By Lucy Ogalue

The Managing Director of Oilserv Engineering Limited, Mr Nnanna Anyanwu, has reiterated the company’s resolve to contribute meaningfully to Nigeria’s transition to cleaner fuel.

Anyanwu said this on Wednesday while speaking with journalists on the sideline of the inauguration of the Assa Gas Process Treatment Facility in Ohaji/Egbema LGA of Imo State.

The News Agency of Nigeria (NAN) reports that President Bola Tinubu inaugurated the ANOH-OB3 CTMS gas pipeline and ANOH gas processing plant in Assa, Ohaji/Egbema in Imo State.

Tinubu also inaugurated the expansion of the AHL gas processing plant 2 gas project in Kwale in Delta.

The projects were inaugurated virtually by the President with the theme ‘Gas to Prosperity’.

Anyanwu, leading Oilserv as the contractor of the ANOH PTF – OB3 CTMS gas project, said the company was focused and proud to be associated with the country’s transition to cleaner fuel.

He said that their duty which ensured the success of the gas project entailed the Engineering, Procurement, Construction, Installation and Commissioning (EPCIC) of the 36” x 23.3km gas export pipeline and Pigging facilities (Launcher & Receiver).

Anyanwu said the project they are handling would facilitate the transportation of natural gas from the NGC manifold at Assa to OB3 CTMS.

According to the CEO, the completion of Assa Process Treatment Facility to OB3 CTMS works and the 36”x 23.3km pipeline has significantly demonstrated Oilserv’s dedication to meeting project timelines, schedule, safety, quality and excellence.

“The project will turn around the Nigerian economy. We have increased our ability to deliver on infrastructure; we have the skills but most importantly, we have improved our competitiveness globally.

“So by the time you think about this pipeline, how it will unlock gas potential, contribute to Nigeria’s decade of gas and ensure that Nigeria can transit to cleaner fuel, ultimately, you will see that it is progressive for the nation,” he said.

The traditional ruler of Assa Autonomous Community in Ohaji/Egbema LGA of Imo, HRH Eze Emmanuel Assor, described the project as an economic boost to the area and the nation.

Assor said that it would add value to the economy of the country.

“It is a thing of joy that we have this. It will create job opportunities for our people and we pray that they will give us that concessional treatment as people from this area who have donated a lot.

*Our people are predominantly farmers who have now lost their farmland to the establishment of this project.

“We are hopeful that it will help in the development of this area as we are sure that other investors will come to invest in the area due to the commencement of this gas project.

“We appreciate NNPC Ltd.’s decision to site the project here, our people are happy but we expect NNPC Ltd. to reciprocate because it is not easy to make this kind of sacrifice.

“We expect them to give us very serious development, infrastructure and amenities; we will appreciate that,” he said.

Oilserv Limited is an Oil & Gas EPCIC (Pipeline & Facilities) Company, incorporated in 1992 and commenced business in 1995 with a mission to provide EPCIC, Fabrication, Upgrade, Repairs and Maintenance of oil installations. (NAN)(www.nannews.ng)

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EDited by Emmanuel Afonne

By Lucy Ogalue

The Federal Government on Wednesday inaugurated three critical gas infrastructure projects in Imo and Delta to drive the country’s gas sector.

President Bola Tinubu, while inaugurating the projects virtually, expressed delight and congratulated Nigerians for the achievements recorded within months of his administration.

The News Agency of Nigeria (NAN) reports that the president inaugurated the ANOH-OB3 CTMS gas pipeline and ANOH gas processing plant in Assa, Ohaji/Egbema in Imo State.

Tinubu also inaugurated the expansion of the AHL gas processing plant 2 gas project in Kwale in Delta.

The projects are being undertaken by the Nigerian National Petroleum Company Limited (NNPC Ltd.) and partners in line with Tinubu’s commitment to leverage gas to grow the economy.

According to the NNPC Ltd., the projects will add 500MMscf/d gas production capacity to the country and also increase the available gas pipeline network by 23.3 kilometres

Tinubu said: “this inauguration is highly significant to our country as it demonstrates the administration’s concerted efforts to accelerate the development of critical gas infrastructures.

“It is also geared at significantly enhancing the supply of energy to boost industrial growth and create employment opportunities.

“Also, the projects are fully in line with the decade of gas initiative, and the Federal Government’s quest to grow value from the Nation’s abundant gas assets.

“While concurrently eliminating gas flaring and accelerating industrialisation,” he said.

The president said approximately 500MMscf of gas in aggregate would be supplied to the domestic market from these two Gas Processing Plants, which represented more than 25 per cent incremental growth in gas supply.

Tinubu said: ”in practical terms, this is more gas to the power sector, gas-based industries and other critical segments of the economy.

”I, therefore, commend the strategic vision of the NNPC Ltd. and its partners Sterling Oil Exploration and Energy Production Company Limited (SEEPCO) and Seplat Energy Plc for this laudable and value-adding projects.”

The President, while reiterating the desire of his administration to diversify from petrol and diesel, said significant progress had also been recorded in incentivising gas development through Presidential Executive Orders.

He assured Nigerians of the Federal Government’s commitment to step up its coordination of other landmark projects and initiatives that would ensure the earliest realisation of gas-fueled prosperity in Nigeria.

Similarly, the president assured investors in the energy space that his government would not relent in facilitating the ease of doing business.

He said that the theme of the commissioning – “from Gas to Prosperity; Renewed Hope”, must be adopted by all gas sector participants and would-be investors.

“As a clarion call to ramp up efforts to accelerate investment and developments of projects in the gas sector on a win-win basis.”

The president commended the efforts of NNPC Ltd., alongside SEEPCO and Seplat Energy on the business partnership while congratulating Nigerians on the successful implementation of the three projects

”I want to reiterate the Federal Government’s resolve to continue to provide support in deepening domestic gas utilisation.

“To increase national power generation capacity, revitalise industries and create multiple job opportunities for economic growth.

“I have the singular honour to inaugurate the expansion of the projects in line with this administration’s resolve to provide energy for Nigerians.

“I urge NNPC ltd. as our national energy company of choice to continue its relentless efforts and record more successes in the energy sector for the benefit of all Nigerians,” he said.

Earlier, the Group Chief Executive Officer, NNPC Ltd., Mele Kyari, re-assured of the company’s commitment to maintain energy security by continuing to execute more strategic gas projects for the benefit of Nigerians.

“The three infrastructure projects will enable additional gas processing capacity and also increase the supply of Liquefied Petroleum Gas (LPG), thereby reducing the dependency on importation.

“Also, the projects are fully in line with the Federal Government’s quest to derive value from the Nation’s gas assets while eliminating gas flaring and moving towards environmentally friendly energy sources.

“Nigeria is endowed with significant natural gas resources of over 209TCF of proven gas reserves, with the potential to grow to over 600TCF.

“As a commercial enterprise, these milestone projects present an opportunity to monetise our abundant natural gas resources, by expanding access to energy to support economic growth, industrialisation, and job creation,” he said.

While reiterating efforts of the corporation to drive the sector, Kyari said NNPC was deploying CNG delivery installations in its retail stations across the country.

He then, appreciated the support of its various stakeholders in ensuring achievement of these projects.

The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, reiterated that the projects would enhance domestic gas availability, boost power generation and hasten industrialisation in Nigeria.

He said the administration’s effort in keeping with the climate control accord would move the nation towards achieving green energy sufficiency by 2060.

He commended the president for his futuristic leadership and encouragement which had helped in achieving the projects being inaugurated.

NAN reports that the event was attended by senior government officials, partners and stakeholders in the sector. (NAN)(www.nannews.ng)

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Edited by Gregg Mmaduakolam/Ese E. Eniola Williams

By Emmanuella Anokam

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) on Tuesday announced the commencement of the 2024 oil block licensing round.

Mr Gbenga Komolafe, Commission Chief Executive, NUPRC, announced this at the Miami, Florida International Roadshow for the 2024 licensing round, hosted by the NUPRC, in collaboration with Petroleum Technology Association of Nigeria (PETAN).

The commission said the 2024 block licensing round would last for approximately nine months.

Komolafe, while unveiling the bidding round, said the exercise which was initially announced in April 29, 2024, was a significant leap in the strategic hydrocarbons development initiative.

He said the round would introduce 12 meticulously selected blocks across diverse geological spectra from the fertile onshore basins to the promising continental shelves and the untapped depths of Nigeria’s deep offshore territories.

“Each block has been chosen for its potential to bolster our national reserves and stimulate economic vitality.

“The NUPRC on behalf of the Federal Republic of Nigeria is committed to conducting the licensing round in a fair, competitive and transparent manner, ensuring a level playing field for both indigenous and international investors.

“Our approach is underpinned by the robust legal framework of the Petroleum Industry Act 2021 (PIA), which ensures compliance with best practices to boost investors’confidence.

“In keeping with the provisions of the PIA and regulations made under the Act, the commission has issued a licensing round guideline and published a licensing round plan for the twelve blocks.

“The blocks are PPL 300-CS; PPL 301-CS, PPL 3008, PPL 3009, PPL 2001, PPL 2002, PML 51, PPL 267, PPL 268, PPL 269, PPL 270, and PPL 271,” he said.

He said the seven deep offshore blocks from the 2022 mini-bid round exercise which covered an area of approximately 6,700 km2 in water depths of 1,150m to 3,100m would be concluded along with this licensing round.

He said rhe blocks on offer had extensive 2D and 3D seismic data coverage, including multi-beam and analogue data.

“Additionally, a 3D reprocessed Pre-stack Time Migration of remarkable quality is also available to prospective bidders.

“The availability of advanced seismic datasets and analytical tools via our dedicated portals exemplifies our commitment to excellence and technological advancement,” he said.

According to Komolafe, the licencing round is indeed expected to be a huge success for Nigeria and is a big step towards growing the nation’s oil and gas reserves.

This, he said would be through aggressive exploration and development efforts, boosting production, expanding opportunities for gas utilisation and end-to-end development across the value chain.

“In addition, the licencing round presents us with the opportunity to reinforce Nigeria’s commitment to openness and transparency in line with the principles of the Extractive Industry Transparency Initiative (EITI),” he said.

On the global scale, Komolafe said the licensing round would no doubt be beneficial to all stakeholders, add6that in the long run it would contribute to long-term global energy sufficiency.

“The implementation process will, in addition to technical and commercial considerations, pay requisite attention to strategies, processes and implementable plans consistent with net zero carbon emission targets, eliminating gas flares”.

He said competitive entry fees that were responsive to prevailing realities would be adopted in the 2024 block licensing round.

Komolafe said that considerations for the commerciality of projects would be made on a case-by-case basis for the determination of appropriate entry fees.

The 2024 block licensing round is scheduled to last for approximately nine months and interested parties should visit the dedicated NUPRC portal for details on how to participate. (NAN)(www.nannews.ng)

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Edited by Rabiu Sani-Ali

By Emmanuella Anokam

The Nigerian National Petroleum Company Exploration and Production Limited (NNPC E&P Ltd.) and Natural Oilfield Services Ltd. (NOSL) have announced the successful commencement of oil production at Oil Mining Lease (OML) 13 in Akwa Ibom State.

The NNPC E&P Ltd. is an NNPC Ltd’s flagship upstream subsidiary, while NOSL is a subsidiary of Sterling Oil Exploration & Energy Production Company Ltd (SEEPCO).

Mr Olufemi Soneye, Chief Corporate Communications Officer, NNPC Ltd., made this known in a statement on Sunday.

Soneye said the production, which commenced on May 6 with 6,000 barrels of oil would ramp up to 40,000 barrels per day by May 27, 2024.

“The first oil flow from OML 13 is a historic milestone in the partnership between NNPC E&P Ltd and NOSL.

“It highlights their dedication to driving growth and development in Nigeria’s oil and gas sector, which remains a vital component of the nation’s economy,” he said.

Soneye said the achievement did not only signify the culmination of rigorous planning and execution by the teams involved, but also represented a new era of economic empowerment and development opportunities for the host communities.

Furthermore, for Nigeria, the first oil from OML 13 holds some significance as it contributes to the country’s efforts to increase its oil production capacity, which is crucial for meeting domestic energy needs and driving economic growth.

The NNPC E&P Ltd and NOSL partnership is also committed to operating in a manner that is safe, environmentally responsible, and beneficial to the local communities.(NAN)(www.nanews.ng)

Edited by Sadiya Hamza

By Emmanuella Anokam

The Nigerian National Petroleum Company Limited (NNPC Ltd.) and First Exploration & Production Limited (First E&P) Joint venture (JV) have donated N53 million to some Non-Governmental Organisations (NGOs) in the country.

The NNPC Ltd. said the donation was part of its Corporate Social Responsibility (CSR) initiatives.

Mr Bala Wunti, Chief Upstream Investment Officer (CUIO), NNPC Upstream Investment Management Services (NUIMS), on Friday in Abuja, during the cheques presentation ceremony expressed gratitude to First E & P for initiating the laudable programme.

Wunti, in a statement by Olufemi Soneye, Chief Corporate Communications Officer, NNPC Ltd. said under the JV’s Impact First Initiative, the donation, targeted towards enhancing societal welfare, would address areas of healthcare and well-being, quality education and economic growth.

Wunti, represented by the Deputy Manager, External Relations, NUIMS, Mrs Edith Lawson, highlighted NNPC Ltd.’s belief in the power of CSR.

He emphasised that the Company remained committed to working with its partners to impact the lives of the less-privileged.

Wunti said under the initiative, projects and programmes executed included the provision of classrooms, ICT Centres, laboratories and other infrastructural intervention projects, scholarships, quiz competitions, skill acquisitions and economic empowerment.

According to him, it is a testimony to NNPC’s dedication to fostering sustainable development in Nigeria.

He described First E & P’s foresight and leadership as commendable, adding that the partner has spearheaded the initiative towards meaningful change that would ensure a better future for all Nigerians.

The beneficiaries of the donation included the Irede Foundation, which provides custom-made artificial limbs to child amputees aged 0-18 and Human Development Initiative (HDI).

This focuses on tackling fundamental issues of poverty, injustice, neglect, deprivation, and equality among vulnerable people.

Others were the OISA Foundation, which transforms lives through interventions in the education and healthcare sectors; Cerebral Palsy Center, which renders support to families with children with cerebral palsy.

The beneficiaries also included the Niola Cancer Care Foundation, which organises awareness talks and screens communities for colon cancer. (NAN)(www.nannews.ng)

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Edited by Bashir Rabe Mani

By Emmanuella Anokam

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC), says the International Oil Companies (IOCs) have proposed 26 oil blocks to be divested to indigenous companies with 8.211 million barrels of oil reserves.

The NUPRC said it had also engaged two leading global oil and gas decommissioning consultants to carry out due diligence on the proposed 26 oil blocks to be divested.

The Commission’s Chief Executive, NUPRC, Mr Gbenga Komolafe said this at the Industry Dialogue on IOCs Divestment of Oil and Gas Assets in Abuja on Friday.

The News Agency of Nigeria (NAN) reports that NUPRC organised the workshop to guide and consider due diligence and interrogation on compliance with the laws and processes that governed the proposed divestment of oil and gas assets.

Seplat is acquiring Mobil Oil Producing Nigeria Unlimited (MPNU), Oando is acquiring Nigeria Agip Oil Company (NAOC), Chappal Energies is acquiring Equinor, while Renaissance is acquiring Shell Petroleum Development Company (SPDC).

In his remarks, he said the blocks had an estimated total reserve of 8.211million barrels of oil, 2,699 million barrels of condensate, 44,110 billion cubic feet of associated gas and 46,604 billion cubic feet of non-associated gas.

This, he said was a significant contribution to the nation’s hydrocarbon resources.

“Additionally, these blocks contain P3 reserves estimated at 5,557 million barrels of oil, 1,221 million barrels of condensate, 14,296 billion cubic feet of associated gas and 13,518 billion cubic feet of Non-Associated Gas.

“It is worth noting that a substantial part of the P3 reserves is located in or near producing assets. This means that a competent successor can easily mature them to 2P reserves.

“Additionally, the current average production from these blocks is 346,290 barrels per day (bpod) (NAOC-28,018 bopd, MPNU-159,378 bopd, EQUINOR-36,155 bopd and SPDC-122,739 bopd).

“But the technical production potential is much higher – standing at 643,054 barrels (NAOC-147,481 bopd, MPNU-244,268 bopd, EQUINOR-39,203 and SPDC-212,102 bopd).

“These blocks have the potential to significantly boost our national production, which will benefit all stakeholders,” he said.

He listed the names of the leading global oil and gas decommissioning consultants to include S&P Global Commodity Insights (SPGCI), and Boston Consulting Group (BCG).

Komolafe said that the consultants would also work with the Commission as independent consultants in defining all end-of-field life and abandonment legacy liabilities in compliance with divestment guidelines.

“They will also manage the operational risk across the entire asset portfolio, create a workflow for estimating total onshore decommissioning CAPEX liabilities.

“They will determine the host community’s obligations based on three per cent OPEX stipulated in the Petroleum Industry Act (PIA), benchmark best practices on asset sales, and provide case study reports that draw lessons based on best practices,” he said.

He sald that the Commission’s regulatory goal was to ensure that parties in the divestment process conform to the approved divestment guidelines.

Speaking on an overview of the divestments, Mr Enorense Amadasu, the Executive Commissioner, Development & Production, NUPRC, listed the divestments framework, two options for divestments and objectives.

The Commission’s Secretary and Legal Adviser, Mrs Olayemi Anyanechi described Option A as a grant of ministerial consent to the divestments on the condition that entities would retain liabilities.

According to her, this is until the commission’s investigation is concluded and liabilities are allocated to the proper party.

“The divesting companies will be required to issue an undertaking to retain the liabilities until confirmation of the release by the commission of all or part of the retained liabilities.

In Option B, she said ministerial consent would not be granted until the commission had identified or assigned all liabilities to the capable parties.

“The divesting entities will be required to issue a waiver, waiving their rights to deemed consent as provider in section 95 (7) (B) of the PIA,” she said.

The Chairman, Oil Producers Trade Section (OPTS), Osagie Okunbor and the Independent Petroleum Producers Group (IPPG), Chairman, Abdulrazaq Isa lauded NUPRC for being transparent and clear options proposed in the divestments process.

Representatives of other parties, including the Equinor, Seplat, Agip among others also lauded the commission on its efforts and clarity and promised to bring feedback to the commission. (NAN)(www.nannews.ng)

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Edited by Ese E. Eniola Williams

By Emmanuella Anokam

The Independent Petroleum Marketers Association of Nigeria (IPMAN) Depot Chairmen Forum has exonerated its members from the current fuel scarcity in the country.

According to IPMAN, the scarcity is caused by its inability to source petroleum products.

The IPMAN Depot Chairmen Forum also threatened to withdraw its services over non-payment of N200 billion bridging claims by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to its members, since 2022.

Alhaji Yahaya Alhassan, the Chairman, of the Forum said this while briefing newsmen on Tuesday in Abuja.

Alhassan said the Nigerian National Petroleum Company Limited (NNPC Ltd.) was the sole importer of the produc but the marketers could not source products from NNPC Ltd. deport, rather from the private depots at high rate.

“We cannot buy fuel from the private depots at N950 and transport the product from Lagos to the North and other parts of the country with N2 million and still sell it at N900 or N1, 000.

“It is expedient for us to state that we are more pained by the non-availability of petroleum products in the country, which has given rise to another round of untold hardship for Nigerians.

“Contrary to claims that IPMAN members are hoarding Premium Motor Spirit (PMS) known as fuel, we will like to categorically state that PMS scarcity is wholly triggered by inability to get fuel from NNPC and not IPMAN,” he said.

Meanwhile, the NNPC Ltd. Chief Corporate Communications Officer, Olufemi Soneye said the disruption was due to logistical issues which had since been resolved.

“We currently have an availability of products exceeding 1.5 billion litres, which can last for at least 30 days. Unfortunately, we experienced a three-day disruption in distribution due to logistical issues, which has since been resolved.

“However, as you know, overcoming such disruptions typically requires double the amount of time to return to normal operations.

“Some folks are taking advantage of this situation to maximise profits. Thankfully, product scarcity has been minimal lately, but these folks might be exploiting the situation for unwarranted gain,” Soneye said.

He however, said the lines would clear out soon.

On the non-payment of bridging claims, the IPMAN forum said it was distressed and depressed by the laidback attitude of the NMDPRA towards the survival its member’s businesses, arising from its refusal in paying the claims.

“It is with deep frustration that we have assembled here today as the IPMAN Depot Chairmen Forum. It is also disheartening to note that some of our members have completely shut down businesses and retrenched employees.

“As businessmen and women, our members acquired bank loans to keep their fuel retail outlets running on a daily basis across the nooks and crannies of Nigeria in order to serve the teeming population of Nigerians,” Alhassan said.

He recalled that Sen. Heineken Lokpobiri, Minister of State Petroleum Resources (Oil), at a stakeholders meeting in February mandated the NMDPRA management to clear the entire debt in 40 days.

“However, today, we have crossed the 40 days’ time lapse given to the NMDPRA to clear the debt, and it is shameful to state that only the paltry sum of N13 billion has been paid, ignoring minister’s directive.

“We are not happy with the indiscriminate increment in the issuance and renewal of Sales and Storage Licence, by the NMDPRA, and the subsequent delays in acquiring the licence, which our members are recently subjected to.

“We are also calling on President Bola Tinubu to look into this unwholesome figure which is highly detrimental to our business and reverse it forthwith, as it is bound to impact negatively on the masses.

“We are poised to take far reaching decisions that may cripple the supply and sales of petroleum products across Nigeria if our demands are not met within the shortest period of time.

“We are collectively prepared to withdraw our services, shut down every single outlet, and suspend lifting of products forthwith till our demands are fully met, and the consequences will be terrible.

“We call on our members to however remain resolute and law abiding, even as we draw close to the immediate ultimatum for our demands to be met by the NMDPRA,” the chairman said.

Reacting to the IPMAN’s claims, the Acting Head, Corporate Communications, NMDPRA, Seiyefa Osanebi said the bridging claims payment was ongoing.

“The bridging claims payment is always an ongoing process,” she said. (NAN)(www.nannews.ng)

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Edited by Ese E. Eniola Williams

By Emmanuella Anokam

The Nigerian Midstream and Downstream Petroleum Regulation Authority (NMDPRA) says consultation with stakeholders and public hearing must be conducted to review proposed draft regulations of the Petroleum Industry Act (PIA).

The Authority’s Chief Executive, NMDPRA, Mr Farouk Ahmed, said this on Tuesday in Abuja at its stakeholder’s forum on Midstream Petroleum Host Community Development Trust (MPHCDT) regulation.

Ahmed, represented by Mr Ogbugo Ukoha, Executive Director, Distribution Systems, Storage and Retailing Infrastructure, NMDPRA, said consultation was necessary to provide a platform for harnessing ideas for the HCDT implementation.

“The regulation shall apply only to the Midstream Petroleum Host Communities and a holder of a license that is engaged in the midstream petroleum operation in accordance with Section 318 of the PIA.

“This is a platform for us to deliberate and get feedback on the draft regulations that we publish,” he said.

In an overview, Dr Joseph Tolorunse, the Authority’s Secretary and Legal Adviser, said the NMDPRA may by notice designate the facilities to which these regulations shall apply in accordance with the PIA.

He listed the objectives of the regulations to include the procedure for the establishment and administration of the Trust Fund for the midstream petroleum host communities and to establish parameters to safeguard the Trust Fund.

According to him, the regulation would also establish grievance resolution mechanism for the settlement of disputes between the host communities and licensees.

“The regulation will make general rules for the implementation of the development of the midstream petroleum host communities. It is expected to promote social and economic benefits from petroleum operations to the host communities.

“It will enhance peaceful and harmonious co-existence between the licensees, lessees and the host communities, as well as curtail pipeline vandalism and increase oil production,” he said.

Also speaking, Chairman, House Committee on Host Communities, Dounamene Dekor, said the committee had carried out a series of engagements to understand the current status of implementation of benefits to host communities.

He urged the Authority to expedite action to apply proactive and innovative mechanisms that would ensure the speedy and effective operationalisation of funding of host communities in the sector.

“We have noted some of the challenges that the authorities face in the implementation of the PIA, particularly the omission of the mainstream petroleum operations in Section 240-2 that provides for the funding of HCPs.

“Our committee is ready and already taking necessary legislative steps to address these gaps and challenges,” he assured. (NAN)(www.nannews.ng)

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Edited by Salif Atojoko