria’s crude oil output hit 1.94 million barrels per day (mbpd) in January 2015, an increase of 44,000mbpd over the previous month’s 1.9mbpd, going by the current figures released by the Organisation of Petroleum Exporting Countries (OPEC). OPEC’s figures are based on secondary sources and published in its monthly oil market report.

Read more @ Businessday Online

Tuesday 17 February 2015

GAS EXPORT-PARITY PRICING ENDS 2016 - NNPC

The Federal Government will end export- parity-pricing for gas by 2016, Bloomberg said in a report, quoting group coordinator of strategy and planning at Nigerian National Petroleum Corporation (NNPC), Timothy Okon. Although government has adjusted the price to $3.5 per million British thermal unit (mbtu), Okon maintained that Nigeria would apply “export-parity pricing” in 2016.

Read more @ New Telegraph

SHELL, OTHERS SEEK TO STAY PROCEEDINGS IN OML 25 SUIT


Shell, others seek to stay proceedings in OML 25 suitShell Petroleum Development Company of Nigeria (SPDC) Ltd;Total E & P Nigeria Ltd (TE&P) and Nigeria Agip Oil Company Ltd (NAOC) have filed an application seeking to stay further proceedings in the suit filed to halt them from transferring their 45 percent participating interests in Oil Minning Lease (OML) 25 at the Federal High Court, Lagos.

The matter is before Justice Mohammed Idris. The Judge had earlier made an order after hearing ex-parte application and arguments presented by Tayo Oyetibo, SAN, counsel to the applicant, Crestar Integrated Natural Resources Limited (CINRL), retraining Shell and others from divesting their interest in OML 25 pending the determination of the suit.
 
Read more @ Guardian

SAMSUNG, TOTAL DISOBEYING COURT ORDER, PLAINTIFF TELLS COURT

A lawyer and plaintiff in the suit against Samsung Heavy Industry Nigeria Limited and others, Mr. John Owubokiri, has told a Federal High Court, Lagos, that Samsung and Total Upstream Nigeria Ltd were still working on the multi-million dollar contract for the controversial storage and offloading unit FPSO in Egina Field within OML 130, despite an order of the court for parties to maintain status quo.

Read more @ Guardian
 

TOTAL’S EGINA DEEPWATER PROJECT ATTRACTS $1BN INVESTMENT

290414F.Ernest-Nwapa.jpg - 290414F.Ernest-Nwapa.jpgThe Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Mr. Ernest Nwapa has disclosed that over $1 billion has been invested in the Nigerian oil and gas industry to create capacity and execute the Nigerian Content scopes provided on Total’s Egina deep water project.

Egina, Total Exploration and Production’s $15 billion deep water project is the first major oil and gas project to be started under the Nigerian Content Act.
 

GAS FLARING: FG TO SLAM N320BN FINES ON IOCS, OTHERS


Gas flaring: FG to slam N320bn fines on IOCs, othersThe Federal Government is to slam $2 billion (N360 billion) fines on erring oil companies over gas flaring in Nigeria’s oil rich region between January 2012 and January 2014.

A source at the Presidency said that the Ministry of Environment had already briefed President Goodluck Jonathan on the modalities to ensure that these fines are paid without shortchanging government and the companies.

Read more @ New Telegraph

Monday 16 February 2015

SAIPEM UNVEILS MODERN DOUBLE/QUADRUPLE JOINT PLANT IN P’HARCOURT

SaipemThe plant, which is part of its capacity development initiative, was unveiled by the Executive Secretary of the Nigerian Content and Development Monitoring Board NCDMB, Engr. Ernest Nwapa at an impressive event which held in Port Harcourt recently.

Acknowledging the testimonies of Nigerian subcontractors to Saipem who spoke at the ceremony, Nwapa emphasised that the Board has recorded tremendous success in the development of local in-country capacity by Nigerian Companies. He praised Saipem for its continuous improvement in its in country capacity.

Read more @ SweetCrude Reports

SHELL DENIES CLAIM OVER HALT IN BONGA PROJECT

The Shell Nigeria Ex­ploration and Pro­duction Company Limited (SNEPCo) has denied claims that it has stopped the development of the SNEPCO-operated Bonga South West/Aparo (BSWA) project due to the slump in oil price, its Man­aging Director, Mr. Tony At­tah, has said.

Rather, the oil giant restated its commitment to the imple­mentation of the project.

Read more @ Sun Online

SEPLAT TO DEFER OIL PROJECTS, BOOST GAS TO BEAT PLUNGE

Seplat Petroleum Development Co., a Nigerian oil producer that bought assets from Chevron Corp., plans to defer some oil investments while expanding gas output to survive low crude prices, company Chairman Ambroise Orjiako said.

“We’re looking very strongly to compensate for the revenue drop by increasing gas production,” Orjiako said in an interview on Thursday.

Read more @ SweetCrude Reports

NIGERIAN CONTENT: EGINA ATTRACTS $1BN INVESTMENT

Over $1billion has been invested in the Nigerian oil and gas industry to create capacity and execute Nigerian Content scopes provided on the Egina deep water project, the Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Engr. Ernest Nwapa said at the weekend.

Egina-Total Exploration and Production’s $15bn deep water project is the first major oil and gas project to be started under the Nigerian Content Act and it includes an FPSO unit, an oil offloading terminal and subsea production systems such as risers, 52km of oil and water injection flowlines, 12 flexible jumpers, 20km of gas export pipelines, 80km of umbilicals and subsea manifolds.


Read more @ Codewit World News

 

REPS TO FIX $40 AS OIL BENCHMARK

Reps to fix $40 as oil benchmarkThe House of Representatives may review downward the oil benchmark in the 2015 Appropriation Bill from $65 to $40 per barrel to reflect the current reality in the global oil market.

The House reconvenes tomorrow after a month’s recess to participate in the general elections, which have been postponed from February to March. It was also learnt that the House may also review the exchange rate of N165 to a dollar as contained in the Appropriation Bill.

Read more @ New Telegraph

Friday 13 February 2015

SMALL NIGERIAN OIL PRODUCERS MAY MERGE TO SURVIVE PRICE SLUMP

Small oil-producing companies in Nigeria, facing slumping prices and rising debt, may need to combine to survive, the chief executive officer of one of the companies said.

“We don’t have that much leverage, the rapid drop is unprecedented” for the country’s small producers, Kola Karim, chief executive of officer of Shoreline Natural Resources Ltd., said in a phone interview Wednesday from London. “The reality is there have to be mergers in the industry because it’s difficult in a down market when you’re a small producer trying to weather the storm alone.”

Read more @ Punch Online

TOTAL PLANS TO SELL $5BN ASSETS

French oil giant, Total, has said it will sell $5bn worth of assets this year as it plans to accelerate its asset sale programme of $10bn up to 2017.
 
Last year, the oil major concluded the sale of some assets, including the divestment of interests in Nigerian fields.
 

Thursday 12 February 2015

DIGITAL PR TIPS TO DEPLOY IN THE NEW YEAR

The New Year has started in earnest and brands are already beginning to re-emerge after the holiday lull to reassert their position as market leaders or strategize on how to elevate their brand to leadership.

Image result for digital media
For those who may need a little nudge in the right direction or are a little burned out from the activities of last year, here are a few Digital Media and PR tips to get you started…

1. Let your Brand-loyals Promote your Brand. The best and most powerful sales or marketing “representatives” a brand can ever have are its brand-loyals - those who advocate your brand online and spread the word.
According to Mack Collier, the author of Think like a Rockstar, "You're marketing to the wrong people…the real money is in connecting with your biggest fans. Your fans will go out and acquire new customers for you."
The trick is to find a way to connect with your brand-loyals and showing them that they matter. Create a reward scheme, perhaps, Customers Appreciation Day! Develop an online and offline strategy on how to reach out to connect with them. They will return the favours by reporting and promoting your brand passionately, with whatever resources are at their disposal.


2. Give up Control of your brand. In Order to get control of your brand, you must first give it up; I will explain…
With the advent of the internet, it has become quite easy for brand-loyals and other customers to create videos, audios, images, tweets and posts about your brand. Monitor these closely and then build your content to guide the misguided or to improve on the good PR.
Image result for digital mediaWith clear and targeted strategies, you can correct wrong perceptions and improve on the right ones, thereby creating in the long run, a strong brand image to all, rather than stuffing down a unilateral and ineffective message down everyone’s throats.
On another hand, you could concentrate only on your brand-loyals and develop tools with which they can promote you. Be rest assured that their passion for you will ensure they portray your brand in positive light.
It is all about trusting and giving up a little control. It is risky, it could require a lengthy campaign but in the end, it is worth it!


3. Think about Content more strategically and Plan for the Long Term. In an industry that largely depends on content in driving its messages, creating strategies and planning on content is key in staying ahead of competition and keeping brand-loyals loyal. Advisedly, plan content posts down to the nitty-gritty of daily Facebook posts and Tweets.
In order to make the most impact, it is important to be more strategic; have a content plan. More importantly, have a plan for which platforms the content will be posted and shared on. There is a rule called the “Smart Rule of Three": If you create a piece of content, you must use it on at least three different platforms/channels.
An idea of how to create unlimited content is to balance between original and curated content. Again, remember tips 1. and 2. above on connecting with brand-loyals and allowing them to create content for your brand.


4. Get Smarter with your Data. There is a running joke in PR that PR professionals got into communication because they were bad at math. Generally, the PR world is fonder of words than figures - but that is changing.
Learn to love and understand numbers; and how and why using data can be an extremely powerful tool. If you asked a business analyst, he might say data is sexy because data equals more money.
Instead of shying away from analytics, statistics, and numbers, it is important to gain access to these tools to help you understand better, the data driving the success of your brand.
 

5. Just be useful. In order to boost your brand, you must find a way to be useful to your customers and brand-loyals, beyond the product/service you provide; call it added-value if you like!
If your brand is useful and provides information/service that your customers are looking for, they will respect you and, ideally, purchase from you. Find a way to use your online tools to provide utility first and then to promote yourself second.

PIPELINES VANDALISED 200 TIMES IN SIX MONTHS

Over 200 incidences of crude oil and gas pipeline vandalism were recorded in the past six months, the Federal Government said on Wednesday.
 
Pipelines vandalised 200 times in six monthsThis, it said, was the major constraint to adequate power supply across the country, stressing that 81 per cent of power being generated in the country was from thermal generation plants, which were dependent on gas.
 

NIGERIAN ENGINEERS TO REPAIR REFINERIES FOR N99BN –NNPC

Nigerian engineers to repair refineries for N99bn –NNPCThe Nigerian National Petroleum Corporation on Wednesday said it had engaged the services of in-house engineers to rehabilitate the country’s three ailing refineries at a cost of $550m (N99bn), down from the $1.6bn (N288bn) presented to it by foreign contractors.
 
The refineries are the Port Harcourt Refining Company, Kaduna Refining and Petrochemical Company Limited and the Warri Refining and Petrochemical Company Limited.
 

BONGA SOUTH WEST/APARO PROJECT ON COURSE

The Shell Nigeria Exploration and Production Company Limited has said the slump in oil prices is in no way a threat to the development of its Bonga South West/Aparo project.
 
The firm, in a statement on Wednesday, restated its commitment to the implementation of the SNEPCO-operated project, denying recent reports that it had stopped the development due to falling oil prices.
 

NNPC TO REMIT $1.48BN AFTER RECONCILIATION WITH DPR

The Nigerian National Petroleum Corporation (NNPC) yesterday said it would remit an outstanding $1.48 billion balance of signature bonus from divested assets to its exploration and production arm, the Nigeria Petroleum Development Company (NPDC) as soon as it reconciles the figures with the Department of Petroleum Resources (DPR).
NNPC to Remit $1.48bn after Reconciliation with DPR
NNPC stated at a briefing on the outcome of the forensic audit conducted by PriceWaterHouseCoopers (PwC) on crude oil revenues accrued to the country between January 2012 and July 2013 and which the former Central Bank of Nigeria (CBN) Governor, Sanusi Lamido Sanusi accused it of failing to remit outstanding proceeds from crude oil sales into the federation account, that the $1.48 billion is the balance of its remittance to the government on NPDC’s signature bonus.
 

Wednesday 11 February 2015

GOVT STUDY TEAM QUESTIONS NNPC’S 25 YEARS OLD SUBSIDY REGIME

Claims by Nigeria’s National Petroleum Corporation (NNPC) that the process by which it supplies refined petroleum products for domestic consumption leads to losses that translate into fuel subsidy have been exposed as false and fraudulent.

Read more @ Businessday Online

IOCS CUT BACK ON EXPLORATION OVER RISING COST

Oil exploration in the country looks set to take a further knock this year as rising extractive costs linger amid lower crude prices that have forced International Oil Companies to cut capital expenditure.
 
Extractive cost in the industry is said to have been increasing by 10 per cent in the last few years and is now a big cause for concern for industry players as it takes a toll on investments.
 

OPEC PRODUCTION DECREASES BY 53,000BPD


OPEC production decreases by 53,000bpd The Organization of Petroleum Exporting Countries (OPEC) produced 30.15 million barrels per day in January, representing a decrease of 53,000 bpd from the previous month.

These declines were mainly due to Iraq and Libya, with Angola, Saudi Arabia, Kuwait and the United Arab Emirates all increasing supply.
 
Read more @ Guardian

Tuesday 10 February 2015

OIL & GAS IN EAST AFRICA: THE STRIDES OF A NEW FRONTIER

As the conversation continues about the commercial viability of discoveries in East Africa, the nations that will soon join the league of oil producers in Africa continue to fan their optimism. Kenya, Tanzania and Uganda are top of the list among hopefuls. However, the dynamics of East Africa’s geology and geography is somewhat complex. British firm Tullow’s discovery in Kenya is onshore. Despite uncertainties about the economics of production, full production might take many more years. The peculiar challenges presented by the geography of East Africa are best illustrated by juxtaposition with Ghana’s emergence as an oil producing country.

Read more @ SweetCrude Reports

OIL PRICES TO RISE AMID GROWING DEMAND – OPEC

Oil prices to rise amid growing demand – OPECThe Organisation of Petroleum Exporting Countries has said the demand for crude oil is expected to rise this year, boosting prices of the product in the international market.
 
The oil cartel made this known in its monthly oil market report released on its website on Monday.
OPEC forecasts that demand for its oil will average 29.21 million barrels per day in 2015, up by 430,000 bpd from its previous forecast.
 

‎NIGERIA HAS POTENTIAL TO BE NET SOLAR EXPORTER – GROUP

A group of energy investors have stressed that Nigeria has “very high potential” to be a leading exporter of solar-generated energy within the continent in a few years.

The group which was in the country to explore investment opportunities mainly in renewable energy, said in Abuja that with the reforms in the nation’s power sector concluded, there was more incentive among foreign companies to partner with Nigerians to develop other sources of energy and to boost generation.

Read more @ SweetCrude Reports

POLITICAL TENSION HAMPERS INVESTMENT IN NIGERIA’S OIL, GAS INDUSTRY

100215F-Alison-Madueke.jpg - 100215F-Alison-Madueke.jpgAs oil and gas industry operators contend with the non-passage of the Petroleum Industry Bill (PIB), which has created uncertainty in the operating environment, the political tension associated with the 2015 general elections is also taking heavy toll on investment in the industry.

Oil industry sources, hinted at the weekend that both local and foreign investors are having a re-think on their investment plans for 2015 as threats by the various actors in Nigeria’s politics have created post-election uncertainty, instilling fears in the minds of operators.
 

NIGERIA EXPORTS N9.5TR CRUDE OIL

Nigeria exports N9.5tr crude oil, N923.5b of NLGNigeria earned N9.5 trillion from crude oil export trade and N923.5 billion from natural liquefied gas in 2014, according to the National Bureau of Statistics.

The bureau said in a report titled: “Nigeria in 2014: Economic review and 2015-2017 Outlook”, that crude oil continues to dominate export trade, contributing N3, 233.6 billion or 81.5 per cent of total export trade value in first quarter, N3,268.8 billion or 69.8 per cent and N2,931.0 billion or 65.4 per cent of the totals in quarters two and three respectively.

Read more @ Guardian

Monday 9 February 2015

SEVEN ENERGY WINS INDIGENOUS FIRM OF THE YEAR AWARD

Nigeria: February 07, 2015:  Seven Energy International Limited (“Seven Energy”), the indigenous Nigerian oil and gas development, production and gas distribution Company has emerged as the winner of the Indigenous Firm of the Year Award, conferred by the Petroleum Africa magazine. The award is given in recognition of Africa’s indigenous Oil and Gas Companies for their investment and involvement in upstream, midstream and downstream operations.
Phillip Ihenacho, Chief Executive Officer, Seven Energy commented: We would like to thank Petroleum Africa for this prestigious award. Considering that it was the first time we made the list of finalists, it is a fantastic recognition of all our on-going efforts and achievements during 2014 in contributing to the development of the Nigerian gas market in a responsible way. We are committed in aiding the development of Nigeria’s gas resources, improving power supply and supporting local economic growth. We are proud to receive this award in recognition of all our hard work.”
Seven Energy came top of a list that included other leading indigenous players from countries such as Ghana, Angola, South Africa, Kenya and Nigeria after a rigorous review process by Petroleum Africa’s Survey Committee.
Seven_Energy_logoPetroleum Africa commended Seven Energy for its “well-executed work program and diversification strategy“ in 2014. The choice of Seven Energy as the Indigenous Firm of the Year was based on the Company’s achievements in 2014 which included the production and supply of gas to the Ibom Power Plant in Akwa Ibom State, the completion of the second train at the Uquo Gas processing facility, achieving 200 MMcfpd ("million cubic feet per day") of gas processing capacity, and the formal commissioning of the Uquo Gas Processing facility by President Goodluck Jonathan. Other achievements in 2014 included obtaining a $170 million 5.5 year loan facility to support the acquisition of East Horizon Gas Company Limited, which owns the 128 km East Horizon gas pipeline and holds a 25 MMcfpd gas sales agreement with Unicem, one of Nigeria’s largest cement plants; and, the acquisition of SRL 905 Holdings Limited, which holds a 40% interest in OPL 905. Financially, Seven Energy completed the placement of $400 million Senior Secured Notes, and also secured a $255 million new equity capital from Temasek, the international Finance Corporation (“IFC”) and the IFC African, Latin American and Caribbean (“ALAC”) fund to further develop gas opportunities in Nigeria’s domestic gas market.
 

Environmentalists Berate Agip Over Oil Spill

Environmental Rights Action/Friends of the Earth Nigeria (ERA/FoEN), has berated Nigerian Agip Oil Company (NAOC) for poor response to a reported oil spill incident at the oil firm’s field in Bayelsa State.

ERA/FoEN, an environmental rights group, in its field report on the oil spill incident dated January 28 and made available to newsmen noted that the spill occurred on January 12.

Read more @ The Tide

FG defers decision on $12.5bn Bonga project

FG defers decision on $12.5bn Bonga projectThe Federal Government has deferred the Final Investment Decision (FID) on $12.5 billion Bonga South West Aparo deep-water project to the second quarter of 2015.

Besides, the Federal Government, a major stakeholder in the 3.2billion barrels recovery project, has through the Nigerian National Petroleum Corporation (NNPC), been demanding “high level of local content on the integration work needed for the planned Floating Production Storage and Offloading (FPSO) vessels

Read more @ New Telegraph

Friday 6 February 2015

COURT ORDERS SHELL, TOTAL, AGIP TO PRESERVE INTERESTS IN OML 25

A Federal High Court in Lagos has directed Shell Petroleum Development Company of Nigeria Ltd and two other oil companies to preserve their 45 per cent participating interests in Oil Mining Lease, OML 25.

Other oil companies affected by the order are Total E & P Nigeria Limited and Nigeria Agip Oil Company Limited. Justice Mohammed Idris made the order after hearing arguments presented by counsel to Crestar Integrated Natural Resources Limited, Mr. Tayo Oyetibo, SAN.

Read mnore @ National Mirror

TOTAL EXPANDING SMEs HORIZON IN RIVERS COMMUNITIES

Unarguably, Total Exploration and Production Nigeria (TEPNG), has been leading the pack in the oil industry as an adherent of the principles of Corporate Social Responsibility (CSR).

More than any other operator in the sector, the oil giant has been making meaningful impacts in all spheres in its host communities in Rivers State, where its imprints are in the education, infrastructural and socio-economic sectors.

.Read more @ Nigerian Tribune

NIGER REPUBLIC’S DAM THREATENS KAINJI, JEBBA POWER PLANTS

Two of Nigeria’s major hydroelectric power plants that draw water from the River Niger face the threat of reduced water volume as the plan by Niger Republic to dam the upstream section of the river continues to gather momentum.
Akosombo Dam, Ghana
The Kainji and Jebba power stations, which have a combined installed capacity of 1,330 megawatts, draw water from the River Niger to generate electricity, with Kainji having the capacity to generate 760MW, while Jebba’s capacity is 570MW.

Read more @ SweetCrude

OPEC DAILY BASKET PRICE CLOSE AT $52.22/B

The price of OPEC basket of twelve crudes stood at 52.22 dollars a barrel on Wednesday, compared with $51.77 the previous day, according to OPEC Secretariat calculations.

OPEC daily basket price close at $52.22/bThe new OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).

Sse News @ SweetCrude

Chevron defies pending Supreme Court case

Chevron Nigeria Limited (CNL) may have ignored a case pending before the Supreme Court, over a controversial oil assets sale initiated in 2013 following the announcement yesterday by Seplat Petroleum Development Company plc that it has concluded the takeover of Oil Mining Leases (OMLs) 53 and 55, two of the three assets, the multinational oil company offered in the bid round.
A raft of suits seeking to stop Chevron Nigeria Limited from signing off these assets to a Seplat-led consortium followed a stalemated bidding session when Chevron failed to announce an outright winner
Read more @ Businessday

Petroleum minister orders NNPC to defray $1.48b debt

Petroleum minister orders NNPC to defray $1.48b debtThe Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke has directed the Nigerian National Petroleum Corporation (NNPC) to defray $1.48 billion remittances due to the Federation Account by the Nigerian Petroleum Development Company (NPDC), being signature bonus, taxes and royalties on the assets transferred to the firm.

NPDC is an upstream subsidiary of NNPC. The Corporation also insisted it is not indicted by the forensic audit report on the alleged missing $20bn unremitted oil revenue carried out by the reputable international firm, PriceWaterhouseCoopers.

Read more @ Guardian

 

Thursday 5 February 2015

NIGERIA LOSES 60,000B/D TO PIPELINE VANDALISM – NNPC

The Nigerian National Petroleum Corporation, NNPC, on Wednesday deplored the recent increase in attacks on crude oil and gas pipelines, saying it was adversely affecting the nation’s economy.

This was contained in a statement in Abuja by the Group General Manager, Group Public Affairs Division, NNPC, Mr Ohi Alegbe.

Read more @ SweetCrude

NERC ASSURES OF DISCIPLINE, CORPORATE GOVERNANCE IN ELECTRICITY SECTOR

The Nigerian electricity supply industry has attained the much-awaited transitional stage electricity market, whereby wholesale buying and selling of power are based on contractual and regulatory rules.
 
According to the Nigerian Electricity Regulatory Commission, NERC, the contract-based power market is sequel to its directive to all electricity market participants on the commencement of the transitional market.

Read more @ SweetCrude

OIL PRICE SLUMP: NIGERIA SLASHES 2015 BUDGET

The Federal Government has more than halved capital expenditure to less than 10 per cent of the 2015 budget spending, axing badly needed infrastructure investment due to the collapse in the price of oil, the country’s main source of revenue, according to the full budget submitted to the national Assembly.

Even though government’s capital spending seldom materialises as planned, shelving projects such as port upgrades and roads will only perpetuate the inefficiencies that have plagued Africa’s most populous nation and biggest economy for decades.

Read more @ SweetCrude

CHINA IMPORTS MORE LNG FROM NIGERIA

China imports more LNG from NigeriaChina’s state-owned companies have increased their imports of Liquefied Natural Gas from Nigeria LNG Limited, with six cargoes delivered to the country’s LNG terminals so far this year
China imported two cargoes from Nigeria in the period January-February 2014 and seven cargoes for the year as a whole – all in the first seven months, according to Platts’ shiptracking software.

Read more @ Punch Online

UNCERTAINTY SURROUNDS OIL PROJECTS AS IOCS CUT SPENDING

Minister of Petroleum Resources, Mrs. Diezani Alison-MaduekeWith the recent announcement of reduction in capital expenditure budgets by International Oil Companies amid lower oil prices, the fate of several oil projects in the Nigerian oil and gas industry now hang in the balance.
 
Industry analysts have said that the plunge in oil prices, which drove down oil companies’ profits last year, would lead to cancellation of a number of projects while some assets would be sold off.