By Emmanuella Anokam

The Nigerian National Petroleum Company Limited (NNPC Ltd.) and its Joint Venture (JV) partner, Newcross Exploration and Production Ltd., have restarted production at Awoba field, Port Harcourt, Rivers.

The NNPC Ltd. said the field last contributed to the Bonny Terminal in 2021 and was finally shut down in February 2022 due to evacuation issues and crude oil theft.

Speaking on the development, the Group Chief Executive Officer, NNPC Ltd. Malam Mele Kyari, in a statement on Tuesday, said since the restart on April 13, production at the field had averaged 8,000 barrels per day.

According to the GCEO, the production is expected to reach 12,000 per day within 30 days.

He said Awoba was also expected to significantly boost gas supply to the power sector and other gas-based industries.

He said the NNPC Ltd. was keen on optimising production from the nation’s hydrocarbon assets to boost revenue.

Kyari said it would also help to meet the nation’s Organisation of the Petroleum Exporting Countries (OPEC) production quota.

He ascribed the achievement to the President Bola Tinubu administration’s success in providing the enabling operating environment for businesses to thrive.

He expressed appreciation to all stakeholders, including staff, operators, host communities, government security agencies, and private security contractors who played a pivotal role in achieving the feat.

The Awoba Unit, which straddles OMLs 18 and 24 is located in the mangrove swamp south of Port Harcourt, Rivers.

Both OML 18 and OML 24 assets are under the management of the NNPC Upstream Investment Management Services (NUIMS).

NNPC Ltd. has been recording a string of production successes from the JV portfolio which have significantly lifted overall national production.

Besides the recent start of production at the Madu Field by the NNPC Ltd/First E&P JV, the company has achieved the restart of production at OMLs 29 and OML 18 in late 2023.

These contributed an average of 60,000bpd to the nation’s production output since their restart. (NAN)(www.nannews.ng)

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Edited by Salif Atojoko

By Emmanuella Anokam

The Nigerian National Petroleum Company Limited (NNPC Ltd.) and its joint venture partner in OML 85, First Exploration and Petroleum Development Company Limited (First E&P), have commenced oil production from the asset.

Production from the asset, also known as Madu Field, which is located in shallow waters offshore Bayelsa and operated by First E&P is expected to be at an average of 20,000 barrels per day.

In a statement on Friday in Abuja, the Group Chief Executive Officer of NNPC Ltd., Malam Mele Kyari, described the commencement of oil production at the Madu Field as a significant milestone.

Kyari said the achievement was a testament to the commitment of President Bola Tinubu administration’s to optimise production from the nation’s oil and gas assets through the provision of enabling environment for existing and prospective investors.

He said it would contribute to the larger goal of meeting the production required to drive revenue growth and boost the nation’s economy.

Kyari, who commended stakeholders for their support, also explained that the addition of 20,000 barrels per day by an indigenous oil player signalled the commitment of stakeholders to achieving economic development for Nigeria.

It will be recalled that the Final Investment Decision (FID) on the development of the Madu Field and a sister field, Anyala, was taken by the NNPC Ltd/First E&P JV in 2018.

Production from the Madu Field would be processed at the JV’s Abigail-Joseph Floating Production Storage and Offloading (FPSO) Unit, which has a crude oil storage capacity of up to 800,000bbls. (NAN)(www.nannews.ng)

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Edited by Rabiu Sani Ali

By Emmanuella Anokam

The Minister of State Petroleum Resources (Gas), Mr Ekperikpe Ekpo, says if gas resources available in the states are harnessed and utilised, power plants and ailing industries would come alive.

The Minister said this on Thursday in Abuja when he received the Governor of Akwa Ibom, Pastor Umo Eno in his office.

Ekpo said if gas resources available in all states were utilised, ailing industries would come alive while some industries that had relocated to other countries would return to Nigeria.

He said the ministry would ensure that country’s abundant gas resources were exploited, developed and used for the benefit of all Nigerians.

Ekpo, who said he was happy that Akwa Ibom State Government was interested in the development of its gas resources, also promised to collaborate with the state government to develop its gas resources and all over the country.

“Gas development is the way to go all over the world and I promise to work with your government to develop the gas resources in Akwa Ibom State and all over the country,” the Minister stated.

The Minister informed the delegation that he would be visiting the state to perform the groundbreaking ceremony for a Gas Hub at Ibaka Deep Sea Port very soon.

Ekpo, while commending the governor on the ongoing infrastructural development in the state, pledged continued support of the Federal Government through the Ministry in the development of gas Infrastructures.

In his address, the governor noted that Akwa Ibom State had the largest deposit of gas resources in Nigeria.

Eno expressed his readiness to partner with the Ministry to drive the investment opportunities that abound in the State for economic development.

“Akwa Ibom has one of the largest deposits of gas in Nigeria, we have come to partner with you because we want to drive investments into Akwa Ibom gas sector,” the governor said.

The governor said the state had the required human capacity and necessary infrastructures and also willing to work with the Ministry to actualise the vision and mandate of President Bola Tinubu in the gas sector.

Earlier in his opening remarks, the Permanent Secretary, Ministry of Petroleum Resources, Amb. Nicholas Ella, expressed satisfaction with the synergy that existed between the state government and the Minister and worthwhile infrastructural development in the state. (NAN)(www.nannews.ng)

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Edited by Maureen Atuonwu

By Emmanuella Anokam

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has identified the Nigerian Gas Flare Commercialisation Programme (NGFCP) 2022 as one of the critical pathways to achieving Net Zero Carbon Emission.

The Commission’s Chief Executive, Mr Gbenga Komolafe, said this at its Investors’ Forum on Wednesday in Abuja.

The forum was convened to bring flare site awardees, technology providers and financiers together for the goal of eliminating flared gas and improving environmental sustainability.

The programme was launched as a strategic initiative by the Nigerian government with the primary goal of eliminating gas flaring through economically viable solutions, transforming a wasteful environmental challenge into a substantial economic opportunity.

Through this programme, flare gas sites are awarded to competent third-party companies that are to harness this resource for value derivation.

Komolafe, in his keynote address titled, “One Goal – One Team,” said Nigeria developed an actionable roadmap called the Nigeria Energy Transition Plan, to midwife the nation’s journey towards Net Zero Carbon emissions.

He expressed the commission’s commitment to the successful execution of the NGFCP to actualise the attainment of Nigeria’s pledge to end routine gas flaring within this decade and contribute to the reduction of global emissions.

He said the opportunity would enable captured flared gas to be used for electricity generation, fertiliser and methanol production and feedstock for local industries.

He said, these, in addition to improving host community relations, environmental sustainability, building local content capacity, creating employment opportunities, and encouraging increased capital inflow to the sector were some of the benefits of the programme to the country.

“Through the NGFCP, the barrier to entry into our complex industry is lowered for many proven small and medium scale local and international players.

“We have chosen the theme “One Goal – One Team” for this forum to represent our unified commitment to decarbonisation and achieving net zero emissions.

“As we gather here, we are aligned not just in our investment goals but in a powerful collaboration aimed at turning Nigeria’s COPs 26, 27 and 28 commitments into actionable, sustainable outcomes.

“Let us leverage our collective strengths, foster strategic synergies, and advance with a unified vision towards a decarbonised, net zero future, in line with the objectives set at the UN Climate Change Conference,” he said.

He explained that the projects did not only align with international environmental standards by significantly reducing greenhouse gas emissions but also reinforced global commitments to sustainability and climate resilience.

Komolafe expressed assurance that due diligence had been carried out on all award holders and remarkable progress had been made to ensure that proposed projects would achieve measurable success.

“Investors can, therefore, be assured that the NGFCP 2022 will be conducted satisfactorily in line with statutory provisions,” he said. (NAN) (www.nannews.ng)

Edited by Salif Atojoko

By Emmanuella Anokam

The distribution of Premium Motor Spirit (PMS) also known as fuel is gradually normalising as most fuel stations in the Federal Capital Territory (FCT) have started dispensing the product.

The News Agency of Nigeria (NAN) recalls that long queues were seen at most fuel stations due to scarcity of the product earlier in the week before and during the Sallah holidays.

The development inconvenienced motorists, as they had to queue for hours to get fuel.

NAN, however, reports that the situation is improving as many fuel stations are now selling the product though with long queues, except for a few yet to get supply.

A NAN Correspondent who went round town on Saturday, reports that the queues are gradually disappearing.

The independent marketers sell between N640 to N690 per litre, while the Nigerian National Petroleum Company Limited (NNPC Ltd.) Retail Outlets maintain its pump price of N617 per litre.

In the city centre, many stations including Conoil and TotalEnergies, Opposite NNPC Ltd. Towers; TotalEnergies, Wuse, Zone 3 and all the NNPC Ltd. Retail Outlets including its Mega station were seen dispensing fuel without queues.

In Kubwa Axis, NIPCO fuel station at Kubwa second gate and Rainoil at Gwarimpa entrance were seen dispensing fuel with just few vehicles on queue.

However, many fuel stations along the Kubwa express way were not dispensing the product.

Along the Nyanya-Keffi Highway, both Shema fuel stations and MRS at AYA were seen dispensing the product, while JENEP, Fuel Smart, KODPEM, Bormi, AP, NIPCO and Shafa at Nyanya-Karshi Road were also seen selling.

Some of the motorists, who spoke to NAN said they were not sure of what caused the initial scarcity, adding that it could be attributed to the Sallah celebration or mere hoarding.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) did not respond to text messages sent to it by NAN.

But there are indications that the scarcity was caused by the Sallah holiday, as most petroleum tanker drivers were on break to observe Eid-el-Fitr. (NAN)(www.nannews.ng)

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Edited by Ese E. Eniola Williams

By Emmanuella Anokam

The Federal Government says measures are being put in place to restore oil production in view of recent concerns regarding shortfall in oil production in Nigeria in the first quarter of 2024.

Sen. Heineken Lokpobiri, Minster of State for Petroleum Resource (Oil) said this in a statement by his Special Adviser, Media and Communications, Nneamaka Okafor, on Friday in Abuja.

He said the Federal Government was actively engaged in policy evolution aimed at maximising the utilisation of all available wells in Nigeria.

The minister clarified that the oil production shortfall was primarily due to issues encountered on the Trans Niger Pipeline, coupled with maintenance activities carried out by some oil companies operating in Nigeria.

“In response to recent concerns regarding a shortfall in oil production in Nigeria during the first quarter of 2024, measures are being taken to address the situation to, not only restore production to previous levels, but to also increase it.

“The issues have been adequately addressed, and production is expected to return to its previous levels in the coming days,” the minister said.

Lokpobiri said Nigeria’s oil production, including condensate, which was approximately 1.7 million barrels per day (bpd) prior to these developments, would soon be restored.

“Furthermore, the Ministry of Petroleum Resources is actively engaged in policy evolution aimed at maximising the utilisation of all available wells in Nigeria.

“This strategic approach will enable the country to ramp up production, thereby generating vital revenue to stabilise the nation’s foreign exchange reserves.

“The increased revenue will also empower the government to fulfill its commitments in providing essential infrastructure, as outlined in the 2024 budget,” he said.

He further assured of renewed hope as Nigeria navigates through these challenges.

He urged all to remain committed to ensuring the sustainability and growth of Nigeria’s oil sector, which plays a crucial role in driving the nation’s economy.

The Monthly Oil Market Report (MOMR) for April 2024, released by the Organisation of Petroleum Exporting Countries (OPEC) had revealed that the country’s oil production recorded a second consecutive decline since the beginning of 2024.

The OPEC MOMR indicated that the country produced 1.322 million barrels per day of crude in February 2024 but this dropped to 1.231mbpd in March, representing a decline of 91mbpd. (NAN) (www.nannews.ng)

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Edited by Salif Atojoko

By Naomi Sharang

Gov. Hope Uzodimma of Imo and the Chairman, crude oil theft and management committee, says his committee is working to end crude oil theft in the country, within the shortest possible time.

Uzodimma stated this when he briefed newsmen, shortly after a stakeholders meeting that lasted for more than six hours in Abuja.

He said that the committee plans to submit its interim report to the National Economic Council (NEC) before the end of April.

Uzodimma assured that the committee, which is a sub-committee of the NEC, would at the next economic council meeting, give an interim report of what the outcome of their assignment was.

“The NEC meeting usually holds the last week of the month.

“So, it may be the last week of this month, if all goes well and there is a national economic council meeting, we will submit an interim report to the council and that report will also carry the interim findings and recommendations.

“We have the mandate to eliminate completely, cases of crude oil theft, increase production of oil and gas and boost revenue earning for the government.

“We have done a lot. We have interfaced with critical stakeholders in the industry. Some revelations have been made, some findings have also been done,” he said.

Uzodimma added: “We have also been able to collect sufficient data; many have been processed and some are still being processed.

“I assure you at the next economic council, we should be able to give an interim report of what the outcome of our assignment is.

“After the interim report, and if our recommendations have been approved, we will continue with more activities in terms of implementing the recommendations presented in the interim report.

“So far, what we have seen is very encouraging and we are almost certain that at the end of the assignment, crude oil theft will become a thing of the past and there will be more discipline in the industry and operators in the industry will also play according to rules.”

On the high cost of gas, he said that the whole essence of the committee’s assignment was to optimise production of oil and gas.

“And with the increase in the price of gas, Nigeria being one of the major countries that can boast of gas reserves, sufficient gas reserves, we will benefit from it.

“Crude oil too when optimised in terms of production, will also earn us more revenue. We discussed all that and what we are trying to do now is to improve on the level of sincerity, honesty in the industry.

“And encourage stakeholders to play to the rules and have the interest of our country at heart to allow for a win, win situation where the oil companies that are producing will make profit, Nigeria that is also their partner will also make profit,” he said.

He also assured that the Renewed Hope Agenda of President Bola Tinubu would begin to yield results in the near future.

The News Agency of Nigeria (NAN) reports that participants at the stakeholders meeting included Mr Wale Edun, the Minister of Finance and Coordinating Minister of the Economy, the Minister of Budget and Economic Planning, Malam Abubakar Bagudu, the Central Bank of Nigeria Governor, Mr Yemi Cardoso. (NAN)

Edited Ali Baba-Inuwa

By Emmanuella Anokam

An Economist, Dr Chijioke Ekechukwu says Foreign Exchange (Forex) is not the only determinant of high prices of goods and services.

Ekechukwu, who is the Managing Director and Chief Executive Officer, Dignity Finance and Investment Ltd., spoke with the News Agency of Nigeria (NAN) on Tuesday in Abuja.

The expert listed the high cost of petroleum products, scarcity of food as a result of security challenges, among others as other determinants of high cost of goods and services.

NAN reports that Naira has been fluctuating at the official market, trading between N1, 300 and N1,240 to a dollar.

Ekechukwu, however, said that the crash of the dollar being experienced currently at the official market might not have significant effect on the prices of commodities.

“Traders still have stock of goods bought at a high exchange rate.

“The Naira only gained traction in the last two weeks. It is a short period therefore to ascertain stability. Fear of instability of Forex will also make traders retain old prices.

“Secondly, Forex is not the only determinant of high prices. High cost of petroleum products such as diesel and petrol are major determinants.

“Scarcity of food as a result of insecurity in the north where we have more farming activities is also another determinant, among others,” he explained.

He further explained that petroleum products prices were determined by external sources and not within the control of government.

According to him, prices of petroleum products are determined by two factors: exchange rate and global oil price.

“The global oil price is not controlled by Nigeria. However, if the government embarks on subsidy of petroleum products again, their prices will come down.

“Petroleum products prices can also come down when our refineries start working optimally,” he added. (NAN)(www.nannews.ng)

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Edited by Francis Onyeukwu and Abiemwense Moru