NEWS AGENCY OF NIGERIA
FG urges African countries to reposition local content for oil, gas

FG urges African countries to reposition local content for oil, gas

212 total views today
By Okon Okon
The Federal Government says is time for African countries to reposition local content in the oil and gas sector to maximise value chain, boost the sector and develop the continent.
Sen. Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil), made the call  at the 3rd Edition of the African Local Content Roundtable in Abuja.
The two-day Roundtable with the theme, ”Enhancing Local Content Development and deployment in Africa Oil and Gas Industry” was being organised by the Heritage Times.
The meeting is an annual gathering of stakeholders in Africa’s Oil and Gas industry.
The aim is to review the approaches and regulations employed to drive local content along the industry’s value chain, and address the imminent challenges.
The minister said that the gathering was organised to build a data base of available skills as a means of leveraging African Continental Free Trade Area (ACFTA) protocol to ease mobility of labour among member countries, thereby reducing dependence on western nations for manpower expertise.
He commended the Nigerian Content Development and Monitoring Board (NCDMB) and other partners for sponsoring the event.
He added that hosting of the roundtable was in line with the renewed Hope Agenda of President Bola Tinubu.
The minister said that the president’s agenda is anchored on positioning the Nigerian economy to look inwards for goods, services and manpower needs of strategic sectors of the country’s economy.
According to Lokpobiri, Africa is largely known for supplying raw materials to other countries of the world with capacity and capability to explore, produce and process its hydrocarbon resources into petroleum derivatives for its own use and the export markets.
“We recognise the immense economic and social impact that hydrocarbon reserves hold. With an estimated 125 billion barrels of oil equivalent, the African continent collectively hosts about 10 per cent of global hydrocarbon reserves.
“The gathering is a significant asset base to drive development; it is African responsibility to exploit the oil and gas resources for the benefit of the citizens, business community and governments of respective countries.
“On behalf of the Federal Republic of Nigeria, I would like to express my deep appreciation to all the distinguished delegates who have travelled from different countries to join us today.
“Your presence is a testament to the commitment we share in harnessing the potentials of Africa’s hydrocarbon resources,” Lokpobiri stressed.
Similarly, the Secretary-General of the  African Petroleum Producers Organisation (APPO), Dr Omar Ibrahim, observed that for the past 100 years,  Africa had been producing Oil and Gas.
Ibrahim added that, in spite of the billions of dollars that the continent had made from the sector, it was still dependent on foreign investment to carry out oil and gas projects in Africa.
“We have continued to be dependent on oil technologies developed from outside, even when we have the oil and gas resources. We have been conditioned to believe that it is normal.
“In spite of our rich resources,  Africa remains the continent with the largest proportion of its population living in energy poverty.
“Over 600 million people in the continent do not have access to electricity, and over 900 million do not have access to any form of modern energy for cooking and domestic use.
“We export over 70 per cent of our oil and over 40 per cent of our gas.
“These are the challenges facing the oil and gas industry in Africa, and these are the challenges that we must collectively address,” Ibrahim stressed.
He further explained that, APPO is committed to changing the pathetic situation, adding that Africa must be allowed to use its over 125 billion barrels of oil and over 600 trillion cubic feet of gas to lift its people out of poverty.
Also contributing, the Executive Secretary of NCDMB, Mr Simbi Wabote, said the expectations from the forum was to creat an opportunity to support credible action plans from the panelists to enhance the oil and gas sector in Africa.
In achieving this, Wabote said an enabling regulatory framework backed with appropriate legislation was required to practice local content in Africa.
He further explained that the law must promote an enabling investment rather than becoming a stumbling block.
“In Nigeria, we started with policy directives to different local content practice in our oil and gas sector in 2010.
“We enacted the Nigerian Oil and Gas Industry Development Content Act which gives stronger legal backing for implementation of the policies,” Wabote said.
The News Agency of Nigeria (NAN) reports that the event attracted oil experts across Africa to deliberate, form a collaborative  platform to deepen economic integration among member countries in key areas such as:
Synergy in vocational training, professional development and many others.  (NAN) (www.nannews.ng)
Edited by Collins Yakubu-Hammer/Sadiya Hamza
NCDMB, SON, others top PEBEC 2023 Executive Order Compliance – Report

NCDMB, SON, others top PEBEC 2023 Executive Order Compliance – Report

297 total views today

By Lucy Ogalue

The report by the Presidential Enabling Business Environment Council (PEBEC) on the compliance with the Executive Order on Transparency and Efficiency in the Nigerian Business Environment shows that the Nigerian Content Development Board (NCDMB) emerged first with 83.06 per cent.

The report showed that the Standards Organisation of Nigeria (SON), and the Nigerian Agricultural Quarantine Service came second and third with 82.85 and 69.85 per cent, respectively.

Others are the Nigerian Electricity Management Services Agency and the Corporate Affairs Commission (CAC) which secured the fourth and fifth positions, scoring 67.99 and 64.01 per cent respectively.

The Special Adviser to the President on PEBEC, Dr Jumoke Oduwole, said this while addressing journalists, during a stakeholder sensitisation session and presentation of its latest report, on Monday, in Abuja.

Oduwole said the report which spanned January to June 2023, had the agencies ranked on the basis of efficiency compliance.

She said the report assessed their ability to provide timely, cost-effective, and customer-friendly services, adding that their transparency assessment was also taken into account during the ranking process.

Oduwole, however, stressed the need to check Ministries Departments and Agencies (MDAs) to ensure they comply with the Federal Governments Executive Order Report.

According to Oduwole, the report fulfills the council’s continued commitment to track compliance with the Executive Order on promoting Transparency and Efficiency in the Nigerian business environment.

She said the PEBEC’s aim of monitoring MDAs was to facilitate easy access to public records and to combat corruption in the country.

She urged MDAs to leverage the findings in the report to deliver the much-needed improvement in transparency and efficiency of public service delivery.

According to her, this will help to improve the Nigerian business environment and drive the economy.

“The ease of doing business intervention is an enabler. This is where public and civil servants deliver the actual work and the PEBEC is a facilitator.

”We help them to track what they’re doing, we encourage, coach and help them operate their service levels. And all of this is made public.

“It is a cumulative report. Agencies that have been consistent, are rewarded and agencies that have been consistently negative in performance, they keep getting those zeros as you see in the report.

“We also reward agencies who have improved. The report that we released today is for January to June 2023. This was even during a change of administration, because government is a continuum,” she said.

According to her, agencies that have been consistent are to be highly commended for their diligence regardless of what is happening politically.

Oduwole said: “As you know, the work that we are doing is to make it faster, cheaper for businesses to engage with public sector.

”We don’t have to come to an office four times to do the same thing. You don’t have to come phoning and they will say, this list is not complete; come today, come tomorrow.

“This is also a way to check corruption, because we’re looking at automation, we’re telling them automate your processes, so not NAFDAC, SON, CAC, FIRS you see we give a lot of credence to agencies that are using technology.”

The News Agency of Nigeria (NAN) reports that the PEBEC 2023 Executive Order Compliance Report assesses the level of implementation of the various executive orders issued by the government to facilitate ease of doing business in Nigeria.

The report, however, includes an evaluation of both federal agencies and state governments in their adherence to the directives outlined in the executive orders. (NAN)(www.nannews.ng)

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Edited by Chinyere Joel-Nwokeoma

FG tasks oil experts on solutions to local industry challenges

FG tasks oil experts on solutions to local industry challenges

279 total views today

By Emmanuella Anokam

The Federal Government has tasked oil and gas experts to proffer permanent solutions to challenges ranging from low productivity, oil theft, pipeline vandalism and gas flaring in the local oil industry.

Sen. Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil), made the call on Monday in Abuja, at the opening of the third Biennial International Conference on Hydrocarbon Science and Technology (ICHST 2023).

The conference, organised by the Petroleum Training Institute (PTI) and hosted by the Petroleum Technology Development Fund (PTDF), aimed at resuscitating the observable decline in the nation’s oil production and embracing innovative research as practiced by the developed nations.

Lokpobiri said Nigeria had played major roles in the global oil industry and Africa in particular, hence the need to sustain its position.

“Nigeria has been a big player in the oil and gas industry both in Africa and globally. For us to sustain our place globally, we need to tackle challenges and key into what is trending globally.

“My expectations at the end of this conference is for us to come up with home grown solutions to address our problems in the petroleum industry.

“Nigeria have so many problems in the industry, I believe that the conference would come up with solutions to address those challenges and also produce document that will be implementable,” he said.

Also speaking, Dr Henry Adimula Principal/Chief Executive, PTI, said the conference underscored the need to shape the destiny of Nigeria’s oil/gas industry.

Adimula added that the essence of the conference was to explore, dissect, and contribute to a future teeming with possibilities.

He acknowledged the pioneering research conducted by the PTI which had substantially influenced the discussions.

“PTI’s development of economic models for gas investment, spanning the upstream, midstream, and downstream sectors, and creation of Modified Unit Technical Cost Model for oil and gas investment, ensures precise determination of the cost to produce a standard cubic foot of gas.

“These achievements underscore PTI’s dedication to innovative and environmentally responsible hydrocarbon resource utilisation,” he said.

Adimula said its collaborative research with the Nigerian National Petroleum Corporation Research and Development Division had resulted in steps towards efficient storage system for Compressed Natural Gas (CNG) in powered tricycles.

According to him, this pioneering initiative marks a substantial stride towards sustainable energy solutions and cleaner transportation methods.

He said its strides in research and innovation also yielded results especially in securing a patent for the ‘Method of Improving the Rheological Properties of Potassium-Based Bentonite Clay’ under Nigerian Patent No NG/P/2020/200 as duly registered with the Nigerian Patents and Designs Registry.

These innovations, he said, reflected its steadfast dedication to sustainable and eco-friendly practices, serving as a testament to our unwavering commitment to pioneering research and development.

Mr Ahmed Aminu, the Executive Secretary PTDF, represented by Mrs Ifeoma Nwokike, General Manager Projects, in his address said the oil/gas sector, especially in Nigeria, was at an intersection of complex challenges and unprecedented opportunities.

According to Aminu, the industry grapples with a myriad of issues, from technological hurdles, research limitations, and the dwindling landscape of investments and finance.

The situation, he said underscored the importance of bolstering research funding and technological development to boost the sector.

“The imminent commencement of the Dangote Oil Refinery, the completion of pivotal pipeline infrastructure like the AKK, and the production initiatives at Komani oil field in Northern Nigeria, present a hopeful panorama of opportunities that can reinvigorate the industry,” he said.

In his keynote address, Dr Omar Ibrahim, the Secretary-General, African Petroleum Producers’ Organisation (APPO), identified the biggest victims of a speedy energy transition as the developing countries, especially those from Africa.

Ibrahim said the organisation had played major role in the sector by identifying three imminent challenges namely technology, expertise and markets.

“To create this future, the APPO Ministerial Council approved the recommendations of the APPO Long Term Strategy Committee to take three practical steps to address the imminent challenges,” he said.

The theme of the conference is: ‘The Future of the Oil and Gas Industry: Opportunities, Challenges and Development’. (NAN)(www.nannews.ng)

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Edited by Chinyere Joel-Nwokeoma

Uzodimma developing Imo through ISOPADEC, says Commissioner

Uzodimma developing Imo through ISOPADEC, says Commissioner

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By Victor Nwachukwu

Mr Nkenna Nzeruo, a Commissioner in Imo State Oil Producing Areas Development Commission (ISOPADEC) says Gov. Hope Uzodimma is developing Imo beyond expectations, especially in the oil producing areas.

Nzeruo said this in an interview with the News Agency of Nigeria (NAN) in Owerri, on Monday.

He said that Uzodimma’s developmental strides manifested in the three hospitals he built in Ohaji Egbema, Oguta and Oru East LGAs, equipped with the state of the art facilities.

“Gov. Uzodimma has shown that there is money in Imo State because most of the projects he is embarking on, especially these three hospitals, was part of the 13 per cent oil derivation from FG to ISOPADEC.

“Working in ISOPADEC as a commissioner under Sen. Hope Uzodimma has shown that things can change under a good administration.

“For many years that ISOPADEC had been in Imo, there had never been any monumental project that can be named after ISOPADEC, done and completed.

“But today, the governor has proven that ISOPADEC can make proper use of the funds for the good of the people.

“Those hospitals have been completed and inaugurated. There are several rehabilitation projects the governor has done in oil producing communities or local governments,” Nzeruo said.

He added that the governor has completed 61 other projects in different sectors in the 27 LGAs of the state, especially in the oil communities.

Nzeruo said Uzodimma’s administration also renovated and equipped 305 primary healthcare facilities across the 305 electoral wards of the state; supported by ambulances and mobile clinics.

He said that the governor reconstructed and equipped the Dan Anyiam stadium.

“It is remarkable that Gov. Uzodimma is able to achieve this level of infrastructural revolution in Imo within a short time in spite of the challenges of insecurity and dwindling financial resources.

“There are some primary school projects on the way in the three oil producing LGAs of Ohaji Egbema, Oguta and Oru East,” Nzeruo said.

The ISOPADEC commissioner said that Uzodimma encouraged youths to embrace agriculture and empowered them to recognise the benefits of agriculture.

He noted that about 15,000 youths have been trained in information and communication technology (ICT).

He, therefore, called on all Imo residents to come out enmass and support the governor to get his second term bid.(NAN)(www.nannews.ng)

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Edited by Chidi Opara and Emmanuel Afonne

PTI strategises on policies for cleaner energy

PTI strategises on policies for cleaner energy

299 total views today

By Emmanuella Anokam

The Petroleum Training Institute (PTI) is strategising on policies to spur industry’s growth and lay a solid foundation for transitioning into cleaner sources of energy.

Dr Henry Adimula, Principal and Chief Executive of PTI, said this while addressing newsmen on its forthcoming 3rd Biennial International Conference on Hydrocarbon Science and Technology (ICHST).

The conference is scheduled to hold in Abuja from Oct. 23 to Oct. 24, 2023 with the theme “The Future of Oil and Industry Opportunities, Challenges and Development”.

The conference, organised in collaboration with the Nigerian National Petroleum Company Limited (NNPC Ltd) Academy and RTI and African Petroleum Producers Association (APPO), would be hosted by the Petroleum Technology Development Fund (PTDF).

Adimula said apart from formulating practicable policies which the conference aimed at achieving, it also looked forward to take into considerations evolving technology needed for future development and its workforce in the course of policy implementation.

“The whole world is in a phase, transiting from our traditional source of energy to a cleaner form of energy which provides a lot of opportunities but come with challenges which we must surmount.

“The challenges are on issues of financing, government policies and regulations and how they affect our proposed match to finding a cleaner source of energy and at the same time not creating problems of energy poverty,” he said.

He said the conference which was conceived to showcase its major activities and research outcomes in Nigeria and Africa at large would also examine current issues in Nigerian energy industry and worldwide.

“By being a research hub, we look at the challenges then create a research clusters around Carbon Capture Utilisation and Storage (CCUS) to find solutions and understand problems better,” he added.

Speaking on developing technologies in modular refineries, he said PTI as a primary training institution created such to help advancement of technology in that space.

“Looking at the practice and lack of technology being used by artisanal refiners we focus on developing concepts and training refiners so that whatever they do will not adversely affect environment.

“As an institute we have built up our own but will scale it up and find ways to make it commercial. We have our templates so that it is easier to bring people in and teach them on various components of what to encounter in the field.

“What we have today are people who do not know anything about refining but go into the creeks and begin to create pipelines, cook oil.

“No, we do it differently by training and equipping the refiners with necessary skills and various components of what to encounter in the field and contribute meaningfully to the economy,” he said.

Dr Tina Isichei, Director, Research and Development, PTI said issues bordering CCUS technology and inclusion in the curriculum would be deliberated on in the conference.

This, she said would assist the trainees to understand latest things in the industry.

She disclosed that the PTI is partnering with the NNPC Ltd to come up with Compressed Natural Gas (CNG) powered Tricycle in view of the emphasis on the decade of gas and cleaner energy source.

“Discussions are on and the whole idea is to come up with one so that we could have gas to reduce amount of Premium Motor Spirit (PMS) we consume and emission going into the atmosphere,” she said.

Isichei, who explained that its modular refinery which had capacity of processing about 200 litres of crude was being used for training, added that it was looking for partners to scale it up beyond 200 litres.

The conference which will feature ministers, legislators, international and local industry players will have four panel sessions on policy and legislation, strategies for decarbonisation, finance and talents.

PTI was established to train technicians and technologists for the energy industry. (NAN)(www.nannews.ng)

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Edited by Isaac Aregbesola

NNPC Ltd appoints new spokesperson

NNPC Ltd appoints new spokesperson

317 total views today

By Emmanuella Anokam

The Nigerian National Petroleum Company Limited (NNPC Ltd) has appointed Mr Olufemi Soneye as its Chief Corporate Communications Officer.

The NNPC Ltd management said in a statement on Wednesday in Abuja Soneye would lead its Corporate Communications team and drive its brand penetration, strategic communications initiatives, and stakeholder management.

The company described Soneye, as a seasoned journalist with full-time and freelance experiences at some of the world’s most respected publications in Nigeria, Australia, and the U.S.

“He is a member of reputable bodies, including the Nigerian Union of Journalists, National Association of Black Journalists, Society of Professional Journalists, and the Guild of Corporate Online Media Publishers.

“He is the former President of the Nigerian Media Practitioners, Washington, D.C.

“We look forward to his valuable contributions to our Company,” it said. (NAN)(www.nannews.ng)

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Edited by Isaac Aregbesola

New OGFZA MD rolls out ambitious expansion plans

New OGFZA MD rolls out ambitious expansion plans

286 total views today

 

By Bukola Adewumi

The newly appointed Managing Director of Oil and Gas Free Zones Authority (OGFZA), Mr Bamanga Usman, has unveiled plans for the future growth of the agency, inline with President Tinubu’s economic agenda.

 

 

Usman made this known on Wednesday when he took over from the former MD Sen. Tijjani Kaura, in Abuja.

 

 

He said that his vision include establishment of OGFZA offices in every state of the federation regardless of their oil productibg status.

 

 

He said that the expansion initiative is aimed at providing new investment opportunities and addressing the saturation of existing zones.

 

 

The MD said that under his leadership OGFZA,  which is a key player in the oil and gas sector with focus on international clientele would introduce offshore banking services.

 

 

According to him, this is to facilitate seamless international financial transactions and solidify OGFZA’s position as a global industry leader.

 

 

“Having served as the sole OGFZA’s in West Africa and the Gulf of Guinea for over two decades, OGFZA is preparing for a transformative rebranding.

 

 

” This rebranding is strategic in nature, focusing on engaging multinational stakeholders and reflecting the authority’s global ambitions, ” Usman said.

 

 

He said that as part of the transformation, foreign investment offices would be established to enhance accessibility for potential investors and improve coordination.

 

 

According to him, the key dimensions of OGFZA’s strategic approach include efficiency and trust

 

 

He said he would elevate infrastructure to international standards and address challenges including deteriorating roads and inconsistent power supply.

 

 

He also said that his leadership would update the regulatory framework to align with industry needs and global best practices.

 

 

Usman said his leadership would focus on technology transfer, skills acquisition, and supporting local businesses in line with the Nigerian Content Act.

 

 

He said he would create an investor-friendly environment and capitalising on Nigeria’s gas reserves for refining and development.

 

 

Usman added that his tenure would prioritise the welfare of staff and foster an environment of collaboration, innovation and dedication.

 

 

He promised to engage stakeholders and implement these strategic initiatives with the support of the community, aiming for a more result-driven and efficient OGFZA

 

 

Speaking, the Outgoing MD, Oil OGFZA, Sen. Tijjani Kaura, described the task ahead of the new leadership of the agency as daunting.

 

 

Kaura called on the staff members to extend the same level of support, understanding and loyalty that they showed him during his 14-month tenure.

 

 

He said that with perseverance and energy, the new MD would overcome the challenges bedeviling the agency and succeed in leading the organisation to achieving its vision.(NAN)www.nannews.ng

edited by Benson Ezugwu/Julius Toba-Jegede

FG to increase crude oil output to 2m bpd by December

FG to increase crude oil output to 2m bpd by December

215 total views today

By Emmanuella Anokam

The Federal Government says it is targeting to increase crude oil production to two million Barrels Per Day (bdp) and beyond by the end of the year.

Mr Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil), made this known in a meeting with the Abuja Energy Correspondent Association on Friday in Abuja.

Lokpobiri said the government was working assiduously to ramp up crude oil production to two million bpd by December and beyond by the end of 2023.

“The reason why we are under-performing is insecurity and we are gradually tackling those problems.

“My sole agenda is to increase production, once we increase production, we will get more revenue for the country. You know Nigeria is still more dependent on oil.

“Though the non-oil sector is also supporting the economy, a substantial part of our forex comes from oil.

“So, my ambition is to see how I can lead the sector to increase production so that we can get more revenue to deal with the fund and strategic rationale projects in the country,” he said.

The minister said there was already an increase in production, and that as at last month it was 1.1 million barrels, while currently it had increased to 1.3 – 1.4 million barrels.

“I get the reports from relevant authorities. Today, we are doing about 1.4 million barrels of crude. So, we are steadily increasing but our target is to see how we can get to two million barrels,” he said.

Lokpobiri, while urging relevant stakeholders to put hands on deck to tackle challenges in the sector said he had been interacting with some of them, including the International Oil Companies and local producers.

He noted that the engagement with them was already yielding results.

“We have identified where the problem is, and where we are getting the shortfall and we are already engaging them within the next few weeks, we will be able to give you how far we have gone in that direction.

He said some of the solutions might not be immediate but once identified there would be provision of a good framework to address those problems.

He said the government was bent on rebuilding the confidence of investors and rekindling the industry to become more competitive.

Earlier, the President of the association, Mr Victor Nnodim, had reiterated the association’s readiness for collaboration and sought the minister’s support in driving his developmental agenda and moving the industry forward. (NAN)(www.nannews.ng)

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Edited by Chinyere Joel-Nwokeoma

NUPRC constitutes committee to address inactive oil blocks

NUPRC constitutes committee to address inactive oil blocks

209 total views today

By Emmanuella Anokam

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has constituted a committee to address issues bordering on inactive crude oil blocks in order to reverse the trend.

Dr Kelechi Ofoegbu, Executive Commissioner, Economic Regulation and Strategic Planning, NUPRC, made this known at its Consultation Forum on Friday in Abuja.

The committee, he said would adopt holistic measures to reverse trend of the 23 failed oil blocks being managed by oil companies under the Production Sharing Contracts (PSC) with Nigerian National Petroleum Company (NNPC) Limited.

Ofoegbu spoke to newsmen at the end of the 4th Phase of its Consultation Forum with Stakeholders on regulations development, as mandated by Section 216 (4)(g) of the Petroleum Industry Act (PIA).

It would be recalled that latest Oil and Gas Industry Report for 2021 released by the Nigeria Extractive Industries Transparency Initiative (NEITI) revealed that 23 oil blocks managed by both international and local oil companies under crude oil PSC with NNPC Ltd., failed to produce crude or were inactive.

PSC is an arrangement or contract where the contracted oil company undertakes to fund operations to explore, develop and produce petroleum within a concession area, under an Oil Prospecting Licence and for an agreed number of years.

“The percentage is correct but there are reasons behind that and also well known to us and also to the operators.

“The committee, which includes the NNPC Ltd., will look at it holistically and come out with measures that will reverse that trend.

“So there are measures such as tackling crude theft, attracting further investments and all of that,” he said.

Speaking on the sector’s overarching mandate, he said that Nigeria was initially producing 1.2 million Barrels Per Day, adding that the aim was to exit 2023 with 2 million barrels and in the mid to short term to do 4 million barrels.

“We are going to rely on the production from every available acreage.

“The PIA in section 216 required that prior to bringing into existence any regulations, we should seek the opinions of, consult and engage with the stakeholders,” he added

He said in keeping compliance with that provision, the NUPRC had been convening stakeholders while the forum was the fourth edition with stakeholders.

“We looked at the draft Assignment Regulations, Assignment Regulations, Vocation Regulations, Development Contract Regulations and today, we are looking at the Commercial Regulations.

“The aim of the consultation is basically to have support for what we are proposing and to also enrich the document and the process and ensure the outcome will stand the test of time.”

According to him, the finalised draft will be sent to the ministry of Justice for ratification and approval.

He said the aim also was to improve commercial efficiency, reduce cost of production and promote profitability and ease of doing business. 9NAN)(www.nannews.ng)

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Edited by Sadiya Hamza

Minister inspects AKK gas pipeline project, tasks contractor on completion

Minister inspects AKK gas pipeline project, tasks contractor on completion

245 total views today

By Emmanuella Anokam

The Federal Government has directed the contractor handling the Ajaokuta-Kaduna-Kano (AKK) Natural Gas Pipeline Project to ensure completion and deliver the project on time.

Mr Ekperikpe Ekpo, Minister of State for Petroleum Resources (Gas), gave the charge on Thursday while inspecting the AKK project sites in PAI community, situated between Gwagwalada and Kwali Area Councils of Abuja.

Ekpo inspected the progress of Horizontal Directional Drilling (HDD) of the PAI River Crossing being executed by Oilserv Limited, one of the three major River Crossing work which advanced in stage and approaching the final stage of completion.

The AKK pipeline is a 614km-long natural gas pipeline being developed by the Nigerian National Petroleum Company Limited (NNPC Ltd) to run from Ajaokuta, through Abuja-Kaduna to Kano.

Ekpo was accompanied in the visit by Mr Farouk Ahmed, Authority Chief Executive, Nigeria Midstream and Downstream Petroleum Regulatory Authority, top officials of the NNPC Ltd and the project contractor, Oilserv Limited, Pipelines and Facilities (EPCIC), among others.

The Minister said with more than 200 Trillion Cubic Feet (TCF) of proven gas reserves and unproven reserves amounting to 600 TCF in the deep sea and other areas in the country the AKK project was critical to be delivered on schedule.

“So far; I am impressed with what has been done, and the contractor has assured me that by July and August 2024 the project will be completed.

“And when completed, many ailing industries will come to limelight, there will be efficient power supply, availability of Compressed Natural Gas (CNG) for vehicles, and Liquefied Petroleum Gas (LPG) for cooking, eradicating biomass (charcoal) while industries would equally come up.

“Today the global world is talking about gas and we have it in abundance, the reserve is enough to take us for next hundred years and service other nations. Nigeria should actually be the hub of gas resources.

“The prosperity of Nigeria depends on this very project. When completed, power plants in Abuja, Kaduna and Kano will be put into use guaranteeing energy security in long term with boost in investment.

“So we hold the contractor responsible for any slow rate of development. You are given the job on trust and there are bound to be challenges. The way you have been summounting challenges in other locations, apply it here, we will support you to complete it on schedule,” Ekpo said.

While appreciating NNPC Ltd and management on its efforts, Ekpo assured Nigerians to be patient with President Bola Tinubu, adding that the government was doing everything possible to mitigate hardship.

The Group Chief Executive Officer, NNPC Ltd, Malam Mele Kyari, said reiterated its commitment towards the delivery of strategic national infrastructure projects through responsive project delivery, active collaboration with security agencies and communities.

Kyari, represented by Mr Olalekan Ogunleye, Executive Vice President, Gas, Power and New Energy, NNPC Ltd, said it was focused on technology deployment in form of Human and Technical Intelligence for surveillance along the entire Right of Way to realise timely delivery of the project for the benefit of Nigerians.

He described the project as a major economic trigger of the nation assuring that the NNPC Ltd would continue to take right steps to ensure that facilities and resources required were deployed for its realisation.

Also speaking, Oilserv Chairman, Mr Emeka Okwuosa, gave assurance that the project would be completed between July and August 2024.

He said the site visited was peculiar because of its river crossing, adding that it would also deployed Direct Pipe Installation Technology to cross River Niger.

Okwuosa said the company was working hard to mitigate challenges to enable it to deliver the project.

He listed the challenges as river crossing, rock blasting, drilling and security, stressing that it would continue to work closely with the NNPC Ltd to ensure timely delivery of the project.

“We are also working with the NNPC Ltd to see how we can do night operations here to hasten the project by doubling the speed but we are only limited with day time operations.

“Some pipes are existing in the right of way example crude oil line to Kaduna refinery so we are careful not to damage anything. We are optimistic that by next year the linear section that will deliver gas will be done with,” he said.

The 2.5 billion dollars AKK Gas Pipeline and Stations Project is a flagship of the Phase -1 Trans Nigeria Gas Pipeline (TNGP) project.

It is designed to integrate the northern part of Nigeria with the Niger Delta, eastern and western regions of the country. (NAN)(www.nannews.ng)

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Edited by Rabiu Sani-Ali

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