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‘Oil Firms Spill 3,346 Barrels Of Crude Oil In Eight Months’

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Some oil and gas companies operating in the Niger Delta spilled 3,346.94 barrels of crude oil, an equivalent of 532,078 litres, in eight months, from January to August 2020, according to data contained in the National Oil Spill Detection Response Agency (NOSDRA) report.

The agency established by the National Assembly of the Federal Republic of Nigeria Act of 2006 as an institutional framework to co-ordinate the implementation of the National Oil Spill Contingency Plan (NOSCP) for Nigeria, regularly embarks on Joint Investigation Visits (JIVs) and ensures the remediation of impacted sites.

A breakdown showed that the volume of oil spilled in the first eight months of 2020, represented a decline of 82.84 per cent, compared to 19,505.07 barrels of crude oil spilled in the same period in 2019.

The value of crude oil spilled in the first eight months of 2019 stood at $780,202, an equivalent of N288.675million.

For 2019, the series of data from NOSDRA revealed that 28,969.86 barrels of crude oil were spilled by oil and gas companies, valued in monetary terms, at $1.159million, an equivalent of N428.754million.

On a company-by-company basis, the report revealed that Shell Petroleum Development Company (SPDC) recorded the highest spills, with 1,335.05 barrels of crude oil spilled in 17 incidents; followed by ND Western, with 1,280 barrels of crude oil spilled in five incidents.

Others on the list include, Chevron Nigeria Limited, one barrel of crude oil spilled in three incidents; Enageed Resources Limited spilled 15 barrels of crude oil in three incidents; First Hydrocarbon Nigeria spilled 62 barrels of crude oil in six incidents; while Guaranteed Petroleum Limited spilled eight barrels in one incident.

In addition, Heritage Energy Operational Service Limited spilled 264 barrels in five incidents; Midwestern Oil and Gas Corporation spilled 37 barrels of crude oil in three incidents; Nigerian Agip Oil Company (NAOC), 185.17 barrels in 12 incidents and Nigerian Petroleum Development Company (NPDC), two barrels of crude oil spilled in one incident.

The rest are Neconde Energy Limited, 12.58 barrels in one spill; Pan Ocean Corporation Nigeria Limited, 20 barrels of crude oil spilled in one incident; Seplat Petroleum Development Company Limited spilled 85.14 barrels of crude oil six incidents; and Total Upstream Nigeria, 40.01 barrels in two incidents.

Giving a breakdown of oil spill by volume, the report stated that in January, February, March, April and May, 2020, 777.73 barrels, 51 barrels, 46.50 barrels, 586.93 barrels, and 105 barrels of crude oil were spilled, respectively; while 38 barrels, 1,737.77 barrels and 4.01 barrels were spilled in June, July and August, 2020, respectively.

In comparison, 5,325.32 barrels, 4,075.84 barrels, 1,290.16 barrels, 1,273.89 barrels, 1,133.63 barrels, 2,240.95 barrels, 1,997.72 barrels and 2,167.56 barrels of crude oil were spilled in January, February, March, April, May, June, July and August, 2019, respectively.

In an interview, an internationally-renowned Environmental Scientist, Explorer and Educator, Prof. Hilary Inyang, who has led many environmental expeditions globally, said: “It would cost between $1million and $30million to clean up one spill incident, depending on some factors, including location and size of contaminated site.

“It is expected that clean up would cost more in the Niger Delta because most of the spills take place in the swamp not on land. It is not about going to the various locations to clean surface oil. It would cost much money to get to the contaminated sites, engage with communities, do fencing, investigation, hire or procure equipment, technology, recruit and train personnel, carry out the exercise as well as do demobilisation and remediation.”

Specifically, with 66 spill incidents involved in the first eight months of 2020, it was gathered that it would cost at least $66million to clean-up the spills, which translates to N25trillion at the current Exchange rate of N380 per dollar.

Nevertheless, investigations indicate that the outbreak of Coronavirus pandemic has slowed down the pace of clean-up and related activities.

In its latest Oil Spill Data, which attributed many of the incidents to vandalism and oil theft, NOSDRA stated: “In order to ensure that the individuals involved in the remediation of oil spills are not put at risk of Covid-19 infection, SPDC, after due consultation with relevant government regulators is currently restricting its oil spill response activities to only those sites where containment and recovery of oil from new releases is required.

“At sites where containment and recovery has been achieved, but remediation of residual oil impact has not yet been completed, activities have been suspended for the safety of workers and community members. This approach will be reviewed on a regular basis and in consideration of advice from Nigerian and international health officials.”

Explaining the damage of oil spills to the Nigerian economy and the environment, Programme Coordinator of the Nigeria Natural Resource Charter (NNRC), Ms. Tengi George-Ikoli, disclosed that the Niger Delta is currently suffering from poor response to oil spill and lack of capacity of government’s agencies to tackle environmental issues.

She warned that unless issues of environment protection are taken seriously, the Niger Delta might suffer immense negative consequences and abandonment when global attention shifts away from fossil fuel.

George-Ikoli lamented that oil exploitation had always presented a huge negative impact on the ecosystem of the Niger Delta region, giving rise to intense land degradation, rapid agricultural decline, fisheries depletion, rampant and destructive oil spillages, continuous gas flaring and toxic water contamination, among others.

This, she added, had negatively affected the health, environment and livelihoods of the Niger Delta people.

George-Ikoli, also lamented that NOSDRA, the agency set up to address some of the grave consequences of oil exploitation, who is also mandated to respond to oil spills, was currently hampered by an almost debilitating lack of capacity.

She further stated that there is currently poor response to oil spills because of NOSDRA’s lack of capacity, adding, however, that the capacity gaps in NOSDRA were not due to a lack of expertise but instead lack of funding and punitive powers.

Also speaking, a Lecturer in Environmental Management and Pollution Control, Nigeria Maritime University, Okerenkoko, Delta State, Dr Sam Kabari, stated that the country needed a NOSDRA which functions as an environmental regulator in the issuance of guidelines and standards and able to address all manner of spills, noting that at the moment, NOSDRA can only detect oil spills but cannot respond.

 

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Two Federal Agencies Enter Pack On Expansion, Sustainable Electricity In Niger Delta

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The Niger Delta Development Commission (NDDC) has signed a Memorandum of Understanding (MoU) with the Rural Electrification Agency (REA) to expand access to reliable and sustainable electricity across the Niger Delta region.
The agreement, signed at the headquarters of the REA in Abuja, was targeted at strengthening institutional collaboration and accelerating development in underserved communities in the region.
A statement by the Director, Corporate Affairs of the NDDC, Seledi Thompson-Wakama, said the pact underscores renewed efforts by the two federal interventionist agencies to deepen cooperation and fast-track infrastructure delivery.
Speaking at the signing ceremony, the Managing Director of the NDDC, Dr Samuel Ogbuku, described the MoU as a strategic step towards realising the Commission’s vision to “light up the Niger Delta” in line with national priorities on distributed energy expansion.
Ogbuku said the agreement represents a shared institutional responsibility to deliver reliable energy solutions that will enhance livelihoods, stimulate local economies and create broader opportunities across the nine Niger Delta states.
According to him, electricity remains a critical enabler of national development, supporting job creation, healthcare delivery, education and inclusive economic growth.
He noted that the collaboration would help unlock the economic potential of rural communities while advancing broader national development objectives.
The NDDC boss added that the Commission has consistently adopted partnership-driven approaches in executing projects in the region and is prepared to support the implementation of the MoU by leveraging its community presence and infrastructure development capacity.
He reaffirmed the Commission’s commitment to working closely with the REA to ensure the timely and effective execution of the agreement.
The NDDC delegation at the event included the Executive Director, Projects, Dr Victor Antai; Executive Director, Corporate Services, Otunba Ifedayo Abegunde; Director, Legal Services, Mr Victor Arenyeka; Director, Finance and Supply, Mrs Kunemofa Asu; and Director, Liaison Office, Abuja, Mrs Mary Nwaeke.
In his remarks, the Managing Director of the REA, Dr Abba Abubakar Aliyu, described the MoU as a natural collaboration between two agencies with complementary mandates, reflecting a shared commitment to expanding access to sustainable electricity in rural communities.
Aliyu said the Niger Delta remains central to Nigeria’s economic fortunes and must be supported by infrastructure capable of driving productivity, enterprise and improved living standards, adding that the partnership signals readiness to deliver stable power to communities that have long awaited reliable electricity supply.
By: King Onunwor
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Why The AI Boom May Extend The Reign Of Natural Gas 

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Artificial intelligence is often viewed as a catalyst for electrification and subsequently decarbonization. Yet one of its most immediate effects may be the opposite of what many assume. The rapid buildout of AI infrastructure is increasing demand for reliable power, and that reality could strengthen the role of natural gas and other dispatchable energy sources for many years.
Investors focused on semiconductors and software valuations may be overlooking a key constraint. AI runs on electricity, and those electricity systems operate within physical and economic limits.
The energy sector has spent much of the past decade grappling with slow load growth. That is now changing, in a way that is reminiscent of the sharp rise in oil demand—and subsequently price—in the early 2000s.
Training large language models and operating advanced AI systems requires enormous computing resources. Hyperscale data centers are expanding rapidly, with developers requesting gigawatt-scale interconnections from utilities. In several regions, electricity demand forecasts have been revised upward after years of flat expectations.
This shift is significant because AI workloads create continuous, high-density demand rather than intermittent usage. Data centers cannot simply power down when the electricity supply becomes constrained. Reliability becomes paramount.
Wind and solar capacity continues to expand, but intermittent generation alone cannot meet the firm capacity needs of AI infrastructure without significant storage or backup generation.
Battery storage is improving, yet long-duration storage remains costly at scale. Nuclear projects face long development timelines and complex permitting hurdles. Transmission expansion also lags demand growth in many regions.
These constraints make dispatchable power sources critical. Natural gas plants can ramp quickly, operate continuously, and be deployed faster than many alternatives. As a result, gas-fired generation is increasingly viewed as a practical solution for supporting AI-driven load growth.
This does not undermine the role of renewables. In many markets, new renewable capacity is paired with gas generation to maintain grid stability. The key point is that AI-driven electrification is likely to increase fossil fuel usage in the near term.
Construction timelines favor gas-fired generation when demand rises quickly. Existing pipeline infrastructure reduces barriers to expansion. And for operators of data centers, reliability often outweighs ideological preferences. Downtime is simply too expensive.
Utilities are also revisiting resource plans as load forecasts rise. That shift may drive increased investment in transmission, grid modernization, and flexible generation assets.
The Decarbonization Story Is Complex
A common narrative holds that AI accelerates the transition away from fossil fuels because it increases electrification. The reality is more nuanced.
If electricity demand outpaces the buildout of low-carbon capacity, fossil generation may still increase in absolute terms even as renewables gain market share. Total emissions could rise, but the carbon intensity of the energy system may trend lower as cleaner sources make up a larger share of supply.
Ultimately, energy systems evolve based on engineering and economics, not just policy goals or market narratives.
Rising power demand could benefit utilities investing in transmission and generation capacity. Natural gas producers and midstream companies may see structural demand support from increased power-sector consumption. Equipment suppliers tied to grid reliability and gas turbines could also gain from the shift.
Longer term, advances in nuclear, storage, or efficiency may change the trajectory. For now, the immediate response to surging electricity demand is likely to rely on technologies that can be deployed quickly and reliably.
Artificial intelligence may reshape the economy in profound ways. One of the least appreciated consequences is that it may extend the relevance of natural gas as the world builds the energy backbone required to power the next generation of computing.
By: Robert Rapier
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Ogun To Join Oil-Producing States  ……..As NNPCL Kicks Off Commercial Oil Production At Eba

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Ogun State is set to join the comity of oil producing states in the country following the discovery and subsequent approval of commercial oil exploration activities in the Eba oil well, in Ogun Waterside Local Government Area of the state.
A technical team from the Nigerian National Petroleum Company Limited (NNPCL) has visited the area as preparations are in advanced stage for commencement of commercial drilling operations in the state.
The inspection followed President Bola Ahmed Tinubu’s approval for commercial exploration, forming part of the federal government’s efforts to deploy the required technical capacity and infrastructure for production.
Officials of NNPCL carried out the exercise alongside representatives of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and national security agencies to evaluate the site and confirm its readiness for drilling activities.
The delegation was led by Project Coordinator for Enserv, Hussein Aliyu, who headed the NNPCL Enserv technical team.
Other members included Wasiu Adeniyi, Onwugba Kelechi, Engr. Rabiu M. Audu, Ojonoka Braimah, Ahmad Usman, Akinbosola Oluwaseyi, Salisu Nuhu, James Amezhinim, Yusuf Abdul-Azeez, Amararu Isukul and Livinus J. Kigbu.
Speaking, Governor Dapo Abiodun, described the development as a landmark achievement for Ogun State, saying “the commencement of drilling at Eba would stimulate economic growth, create employment opportunities and attract increased federal presence to the state’s coastal communities.
Abiodun also expressed appreciation to President Tinubu for his support toward the development of frontier oil basins and the equitable spread of the nation’s energy resources.
Recall that geological reports had earlier confirmed the presence of hydrocarbons within the Ogun Waterside axis, leading to preliminary surveys and technical engagements by NNPCL.
The Ogun State Government also carried out an independent verification of the oil well’s coordinates, affirming the discovery is located within the state’s boundaries.
To secure the project, naval security personnel have been deployed to the site for over 18 months, with the support of the Ogun State Government, to protect the facility and its environs.
The Eba oil well is regarded as part of Nigeria’s strategic move to expand oil production beyond the Niger Delta region.
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