Oil & Gas
Olu of Warri , Kings Good Hosts of Niger Delta Crude Oil Bearing Communities
The Chairman and Chief Executive Officer of Lee Engineering & Construction Limited, Dr. Leemon Ikpea, who has been a major player in the oil and gas sector of the Nigerian economy for 46 years, has commended the good nature and behavior of some traditional rulers in the oil-bearing communities of Nigeria.
Singling out the Olu of Warri, Ogiamen Atuwase III, His Royal Majesty Pere Ayemi Botu and some Ovies in the Niger Delta Region of the country for their accommodation and cordial relations with oil companies operating in their communities.
Chief Ikpea, however, appealed to leaders and communities in the region, who are hostile to oil and gas companies in their domains to be more charitable and follow the good examples of the kings and people earlier mentioned saying, “Many Nigerians are very hardworking, they are equally very dedicated people, while majority of the Nigerian youths are ready to work, but if the work is not available and the environments where this work is available are hostile, it then becomes a problem, the country will invariably not prosper as expected.
That is why my advice to most communities where I find myself is to always tell them, that if they are lucky to find some people coming to invest and site their companies in their communities, the least that is expected of them is to cooperate with such company owners and the workers they bring to work in their communities. They are therefore to consider such an act as a rare blessing, which they should be grateful about. The Community leaders and the people should endeavor to work with such people to bring progress to their places. If this is done, the company’s management will be watching and noting developments in due course the company will be left with no other option than to give back to these host communities for all their assistance in helping them to grow.Sadly, in some communities in the Niger Delta Region, the hostility of the leaders and people in these communities usually prevents companies coming to set up in their areas because they don’t feel safe.
He continued, “I Chief Leemon Ikpea grew up in Warri. Warri in those good old days. While growing up in Warri as a young man, we had oil companies like MacDemond, alongside very many oil companies in Warri then. There were so many other activities going on in that City, but unfortunately, Warri unlike in the past is today an empty shadow of its old self. As we speak today, there is virtually nothing going on in Warri. For example, it is because I am a Warri boy, that is why I located my official base in Warri, just because I can’t run away from where, I grew up.
I must therefore seize this opportunity to thank His Royal Majesty, Ogiamen Atunwase III alongside other first class kings and Ovies in the Niger Delta Region for being such a wonderful host. I do have a very strong personal relationship with these kings. They have all been doing their very best to assist me and also help my outfits in their communities in doing their businesses effortlessly without any rift or rancur. This we are very grateful about. My appeal therefore, is for some leaders and communities in this same region to learn to co-operate with upcoming contractors trying to do business in their communities. My appeal is for them to cooperate with these young companies so that they also grow as we did. As most of the sponsors of these young companies are Nigerians they are not foreigners, even if they are foreigners, community leaders and their people need to learn to work with these people for them to grow and help develop their places. Nigerians want to give back to Nigerians and as such, it is unreasonable for Nigerians to be seen to be hostile to fellow Nigerians. Once we learn to show love to one another God’s blessings will surely follow.
On the Nigerian Senate investigating committee verdict, that commended him, for coming clean, not found wanting of any infractions in the N250 billion Naira Gas Expansion programme Fund Probe that was recently concluded, that gave a clean bill of health to Lee Engineering Company Limited, Chief Dr. Leemon Ikpea said, “My company and I, regard this verdict as a victory for the truth, integrity, industry and competence and an honour to all the genuine players in the Nigerian crude oil and gas industries. Dr. Ikpea in this exclusive interview, said, “I guess you know where we are coming from, as this is my 46 years in the Nigerian Crude oil and gas industry. We built the Warri Refinery in the early 70s, I was a Manager in that Refinery in 1984 when we were building the place. Not as a staff but as one of the major contractors that built that place. So, over the years, I have come to know and appreciate greatly what integrity is. I know what it is to be honest and hardworking. It is therefore usually very sad when some group of people for no justifiable reasons try to blackmail one, for selfish and malicious reasons, such an ungodly act gives one severe pains in the process.
He added, “Have you been to Lee Engineering facility in Warri? In that facility alone, we are taking care of more than four thousand people, multiply this number by three persons for example in a family, times this number that will give you on average about 12,000 people in one facility alone. I have over these years invested in this factory in Warri and I have spent more than over 100 million dollars in this place alone. At this point, we are at the completion stages of this particular factory. At some point in recent times, I discovered that we were short of funds. As expected I borrowed some money from my banks which is normal, as no business man or woman can survive without occasionally accessing some facilities from the banks. I therefore approached my banks and borrowed some money from them, I was therefore shocked and surprised when I saw an advertorial in the newspapers which included the name of Lee Engineering among the companies that allegedly borrowed money from the Central Bank of Nigeria (CBN), which was not true. If you must know the truth, I have never done anything in my entire life with the CBN and I honestly do not know anybody up till this day in the CBN. I was therefore shocked when the name of my company was included alongside companies that allegedly borrowed money from the CBN. So, the Nigerian Senate Committee headed by Senator Agom Jarigbe, invited my company alongside other companies accused of these infractions, about a week or so ago to Abuja, I went to the place with all my staff, it was at that particular meeting that I told the members of the Senate Committee investigating this matter, to endeavor to go to Warri and see for themselves our little efforts, what we have been doing over the years in Warri. The committee members truly went to our facility in Warri and they were amazed at what they saw on the ground. I was not there with them as I was already out of the country on some other assignments when they came visiting our facility, as I just returned back to the country from Qatar on Tuesday, the 5th of December 2023. I was told by my staff, who were on the ground to receive them, that they were highly impressed.
Dr. Ikpea further stressed, “It is human nature to see petty jealousy and attempt to blackmail people, who are minding their daily businesses and doing their jobs to the best of their ability.
Dr. Ikpea said, “As far as I am concerned, there is absolutely nothing for anybody to be jealous about me. Or an attempt to shoot me down, as at today that I am speaking with you, I have done my little beat at helping the people and communities where I operate to the best of my ability. As a way of giving back to the communities where I operate as part of my company’s Corporate Social Responsibility (CSR) and as a way of thanking God, for his good gesture towards me, and to appreciate better the good God in his infinite wisdom has bestowed on me as Chief Leemon Ikpea, I have trained more than 50 doctorate degrees holders in various fields of endeavours. Most of these people I have never met in person and they are not my relatives or tribes men and women. Most of these people are already working. While two of these boys I trained are presently in the United States Marines corps serving the United States Government in whatever capacity they find themselves. Before taking up the responsibility of training these boys, who are today in the U.S. Marine Corps, I had never met them. I only saw their names on social media and that was how I took up the responsibility of training them. In the same spirit, I have again trained more than 200 students in various institutions across Nigeria. As we speak, so many people are enjoying my personal sponsorship and scholarships. Ditto for sick, fragile, and weak people especially elderly in the society. Men and women, who were in their sick beds at the point of death, which God used me to rescue and help to restore their health. Many of these people I sponsored their medical trips to India, Germany, London and the United State of America. As we speak and just recently, I paid for all the medical bills of an old man from Effurun Community in Delta State, he is presently in London taking treatment. This particular man was in the intensive care unit in a hospital in Port Harcourt when his people got in touch with me. These honestly are the things that give me immense joy as a person. I always want people to be happy through me, not unnecessary pettiness, jealousy and blackmail that some people get involved in that makes no meaning to me. This is why Chief Dr. Ikpea is different from most people.
The Chairman of the Senate Committee on Gas, Senator Agom Jarigbe, who headed the Senate panel that oversee how the Central Bank of Nigeria (CBN) intervention fund was disbursed and spent, in a personal letter dated, Tuesday, December 5th 2023, addressed to the Managing Director and Chief Executive Officer of Lee Engineering and Construction Limited, declared that the committee found Chief Ikpea and his company not to have committed any infraction as far as the subject matter was concerned. This same letter commended Chief Ikpea for his immense contributions to the growth of the oil and gas industry of the country. Saying that Chief Ikpea’s zeal and development efforts need to be emulated by other companies in Nigeria.
The Ministry of Petroleum Resources has inaugurated a Technical Working Group to enhance gas reticulation practices in Nigeria’s building industry.
The ministry’s Permanent Secretary, Amb. Nicholas Ella inaugurated the Technical Working Group (TWG) between the National Gas Expansion Programme (NGEP) and the Council of Registered Builders of Nigeria (CORBON) on Wednesday.
Reports= says that reticulation refers to the process of creating a network of pipes or tubes to distribute gas or other utilities to buildings or industrial sites.
The permanent secretary restated the importance of creating energy smart cities, saying that modern urban development relies on efficient gas and utility distribution systems,
“Most modern cities in developed countries have evolved to energy smart cities where energy, specifically gas and other utilities are piped to districts and estates.
“However, one of the key tools in creating energy smart city is the National Building
Code which, in essence, sets the guidelines on Building Pre-design, designs, construction and post-construction stages,” he said.
The permanent secretary reiterated the benefits of reticulated gas systems for households and businesses alike, adding that it ensured metered supply akin to water and electricity,
According to him, it eliminates the need for cumbersome refills, and also enhances safety by burying pipes and incorporating advanced safety equipments.
“The TWG is tasked with designing a comprehensive policy to implement best practices for gas reticulation using LPG, PNG, and Bio-Gas across Nigeria’s building sector.
“Key responsibilities include reviewing the current National Building Code, examining global gas distribution systems, and proposing quality standards for materials used in gas installations,” he said.
The permanent secretary emphasised the need for rigorous safety protocols and guidelines to ensure the efficient and safe use of gas in construction.
He urged the group to prioritise environmental sustainability in its recommendations, adding that the group is expected to submit its report by Nov. 15.
Earlier, Mr Samson Opaliwah, the Chairman of CORBON. expressed the council’s commitment to collaborate with the group to ensure safe uptake of gas for use in houses and housing estates in Nigeria.
“I assure you of the williness of CORBON to leverage the expertise and resources at her disposal to ensure that steps are put in place for gas infrastructure in buildings and estates.
“The gas infrastructure will be safe, sustainable and world-class.
” Our collective efforts will yield clear, standardised guidelines for safe and effective gas systems in buildings, matched with a skilled workforce to meet growing demands in Nigeria,” he said. (NAN)
The Nigeria Extractive Industries Transparency Initiative (NEITI) has urged stakeholders to utilise its 2022/2023 oil and gas report for civic engagement, constructive dialogue, and public debate.
Executive Secretary of NEITI, Dr Orji Ogbonnaya Orji, made the call at the report’s public presentation on Thursday in Abuja.
The report was unveiled by Mr Ola Olukoyede, Chairman, Economic and Financial Crimes Commission (EFCC), alongside Sen.
George Akume, Secretary to the Government of the Federation and Chairman, NSWG, NEITI and other dignitaries.Orji emphasised the report’s significance in guiding policy, encouraging public debate, and improving governance in natural resource management.
He highlighted the report’s comprehensive data on revenues, governance structures, operations, and compliance within the oil and gas sector.
Speaking at the public presentation of the report, Akume reaffirmed the Federal Government’s commitment to transparency principles.
Olukoyede pledged to investigate the report’s findings and recommendations, noting that NEITI’s previous reports led to the recovery of over N1 billion.
The report is available on NEITI’s website, providing valuable insights into the sector’s performance and challenges.
The presentation was attended by Chairmen of National Assembly Committees, captains of industries, members of diplomatic missions, development partners, civil society organisations and the media. (NAN)
By Cletus Akwaya
Call it Dangote Republic and you would not be wrong, for that is what it means in real sense.
The ultra-modern Dangote Refinery and Petrochemical complex located at the Lekki Free Trade Zone in Lagos is the World’s Engineering wonder.
A guided tour for top Media executives in the country by the President, Dangote Industries Group himself, Alhaji Aliko Dangote on July 14, provided a rare privilege and opportunity to appreciate the project that has emerged as the World’s largest single train petroleum refinery.
Dangote, the Kano-born business mogul and Africa’s richest man, whose vision for the industrial transformation of Nigeria led to the initiation of this project is certainly a fulfilled person, having accomplished such a gargantuan task in the spelt of just about 10 years.
The refinery, which is built and equipped with the latest technology in the industry. It is a behemoth sitting on a huge land space of 2, 735 hectares, approximately seven times, the size of Victoria Island, the octane section of Lagos, which has become the abode for the very rich in the nation’s commercial nerve – centre over the decades.
The land was provided by the Lagos state government after the payment of $100million dollars by the Dangote Group as cost of the land.
The edifice didn’t come easy as the engineers had to reclaim 65million cubic metres of sand through dredging of the Atlantic coastline to pave way for the construction of the refinery and its accompanying facilities especially the Jetty.
The Dangote refinery is not a stand-alone project as it has a coterie of associated industries and infrastructure making it a self-reliant complex.
For instance, the company has a fully developed port (jetty)for maritime operations for both in-take of crude and discharge of refined products. This perfectly compliments the huge pipeline network that lands into the Atlantic for intake of crude and loading of refined products to ships. Its Jetty, which stretches 9KM into the international waters in the Atlantic Ocean and 12.5 KM from the refinery is perhaps one of the most modern in the world built with sand piles that shield the final landing points from the violent oceanic waves, thus providing for safety and stability of ships, barges and oil tankers.
The complex is accessed by 200KM network of concrete under-lay and well asphalted road network to ease vehicular traffic. The refinery has its dedicated steam and power generation system with standby units to adequately support operations of the various plants in the complex.
It has successfully completed a 435 MW power generating plant for its operations. The power generated from this plant surpasses the entire distribution capacity of Ibadan Electricity Distribution company, which supplies electricity to five states of the Federation including Oyo, Osun, Ondo, Ekiti and Kwara.
The Dangote refinery with a capacity of 650,000 bpd of crude oil is designed to handle the crude from many of the African countries, the Middle East and the US light crude. Its petrochemical plant is designed to produce 77 different high-performance grades of polypropylene, which is the major raw material for numerous industries and other refineries. With a huge refining capacity, Alhaji Dangote said the products from the refinery company would easily meet 100 per cent the needs of Nigeria’s demand for gasoline, diesel, Petrol and Aviation Jet with 56 per cent surplus for export, from which the company projects to earn a princely $25billion per annum from 2025.
The company has facility to load 2,900 trucks with its various products in a day by land and millions of litres of products through the waters depending on where the orders come from. The $25million projected revenue in 2025 could translate to a huge relieve for the nation in dire need of foreign earnings to shore-up the value of the nation’s currency.
The associated industry, the Dangote Fertilizers Limited also situated in the complex utilises the raw materials from petrochemicals to produce different varieties of fertilzers especially Urea, NPK and Amonia grades of fertilizers. Apart from the local market, Dangote is already exporting its fertilizers to other countries including Mexico, a testament to its high quality that meets world standards.
This feta, the President of Dangote industries explained was possible because of the high quality, the company has opted to pursue. In between the refinery and the fertilizers complex lies a 50,000 housing estate, which provided accommodation for the construction workers at the time of construction especially during the COVID-19 lockdowns of 2020, when workers remained encamped on the project site to continue with the work.
What stands out the Dangote Refinery is perhaps not in its sheer size and capacity but in the fact that it is perhaps the only of such projects whose Engineering, Procurement and construction(EPC) was done directly by the company without engaging the world renowned refinery constriction companies like Technip Bechtel (USA)Technip (France)Aker Solutions (Norway)Chiyoda Corporation (Japan)SNC-Lavalin Group (Canada)J. Ray McDermott (USA)JGC Corporation (Japan)Hyundai Heavy Industries (South Korea)Foster Wheeler (USA) and Daelim Industrial Company (South Korea)
“The design of the refinery was handled by dozens of Engineers and technical experts assembled in India and Houston, Texas, USA to execute engineering designs of the refinery,” said Edwin Kumar, the Executive vice President, Oil and Gas for the Dangote Group who midwifed the birth of the refinery complex.
“We didn’t give out contracts to anybody, we bought every single bolt and equipment ourselves and had it shipped into the country,” Dangote explained to his guests.
Part of the equipment imported into the country was the procurement of over 3,000 cranes to handle the evacuation of huge consignments of machinery from the wharf and for subsequent installation at the construction site. The cranes have become an unusual assemblage of such equipment to be found in one place on the African continent.
If there was any doubt that Alhaji Aliko Dangote is Africa’s richest man, the successful completion of the refinery and petrochemical complex at the cost of about $20billion has further confirmed his status as Africa’s leading businessman and entrepreneur.
However, Dangote does not really accept that he is the richest man on the continent,
“When you are rich, you accumulate cash, but when you wealthy, you create wealth” he told the top Media executives on tour of the huge project, explaining that he would rather prefer to be referred to as a “Wealthy man.”
And consistent with his business philosophy, Dangote hinted of plans to list the refinery on the Nation’s stock exchange by the first quarter of 2025. His vision is to avail the public of 20 per cent of the shares so as to ensure participation by Nigerians and even international portfolio investors.
The refinery company and the entire of Dangote Group at the moment provides direct employment to about 20,000 Nigerians and much indirect jobs to Nigerians, making it the highest employer of labour outside the government.
Most interestingly, the highly technical operations of Dangote refinery is operated by over 70 per cent of local manpower who work in the refinery control, centre, the numerous production and quality control laboratories among others. Some of the staff who explained their tasks to the visiting media executives said they were graduates of Engineering and allied disciplines recruited mostly from Nigerian universities and trained in various institutions abroad for periods ranging from sixth months – one year to master refinery operations. Through this strategy, Dangote has ensured transfer of technology to thousands of Nigerian youths.
“We don’t know where they come from as long as they are Nigerians and if they decide to leave and join international oil companies for better job opportunities, we have no problem with that,” Dangote responded to a question on the strategy to retain the technical manpower for stability of the refinery’s operations.
The Dangote Refinery is a Republic of some kind, at least an economic or industrial Republic.
But the man who presides over this ‘industrial empire’, Alhaji Dangote says his only ambition is to boot the nation’s economy and ensure netter life for Nigerians.
“When you import any product into Nigeria, you are importing poverty and exporting our jobs to those countries from where you are importing” Dangote said adding “this is why I want economic nationalism in Nigeria.”
Dangote’s vision even goes beyond Nigeria as he has cement factories and other business concerns in about 13 African countries including Ghana, Ethiopia, Tanzania, Uganda, etc. This signifies his continent-wide dream to transform Africa’s economies.
There has been attempts by some international oil companies to frustrate the successful take-off of the refinery, through over pricing and in some instances outright denial of crude supplies for processing. This made Dangote to commence importation of crude from the US. However, the cheering news that the Nigerian National Petroleum Company Limited (NNPC) has finally approved a supply arrangement has raised hopes that full operations will commence and that the long-awaited Dangote oil products will reach consumers around the country from August.
At last, the Dangote Group may have achieved its objective to serve as the elixir to Nigeria’s industrialisation effort. This is perhaps the greatest legacy of Africa’s richest man to his country of birth.
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