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Kachikwu Canvasses Fuel Subsidy Removal …As FG Slams $1.1bn Suit Against Shell, Eni
Minister of State for Petroleum Resources, Mr. Ibe Kachikwu, yesterday, stated that until the downstream sector of the Nigerian petroleum industry is liberalised and subsidy of petroleum products removed, the country would continue to struggle and face challenges in terms of ensuring stable fuel supply.
Speaking in Abuja, at the presentation of the key achievements of the Ministry of Petroleum Resources in three years, 2016 to 2018 and award to staff of the ministry, Kachikwu argued that to address fuel supply challenges, the country needed to find a way to satisfy the need to provide products sufficiently for the populace and at the same time to be able to free the sector for growth.
be able to free the sector for growth. He said, “In the midstream and downstream sectors, we have struggled. I would love to see a day when there would be no fuel scarcity in this country. But for that to happen, there are certain realities. The liberalization of the sector is going to be a panacea to being able to solve this. As long as we continue to subsidise products, create market-unfriendly type practices, we would continue to struggle.
“We are not going to trade our way out of the fuel crisis by bringing sufficiency, by expanding reserves, by extravagant costs which cost the country a lot of money; that is not the solution. The solution is to get our refineries working.”
Kachikwu noted that investments are lacking in the petroleum sector, adding that over the years, refineries’ turn around maintenance, TAM, had been fraught with faulty models which had hampered the effectiveness of the refineries.
Meanwhile, the Minister of State for Petroleum Resources, Dr Ibe Kachikwu, says the Federal Government is targeting to grow the crude oil production to 2.2 million barrels per day (mbpd) by the end of January, 2019.
Kachikwu made the disclosure during the presentation of the ministry’s achievements in three years (2016 to 2018) and awards to staff in Abuja yesterday.
He said that by the end of 2019, crude oil output would have hit 2.5 million barrels based on the coming on stream of the Egina field and the recently approved 30 field works which had the capability of increasing Nigeria’s output by 500,000 barrels per day.
“Crude oil production had been sustained at a fairly large level. We started at 800,000 barrels and we have grown it to about two million barrels.
“We should be doing more but for the cyclical difficulties in terms of occasional pipeline disruptions and occasional closure for purpose of maintenance.
“We are averaging about two million barrels and about 300,000 of that are roughly condensates.
“Really, by the end of January 2019, we should have grown production to about 2.2 million barrels which have been our signpost.
“In addition to that, there are 30 other field works that have been approved by the Department of Petroleum Resources, which have the capacity of adding about 500,000 barrels per day production,’’ he said
According to Kachikwu, by the end of 2019, the country will be averaging 2.5 million barrels production, which will be the first time it will be done in the country.
The minister said that the oil reserves had been grown by over 600 million barrels, rising from 36.18 million barrels to 37.2 million barrels.
He noted that government had been able to grow the gas reserves from 192 trillion cubic feet to 199.09 trillion cubic feet of gas in two years.
Kachikwu said: “We discovered so many new fields, like Owowo. We have been able to grow rig activity in the country.
“ When we assumed office, the rig activity in the country was about two to three rigs that were operating in Nigeria at the time.
“As at 2017, we had about 21 rigs in operation, up from about 16 rigs in operation in 2016.
“Hopefully, with the big FPSOs, it is beginning to look as if there are possibilities in Nigeria. We expect to see a lot more rig activity in Nigeria.’’
In another development,the Nigerian government is taking oil giants Shell and Eni to court in London, requesting the return of $1.1 billion (969 million euros) as part of a case of alleged corruption dating back to 2011, Bloomberg reported yesterday.
FG alleges that the money was used by the companies to buy an oil exploration licence in the Gulf of Guinea but was diverted to bribes and kickbacks, the report said.
The government alleges that Shell and Eni were partly responsible for the fact that “corrupt Nigerian officials” used the money for personal enrichment, it added.
The alleged corruption is already the subject of a separate court case in Milan in which Nigeria is a civil party. Shell and Eni have always denied any unlawful action.
In a statement yesterday, a Shell spokesman said that the deal in 2011 was “a fully legal transaction with Eni and the Federal Government of Nigeria”.
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Soyinka Demands Accountability Over Extra-Judicial Killings
Nobel Laureate, Professor Wole Soyinka, has called on Nigerians to reject silence in the face of extrajudicial killings and other abuses of human rights.
Soyinka stressed that accountability and civic courage remain essential to rebuilding public confidence in the nation’s institutions.
He made the call during the 28th Wole Soyinka Lecture held in Port Harcourt, last Friday as part of activities marking his 92nd birthday.
The lecture, themed “Reclaiming the Nigerian State through Accountability, Justice and Civic Courage,” drew participants from different sectors of society.
The renowned playwright and human rights advocate said the country’s greatest tragedy was not only the unlawful killings carried out by state and non-state actors, but also the silence that often follows such incidents, allowing perpetrators to evade justice.
According to him, indifference by citizens to abuses of power and violations of fundamental human rights has contributed to the persistence of extrajudicial killings and other forms of injustice across the country.
Soyinka said he dedicated this year’s lecture to victims of unlawful killings, noting that the event was intended to honour individuals who had lost their lives as a result of failures within the justice system and society’s inability to protect the sanctity of human life.
He stressed that the lecture was dedicated to what he described as the basic unit of every society – the human being, and urged Nigerians to place greater value on human dignity irrespective of ethnicity, religion or social status.
The Nobel Laureate recalled several incidents of violence, including the fatal shooting and killing of a young man in Ugheli in Delta State by a police officer, and the mob killing of Deborah Yakubu in Sokoto State sometime ago, lamenting that many of those responsible are yet to face justice.
He expressed concern that some perpetrators of violent crimes had openly admitted their actions without fear of prosecution, describing such situations as evidence of serious failures within the nation’s justice system.
Soyinka maintained that when justice is delayed or denied, public confidence in state institutions continues to erode, thereby encouraging further violations of human rights.
Responding to critics who accuse him of promoting religious or ethnic divisions whenever he spoke on such issues, Soyinka dismissed the allegations and pointed out that his advocacy has always centred on the protection of human life and the rule of law.
He urged Nigerians to remain vigilant and continue demanding justice in cases of alleged extrajudicial killings, including the recent shooting of a young man by a police officer, stressing that every life deserves equal protection under the law.
The literary icon also recalled an earlier pledge by a past incoming president to make public the files relating to unresolved assassinations and extrajudicial killings, questioning the status of the promised investigations.
He challenged citizens to continue asking questions about unresolved cases, insisting that justice, accountability and respect for human dignity are indispensable to building a peaceful, democratic and inclusive Nigerian society.
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FAAN Backtracks, Says No Fire Incident At Lagos Airport’s Terminal 2
The Federal Airports Authority of Nigeria (FAAN) has clarified that there was no fire at Terminal 2 of the Murtala Muhammed International Airport, Lagos, contrary to its earlier advisory.
Earlier yesterday, FAAN had announced that a fire incident had occurred at Terminal 2 of the nation’s busiest airport, and assured that its Aerodrome Rescue and Firefighting Service had been deployed to contain the situation.
There were also reports that activities were briefly disrupted at the airport yesterday after smoke was seen inside parts of the terminal.
Videos circulating online showed passengers kept standing outside the terminal while firefighters responded to the incident.
However, in an update issued less than two hours later by the Director of Public Affairs and Consumer Protection, Henry Agbebire, and posted on FAAN’s official X handle, the authority said preliminary findings showed that the smoke seen at the terminal was caused by the discharge of the facility’s FM-200 fire suppression system.
“Further to our earlier advisory regarding the incident at Terminal 2 of the Murtala Muhammed International Airport, Lagos, the Federal Airports Authority of Nigeria (FAAN) wishes to provide the following update,” the statement read.
“Preliminary findings indicate that there was no fire at the terminal. The smoke observed within the affected area resulted from the discharge of the terminal’s FM-200 fire suppression system. The reason for the activation of the fire suppression system is currently being investigated,” FAAN stated.
The authority said normal operations had resumed at the terminal while investigations were ongoing to determine the cause of the incident.
“Normal operations have since resumed at the terminal, while detailed investigations are ongoing to determine the exact cause of the incident,” the statement added.
The authority thanked passengers, airlines, airport users and other stakeholders for their understanding and cooperation.
FAAN appreciated the understanding and cooperation of passengers, airlines, airport users and all stakeholders, and reiterated its commitment to the safety and security of all airport operations.
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