Exploration Suffers Setback As Nigeria’s Rig Count Dips 38.5% To 75
The rig count of Nigeria has dropped by 38.5per cent to 75 in the first 10 months (January – October), of 2021, from 122 recorded in the corresponding period of 2020.
This was revealed in a data obtained from the Monthly Oil Market Reports (MOMR) of the Organisation of Petroleum Exporting Countries (OPEC).
The rig count is utilised globally to measure exploration and production activities in the upstream sector of the petroleum industry.
According to the data, the highest rig count of 11 was recorded in August and September 2021, while the lowest of five was recorded in April and June, 2021, compared to the highest and lowest of 23 and six recorded in February and July, 2020, respectively.
However, this showed that the nation did not invest much of its resources to explore and produce oil and gas during the period under review.
However, the organisation did not provide reasons for the dwindling rig count, but reports point to the COVID-19 pandemic and the prolonged delay associated with the passage of the Petroleum Industry Act (PIA).
In any case, the rig count of some African oil and gas nations showed an improvement during the period under review.
For instance, the rig count of Angola stood at 40, indicating an increase of 33.1per cent when compared to 30 recorded in the corresponding period of 2020.
Speaking on the development, National President, Oil and Gas Service Providers Association of Nigeria (OGSPAN), Maxi Colman Obasi, said: “Lack of significant investment usually leads to low depletion of current reserves, due mainly to continued oil and gas production.
“It is highly probable that because of lack of legislation, it was not possible for the nation to attract much investment in the past.”
Obasi, who commended the legislators for the completion of work on the nation’s PIA, said: “But armed with the current PIA, the nation would likely start to witness substantial investment, capable of boosting investment in the industry.
“In other words, the industry stands a chance to record a substantial increase in rig count, exploration and the reserves addition.
“This should be encouraged as Nigeria had in the past failed to achieve its 40 billion barrels reserves target by 2020”.
Previously, Ghana National Petroleum Corporation (GNPC) Professorial Chair in Oil and Gas Economics and Management, Institute for Oil and Gas Studies, University of Cape Coast, Ghana, Prof. Omowumi Iledare, had said: “The rig count is far below expectation, bearing in mind that Nigeria is a leading producer with 30billion barrels reserves and over 200trillion standard cubic feet of gas.
In any case, Minister of State for Petroleum Resources, Chief Timipre Sylva, expressed hope that the PIA would stimulate investment, leading to increased rig deployment and other activities in the industry.
Specifically, he said: “The PIA 2021 will undoubtedly assist in harnessing Nigeria’s potential to achieve its plan of increasing oil production to 4mb/d and oil reserves from 37bbls to 40bbls, while also drawing on the country’s estimated 600TCF of natural gas reserves to provide clean and efficient energy.
“These resources will be crucial in supplying world markets with a broad portfolio of energy options, as well as supporting the global endeavour to alleviate energy poverty as envisioned in the United Nations’ Sustainable Development Goal 7.
“Furthermore, generous incentives have been proposed in the PIA 2021 to enable development, distribution, penetration and utilisation of gas.
“The National Gas Expansion Programme was also launched in January 2020 to drive domestic utilisation. Our proven gas reserves are sufficient to cover current demand levels and support plans for the construction of nine new gas-fired power plants with a combined name-plate capacity of nearly 6,000 MW by 2037.
“This validates gas as a viable and transformational fuel for industrial development. This is why President Muhammadu Buhari, who is also the minister of petroleum resources has declared 2021-2030 as the Decade of Gas, which provides the fulcrum for focusing effort and resources required at making gas the centrepiece of Nigeria’s economy by 2030.”
He added: “The PIA 2021 also preserves existing levels of government take for a transition period through grandfathering provisions, and proposes a fiscal regime that encourages investment in order to monetise existing reserves before the clock runs out.
“Thus, provisions relating to voluntary conversion, production allowances, lower royalties and taxes, cost optimisation focus, etc have been enshrined therein to address the envisaged fiscal vulnerabilities.”
We’ll Expand Socio-Economic Opportunities For All Rivers People -Fubara ……As Wike Bows Out
Rivers State Governor, Sir Siminalayi Fubara, has declared his administration’s resolve to expand the existing socio-economic opportunities in order to engender prosperity for all Rivers people.
Fubara made this declaration on Monday at the General Yakubu Gowon Stadium, Elekahia, venue of his swearing-in as the sixth democratically elected governor of Rivers State.
Chief Judge of Rivers State, Justice Simeon Amadi, administered the oath of office on the new governor and his deputy, Prof. Ngozi Odu.
Thereafter, the former governor, Chief Nyesom Wike, handed over the flag of Rivers State and handover notes to his successor.
Fubara, in his inaugural address titled “Together, Let’s Consolidate the New Rivers State”, noted the poor state of the national economy, but promised that his administration would take measures to diversify Rivers economy and insulate it so that it can grow.
He also assured of promoting the climate of ease of doing business in the State to attract direct foreign investment capable of empowering Rivers people.
“The primary responsibility of a new government is to do its best to advance the security and well-being of the State and its citizens.
“Therefore, as we undertake our responsibilities, we promise to stay the course, commit to cooperative governance and expand opportunities for everyone. The wishes of our people for a happy life are our mission in politics.
“We will prioritise the well-being of the State and citizens with a renewed focus on economic growth, people-centred projects and social services”, he said.
He said further that, “We will improve the ease of doing business and sustain a congenial fiscal regime to attract local and foreign direct investments to stimulate greater economic activities, create wealth and improve citizens’ livelihoods.
“We will adopt a re-industrialization policy master plan and partner with the private sector to revive or establish viable industries to create jobs and empower our people.
“We will also support the growth of small businesses and encourage commercial agriculture to achieve food security, industrialization and improved living standards for citizens.”
Fubara added that his administration is already building on the successes of his predecessor and will construct more projects including the Port Harcourt ring road.
According to him, there shall be healthy partnership with private investors to provide integrated inter-modular public transportation system in the State.
“We witnessed unprecedented growth in infrastructure in the last eight years, but there’s still more to do.
“We will follow our leader’s footsteps to invest in capital projects, including roads, bridges, electricity supply to our rural areas, and social housing.
“We will, therefore, partner with the private sector to develop an integrated multimodal public transportation system to advance mass mobility and access to socio-economic opportunities across the state.
“We will also construct the Port Harcourt Ring Road to enhance the mobility of goods and services across the State”.
Fubara said the challenges in the health sector like inadequate manpower and corruption would be addressed to achieve optimal performance.
In the education sector, he promised to provide smart classrooms for students to prepare for global competition, empower the youths with skills to become economically active while being connected to small and medium scale business opportunities.
He said, “We care about our youth. We know they need jobs, opportunities, empowerment and the freedom to build sound, promising futures. We will not abandon our youth to their fate. We will continue prioritizing education at all levels and empower our youth with the relevant skills and opportunities to become economically active, productive and prosperous.
“We believe in the job creation capacity of small and medium enterprises. And so, we shall facilitate targeted access to low-interest funds for youth entrepreneurs to start or improve their businesses, earn decent incomes and generate employment for themselves and others.”
The governor particularly acknowledged the achievements of his predecessor in the health sector saying, “We are also proud of the state’s achievements in the healthcare sector, particularly the construction of new primary healthcare centres, the Mother and Child Hospital, the Rivers State University Teaching Hospital, the Dr. Peter Odili Cancer and Cardiovascular Diseases Diagnostic and Treatment Centre and the contributory Healthcare Insurance Law.
“With what is on the ground, it is evident that the primary challenges with our healthcare system are more with inadequate manpower, corruption, indiscipline and ineffective management”.
Fubara gave a firm assurance by saying: “I assure you that apart from completing all ongoing healthcare infrastructure projects, we will deal with all identified challenges and ensure that the healthcare system functions optimally to deliver affordable and efficient healthcare to citizens.
“We are equally proud of the State’s unprecedented educational advancement, especially in the last four years. Our public schools at all levels, irrespective of location, are some of the lovely and best-resourced in the country.”
According to him, his administration will consolidate on the progress made so far by “introducing smart schools and classrooms across the State to empower our children with world-class learning experiences and make Rivers State a knowledge hub.”
Fubara vowed to be hard on crime and criminality in the State saying, “We will be hard on crime and criminality. We will swiftly and firmly deal with anyone, regardless of status or position, rich or poor, who breaks our laws or dares to violate our environment, peace and security”.
The governor thanked civil servants for their support and promised regular payment of salary, gratuity, more training, promotion for them and housing for low income earners.
Describing the civil servants as members of his constituency, he said, “To our civil servants, I thank all of you for your invaluable contributions to the state’s progress over the years.
“We appreciate your indispensability and promise to meet all our obligations to you, including regular payment of wages, pensions, gratuity, training and promotions. All we ask is your continued patriotism, dedication, and enthusiasm in the execution of your official duties”.
He further promised to govern Rivers people with the fear of God, cognizance of the fact that Rivers is a Christian state.
He also assured the church and spiritual leaders of his administration robust partnership to enhance the moral and spiritual wellbeing of Rivers people.
“Rivers State is a Christian State, and God is our foundation. We shall govern with the fear of God and stay strong to our Christian values of trust, faith, love, care and sacrifice.”
“We shall deepen the inseparable ties between the Church and the State government for the benefit of our people. We assure the Christian Association of Nigeria and other spiritual leaders of our sincere friendship, support and solidarity.
“We will continue to support and work with the Church to defend our faith, advance our values and enhance our people’s moral and spiritual well-being”, he assured.
At the Government House, Port Harcourt, the governor hung the official portraits of President Bola Ahmed Tinubu, his own and that of his predecessor, Wike.
… Appoints Nwaeke HoS, Ideozu Acountant General
The Rivers State Governor, Sir Siminalayi Fubara, has approved two new strategic appointments in the state Civil Service.
In the latest development, the governor has approved the appointment of the most senior civil servant and permanent secretary, Dr. George Nwaeke as Head of Service, Rivers State.
He also approved the appointment of Dr Uche Ideozu as the new Accountant General of Rivers State.
A statement signed by the Permanent Secretary, Ministry of Information and Communications in Rivers State, Ibiwari Clapton-Ogolo, Esq, said that the appointments take immediate effect.
The two fresh appointments bring to six the number of appointments already made by the governor since assuming duties on Monday, May 29.
The first set of appointments was the nomination of four former commissioners under Governor Nyesom Wike as commissioner-designates.
The names are Prof Zaccheaus Adangor, Dr Dakorima George-Kelly, Isaac Kamalu, and Prof Prince Chinedu Mmom.
While Adangor was attorney general and commissioner for justice, George-Kelly was works commissioner, Kamalu was finance commissioner, and Mmom was education commissioner.
Fuel Scarcity: Tinubu Resumes Work, Meet With Emefiele, Kyari
President Bola Tinubu yesterday officially resumed work at the Presidential Villa, Abuja where he met with the Governor of the Central Bank of Nigeria (CBN), Mr Godwin Emefiele and the Group Chief Executive Officer of the Nigeria National Petroleum Company Limited (NNPCL), Mr. Mele Kyari.
This was the first official assignment by the President after his inauguration as the 16th President of the country at the Eagle Square, Abuja, on Monday.
The President arrived at the forecourt of the State House at about 2:30 pm through the quarter guard gate, which is his official entrance gate and was received by the Vice President, Senator Kashim Shettima, the Permanent Secretary, State House, Tijjani Umar, Speaker of the House of Representatives, Femi Gbajabiamila and the outgoing Director of Protocol, DOP.
Others who received him were Emefiele, Kyari and a member of the House of Representatives, Hon. James Faleke, among others.
The President went straight to his office with Emefiele, Kyari, Gbajabiamila, Faleke and others.
Although the agenda of the meeting was not made public, it may not be unconnected with the removal of fuel subsidy and the attendant fuel scarcity.
It is expected that the issue of unification of foreign exchange, recent Naira redesign, among others will also be discussed.
Recall that President Tinubu had during his inaugural speech announced that the subsidy has been removed and this immediately made filling stations to shut down operations across the country.
Sports4 days ago
Iheanacho Disappointed Over Leicester Relegation
Niger Delta4 days ago
C’ River Residents Task Gov On Good Governance
News4 days ago
Senate Approves N1.4trn As Budget For NDDC
Business4 days ago
Customs Holds Training For Maritime Journalists
Nation4 days ago
Association Seeks Humanitarian Affairs Minister Portfolio
Politics4 days ago
We Are Here To Mend And Heal The Nation-Tinubu
Opinion4 days ago
Cultivating Culture Of Charity
Niger Delta4 days ago
Monarch Lauds Wike For Recognition Of Bonny Indigenes