Connect with us

Oil & Gas

FG to Increase oil Output to  2m bpd by December 

Published

on

Share

The Federal Government says it is targeting to increase crude oil production to two million Barrels Per Day (bdp) and beyond by the end of the year.

Mr Heineken Lokpobiri,  Minister of State for Petroleum Resources (Oil),  made this known in a meeting with the Abuja Energy Correspondent Association on Friday in Abuja.

Lokpobiri said the government was working assiduously to ramp up crude oil production to two million bpd by December and beyond by the end of 2023.

“The reason why we are underperforming is because of insecurity and we are gradually tackling those problems.

“My sole agenda is to increase production, once we increase production we will get more revenue for the country.

You know Nigeria is still more dependent on oil.

“Though the non-oil sector is also supporting the economy, a substantial part of our forex comes from oil.

“So, my ambition is to see how I can lead the sector to increase production so that we can get more revenue to deal with the fund and strategic rationale projects in the country,” he said.

The minister said already steadily there was increase in production, adding that as at last month it was 1.1 million barrels while currently it has increased to 1.3 – 1.4 million barrels.

“I get the reports from relevant authorities. Today, we are  doing about 1.4 million barrels of crude. So, we are steadily increasing but our target is to see how we can get to two million barrels,” he said.

Lokpobiri, while urging relevant stakeholders to put hands on deck to tackle challenges in the sector said he had been interacting with some of them, including the International Oil Companies and local producers.

He noted that the engagement with them was already yielding results.

“We have identified where the problem is, and where we are getting the shortfall and we are already engaging them within the next few weeks, we will be able to give you how far we have gone in that direction.

He said some of the solutions might not be immediate but once identified there would be provision of a good framework to address those problems.

He said the government was bent on rebuilding  the confidence of investors and rekindle the industry to become more competitive.

Earlier, the President of the association, Mr Victor Nnodim, had reiterated the association’s readiness for collaboration and sought the minister’s support in driving his developmental agenda and moving the industry forward.(NAN)

Oil & Gas

Dangote Petroleum Refinery Begins Production of Diesel, Aviation Fuel – Official

Published

on

Share

Dangote Petroleum Refinery has commenced production of diesel and aviation fuel.

Mr Anthony Chiejina, Group Head, Corporate Communications, Dangote Group, confirmed this in a statement to newsmen in Lagos.

Chiejina quoted the President of Dangote Group, Alhaji Aliko Dangote, to have elatedly thanked President Bola Ahmed Tinubu for his support, encouragement and thoughtful advice towards the actualisation of this project.

Dangote also thanked the Nigerian National Petroleum Company Ltd.

, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Nigerians for their support and belief in the historic project.

According to him, “We thank President Tinubu for his support and for making our dream come true.

“This production, as witnessed today, would not have been possible without his visionary leadership and prompt attention to details.

“His intervention at various stages cleared all impediments, thereby accelerating the actualisation of the project.

“We also thank the NNPCL, NUPRC and NMDPRA for their support.

“These organisations have been our dependable partners in this historic journey.

“We also thank Nigerians for their belief and support in this project,” he said.

Dangote said: “We have started the production of diesel and aviation fuel, and the products will be in the market before the end of the month.

“This is a big day for Nigeria. We are delighted to have reached this significant milestone.

“This is an important achievement for our country as it demonstrates our ability to develop and deliver large capital projects.

“This is a game changer for our country, and I am very fulfilled with the actualisation of this project.

“The refinery has so far received six million barrels of crude oil at its two SPMs located 25 kilometres from the shore.

“The first crude delivery was done on Dec. 12, 2023, and the 6th cargo was delivered on Jan. 8, 2024,” he added.

He said that the refinery can load 2,900 trucks a day at its truck-loading gantries.

He added that the products from the refinery will conform to Euro V specifications.

Dangote boss said that the refinery design complies with the World Bank, US EPA, European emission norms, and Department of Petroleum Resources (DPR) emission/effluent norms. State-of-the-art technology.

“I must extend our sincere appreciation to our Bankers and financiers, both local and offshore, who demonstrated a great deal of patience, in seeing us through many difficult times.

“In the same vein, we thank the Government of Lagos State, under the leadership of Babajide Sanwo-Olu, who has been incredibly proactive in ensuring that the many challenges we encountered in the course of executing this project were quickly resolved.

“I thank him immensely.

“I also sincerely thank our host communities and their traditional leaders for their sustained patience, forbearance, and admirable willingness to work with us to find amicable and win-win resolutions to the many issues we have had to deal with as the construction of this huge facility progressed.

“Our staff have also contributed so immensely to the success of this project. I thank them profusely,” Dangote added.(NAN)

Continue Reading

Oil & Gas

Refinery Rehab: Don’t Expect Immediate PMS Price Crash, Experts Tell Nigerians

Published

on

Share

Some Oil and Gas Experts have said that the coming on stream of both Port Harcourt and Dangote refineries may lead to some marginal reduction in the cost of petroleum products and not a significant price crash.

The experts made this known in an interview on Sunday in Abuja.

According to them, some ancillary costs such as freight and port charges, among others would have been eliminated to achieve the marginal reduction.

The Federal Government had on Dec.

21, announced the mechanical completion and flare start-up of the Port Hacourt Refining Company Limited (PHRC) and the subsequent streaming of its phase two in 2024.

This, according to the Minister of State Petroleum (Oil), Sen.

Heineken Lokpobiri, will herald the commencement of the production of petroleum products after the Christmas break.

The PHRC comprised of two refining units, with the old plant having a refining capacity of 60,000 barrels per day (bpd) and the new plant 150,000 bpd, both summing up to 210,000 bpd.

Reacting to the development, an Associate Professor of Energy and Natural Resources, University of Abuja, Olanrewaju Aladeitan, said there should be some marginal reduction in petrol prices as some ancillary cost would have been eliminated.

However, he explained that the price of petroleum products may not come down significantly as to describe it as crashing.

“The price may not come down significantly considering the fact that crude oil and condensates supply for the domestic market under the Petroleum Industry Act is going to be based on a willing supplier and a willing buyer basis.

“And the fact that the supply of crude oil will be commercially negotiated having regard to prevailing international market price for similar grades of crude,” he said.

With this provision, he said there would be no dedicated percentage of crude for local refineries.

“Hence international market price which of course is denominated in dollars will still be the determinant of cost of the crude oil that would be refined.

“So I do not see how the price of Petroleum products will crash,” Aladeitan said.

Also speaking, Mr Yushau Aliyu, an Economic Expert, said reaching to a mechanical test of the refinery after a very long fruitless effort was an indication that part of our refined Premium Motor Spirit (PMS) deficit would be attended.

Aliyu described it as a good signal of recovering in the forex deficit which dominated the dwindling liquidity crisis.

“In addition, the new Nigerian National Petroleum Company Limited (NNPC Ltd.) is responding to the immediate solution for availability of PMS in the economy.

“We are expecting the NNPC Ltd.’s retail stations to reduce their pump price due to absence of landing cost in the short term effects,” he said.

Another oil and gas expert who preferred to remain anonymous said it was obvious that some people in the oil and gas sector were engaged in an act of sabotage.

He frowned at the situation where the government preferred to spend so much, including foreign currency, to import fuel, rather than fix it refineries.

“They claim that the 60,000 barrels capacity refinery in Port Harcourt is back on stream, while the 150,000 barrels capacity will work soon.

“We are waiting to see them work, including that of Warri and Kaduna. When they are put to use, let’s see why fuel prices will not crash,” the expert said.

NAN reports that pump price of PMS has increased to N660 per litre at various fuel stations, while NNPC Ltd.’s retail outlets sell at N617 since the removal of subsidy in May 2023 due to high crude cost and high foreign exchange rate.

The after effect of the removal and high cost of fuel brought untold hardship and suffering on Nigerians due to inflation, increase in goods and services, among others. (NAN)

Continue Reading

Oil & Gas

NNPC Ltd, TotalEnergies Sign MoU on Adoption of Methane Detection Technology

Published

on

Share

The Nigerian National Petroleum Company Limited (NNPC Ltd) has signed a Memorandum of Understanding (MoU) with TotalEnergies for adoption and deployment of Airborne Ultralight Spectrometer for Environmental Application (AUSEA) in its upstream operations.

The agreement is a direct benefit from the Company’s participation at the recently concluded United Nations Climate Change Conference (COP28) in Dubai, UAE.

A statement on Tuesday by Olufemi Soneye, Chief Corporate Communications Officer, NNPC Ltd, stated that with the agreement, the company would be able to deploy the TotalEnergies AUSEA, known as methane detection technology on its upstream operations sites.

This, will ascertain the level of methane emissions from them, with a view to working out emission curtailment measures to help in combating global warming and climate change.

The MoU was signed by  Oritsemeyiwa Eyesan, NNPC Ltd’s Executive Vice President, Upstream,  and Managing Director and Country Chair, TotalEnergies EP Nigeria, Matthieu Bouyer, on behalf of their respective companies.

Putting the deal in proper perspective, the NNPC Ltd’s Executive Vice President, Upstream, Oritsemeyiwa Eyesan, said the pilot phase of the TotalEnergies AUSEA deployment would be on NNPC Ltd’s owned operations.

Eyasan added that the deal would enable the company to deploy methane abatement measures.

Other benefits of the TotalEnergies AUSEA technology include identification of unaccounted emission sources, establishment of a basis for querying and improving current emission reporting processes.

It will aid in provision of data to review operational system and implement corrective actions, and estimation of flare combustion efficiency.

The agreement was signed under the watch of the Group Chief Executive Officer (GCEO) NNPC Ltd, Mele Kyari, and Chairman and Chief Executive Officer of TotalEnergies, Patrick Pouyanné.

Speaking at the event, Kyari described TotalEnergies as a great and reliable partner over the years with whom the company was looking forward to exploring greater opportunities in the nation’s energy sector.

On his part, Pouyanné said his company was offering the technology to NNPC Ltd, in keeping with its commitment to promote responsible production of hydrocarbons.

He applauded NNPC Ltd for its successful transition into a limited liability company, stressing that he could feel the energy that the reforms have brought about, not only in the company but also in the sector. (NAN)

Continue Reading

Read Our ePaper

Top Stories

Education11 hours ago

Benue Born Medical Doctor Breaks Uncommon Grounds in Literature

ShareBy David Torough, Abuja  A Benue born Medical Doctor and a writer, Dr Mark Ogbodo, has broken uncommon grounds in...

NEWS11 hours ago

Tinubu Approves Implementation Of Oronsaye Report, To Merge Agencies

SharePresident Bola Tinubu has ordered the full implementation of the Oronsaye report.⁣ ⁣Consequently, it announced the merging, subsuming, scraping and...

NEWS11 hours ago

How SOAR Initiative is Changing SGBV Narratives in Abuja Community

Share Pigba Kasa community in Apo District, Abuja, says the intervention of Sexual Offences Awareness and Victims Rehabilitation Initiative (SOAR...

JUDICIARY11 hours ago

UPDATED-Court to Rule on Nnamdi Kanu’s Bail Plea, Preliminary Objection March 19

ShareA Federal High Court, Abuja, on Monday, fixed March 19 for ruling on the bail application filed by Nnamdi Kanu,...

NEWS12 hours ago

VP Shettima Flags off ‘Light Up Nigeria Project’ in South-East

ShareThe Federal Government on Monday flagged off “Light Up Nigeria Project’ in South-East aimed at providing electricity across the country....

NEWS12 hours ago

Popoola at 80: Ex-Military Administrator did a Lot to Reclaim LAUTECH – Makinde

Share Gov. Seyi Makinde of Oyo State has extolled Retired Maj. Gen. Oladayo Popoola for being instrumental to the negotiations...

Court Sentences Applicant to 6 Months in Prison for Stealing Cell Phone Court Sentences Applicant to 6 Months in Prison for Stealing Cell Phone
NEWS12 hours ago

Man, 49, Docked for Alleged N1.8m Fraud  

ShareA 49-year-old man, James Okon, was on Monday brought before a Surulere Chief Magistrates’ Court, Lagos, for allegedly obtaining N1.8...

NEWS12 hours ago

Customs Hands over Senior Officer to Own Police for Alleged Extortion

ShareThe Comptroller, Nigeria Customs Service (NCS), Federal Operations Unit, Zone ‘B’ Kaduna, Mr Dalha Wada-Chedi has handed over the officer...

JAMB JAMB
NEWS12 hours ago

JAMB Closes 2024 UTME Registration, Says Mock Slips Ready for Printing

ShareThe Joint Admissions and Matriculation Board (JAMB), says  registration for its 2024 Unified Tertiary Matriculation Examination (UTME)  ends  on Monday,...

NEWS12 hours ago

“We did not Seal NLC Secretariat” – Police

Share Police did not seal the secretariat of the Nigeria Labour Congress (NLC) at Yaba, Lagos, on Monday as being...

Copyright © 2021 Daily Asset Limited | Powered by ObajeSoft Inc