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Total, Egi MoU And Prospects Of Dev

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Egi Clan in Ogba/Egbema/Ndoni Local Government Area of Rivers State is a major host community to multinational oil giant, Total Exploration and Production Nigeria (TEPNG).
The corporate partners had over the years operated on a well defined policy thrust, driven by Memorandum of Understanding (MoU), a community engagement model in which the basis of their corporate relationship is made explicit.
The implementation of previous MoUs in Egi clan to a large extent impacted positively on the lives of the people through a thriving rural economy in which the people were major determinant of their economic development.
There was relative peace and a strong communal bond that made Egi a centre of social and economic attraction.
Events in the area however assumed a dangerous twist, following the inundation of the entire Egi clan by a growing spree of insecurity resulting to the shattering of the fledgling economic activities in the area.
Homes were deserted and the corporate partnership between Total and Egi stakeholders was threatened. These ugly trends made the downward review of previous MoUs in the area inevitable.
However, the return of peace to Egi clan and ONELGA in general through the concerted effort and instrumentality of critical stakeholders, has again heralded vistas of hope and opportunities for the corporate partners to forge ahead.
A major breakthrough in this direction was the recent signing of a renegotiated Memorandum of Understanding (MoU) between Total Exploration and Production Nigeria (TEPNG) Egi Clan, Oil and Gas at the Corporate Headquarters of Total in Port Harcourt.
The well attended event was a platform for the stakeholders to rekindle faith with the MoU process. Managing Director of NEPNG, Nicolas Terraz expressed hope that the new MoU as a product of mutually acceptable agreements will form the basis of the company’s relationship with the beneficiary communities for the next five years.
The MD thanked all stakeholders, especially the negotiators for “their sacrifices, understanding and incisive contributions which culminated in the agreement.”
He pointed out that the content and depth of the new MoU are quite far reaching especially in its provisions for infrastructural and human capital development, but expressed deep concern on the implementation and management of the MoU process.
While assuring that TEPNG will not hesitate to disburse the needed funds to drive the MoU process, the MD drew attention to critical issues in the implementation process. He said, “basic principles of sustainability need to be integrated sufficiently into community development project choices, while project nominations and development should be to address identified needs and not contract driven.”
The MD also expressed concern over the management of the scholarship scheme, especially the skills acquisition trainings, which he noted were yet to “bring out established entrepreneurs from its horde of beneficiaries.”
Terraz stressed the need for strict compliance among the MoU stakeholders to the companies compliance regime which is in line with the current global anti-bribery and compliance policy.
The Monarch of Egi clan (Eze Egi) MRM, King (Prof.) Anele U. Wokoma who received the signed MoUs on behalf of the Egi stakeholders, expressed joy over the successful signing of the new MoU.
The Egi Monarch emphasised the need for sustainable peace in Egi land, stating that the rigorous endeavours of the negotiators of the new MoU would amount to an exercise in futility without peace in the area.
As the custodian of the culture of the people and a natural ruler, he said the interest of Egi was paramount in his development objectives and called on all stakeholders in the area to support the peace process.
The Eze Egi also urged the management of TEPNG to be faithful and committed in the disbursement of fund for the implementation of the MoU process and the overall development of Egi land.
Also speaking at the event, the Chairman, Caretaker Committee of Ogba/Egbema/Ndoni Local Government Area, ONELGA, Barr Osi Olisah thanked Egi stakeholders for the return of peace in the area, and called for vigilance against anti-peace forces.
The ONELGA Council boss also tasked the management of Total on the development of Egi clan, stating that the company should; “think globally and act locally.” According to the C.T.C. chairman, the company’s community development policy in Egi can only make more meaningful impact in Egi through the domestication of international best practices in its operational policies.
A major negotiator in the MoU process, Prof. Cheta Williams, who spoke with The Tide in an interview shortly after the signing of the new MoU, said the new agreements took care of the shortcomings of previous MoUs.
He said proper consultations were conducted among all concerned stakeholders to address all contentious issue.
The leadership of the Egi People Assembly (EPA) and the Oil and Gas landlords were also represented at the event.
In his remark, President General of Egi People Assembly, Apostle Magnus Elemele said the new MoU would bring lasting peace and development in the area, as the interest of all the stakeholders are taken care of. He said modalities would be put in place to ensure the smooth implementation of the MoU process.
However, a major concern of the Egi people was the retention of the employment clause in the new MoU.
But against the backdrop of a recessed economic environment, the TEPNG MD said, “the scenario doesn’t look good to support a robust pursuit for a marked employment quota at present, but effort will be made to clear out all outstanding employment commitment contained in the previous agreement while looking into the future with hope of improvement in the company’s operations.”
A cross section of the participants at the MoU signing who spoke with our correspondent, expressed conviction over the prospect of economic development in Egi land through the tenants of the new corporate agreement.
But they also expressed reservation over the need for sincerity of purpose, transparency and accountability in the implementation process. They urged the newly inaugurated implementation committee for the MoU to be guided by the virtue of transparency and due process in the discharge of the duties.
The Memorandum of Understanding (MoU) as a community engagement model has been used by multinationals and other corporate organisations in host community relations, but the implementation of such MoU has equally been prone to contentions among the partners.
The negotiated TEPNG/Egi MoU is therefore another platform for the corporate partners to improve on the shortcomings of the past and consolidate on the gains of the future.

Taneh Beemene

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Supermajors Bet Big on Long-Term Oil Demand

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The world’s largest international oil firms are ramping up production even as crude prices have weakened this year and global supply growth continues to outpace the demand increase, setting the stage for a glut in the coming months.
The European majors are back to investing in exploration and new oil and gas field developments after years of trying – and mostly failing – to generate profits and good returns from low-carbon energy projects, including renewable electricity, green hydrogen, and biofuels.
The U.S. supermajors, ExxonMobil and Chevron, are pumping record oil volumes in the top shale region, the Permian, while betting on international project expansions in Guyana and Kazakhstan, for example. The U.S. giants both reported in the second quarter record-high production in the Permian and worldwide, following Exxon’s acquisition of Pioneer Natural Resources and Chevron’s buying of Hess.
France’s TotalEnergies expects higher oil and gas production to have boosted earnings for the third quarter, despite a $10 per barrel decline in oil prices since last year.
Production at the other European supermajors, Shell and BP, is also rising as the European giants shifted focus back to their core oil and gas business. The pivot took place after the energy crisis made energy security and affordability more important than sustainability, while high interest rates and supply chain issues further reduced already meager returns from clean energy projects and made many new energy ventures uncompetitive.
The supermajors are confident they can withstand the current weaker prices and the surplus on the market, to which they have contributed, alongside the national oil companies of the OPEC+ producers, which have been reversing the production cuts this year.
Big Oil is looking beyond the short-term fundamentals and glut noise, having decided to invest more in oil and gas to meet solid demand until at least the mid-2030s.
Unlike the International Energy Agency (IEA), which earlier this year doubled down on its forecast of peak oil demand by the end of this decade, Big Oil companies don’t see any peak by 2030.
BP, which said last year that global oil demand would peak as early as this year, ditched this view in its new annual Energy Outlook last month, in which it now expects oil demand to rise through 2030 amid weaker-than-expected efficiency gains.
Most majors have put the peak at some point in the 2030s, but none expect a rapid decline afterwards, and all say that oil and gas will remain essential for global economic growth and development in 2050.
“Oil and natural gas are essential. There’s no other viable way to meet the world’s energy needs,” ExxonMobil said in its 2025 Global Outlook.
“Our Global Outlook projects that oil and natural gas will make up more than half of the world’s energy supply in 2050. We project that oil demand will stabilize after 2030, remaining above 100 million barrels per day through 2050,” the U.S. supermajor reckons.
“All major credible scenarios include oil and natural gas as a dominant energy source in 2050.”
All three scenarios analyzed in Shell’s 2025 Energy Security Scenarios found that upstream investment of around $600 billion a year “will be required for decades to come as the rate of depletion of oil and gas fields is two to three times the potential future annual declines in demand.”
Exxon and now the European majors are playing the long game—invest in new oil and gas supply, at the expense of renewables, to offset with new production the accelerating natural decline of producing oil and gas fields.
Even the IEA admitted last month that the world needs to develop new oil and gas resources just to keep output flat amid faster declining rates at existing fields, in a major shift in its narrative from 2021 that ‘no new investment’ is needed in a net-zero by 2050 scenario.
Exploration is also back at the top of the agenda for Big Oil, as the companies appear confident their product will be in demand for decades to come.
The expected massive overhang later this year and early next year is not putting off the supermajors’ plans to increase production. They are slashing costs via cutting thousands of workforce numbers to protect shareholder payouts at $60 per barrel oil. Companies have pledged billions of U.S. dollars in cost savings and slimmer corporate structures. That’s to eliminate inefficiencies and excessive costs while keeping payouts to shareholders at much lower prices compared to the 2022 highs.
This year, higher oil and gas production is partly offsetting the weaker prices.
Increased output also positions the world’s biggest companies for rising profits when the glut clears within a year or so, analysts say.
“All the supply coming to the market is shrinking OPEC’s spare capacity — so there’s a light at end of the tunnel,” Barclays analyst Betty Jiang told Bloomberg this week.
“Whether that’s second half of 2026 or 2027, the balance is going to tighten. It’s just a matter of when.”
By Tsvetana Paraskova
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Stakeholders Lament Poor Crude Oil Supply To Indigenous Companies …..Urges President To Pressure NNPCL To Prioritise Local Refineries

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Stakeholders in the Downstream oil sector in collaboration with Civil Society Organisations (CSOs) have called on President Bola Ahmed Tinubu to create an enabling environment for all oil refining companies to thrive without fear or pressure of any kind.
They also want the President to mandate the Nigerian National Petroleum Company (NNPC) Limited to prioritize crude oil supply to local refineries over foreign partners.
The groups made the call during the Mega Rally against economic sabotage in the Nigerian Petroleum sector with the theme ‘National Unity Against sabotage: Reclaiming of Petroleum Sector for the People’, held in Port Harcourt, the Rivers State capital.
Addressing journalists during the rally, the Convener of Partners for National Economic Progress, Olamide Odumosu, insisted that it was unacceptable that government agencies hide under the “willing supplier, willing buyer” clause to frustrate the supply of crude to local refineries.
Odumosu called on president Tinubu to ensure that crude oil supply to the dangote refinery is not debatable.
Odumosu described the recent expansion of the Dangote refinery from 650,000m bpd to 1.4m bpd as not just a national glory but a continental and global one expressing regrets however, that the Dangote refinery now rely on the international scene for crude .
In his words “As an oil producing country, the matter of supply of crude to local refineries (in this case, the Dangote Refinery) is not only a matter of Law as stated in the Petroleum Industry Act, but a manner of patriotic duty, national consciousness and economic prosperity drive. It is very sad, unfortunate and embarrassing that Dangote Refinery imports crude from other countries due to his inability to source it at home.
“It is for this reason that the PIA encourages regulatory agencies to formulate policies that will ensure the supply of crude to local refineries, including imposing sanctions where necessary”.
On his path, the convener of Niger Delta Youth council, comrade Danielson Prince, condemned the practice of importing crude oil from outside the shores of the country.
Prince noted that such was detrimental to Nigeria’s economy while calling on the President to pressure NNPC to sell crude oil to Nigerian companies within Nigeria.
“However, this is both a journey and a struggle. And we will not rest, will we get to the desired destination and victory achieved. There are still very important issues to address”, he stated.
Prince described the situation as sad stating that it was unfortunate and embarrassing that Dangote Refinery imports crude from other countries due to his inability to source it at home.
Odumosu also emphasized that it is unacceptable for government agencies in the country to hide under the willing supplier clause to frustrate the supply of crude oil to local refining companies in the country.
TheTide learnt that similar rallies were recently organized in Abuja, Kaduna and Asana respectively.
By: King Onunwor
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Oil & Energy

Investors Raise $500m For Solar Manufacturing – Adelabu

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The Federal Government, in partnership with state governors and private investors, has secured nearly $500m to establish solar manufacturing plants across Nigeria.
Minister of Power, Adebayo Adelabu, disclosed this at the just concluded Nigeria Energy Conference, in Lagos.
Recall that the minister had announced that Nigeria had begun exporting locally manufactured solar panels to Ghana, marking a milestone in the country’s renewable energy drive.
According to him, following the recently concluded Nigerian Renewable Energy Innovation Forum organised by the Rural Electrification Agency, the government secured agreements worth nearly $500m with state governors and private investors.
The initiative, he said, would add close to 4 gigawatts of solar manufacturing capacity per annum, almost 80 per cent of Nigeria’s current total power generation capacity.
“At the recently concluded Nigerian Renewable Energy Innovation Forum, we successfully activated agreements totalling almost $500m with state governors and investors. What will this do? It will bring on stream nearly 4 gigawatts per annum of solar manufacturing capacity, equivalent to almost 80 per cent of our current national generation capacity,” he stated.
He explained that the deals would support local production of solar panels, batteries, and meters, reducing dependence on imports and positioning Nigeria as a key player in the regional energy market.
“Companies that will manufacture solar panels here and that will manufacture batteries and meters here, we can give them deposits. With this scale of renewable energy production coming online, Nigeria is not only positioned to achieve its domestic renewable energy transition targets but also to serve as the regional power market,” Adelabu said.
He said this would strengthen the export of renewables, a feat he said was achieved recently with Ghana.
“Nigeria will serve as the regional power market in terms of the hub, which we recently started doing with the export of Nigerian-based solar panels to Ghana just last month. Yes, we exported solar panels manufactured in Nigeria to Ghana, and we will not stop. We will be the hub for this, not just for West Africa, but for the entire African market,” he stated.
The minister noted that the move would have far-reaching benefits for the economy, including job creation, foreign exchange earnings, and faster deployment of solar energy infrastructure.
He added that training and empowering Nigerian youths in renewable energy technologies would be key to sustaining the progress.
Adelabu assured investors that the government was creating an enabling environment for private sector participation across the power value chain, particularly in transmission.
“Nigeria’s power sector remains open and ready for business more than ever before. The government is ready to provide the right and conducive atmosphere to make this environment investor-friendly.
“As rational investors, recovery of your principal and margin on principal are very important, and the way the power sector is configured, you will never lose your investment; you will be proud to be an investor in Nigeria,” he added.
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