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FG Launches NUCOP To Crash Crude Production Cost, Boost Competitiveness

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Efforts to achieve the $10/barrel crude production target deepened, yesterday, as the Federal Government officially launched the Nigerian Upstream Cost Optimisation Programme (NUCOP).

Speaking at the launch, the Minister of State, Petroleum Resources, Chief Timipre Sylva, said that the aim of the new initiative was to boost industry collaboration and process enhancement.

According to him, of all the nine priority areas given to the ministry as its operational mandate, reduction of crude oil extraction cost remains pivotal.

He said that the ministry has since identified some initiatives to tackle the challenges stacking against lower production cost, adding that the cost in Nigeria was exceptionally high compared to other oil-producing nations like Iran and Saudi Arabia.

Sylva added that high cost would rob the country its desire to attract investments and remain globally competitive.

He added that capital expenditure, operational cost, policy-related elements, weak collaboration, capacity and capability issues, facility reliability, single sourcing syndrome, high magnitude of crude loss, multiplicity of tariff, among others, are issues that need to be urgently tackled.

“Members of the NUCOP are officials of the Petroleum Ministry, DPR, NCDMB, PETAN, NNPC, among others”, he said.

“They’ve found short and medium-term solutions. Average total cost is now below $30/barrel for JV contract and less than $20 for PSC. We need to do more. Engagement should reach a consensus on cost reduction.

“We are making a case for shared services. Our target is 3mpd daily production and 40 billion barrels reserves”.

Sylva assured the gathering that the executive arm of government was on the same page with the legislature to pass the Petroleum Industry Bill (PIB) this year.

“We want to position Nigeria as the best designation for investment in the hydrocarbon sector. The benefits of NUCOP are many. It includes; reducing the contracting cycle to three months or less, prompting efficiency, profitability and competitiveness. Its success is dependent on collaboration of stakeholders”, he added.

In his remarks, the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mr Mele Kyari, said Nigeria must pull down production cost, describing it as a self interest pursuit.

“There’s a global energy transition. Less cost-efficient companies cannot survive today. $50/barrel production cost cannot survive. There are issues around synergy that we’ve not achieved.

“There are issues of security. Many companies are hiring their own armies and we can’t continue like that. Issues of taxes and others have to be addressed. Our practices must change so that service providers can deliver.

“So, we can achieve economic growth and our partners can derive benefits. It’s not CSR but pure business. We must have the best of fiscal environment and policies so that cost of operation can come down and our target is at least $10/barrel.

“If we do these, tax benefits will increase and profit margin will increase. This is a task that must be done. This partnership will help the country. Crude has hit the $60 and it comes with a product price increase. We are trying to keep the country wet. We are engaging with labour. No provision for subsidy in the budget”, the NNPC boss explained.

In his remarks, the Chairman, Senate Committee, Upstream, Albert Bassey Akpan, said there was a need to take a second look at production cost for Nigeria to remain competitive.

“We must pay attention to the passage of PIB and pass it before the end of 2021. We need to look at tax structure and security issues. There is need for relevant stakeholders to harmonize their logistics structure”, he said

Also commenting, the Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Mr Simbi Wabote, said that the discussion on cost reduction was long overdue.

He assured of the board’s support and collaboration towards achieving the target.

“Cost reduction comes with some pain and what’s important is how the business will survive to sustain jobs. Local content is a panacea for cost reduction. There is massive cost savings when Nigerians run the business unlike when expatriates flood the business”, he noted.

For the President of the Petroleum and Natural Gas Workers Senior Staff Association of Nigeria (PENGASSAN), Comrade Festus Usifo, he urged the gathering to look at expatriates’ costs as many of them are earning fat pay doing jobs capable Nigerians should handle.

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Kwara Community Residents Flee Over Persistent Bandits’ Attacks

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Residents of Omugo Community in Ifelodun Local Government Area of Kwara State have deserted their homes due to persistent bandit attacks.
The Tide’s source reports that the once lively community has turned into a ghost town with only a few domestic animals left.
Reports indicate that the recent bandits’ attack on the Omugo ECWA Church via Oro-Ago, led to the abduction of eight worshippers including the wife of the pastor in charge.
Three persons escaped out of the eight abductees with a N1billion ransom placed on the remaining victims in captivity. The community could only gather N1million which was rejected by the bandits.
Last week, the armed bandits invaded Oro-Ago community, killed one vigilante man identified as Baba Ibeji and injured his younger brother known as Ajere.
A Point of Sales, PoS, shop directly opposite the Nigeria Security and Civil Defense Corps, NSCDC, Divisional office, was broken into by the bandits.
The gunmen also attacked the NSCDC office and sprayed bullets on the facility, though no casualty was recorded.
In earlier attacks on Oro-Ago environs, armed bandits ambushed a convoy between Oro-Ago and Oke-Ayan in Ilere district of Ifelodun Local Government Area and killed two local hunters on escort duty.
On Saturday, there was tension in Oro-Ago following a security alert that armed bandits were regrouping to launch fresh attacks on the community.
All security formations were, however, placed on ‘Red Alert’ to forestall the planned attack.

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Acting Provost Dismisses Alleged Missing Equipment Claims at Rivers Health College

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The Acting Provost of the Rivers State College of Health Science and Management Technology, Dr. (Mrs.) Peace Chigozirim Amadi has refuted claims circulating in the media suggesting that laboratory equipment went missing from the college.

In a recent statement, Dr. Amadi described the reports—particularly those attributed to certain publications—as false and misleading. She emphasized that all laboratory equipment at the college remain intact.

“I am here to set the record straight. No laboratory equipment disappeared from my college. Nothing is missing,” Dr. Amadi said, challenging anyone with contrary claims to provide evidence, including the names of the equipment and their supposed locations.

She further noted that the college recently underwent an accreditation exercise, during which significant investments were made in laboratory equipment. According to Dr. Amadi, these items are fully accounted for, and the college maintains a robust security system to protect its assets.

“Everything is intact. Nothing disappeared. The information being circulated is false and should be discarded,” she reiterated.

Beyond addressing the allegations, Dr. Amadi also called on media practitioners to exercise professionalism and verify stories before publication. “I want to plead with journalists to always verify their stories. Junk journalism does not help anyone. No matter the information you receive, it is important to hear the other side before publishing,” she said.

While social media posts have occasionally raised concerns about various issues in the region’s health education sector, including extortion and examination malpractice at related institutions, there is no independent evidence from credible news sources confirming that equipment went missing from Rivers State College of Health Science and Management Technology.

The college, a public tertiary institution based in Port Harcourt, Rivers State, is accredited to offer a variety of health-related programs, including Nursing, Midwifery, Laboratory Technology, and Environmental Health. It has consistently emphasized integrity, safety, and transparency in its operations.

Dr. Amadi’s statement seeks to reassure the public, students, and stakeholders that the college remains secure, well-managed, and free from the alleged equipment losses, while urging journalists to prioritize accuracy in reporting.

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HYPREP Reaffirms Commitment to Safe Water Supply In Ogoni

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As the world commemorates World Water Day, the Hydrocarbon Pollution Remediation Project (HYPREP) has reaffirmed its commitment to providing potable water across Ogoni communities, in line with the recommendations of the United Nations Environment Programme (UNEP) Report on the Ogoni Environment.

In a statement issued by its Project Coordinator, Nenibarini Zabbey, on March 22, 2026, HYPREP noted that this year’s theme, “Water and Gender,” alongside the campaign slogan, “Where Water Flows, Equity Grows,” underscores its resolve to extend potable water supply beyond oil-impacted communities to all Ogoni communities.

Zabbey emphasized that access to clean water is a fundamental human right, adding that HYPREP remains committed to ensuring inclusive and equitable water access across the region.

He disclosed that the agency has successfully provided potable water to over 43 communities in Ogoni, while ongoing Phase 3 water projects are expected to benefit an additional 17 communities. He also highlighted steady progress on windmill-powered water projects in less populated areas, particularly in Khana Local Government Area.

According to him, the K-Dere Water Project, which is over 99 percent complete, will be commissioned in the coming weeks, even as work continues on other water schemes across Ogoni.

Zabbey further noted that HYPREP’s interventions are aligned with the United Nations Sustainable Development Goal 6, which focuses on ensuring the availability and sustainable management of water and sanitation for all by 2030.

To ensure sustainability, he explained that the agency has adopted a joint management model involving host communities, the Rivers State Ministry of Water Resources and Rural Development, and the Rivers State Small Towns Water Supply and Sanitation Agency (RSSTOWA). He added that Water Consumers’ Associations have been established in communities such as Nchia and Eleme, alongside training programmes conducted in collaboration with non-governmental organisations.

The Project Coordinator stressed the importance of community ownership and protection of water facilities, echoing the call by the Minister of Environment, Balarabe Abbas Lawal, for residents to safeguard the infrastructure provided in their areas.

Zabbey expressed optimism that the ongoing efforts will significantly improve access to safe drinking water, reduce waterborne diseases, and enhance public health outcomes across Ogoni communities.

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