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Controversy Trails Port Harcourt Refinery Takeover

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Controversy has continued to trail the proposed take-over of Port Harcourt refinery by Oando Plc, recently given wide reportage by the media.
The media attention however, appeared to have unsettled the management of Oando, which readily issued a statement in form of clarification, signed by its Chief Strategy and Corporate Services Officer, Ainoije Alex Irune, explaining that:
The company stated that with the concerted efforts of the Ministry of Petroleum Resources and the Nigerian National Petroleum Corporation (NNPC) to aggressively drive private sector led refineries rehabilitation and expansion programmes, Oando as local partner to NAOC/ENI will support the active rehabilitation of PHRC on activities of terminalling, logistics, structuring and funding.
It explained that active negotiations are ongoing and it is expected that a final agreement will be reached by the end of July, 2017.
But ENI was one of the firms whose name featured prominently in the Malabu Scandal, a scandal involving an alleged bribery saga between company representatives and officials of the Nigerian government.
Its officials denied the charge. Although mentioned as being involved, former President Goodlcuk Jonathan denied any participation in the alleged bribery supposedly paid to him through proxies.
However, according to the Bureau of Public Enterprises, BPE, privatisation of refineries, chronicle of events, obtained by Sunday Vanguard, the PHRC transaction process effectively commenced in March 2004.
It stated, “Bids by four bidders were received at the deadline of December 2, 2005: They included Essar Infrastructure of India; Oando Plc; Refinee Petroplus; and Transcorp Plc (now Bluestar Oil Service Limited Consortium).
“On evaluation, it was discovered that all the four bidders did not meet the minimum qualification benchmark apparently due to misunderstanding of the provisions of the Request of Proposals circulated by CSFB.”
According to the BPE, “All the bidders’ technical bids were evaluated and recommended for the financial bid opening, scheduled for July 2006.
“The Bureau subsequently received a letter from the Honourable Minister of State for Petroleum Resources (now Minister of Energy) conveying Federal Government’s directive to suspend the conclusion of the privatisation of PHRC to enable government investigate a complaint by one of the bidders.
“The Economic Management Team (EMT) intervened to rescue the transaction and (complied) with the Policy Support Instrument (PSI). Subsequently, the transaction was re-opened and fresh advertisements for expressions of interest were placed in December 2006.
The deadline for submission of EOIs was January 19, 2007.” BPE further stated that six bids were received from the following prospective investors: Mittal Investments Limited, Indorama International Finance Limited, Global Oil and Energy, LinkGlobal International Limited, Taleveras Group and Oil Works Limited (DFP Project Finance Limited).
BPE explained that “following evaluation of new Expression of Interests, EOI, approval was granted for prequalification of eight consortia.
The firms recommended to proceed to the next stage included Essar Infrastructure of India, Oando Plc, Refinee Petroplus and Bluestar Oil Services Limited Consortium.
Others included Mittal Investments Limited, Indorama International Finance Limited, LinkGlobal International Limited and Global Oil and Energy. “BNP Paribas was engaged to conduct fresh valuation of the refineries.” BPE noted that at the financial bid opening, Bluestar Oil Services Limited Consortium emerged the preferred bidder with a bid of $561 million.
Other bidders were disqualified for breaching bidding rules. Refinee Petroplus was said to not to have presented the bank draft for 50 percent of their bid, while the bank draft (allegedly) provided by Oando Plc did not sum up to the 50 percent of their bid price as required in the bidding rules.
“NCP”, BPE then concluded, “subsequently approved Bluestar Oil Services as the core investor in PHRC.
Bluestar completed payment for the full amount of their bid price of $561 million on Friday May 25, 2007, and share certificate for PHRC was handed over to Bluestar Oil Services Limited on May 28, 2007,” BPE added.
Though the refinery was handed down over to Bluestar a day before former President Olusegun Obasanjo handed over power to late President Umar Yar’ Adua, the latter cancelled the privatisation exercise done for all the refineries.
Prior to that, the Petroleum and Natural Gas Senior Staff Association, PENGASSAN and Petroleum and the National Union of Petroleum and Natural Gas workers, NUPENG, had protested that sale of the nation’s refineries.
When our correspondent contacted the two unions, neither of them responded to calls nor text messages. But according to Oando, it “shares the vision of the Nigerian Government to become a petroleum product self-sufficient country in the short to medium term and ultimately be a net exporter of such products.
“Accordingly, pursuant to the Memorandum of Understanding (MOU) reached by the Federal Government and NAOC/ENI, Oando will partner with NAOC/ENI in the proposed rehabilitation of the Port Harcourt refinery (PHRC).
This will be based on a repair, operate and maintain (ROM) agreement which will see PHRC’s capacity grow from its current 30 percent to 100 percent, its main capacity of 210,000 BPSD.”

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Group Urges Opposition Parties To Be Constructive In Criticism

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A group under the auspices of Coalition for the Protection of Democracy (COPDEM) has urged opposition parties in the country to be constructive in criticising governments at the state and national levels.
The National Chairman of COPDEM, Prince Rwang Pam, gave the advice Saturday at the National Convention and Democracy Icons Award organised by the group in Abuja.
Pam, who expressed concern that presently there was no strong political opposition in the country, said opposition was not about developing hatred for a government in power.
“As far as political parties are concerned, we are not hearing their voices. Nobody is actually saying anything.
“An opposition is not about hitting the government or being anti-Tinubu or anti-APC.
“When it is good, say it is good and when it is not good, say it is not good.
“I think that is what an opposition should be; without fear or favour,” he said.
According to him, COPDEM is an opposition, not to politics but to anything that is standing against the health and the well being of the masses.
Pam equally advised politicians, whether in power or not, to love Nigeria and be ready to do the right thing.
He said that the award night was organised to appreciate the champions of democracy.
“Tonight, we pay tribute to the champions of democracy, whose unwavering dedication has paved the way for positive change in our nation, from grassroots activists to visionary leaders.
“Each nominee and award recipient embodies the values of integrity, transparency, and inclusivity that are the cornerstone of a thriving democracy,” he said.
Our correspondent reports that recipients of the icons award include Late President Umaru Ya’Adua; former President Olusegun Obasanjo; Presidential Candidate of Labour Party, Peter Obi and Femi Falana, SAN.
Others include Bishop Mathew Kukah; Late Minister of Information, Prof. Dora Akunyili; the Yoruba leader, Pa Ayo Adebanjo; Late Dele Giwa; Late Gani Fawehinmi; Sen. Shehu Sani; Oby Ezekwesili, among others.
Speaking to newsmen shortly after the event, Peter Obi, who was represented by Chief Peter Ameh, National Secretary of Coalition of United Political Parties (CUPP), dedicated the award to the Nigerian people.

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Business Community, Others Happy With Completion Of Old Bori Road

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The business community, indigenes, workers, drivers, motorists and market women from across the Nigeria have expressed joy over the completion of the Aleto-Ogale-Ebubu-Eteo road (known as old Bori road) in Eleme local government area of Rivers State that will now serve as an alternative to the East/West road being constructed by the federal government.
The over 11km-road, constructed by the administration of Sir SiminalayiFubara and would be commissioned on Tuesday, reduces travelling time between Port Harcourt and the Ogoni, Ogu/Bolo, Andoni and Opobo/Nkoro axis of the state, and Akwa Ibom and Cross River States.
Recall that the East/West road owned by the federal government is presently undergoing reconstruction after being dilapidated for several years, thus causing serious traffic jams and loss of lives and property as recently witnessed in a sad fire incident.
But users of the road are now commending the Rivers State Government led by Governor Fubara for completing the alternative road and making life easy as they go about their daily activities within and outside the state.
A worker at the Federal Ocean Terminal (FOT) in Onne, Rivers State, Fidelia Okonkwo stated that since the road was completed, going to work everyday has now become more pleasurable and less damaging to her car.
Okonkwo stressed that “The terrible nature of the East/West road really gave us nightmare and one can now imagine the difference this new road has made. I find it so easy to drive to work now, at a time; I parked my car at home and join public transport to work. I must say kudos to the Rivers State government.”
A driver that plies the Port Harcourt-Ikot Abasi route, IdongesitOkon expressed joy over the alternative route, saying he now spends less hours carrying passengers between Rivers and Akwa States, in addition to spending less fixing his car due to the bad state of the road.
He praised the Rivers State Government for delivering on the road, pointing out that when the governor awarded the contract, they thought it was the usual politician way of doing things but that they were shocked when contractors finished the project.
According to him, “Help us thank the governor, God go bless am, we no believe am when he say him go finish the road but now see as the road dey smooth, we dey enjoy am well well.”
An indigene of Aleto-Eleme, Obarilomate Godwin expressed gratitude to the government, stating that the completion of the road would save the community from perennial flooding, in addition to improved movement along the road.
“I am really happy for this road project, before now, during raining season, the road would become flooded and it will be difficult to move around. But now, we are happy that there won’t be flooding and we can easily move from one point to the other.
“I must admit that Governor Fubara is working hard despite the political distractions in the state; we can only ask that he does more for the people of Eleme, we know that the ring road is coming and the contactor is on site, this is really good, we thank him,” he added.
Mrs Agnes Ogwutum, who sells at the Eleme market, while expressing happiness over the road, saying it enables them to move their goods quickly, called on the state government to quickly finish the ongoing ring road project, saying it will help increase the number of people coming to the market.

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Nigeria, China Sign MoU On Economic Growth

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The Nigeria Customs Service has signed a Memorandum of Understanding with the General Administration of Customs, People’s Republic of China, to foster bilateral relationships and enhance economic growth.
This was contained in a statement, yesterday, by the National Public Relations Officer, NCS, Abdullahi Maiwada.
According to the statement, the Comptroller-General of the NCS, Adewale Adeniyi, signed the MoU when he led a management team of the service to Shenzhen metropolis of China.
Speaking during the visit, Adeniyi appreciated the Vice Minister of the Chinese General Administration of Customs, Wang Lingjun, for showing interest in signing the agreement.
Adeniyi explained that the new MoU with China “would boost the countries’ import-export operations and favour the Micro, Small and Medium Enterprises in Nigeria,”
“We know a lot of Nigerian companies and Small and Medium Enterprises take advantage of the opportunities aided through e-commerce,” Adeniyi added.
He expressed optimism that the agreement would serve as a critical component of cooperative security and trade relationship between the two countries.
The relationship would create a cooperative mechanism for NCS and the GACC to collaborate on supply chain security standards and enhance the economic stability of both nations, he said.
According to him, these are some of the many reasons the NCS pays attention to what is happening in China.
“As you have said, China is making the biggest trade in Nigeria, and the basic context of international trade is ‘your export, our import’. I appreciate the numbers that you gain in Nigeria. But it is also common knowledge that those numbers sometimes must take account of the large volume of informal trade that exists between us,” the CGC said.
Earlier, Lingjun, who was represented by Sun Yuning, while signing the MoU, expressed satisfaction with Adeniyi’s vision.
Lingjun added that the affiliation between the two government agencies “would serve as a mechanism for creating opportunities that Nigeria and China share on a wide range of economic issues and trade facilitation.”

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