Month: April 2024

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) says the Shell Petroleum Development Company of Nigeria Limited (SPDC) assets being considered for divestments have an estimated reserve of 4.96 billion barrels of oil.

The Commission Chief Executive of NUPRC, Mr Gbenga Komolafe disclosed this on Monday in Abuja at the NUPRC-SPDC due diligence divestment workshop.

Komolafe said at the workshop that the assets have reserves of 1.77 billion barrels of condensate, 28.16 trillion cubic feet of associated gas and 28.11 trillion cubic feet of non-associated gas.

The workshop was aimed at discussing the proposed divestment of the participating interests held by SPDC in the SPDC JV Assets, through a sale by the shareholders of all the issued shares of SPDC to Renaissance Africa Energy Company Limited.

The SPDC JV assets are currently operated by the SPDC on behalf of its Joint Venture (JV) partners namely Nigeria National Petroleum Company Limited (NNPC Ltd.), Total Upstream Nigeria Limited, Nigeria A
gip Oil Company and SPDC.

‘To date, the assets have achieved a cumulative production of 5.35 billion barrels of crude oil, 165. 57 million barrels of condensate, 9.51 trillion cubic feet of associated gas and 3.75 trillion cubic feet of non-associated gas.

‘These contribute to the achievement of Nigeria’s crude and condensate output.

‘The assets being considered have an estimated total reserve of 4.96 billion barrels of oil, 1.77 billion barrels of condensate, 28.16 trillion cubic feet of associated gas and 28.11 trillion cubic feet of non-associated gas.

‘This makes a significant contribution to the nation’s hydrocarbon resources.

‘Additionally, these assets hold P3 reserves estimated at 2.85 billion barrels of oil, 850.85 million barrels of condensate, 11.3 trillion cubic feet of associated gas and 12.26 trillion cubic feet of Non-Associated Gas,’ he said.

Komolafe said the due diligence meeting would enable the commission to identify a successor who would not only possess the requisite financial reso
urces but also demonstrate the technical expertise to responsibly manage these assets throughout their lifecycle.

He further said that the commission would ensure that the inherent environmental and end-of-life liabilities such as decommissioning liabilities were accurately identified and assigned to the party best equipped to bear the associated risks.

This, he said would necessitate a comprehensive understanding of regulatory requirements, industry best practices and the unique challenges inherent in oil and gas operations.

‘To this end, we have implemented robust measures to streamline regulatory procedures and eliminate unnecessary barriers to investment.

‘Let me emphasise that the NUPRC wholeheartedly welcomes investment in the Nigerian upstream petroleum sector.

‘We recognise the critical role investment plays in driving innovation, creating employment opportunities and ultimately fueling economic prosperity for our nation and its people.

‘Therefore, we are always eager to welcome local and intern
ational investors who choose to invest in the Nigerian upstream petroleum sector,’ he said.

He added that the commission was fully committed to facilitating and supporting investment initiatives that align with national development goals.

Komolafe urged SPDC and Renaissance to engage proactively, adhere to regulatory requirements and work collaboratively with the NUPRC to ensure the successful conclusion of the Shell Divestment.

‘As regulators, we will ensure that this evaluation is conducted with precision and impartiality, with a focus on transparency and accountability,’ he said.

He lauded President Bola Tinubu for his support and commitment towards ensuring a purposeful leadership that would attract investment and development of the country’s oil and gas sector.

The News Agency of Nigeria (NAN) reports that the NUPRC has developed a Divestment Framework consisting of seven cardinal pillars to guide the assessment of applications for Ministerial consent to the SPDC divestments and other similar divest
ments.

Source: News Agency of Nigeria

The Nigerian Bar Association (NBA), Ikeja Branch, has given the Federal Government and Electricity Distribution Companies (Discos) a seven-day ultimatum to reverse to the old electricity tariff or face a lawsuit.

The chairman of the branch, Mr Seyi Olawunmi, said this at a news conference on Tuesday in Lagos.

Olawunmi described the increase in the electricity tariff by almost 300 per cent as not only unreasonable but also insensitive.

He said the National Electric Regulation Commission (NERC) order in respect to the tariff hike was not in line with the current economic realities of an average Nigerian.

He said the branch would seek appropriate remedies in the court if the Federal Government and concerned individuals failed to reverse the illegal electricity tariffs within seven days.

Olawunmi noted that NERC in December 2023, issued a new Multi-Year Tariff Order (MYTO 2024) which indicated a purported cost-reflective tariff chargeable by the various Discos.

He explained that large chuck of the electric
ity tariff was reportedly absorbed by the Federal Government under a subsidy arrangement.

The chairman said that the purported subsidy had reportedly been removed by the Federal Government, leading to an over 300 per cent increase in the electricity tariff payable by the end-user.

‘We view this sudden astronomical increase in the end-user tariff irrespective of the technical arguments preferred in justification, as utterly exploitative and non-reflective of the current economic hardship that the masses are going through.

‘The inflation and the depreciation of the Naira has affected their services that it is practically impossible to remain on the old tariff and electricity in Nigeria is not well priced.

‘We, therefore, demand immediate stop to the illegal implementation of the N225 per kWh imposed on the so called band A customers at the discretion of both the Discos and NERC without any empirical basis.

‘The classification into band A or B or C or D or E should be scrapped and it is either the Discos ar
e guaranteeing 24 hours supply for all or they are not.’

Olawunmi said the government and the Nigerian people can not continue to subsidise their inefficiency in the name of band A or B or C etc.

‘If the government fails to reverse the illegal hike within seven days, we will be left with no choice than to seek appropriate remedies in the court of law,’ the NBA Chairman said.

Source: News Agency of Nigeria

The Major Energies Marketers Association of Nigeria (MEMAN) says it expects over 300 million litres of Premium Motor Spirit (PMS) from eight vessels to ease fuel scarcity and queues in Lagos and other parts of the country this week.

MEMAN Chairman, Mr Huub Stokman, said this while addressing newsmen in Lagos on Tuesday.

Stokman said that the organisation was actively coordinating with its members in Apapa and other locations to ensure that fuel was loaded and distributed to retail outlets safely and quickly.

He said that this effort was aimed at addressing the current fuel shortage and the challenges faced by consumers.

According to him, MEMAN is working closely with the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and other stakeholders to eliminate fuel queues and restore stability.

‘Additional support is being provided by the Nigerian Association of Road Transport Owners (NARTO) and the Petroleum Tanker Drivers (PTD).

‘MEMAN is extending depot loading time to ensure that
loading goes unhindered including tomorrow the 1st of May 2024.

‘Selected retail outlets will be open for longer hours to ensure we can service our customers as long and as safely as possible.

‘Independent marketers (depots andstations) are being allocated additional fuel to alleviate the situation,’ he said.

Stokman said that the association remained committed to supporting the Federal Government’s distribution efforts and ensuring the availability of petroleum products nationwide.

Source: News Agency of Nigeria

The police have promised to strengthen measures to check unprofessional handling of explosives across the country.

The police also notes that the measures will check incidents of explosions.

Inspector General of Police Kayode Egbetokun said this at a roundtable summit on Sustainable Development of Mining Industry in Nigeria on Monday in Abuja.

Egbetokun, represented by Deputy Inspector-General of Police Frank Mba, said that the measures would include ensuring that explosives would not get to the wrong hands.

He pledged the commitment of the police to strengthen its partnership with other agencies to secure the mining environment and purge out crime and criminality.

‘We will deploy Interpol and Extrapol to tackle some of the crimes in the sector,’ he promised.

According to him, the police have arrested 198 suspects of illegal miners from January to date with 111 of them being from Nasarawa State.

He said that the arrest in Nasarawa State was successful because of the cooperation of the government in pr
oviding an enabling environment for their operatives to discharge their duties.

In his key note address, Prof. Akinade Olatunji, the President of the Nigerian Mining and Geosciences Society, expressed confidence that the summit would change the trajectory of the sector for good.

Olatunji described the summit as apt to reap the potential of the sector in Nigeria, saying that countries that leveraged the potential of the sector would reap the benefits.

‘Those countries that have paid no attention to the uniqueness of the sector are currently paying the price of their lack of coordination and foresight.

In his remarks, Mr Dele Ayanleke, the National President of Miners Association of Nigeria, urged the participants of the summit to be pragmatic and radical in their critique of the challenges confronting the mining industry.

Ayanleke urged them to come up with strategic action plans for the sustainable development of the sector to reposition it for economic survival.

Earlier, in his remarks, the Director-Ge
neral of NIPSS, Prof. Ayo Omotayo, said that the summit was aimed charting a way forward toward delivering a diversified economy and formulating policies to advance the mining sector.

The Managing Partner of Bruit Costaud, Mr Lai Mohammed, said that the report containing insights, expertise and experiences of participants at the end of the summit would be presented to the government for appropriate action.

The News Agency of Nigeria (NAN) recalls that on Jan. 16, an explosion in Ibadan caused by storage of explosive miners, killed no fewer than five people, while 77 were injured and 58 buildings were destroyed.

The event was organised by the National Institute for Policy and Strategic Studies (NIPSS) Kuru in collaboration with Bruit Costaud.

Source: News Agency of Nigeria

British High Commissioner in Nigeria Richard Montgomery has applauded the News Agency of Nigeria (NAN’s) professionalism and leading role in the growth of the media, not just in Nigeria but in Africa as a continent.

Montgomery expressed the thought in Abuja on Tuesday when he paid a courtesy visit to the Managing Director of NAN, Malam Ali M. Ali.

The British envoy said the agency, through its operational standards, contributed meaningfully to advancing the growth of the media space in the country.

‘The agency has a pivotal role to play in the media environment, and what we always find impressive about Nigeria is that NAN has an incredibly diverse media landscape, and multiple channels with regional and national news coverage.

‘Some news agencies attempt to put out balanced news and you have to think carefully about what the news is, glancing into your mission statement.

‘We see NAN as one of the critical media agencies in Nigeria.

‘I am quite conscious that Nigeria could be quite a difficult place to
be a journalist. Yes, there is media freedom but there are also massive media challenges.

‘I think if you look at international comparative indices we are admiring journalists, people who made it their career to be part of the media sector.

‘We must keep talking to each other about media freedom and professionalism. Sometimes there are political challenges, so we admire people who uphold the profession and standards.’

Responding, the managing director of NAN acknowledged the long-standing relationship between the agency and the high commission.

He said the agency would continue to maintain its position as the biggest news content provider, not just in the country, but across Africa.

‘We are the biggest on the continent; we have offices in the southern parts of Africa, notably in South Africa.

‘We have had a long-standing relationship with the high commission and the British Council over the years, over many decades.

‘We have lived by our core mandate as NAN and we will attain 50 years of existence and
operation as a news agency. We welcome the idea of training and retraining of our staff.

‘We are in dire need of work tools.

‘Many young Nigerians have benefited immensely from the exposure offered to us by the British Council many years ago.

‘We have a strong affinity with the United Kingdom and look forward to greater cooperation and a robust relationship with the high commission under your leadership,’ Ali said.

Source: News Agency of Nigeria

Vice-President Kashim Shettima has expressed Federal Government’s commitment to implement the 2021 National Food Consumption and Micronutrients Survey (NFCMS ) report for improved nutritional outcomes in the country.

He made this known at the launch of the NFCMS report on Tuesday in Abuja.

Represented by Mrs Uju Anwukah, the Special Adviser to the President on Public Health/Focal Person, Nutrition, Shettima said the government would not only implement the NFCMS report but would also improve budgetary allocation to health and agriculture to address malnutrition.

He added that as the Chairman, National Council on Nutrition, he would drive the nutrition agenda through the pillars of decentralised coordination, profile raising, financing, scaling up nutrition interventions, data, and accountability.

He said ‘as we launch the report of the 2021 national foods consumption and multi nutrient survey, we reflect that beyond the numerical data lies the profound impact on lives, the potential for positive transform
ation and unity of purpose it brings to our nation.

‘In all I have a firm belief that Nigeria will be placed in most exemplary nations with improved nutrition indices.’

Also, Prof. Ali Pate, the Coordinating Minister of Health and Social Welfare, said the government and other stakeholders would prioritise improving nutritional outcomes.

He added that ‘the report that we are launching today provides evidence to inform policies, programmes, implementation and learning over time.

‘We are moving from faith-based policies and programming to evidence-based policies and proven programming.

‘So, I want to assure you that we are committed to implementing evidence-based solutions to improve nutritional outcomes.’

Abubakar Kyari, Minister of Agriculture and Food Security, who represented Minister of State, Aliyu Abdullahi, said the NFCMS is a step toward achieving food security and nutrition.

He said, ‘this report has further given us an opportunity for evidence-based policymaking programming, project and interve
ntion development.’

Abubakar Bagudu, Minister of Budget and Economic Planning, said the report represents a significant milestone in Nigeria’s aspiration to address malnutrition for improved health of citizens.

Bagudu, represented by the Permanent Secretary, Mr Nebeolisa Anako, stressed the need for relevant stakeholders to have access to the report to inform evidence- based interventions and policies that would ensure food security and nutrition in the country.

He said ‘today’s event is to launch key outcomes of the survey, assess progress on ongoing efforts to strengthen the nutrition data value chain in Nigeria. It is also to start new initiatives and partnerships for data investments and follow up action.

‘I, therefore, advise that we redouble our efforts to promote nutrition sensitive agriculture, improve the food systems and strengthen health services to ensure access to safe, nutritious, and diverse foods.

‘We must also work to enhance nutrition education to empower individuals and communities to
make healthier food choices.’

Mrs Ladidi Bako-Aiyegbusi, the Director and Head of Nutrition Department, Federal Ministry of Health and Social Welfare, said the survey was conducted in the 36 states and the FCT, 290 clusters and 9,107 households.

Bako-Aiyegbusi added that children under five years, adolescents between 10 and 14 years, and women within reproductive age were also involved.

‘We looked at the prevalence and distribution of different micronutrient deficiencies.

‘The status of micronutrient intake and coverage of key interventions, we reviewed the existing national micronutrient strategy and how it is being implemented.

‘What are the challenges and also we used the survey to set priorities and deploy programmes,’ she said.

Dr Micheal Ojo, the Country Director, Global Alliance for Improved Nutrition (GAIN), said the report provided data for the government and partners to plan and implement policies aimed at addressing malnutrition.

Also, Nemat Hajeebhoy, the Chief of Nutrition, UNICEF, noted t
hat Nigeria has the largest number of malnourished children in the continent and second largest globally, while 32 million people in this lean season are going to be food insecure.

Hajeebhoy, therefore, added that the NFCMS would aid in addressing malnutrition and improve food security in the country.

Similarly, Laurel Rushton, the Lead Director, Reproductive, Maternal, Newborn and Child Health and Nutrition Division (RMNCH+ Nutrition), USAID, said Nigeria falls behind in meeting nutrition global targets.

Rushton explained that the NFCMS report would drive evidence-based approaches and innovative solutions to tackle malnutrition.

Other highlights of the event were the joint unveiling of the NFCMS report and conferment of awards to notable organisations and personalities for their contributions to the success of the survey.

Source: News Agency of Nigeria