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BUA Group, A’Ibom Sign MoU For Refinery’s Access Road

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Bua Group has signed a memorandum of understanding, (MoU), with Akwa Ibom State Government, and the host communities in Ibeno Local Government Area, for the construction of access road to the proposed Bua Refinery and Petrochemical plant site in Ibeno, last week.
Akwa Ibom State Commissioner for Power and Petroleum Development, Dr. John Etim, who presided over the signing of the MoU, applauded BUA for their commitment to the project, prompt documentation and the preparation of the site towards the construction of the refinery.
Etim said that the refinery project will bridge the gap between host communities and Akwa Ibom State, thereby bringing about more developments in the oil and gas sector of the State.
The Commissioner called on all parties concerned to be committed to the terms of agreement and to ensure that peace dominates their relationship, while appealing to the host communities to protect the facilities which is now in their custody
“The refinery and petrochemical project is in line with the Governor’s vision to industrialise the State, develop local capacity in key industries where value can be added and raw materials sourced locally.”
Speaking shortly after the MoU signing, the Chairman of Ibeno local government, Williams Mkpa, expressed delight over the development, describing it as a giant stride in the industrialisation vision of the Akwa Ibom State Government.
The paramount ruler of the area, Owong Effiong Archianga, assured the company of his people’s unalloyed support and cooperation to see to the actualisation of the project.

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‘OB3 Gas Pipeline Completion To Attract $2bn To Nigeria’

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The Chief Executive Officer (CEO) of Dangote Group, Aliko Dangote, has projected that the completion of the OB3 gas pipeline will attract an inflow of $2 billion into Nigeria’s oil and gas sector.
Dangote made the projection during the inauguration of the Presidential Economic Coordination Council (PECC) at the State House, in Abuja.
While describing the inauguration of the council as a positive step, Dangote said the action had incorporated private sector involvement in government decision-making.
He also mentioned that the government has started the implementation process, particularly in the gas sector.
“We are going to sit down and advise the government on the kinds of policies that government will roll out. Most of these things, we have them. They are already being discussed over and over again.  It’s just a matter of implementation.
“I think the choice of people that we have at this presidential economic council are good enough to be able to advise government on how to implement.
“Our own from the private sector is now to actually do our own beat, which is to invest heavily and create job. Governments don’t really great job. What they do is to give us the right policies, which I think, we have all these policies.
“You can see interventions in gas. Getting OB3 alone to work will have additional $2 billion inward into the economy. There are other industries that will also bring in a lot of money into the country”, Dangote said.
Recall that the OB3 pipeline project serves as a crucial link to the Ajaokuta-Kaduna-Kano (AKK) gas pipeline, forming an essential part of Nigeria’s gas infrastructure.
The pipeline, which started in 2020 by former President Muhammad Buhari, is estimated at $2.8 billion.
According to the GCEO, NNPC, Mele Kyari, the infrastructure would come into operation by August and would facilitate 2.2 billion scf gas across Nigeria.
While stating that the project would revolutionise the gas industry, Kyari added that it would meet the demands of the country.

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‘Nigeria’s Deep-water Fields Investment Stagnant For 10yrs’

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The Managing Director, TotalEnergies Nigeria, Matthieu Bouyer, says investment in the deep-water segment of the nation’s oil and gas industry has been stagnant for about 10 years now since the Egina Final Investment Decision (FID).
This, he said, was due largely to the increased levies, exit of contractors, and high production costs in the country.
Bouyer revealed this at the 23rd Nigeria Oil and Gas (NOG) Conference held in Abuja, during a session tittled “Defining The Outlook For Deep-Water Exploration and Production in Nigeria”.
Bouyer, who identified increased levies, changes in fiscal term and competition in regional markets as key reasons for the sector’s challenges, noted further that many contractors had exited Nigeria, a situation which he said had exacerbated the lack of competition in the industry.
To advance the deep-water sector and boost competition, Bouyer stressed the need for the Federal Government to understand the reasons behind the contractors’ departure and implement measures to encourage their return.
He said, “Even with the fiscal incentives, if the costs are too high, investment will not be possible. Therefore, there is a need for competition to drive the costs down.
“As Capex is capped, arbitration is made. So it’s important to be competitive and agile to accommodate requirements’”.
The TotalEnergies Country Chairman further emphasised the necessity for stringent measures, insisting that such actions would facilitate investments in the deep-water sector.
It would be noted that the Egina oilfield is one of TotalEnergies’ most ambitious ultradeep offshore projects, situated approximately 130 km off the coast of Nigeria at a water depth of over 1,500 meters.
With the development of the $16 billion field in 2013 and production in 2019, it is projected to produce around 200 thousand barrels of oil daily at peak production.

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NNPC Plans Three LNG Stations, 100 CNG Sites Nationwide

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The Nigerian National Petroleum Company Limited (NNPCL) has said it plans to  build three Liquefied Natural Gas (LNG) stations in Ajaokuta.
In addition, the company said it would deploy massive Compressed Natural Gas (CNG) of about 100 stations across the country in a bid to bring the gas closer to the people.
Group Chief Executive Officer, NNPC Ltd, Mele Kyari, who disclosed this during the simultaneous Commissioning of 12 CNG stations by the Minister of State, Petroleum Resources (Gas), Ekperikpe Ekpo, in Abuja and Lagos respectively, last Thursday, stated that the drive to bring Compressed Natural Gas closer to Nigerians has commenced and remained irreversible.
“There is simply no way to turn back on delivering CNG for all Nigerians. It is the right thing to do. Is it late? Yes, but we will make progress.
“We will cover the gap in order to ensure that the volatility we see with Premium Motor Spirit (petrol) does not apply to gas”, Kyari said.
He commended President Bola Tinubu for providing the needed support to drive domestic gas utilisation targeted at delivering cleaner and cheaper sources of energy to Nigerians.
In his remarks, the Managing Director of NNPC Retail Limited, Mr Huub Stokman, said the NNPC Retail, aside the 100 CNG stations, would build 16 NNPC Gas Marketing and NIPCO Gas JV sites, by next year.
“CNG provides Nigeria with affordable alternatives to existing available fuel products. It will be about 40 per cent cheaper than petrol in Nigeria, and with continued investments, it will become a significant part of our energy mix”, Stokman said.
On his part, the Chairman, NNPC Board of Directors, Pius Akinyelure, emphasised that increased CNG adoption would foster economic benefits by reducing fuel costs for consumers and businesses alike.

By: Lady Godknows Ogbulu

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