Connect with us

Oil & Energy

FG, Daewoo Seal Deal On 10,000MW Power Generation

Published

on

The Federal Government, has signed a Memorandum of Understanding (MoU) with a South Korean company, Daewoo Engineering and Construction Company Ltd, to facilitate the production of 10,000 megawatts of electricity projects in the country.

The company has undertaken to provide 20 per cent equity in the various projects identified under the scheme, in addition to providing expert advice and guidance on electrical, production and construction of power projects to companies wishing to do business in Nigeria under the agreement.

Minister of Power, Barr Nnaji, signed on behalf of the Federal Government, while the president and CEO of Daewoo E&C, Sang-Real Kim, signed on behalf of his company at the event which took place at the Power Ministry’s Conference Room in Abuja.

“Today is a very important day for the relationship we want to create for ourselves and Daewoo and the people of Korea”, Nnaji said during his remarks to flag-off the signing ceremony.

“The president was in South Korea and he gave us opportunity to reach out to your company, in that we agreed with your CEO that we would enter into Memorandum of Understanding on how to work together and how your company would work with us to improve power supply in Nigeria”.

Nnaji further said that the MoU would change the old system of contractors coming to the country simply to work and get paid and go. “We are now making the power sector attractive for investment by international investors”, he said to the visiting Daewoo team, adding that it was now hoped that they will not only execute contracts but will also invest in the power sector under the MoU.

In his remarks, the chairman of Daewoo E&C, Joseph Penawou, expressed delight on behalf of his entire team at entering into the MoU with the Federal Government.

The MoU is unique in many respects. While previous MoUs have guaranteed 10-15 per cent equity or other forms of investment in the reform-bound Nigerian power sector by the foreign party, Daewoo  under the teams of its MoU will invest 20 per cent equity and in various engineering and construction services in the Nigerian power sector.

It is the fifth MoU to be signed by the Federal Government and various international investors since the launch of the Nigerian power reform road map.

The other MoUs were signed with US Exim Bank to provide $15 billion credit to the Nigerian power sector and with Siemens of Germany to assist in the provision of 10,000 megawatts of power generation infrastructure in the country and 10-15 per cent equity in new power generation stations. Other MoUs were signed with General Electric of the United States and Electrobras of Brazil under identical terms with the one signed with Siemens.

Continue Reading

Oil & Energy

Nigeria Loses More Crude Oil Than Some OPEC Members – Nwoko

Published

on

Nigeria’s losses due to crude oil theft has been said to be more significant than those of some other members of the Organisation of Petroleum Exporting Countries(OPEC).
The Chairman, Senate Ad- hoc Committee on Crude Oil Theft, Senator Ned Nwoko, made this known in an interview with newsmen in Abuja.
Nwoko noted with dismay the detrimental impact of the issue, which, he said include economic damage, environmental destruction, and its impact on host communities.
According to him, the theft was not only weakening the Naira, but also depriving the nation of vital revenue needed for infrastructure, healthcare, education and social development.
The Senator representing Delta North Senatorial District described the scale of the theft as staggering, with reports indicating losses of over 200,000 barrels per day.
Nwoko disclosed that the ad hoc committee on Crude Oil Theft, which he chairs, recently had a two-day public hearing on the rampant theft of crude oil through illegal bunkering, pipeline vandalism, and the systemic gaps in the regulation and surveillance of the nation’s petroleum resources.
According to him, the public hearing was a pivotal step in addressing one of the most pressing challenges facing the nation.
‘’Nigeria loses billions of dollars annually to crude oil theft. This is severely undermining our economy, weakening the Naira and depriving the nation of vital revenue needed for infrastructure, healthcare, education, and social development.
‘’The scale of this theft is staggering, with reports indicating losses of over 200,000 barrels per day more than some OPEC member nations produce.
‘’This criminal enterprise fuels corruption, funds illegal activities and devastates our environment through spills and pollution.
‘’The public hearing was not just another talk shop; it was a decisive platform to uncover the root causes of crude oil theft, bunkering and pipeline vandalism.
‘’It was a platform to evaluate the effectiveness of existing surveillance, monitoring, and enforcement mechanisms; Identify regulatory and legislative gaps that enable these crimes to thrive.
‘’It was also to engage stakeholders, security agencies, host communities, oil companies, regulators, and experts to proffer actionable solutions; and strengthen legal frameworks to ensure stricter penalties and more efficient prosecution of offenders”, he said.
Nwoko noted that Nigeria’s survival depended

Continue Reading

Oil & Energy

Tap Into Offshore Oil, Gas Opportunities, SNEPCO Urges Companies

Published

on

Shell Nigeria Exploration and Production Company Ltd. (SNEPCo) has called on Nigerian companies to position themselves strategically to take full advantage of the growing opportunities in upcoming offshore and shallow water oil and gas projects.
The Managing Director, SNEPCO, Ronald Adams, made the call at the 5th Nigerian Oil and Gas Opportunity Fair (NOGOF) Conference, held in Yenagoa, Bayelsa State, last Thursday.
Adams highlighted the major projects, including Bonga Southwest Aparo, Bonga North, and the Bonga Main Life Extension, as key areas where Nigerian businesses can grow their capacity and increase their involvement.
“Shell Nigeria Exploration and Production Company Ltd. (SNEPCo) says Nigerian companies have a lot to benefit if they are prepared to take advantage of more opportunities in its offshore and shallow water oil and gas projects.
“Projects such as Bonga Southwest Aparo, Bonga North and Bonga Main Life Extension could grow Nigerian businesses and improve their expertise if they applied themselves seriously to executing higher value contracts”, Adams stated.
Adams noted that SNEPCo pioneered Nigeria’s deepwater oil exploration with the Bonga development and has since played a key role in growing local industry capacity.
He emphasized that Nigerian businesses could expand in key areas like logistics, drilling, and the construction of vital equipment such as subsea systems, mooring units, and gas processing facilities.
The SNEPCO boss explained that since production began at the Bonga field in 2005, SNEPCo has worked closely with Nigerian contractors to build systems and develop a skilled workforce capable of delivering projects safely, on time, and within budget both in Nigeria and across West Africa.
According to him, this long-term support has enabled local firms to take on key roles in managing the Bonga Floating, Production, Storage and Offloading (FPSO) vessel, which reached a major milestone by producing its one-billion barrel of oil on February 3, 2023.

Continue Reading

Oil & Energy

Administrator Assures Community Of Improved Power Supply

Published

on

The Emohua Local Government Area Administrator, Franklin Ajinwo, has pledged to improve electricity distribution in Oduoha Ogbakiri and its environs.
Ajinwo made the pledge recently while playing host in a courtesy visit to the Oduoha Ogbakiri Wezina Council of Chiefs, in his office in Rumuakunde.
He stated that arrangements are underway to enhance available power, reduce frequent outages, and promote steady electricity supply.
The move, he said, was aimed at boosting small and medium-scale businesses in the area.
“The essence of power is not just to have light at night. It’s for those who can use it to enhance their businesses”, he said.
The Administrator, who commended the peaceful nature of Ogbakiri people, urged the Chiefs to continue in promoting peace and stability, saying “meaningful development can only thrive in a peaceful environment”.
He also charged the Chiefs to protect existing infrastructure while promising to address the challenges faced by the community.
Earlier, the Oduoha Ogbakiri Wezina Council of Chiefs, led by HRH Eze Goodluck Mekwa Eleni Ekenta XV, expressed gratitude to the Administrator over his appointment and pledged their support to his administration.
The chiefs highlighted challenges facing the community to include incessant power outage, need for new transformers, and the completion of Community Secondary School, Oduoha.
The visit underscored the community’s expectations from the LGA administration.
With Ajinwo’s assurance of enhancing electricity distribution and promoting development, the people of Oduoha Ogbakiri said they look forward to a brighter future.

By: King Onunwor

Continue Reading

Trending