Oil & Energy

Monarch Urges RSG To Electrify Rural Communities

Published

15 years ago

February 21, 2011

The Rivers State Government has been charged to provide electricity supply to more rural communities in the state as a means of driving sustainable development and economic viability of the state.

Making the challenge during a skills acquisition graduation ceremony organized for 20 youth from the area by AMNI International Petroleum Development Company Limited in Port Harcourt last Wednesday, His Royal Highness, N.L.A. Iraron Ede-Obolo 11, said the government needs to open up the rural communities through vigorous electrification to avail entrepreneurs, small scale business owners, and investors to provide business opportunities, create employment windows and increase the revenue profile of the rural areas and the state.

The traditional ruler noted that with that strategic step, the government would decongest Port Harcourt and its environs, and create the enabling environment for businesses to thrive in the rural communities, thereby bring more revenue to the wealth basket of the state.

He advised the graduands to make effective use of the various starter packs, which include computers and accessories, welding machines and accessories, driers and hairdressing accessories, electrical tools, among others, acquired for them by AMNI, stressing that posterity will not forgive the beneficiaries if the facilities are sold.

The monarch said that not putting the facilities into useful business activities would deny them the opportunity to contribute to the socio-economic development of the state as well as deprive the communities the benefit from the huge investment by the company.

Speaking, a Director in the state Ministry of Chieftaincy and Community Affairs, Mr Chukwu Enyindah lauded AMNI and Andoni communities for the cordial relationship that has existed between them, saying that the result of that peaceful atmosphere is the training and empowerment of Andoni youths in skills necessary to sustain them and their families in future.

Enyindah, who represented the commissioner for chieftaincy and community affairs, advised the communities and their youth to maintain the good working relationship in other to attract more development opportunities and investments into the area, noting that government was ready more than ever before, to partner with peaceful communities for the development of the state.

In his remarks, a representative of chairman, Andoni Local Government Area, Prince Abiante Ekereawaji, urged AMNI to up the skills acquisition quota from 20 to 30 in subsequent exercises to create room for more youth to participate, while at the same time pleading with the company to pay taxes to the Andoni Local Government Council since it operates in the area.

Earlier, general manager, external operations, said the skill acquisition initiative has so far trained 60 persons from the area since 2009, saying that this third batch of 20 persons have been fully trained to run their own businesses and employ others to reduce the unemployment situation in the state.

The assistant general manager, operations, who was represented by Mohammed Bello Jambako, added that the training programme was part of the implementation of the Memorandum of Understanding (MoU) between Andoni and AMNI, which according to him, has been followed to the letter, restating the commitment of the company to review the MoU in 2012 as provided for.

According to the company, 30 Andoni youth have so far benefitted from its secondary school scholarship scheme, which runs for seven years, stressing that apart from the scholarship initiative, indigenes of the four clans in Andoni were also direct beneficiaries of the various contracts awards, human capacity development programmes, and other economic empowerment initiatives as a means of keeping faith with the company’s corporate social responsibilities.

Responding on behalf of the beneficiaries, Philip Uranta noted that AMNI has not experienced any attacks or facility vandalisation in the area because it was meeting its obligations to the local people, and thanked the company for providing a source of livelihood for the youths of Andoni.

Festus Awajiokwan

Oil & Energy

TotalEnergies, Conoil Sign Deal To Boost Oil Production

Published

1 week ago

November 24, 2025

The Tide

TotalEnergies has signed agreements with Conoil Producing Limited under which to acquire from Conoil a 50 per cent interest in Oil Processing Licence (OPL) 257, a deep-water offshore oil block in Nigeria.

The deal entails Conoil also acquiring a 40 per cent participating interest held by TotalEnergies in Oil Minining Lease (OML) 136, both located offshore Nigeria.

Upon completion of this transaction, TotalEnergies’ interest in OPL257 would be increased from 40 per cent to 90 per cent, while Conoil will retain a 10% interest in this block.

Covering an area of around 370 square kilometres, OPL 257 is located 150 kilometers offshore from the coast of Nigeria. “This block is adjacent to PPL 261, where TotalEnergies (24%) and its partners discovered in 2005 the Egina South field, which extends into OPL257.

Senior Vice-President Africa, Exploration & Production at TotalEnergies, Mike Sangster, said “An appraisal well of Egina South is planned to be drilled in 2026 on OPL257 side, and the field is expected to be developed as a tie-back to the Egina FPSO, located approximately 30 km away.

“This transaction, built on our longstanding partnership with Conoil, will enable TotalEnergies to proceed with the appraisal of the Egina South discovery, an attractive tie-back opportunity for Egina FPSO.

“This fits perfectly with our strategy to leverage existing production facilities to profitably develop additional resources and to focus on our operated gas and offshore oil assets in Nigeria”.

Oil & Energy

“COP30: FG, Brazil Partner On Carbon Emissions Reduction

Published

1 week ago

November 24, 2025

The Tide

The Federal Government and Brazil have deepened collaboration on climate action, focusing on sustainable agriculture, renewable energy, and the reduction of black carbon emissions.

The partnership is anchored in South-South cooperation through the Brazil-Nigeria Strategic Dialogue Mechanism, which facilitates the exchange of ideas, technology, and policy alignment within the global climate framework, particularly the Paris Agreement.

The Executive Secretary, Amazon Interstates Consortium, Marcello Brito, made the disclosure during an interview with newsmen, in Abuja, on the sidelines of the 2025 COP30 United Nations Climate Change Conference, held in Belem, Brazil.

Brito emphasized that both nations are committed to global efforts aimed at curbing black carbon emissions, a critical component of climate mitigation strategies.

“Nigeria and Brazil are collaborating on climate change remedies primarily through the Green Imperative Project (GIP) for sustainable agriculture, and by working together on renewable energy transition and climate finance mobilisation,” Brito said.

“These efforts are part of a broader strategic partnership aimed at fostering sustainable development and inclusive growth between the two Global South nations,” Brito added.

TheTide gathered that President Bola Ahmed Tinubu announced an ambitious plan to mobilize up to $3 billion annually in climate finance, through its National Carbon Market Framework and Climate Change Fund, positioning itself as a leader in nature-positive investment across the Global South.

Represented by the Vice President, Senator Kashim Shettima, Tinubu made the announcement during a high-level thematic session of the conference titled ‘Climate and Nature: Forests and Oceans’

Tinubu stressed that Nigeria’s climate strategy is rooted in restoring balance between nature, development, and economic resilience.

Hosted in the heart of the Amazon, on November 10—21, the 30th COP30 conference brought together the international community to discuss key climate issues, focusing on implementing the Paris Agreement, reviewing nationally determined contributions (NDCs), and advancing goals for energy transition, climate finance, forest conservation, and adaptation.

Oil & Energy

DisCo Debts, Major Barrier To New Grid Projects In Nigeria ……. Stakeholders

Published

1 week ago

November 24, 2025

The Tide

Energy industry leaders and lenders have raised concerns that the high-risk legacy debts of Distribution Companies (DisCos) and unclear regulatory frameworks are significant barriers to the financing and development of new grid-connected power projects in Nigeria.

The consensus among financiers and power sector executives is that addressing legacy DisCo debt, improving contractual transparency, and streamlining regulatory frameworks are critical to unlocking private investment in Nigeria’s power infrastructure.

Speaking in the context of new grid-connected power plants, during panel sessions at the just concluded Lagos Chamber of Commerce and Industry (LCCI) Power Conference, Senior Vice President at Stanbic IBTC Infrastructure Fund, Jumoke Ayo-Famisa, explained the cautious approach lenders take when evaluating embedded or grid-scale power projects.

Ayo-Famisa who emphasized the critical importance of clarity around off-takers and contract structures said “If someone approaches us today with an embedded power project, the first question is always: Who is the off-taker? Who are you signing the contract with?” . “In Lagos State, for example, there is Eko Electricity and Excel Distribution Company Limited. Knowing this is important,” she said.

She highlighted the nuances in contract types, whether the developer is responsible just for generation or for the full chain, including distribution and collection.

“Collection is very important because you would be wondering, ‘is the cash going to be commingled with whatever is happening at the major DISCO level, is it ring-fenced, what is the cash flow waterfall,” she stated.

Ayo-Famisa pointed out that the major stumbling block remains the “high leverage in the books of the legacy DisCos.” Incoming project financiers want to be confident that their cash flows won’t be exposed to the financial risks of these indebted entities. This makes clarity on contractual relationships and cash flow mechanisms a top priority.

Noting that tariff clarity also remains a challenge, Ayo-Famisa said “Some states have come out to clearly say that there is no subsidy; some are saying they are exploring solutions for the lower income segments. So, the clarity would be on who is responsible for the tariff, is this sponsored?, Can they change tariffs?, In terms of if their cost rises, they can pass it on, or they have to wait for the regulator.

“Unlike, what you find in the willing seller-willing buyer, where they negotiate and agree on their prices. Now they are going into grid, there is Band A, Band B, if my power goes into, say, Ikeja Electric, or I have a contract with them, “am I commingled with whatever is happening across their multiple bands?”

Also speaking, Group Managing Director and CEO of West Power & Gas Limited, Wola Joseph Condotti, stressed the dual-edged nature of decentralization in the power sector.

“Of course, decentralization brings us closer to the people as the jurisdiction is now clear. You also know that your tariff would be reflective of the type of people living in that environment. You cannot take the Lagos tariff to Zamfara, and this is what has been happening before now in the power sector. So, decentralization brings about a more customized solution to issues you find on the ground.

“Some of the issues I see are those that bother on capacity. It was a centrally run system that had 11 DISCOs. Of the 11 DISCOs, I think there are 3 or 4 of us today that are surviving or alive, if I may put it that way. If you go to electricity generation companies, they are doing much better,” she said.

Condotti highlighted regulatory overlaps as another complication, especially when power generation or distribution crosses state lines.

She said, “Investors would definitely have a problem. Say if you have a plant in Ogun State supplying power to another state, say Lagos State; you are automatically regulated by NERC. But the truth is that the state regulator of Ogun State and Lagos State wants you to comply with certain regulatory standards.”

With the growing demand for reliable electricity and an urgent need for infrastructure expansion, the ability to navigate these complex financial and regulatory landscapes would determine the pace at which new grid-connected power projects can be developed.