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NLNG Remits $6.5bn To FG …Spends $120m On Bonny-Bodo Road

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The Nigerian Liquefied Natural Gas (NLNG) has remitted more than $6.5 billion in taxes to Federal Inland Revenue Service (FIRS) since 2009.
Managing Director of NLNG, Mr Tony Attah said at the investigative hearing into the proposed sale of the company held by the House of Representatives Committee on Gas Resources in Abuja.
The hearing was on the need to investigate contract for modification of Escravos Gas Project (EGP) 3B production platform, following the joint ventures agreement between the Nigerian National Petroleum Corporation and Chevron Nigeria Limited.
It is also on the investigation into the contract for the upgrade of OML 58 Upgrade 1 and the building of Obote/Ubeta/Rumuji pipeline.
According to him, since the NLNG became a tax-paying company its contributions are helping to build a better Nigeria even though it does more than financial contribution.
“As a result of Nigeria LNG being in existence, we have helped to reduce gas flaring by more than 65 per cent and will continue to work with our upstream suppliers to mop-up more.
“This is because we produce the opportunity as the biggest gas sink for whatever gas is provided in the country. We have the capacity to receive that gas but I think by far the biggest opportunity is in Nigeria’s brand and reputation.
“Before NLNG, Nigeria was actually No. 2 on the undesired league of gas flaring nations in the world.
“But today, we are No. 7 ahead of other countries such as United States, I mean, United States is flaring more than Nigeria,” Attah said.
He added that the company was spending about $120million on the construction of Bonny-Bono Road which will connect Bonny to Port Harcourt, slated for completion within 40 months.
On the development plans of the company, Attah unveiled the company’s plan to embark on $6billion capacity development project for the Train 7, which had potential of creating 12,000 new jobs in the Niger Delta region.
“The big deal for us in Nigeria LNG is growing capacity. Currently, we have six Trains with 22 million tonnes per annum capacity which is 7 per cent of global market share of LNG.
“We want to grow back to the 10 per cent which was what it was before. So, we want to grow by about 35 per cent capacity before Australia.
“We want to grow by about 355 capacity, that will come via Train 7 project for which we have commenced the engineering design and we are looking forward to taking a final investment decision not too long.’’
He also said NLNG had remitted more than $100billion as revenue to the coffers of Federal Government and other equity holders in the company.
According to Attah, Federal Government through Nigerian National Petroleum Corporation (NNPC) which owned 49 per cent equity got more than $15billion dividends.
He said that this positioned the company as the singular highest tax paying company in Nigeria and indeed Africa.
Attah added that other shareholders such as Shell Gas BV owned 25.6 per cent, Total owned 15 per cent while ENI International owned 10.4 per cent.
On the company’s efforts towards reducing gas flaring in the country, Attah said that a lot of its contributions to the country is monetary, adding that more than $100billion revenue and about $15billion dividends had gone to the Federal Government directly.
Contributing, House of Representatives member, Hon Randoff Brown (PDP-Rivers) noted that NLNG was the most significant arrow-head of the Federal Government’s quest to eliminate gas flaring and derives value from the country’s 187 trillion cubic feet of proven gas reserves.
“NLNG has covered about 119 bcm (million standard cubic metres) or 4.2tcf (trillion cubic feet) of associated gas to export as LNG and natural gas liquids thus helping to reduce gas flaring by upstream companies from over 60 per cent to less than 25 per cent.
“NLNG mops up gas that would otherwise be flared, thus making significant contributions to the nation’s income, delivering in the last 13 years over $13billion on gas purchases from oil producing companies, of which the Federal Government of Nigeria owns 55 per cent – 60 per cent CIT and other taxes,” he said.
Also speaking, Rep. Diri Douye (PDP-Bayelsa), who sponsored the motion on the need to investigate the contract for the modification of the EGP 3B Production platform following the joint venture agreement between Federal Government, NNPC and Chevron Nigeria Limited, frowned at the delay in the completion of the project.
According to him, modification work on all the seven platforms was meant to have been completed by April 31, 2013, at the rate of $64,179,198 but it was eventually concluded in 2016 at a reviewed cost of $192.7million.
“The implication being that, whereas, it was awarded the contract on the basis of being the lowest bid it eventually became the highest bid.
“It is also alleged that Prime Source Limited (PSL) was poorly resourced in manpower, logistics, equipment and funding to undertake a job of such description.
“It is also instructive to note that PSL bid for the contract alongside a consortium, i.e Prime Source-Hensteel SOMECO, however, the contract was solely awarded in the name of PSL,’’ he said.
While ruling, chairman, House Committee on Gas Resources, Rep. Frederick Agbedi, tasked the company on the need to replicate its model for the country to take its rightful position in the global market and the implementation of developmental projects.
“We join the elders of the Niger Delta, and we are not in support of any contemplation to sell off NLNG.
“The shares held by NNPC on behalf of the country, the people of Nigeria have vested interests in the company, so they are not shares that any government can take in whatever guise.
“You don’t play politics with such investment even if that is the only revenue we can rely on as a nation.
“On that note, the committee will step down the motion for the committee’s consideration. On the other two motions, we are frustrated by the position of the NNPC,” Agbedi said.
Agbedi then expressed concern over the absence of the NNPC Group Managing Director, Dr Maikanti Baru, at the hearing.
The committee, however, resolved to adjourn sine die, till the NNPC helmsman appears in person to respond to queries on the $114.580million variation on the modification of the EGP 3B Production platform.

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FG Targets Production Of Locally Made Vehicles By Dec

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The Minister of Industry, Trade and Investment, Dr Doris Uzoka-Anite, has affirmed that Nigeria now has the capacity and materials to manufacture Made-In-Nigeria cars for local use and export.
With the enabling environment being provided by the government, she said manufacturers should be held responsible if the cars are not rolling out by December 2024.
Currently, Nigeria produces less than 10 per cent of the vehicles used in the country.
Last year, Nigeria’s vehicle assembling industry, estimated to be worth around N302billion, tanked to a new low due to increasing production costs and weakened demand for locally assembled automobiles.
According to the Manufacturers CEOs Confidence Index, activities of motor vehicles and miscellaneous assembly deteriorated further below the benchmark (50 points) from 48.6 to 46.7 points.
But speaking at the Automotive Component Manufacturers meeting in Abuja, she noted that the automobile industry is faced with both challenges and opportunities.
A statement issued last Friday by the Director of Information and Public Relations, Adebayo Thomas, said, “In a significant move aimed at fostering sustainable growth and development in Nigeria’s automobile industry, the Federal Government has issued a clarion call to all stakeholders, including manufacturers, dealers, regulatory bodies, and other players in the automobile ecosystem.
“The call comes as part of a broader strategy to enhance the sector’s contribution to the nation’s economy.”
Encouraging the stakeholders to key into the Nigerian Automotive Development Policy, the Minister said, “As far as we are concerned, the auto industry is now set to go.
“We are counting on all stakeholders to make that happen. If we do not produce made-in-Nigeria cars before the end of this year (December), it will be your fault, because I am sitting down here giving you all the assurances that this administration has created the enabling environment to make sure that the auto policy kicks off.”
Anite emphasised the need for collaboration among manufacturers, dealers, regulatory bodies, and other players in the automobile ecosystem, saying by working together, they can address challenges, streamline processes, and drive innovation.
She also urged stakeholders to maintain high-quality standards across the board, including vehicle manufacturing, safety features, emissions control, and after-sales services.
Stringent adherence to quality, she said, will boost consumer confidence and attract investment.
The minister assured all that the government would continue to encourage increased investment in research and development, adding that, innovations in electric vehicles, fuel efficiency, and alternative energy sources are critical for long-term sustainability.
On local content, she also emphasised the importance of promoting local content by sourcing materials and components locally.
By doing this, she said, the sector can create jobs, reduce import dependency, and contribute to economic diversification
In his introductory comments, the ministry’s Permanent Secretary, Nura Rimi, emphasised the significance of team action and shared vision as outlined in the Nigerian Automotive Development Policy.
He also urged stakeholders that the country “will overcome obstacles and unleash the full potential of Nigeria’s automotive component sector.”
He encouraged NADDC and other stakeholders to use the chance to form alliances, explore new areas of collaboration, and devise ways to catapult the automotive components manufacturing industry to new heights of success.
The statement added, “The government’s charge underscores the pivotal role stakeholders play in shaping its trajectory. Their commitment to sustainable practices will drive Nigeria’s automotive sector towards a brighter and more prosperous future.
“Environmental Responsibility: Stakeholders are reminded of their environmental responsibilities. Sustainable practices, recycling, and eco-friendly manufacturing processes are essential for a greener future.”

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Waive Tax On Electronic Imports, Women Engineers Appeal To Tinubu

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The Association of Professional Women Engineers of Nigeria (APWEN), Lagos Chapter, has called on President Bola Tinubu to exempt the importation of electronic components from taxation for inventive engineers.
Chairman of APWEN, Ms Atinuke Owolabi, said this a in statement yesterday in Lagos, in commenration of the 2024 World Creativity and Innovation Day, with the theme: “Step Out and Innovate”.
The Tide source reports that World Creativity and Innovation Day is a global UN Day, celebrated on April 21, to raise awareness about the importance of creativity and innovation in problem solving.
This is with respect to advancing the United Nations’ sustainable development goals, also known as the global goal.
Owolabi explained that such a measure would significantly enhance technological progress, support local innovators, and elevate Nigeria as a leading hub for innovation globally.
She stated that in a world marked by dynamic challenges and unprecedented opportunities, creativity and innovation stand as the driving forces behind progress and transformation.
According to her, women engineers recognise the critical role that innovation plays in shaping our societies and driving sustainable development.
”On this occasion, we affirm our commitment to fostering a culture of creativity and innovation within our organisation and the broader engineering community.
”Together, let us step out, innovate, and inspire the next generation of women engineers to reach even greater heights of achievement and impact.
”We believe that by stepping out of our comfort zones and embracing new ideas, technologies, and approaches, we can unlock innovative solutions to the complex challenges facing our world today,” she said.
According to her, the theme: ‘step out and innovate’, serves as a call to action for women engineers everywhere to break barriers, challenge conventions.
She noted that it would also pioneer groundbreaking solutions that would propel them toward a brighter and more sustainable future.
Owolabi disclosed that in celebration of the World Creativity Day, APWEN Lagos had inaugurated an artificial intelligence club tailored for female engineering students and young engineers.
She said that the proactive initiative aimed to inspire and equip young engineers with cutting-edge technological insights.
Th chairman said, “Additionally, we already have a 200-capacity hall to set up a resource, technology, and innovation hub to empower women and girls in engineering.
”This endeavour serves as a catalyst for encouraging aspiring female engineers to embrace innovation and stay abreast of emerging trends in the field.
”APWEN Lagos stands united in its dedication to promoting diversity, inclusivity, and excellence in engineering.
“We encourage all female engineers to seize this opportunity to unleash their creativity, explore new frontiers, and make an indelible mark on the world.”

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Pan-Igbo Group Hails Dangote Group For Reducing Diesel Price

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A pan-Igbo group, Ndigbo Unity Forum (NUF), has commended the Chairman of the Dangote Group, Alhaji Aliko Dangote, and his management for reducing the price of diesel from N1,600 to N,1000 per litre.
The Tide’s source reports that diesel is the major fuel used by heavy duty vehicles and generating sets to transport goods as well as run industries across the country.
The President of NUF, Mr Augustine Chukwudum, told The Tide’s source in Enugu, yesterday, that Dangote’s timely response to suffering masses of Nigerians, going through hell to get a meal a day, “is highly commendable”.
According to Chukwudum, Nigerians need to appreciate the patriotism of Dangote since what he has done will go a long way in reducing prices of goods, especially food stuff which has gone out of the reach of the poor.
He called on Nigerians, who wish and pray always for the betterment of the country, to appreciate and thank God for answering their prayer through Dangote’s move.
“It is clear that if Dangote Refinery starts fully and gets all the crude oil needed from Nigeria, the prices of petrol, kerosene and diesel will further reduce.
“We commend President Bola Tinubu for being a listening President and supporting the Dangote Group on our crude oil needs.
“We appeal to Tinubu to encourage Dangote by providing the company with crude oil at a reduced rate as we have been demanding,” he said.
Chukwudum said that this move and subsequent further reduction, would bring industries in comatose back to life, jobs created for unemployed youths and reduction in crime as well.
“We call on governors of oil-producing Anambra, Imo and Abia States to bring investors, who shall build refineries in each of the states to refine thousands of barrels of crude in commercial quantities,” he said.

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