Category: Nigeria

The Nigerian National Petroleum Corporation (NNPC) has awarded yearly crude oil lifting contracts worth about $40 billion to mostly Nigerian companies, and by so doing, downsizing contracts awarded to international oil traders. In a break with tradition, no contracts were given directly to foreign traders such as Glencore, Trafigura and Vitol, with only Switzerland’s Mercuria winning a contract, according to a list obtained by Reuters news agency. By this development, global traders need to partner with the local companies to access crude from Nigeria, Africa’s top producer. The crude lifting contracts cover around 340 million barrels of oil, worth close to $40 billion annually based on current Brent prices, and run for a year, though they can be renewed. They were allocated to just 28 companies, as against about 50 in 2012. The list, released by the NNPC, according to the newswire is preliminary and subject to revision. A […]

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The United States Ambassador to Nigeria yesterday said his country was willing to help Nigeria tackle crude oil theft. Mr James Entwistle said this at the opening of this year’s edition of a multi-national military exercise in Lagos, codenamed Obangame Express 2014. He said a report has been prepared on a request made by Nigeria on ending crude oil theft. "As many of you are aware, last September, when President Jonathan and President Obama met in New York, we were asked to help your government in the struggle against oil bunkering. We sent out an inter-agency delegation and have delivered a report to your government," he added. The ambassador said: "US remains absolutely committed to collaborating with and supporting Nigeria in its ongoing efforts to increase maritime safety and security in the region." Earlier, Chief of Naval Staff Vice Admiral Usman Jibrin told journalists that the Navy […]

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IN the last two months, Nigerians have groaned under the pain of fuel scarcity. Since February they have been wondering if and when solution would be found to the persistent scarcity. Their wondering has turned into fear that this scarcity is another ploy by government to increase the pump price of fuel. This fear was first expressed soon after the scarcity became evident across the country. The reason for this was simply because of the speculation which began towards the end of last year that government planned to increase the price of fuel. The planned strike of oil workers early this year to protest against the privatisation of refineries, many thought, was aimed at thwarting the increment in fuel prices that was seen as the expected outcome of privatisation. There were assurances thereafter that the refineries would not be privatised and for which reason the strike was called off. […]

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Nigeria’s total crude export declined by 13.45 per cent, between December 2012 and December 2013, leading to a loss of $1.134 billion, about N181.44 billion, due largely to a 90 per cent drop in crude oil exports to the United States which has stepped up production of shale oil and gas, LEADERSHIP has learnt. Specifically, the country recorded total crude export of 64.537 million barrels in December 2013, down by 10.03 million barrels from 74.564 million barrels recorded at the end of 2012. As a result, the country earned $7.299 billion, about N1.168 trillion, from crude export as at December 2013, down by $1.134 billion (N181.44 billion) from $8.434 billion, about N1.349 trillion, recorded in December 2012. KPMG Professional Services had in February warned that the discovery and exploration of shale oil and gas across the globe would put Nigeria’s economy at serious risk, unless the country was able […]

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The Nigerian National Petroleum Corporation, NNPC, has put the combined average capacity utilisation of Nigeria’s four refineries at 25.95 per cent for the month of December 2013. According to data from the NNPC’s December 2013 Monthly Petroleum Information, this is a significant improvement from the 6.46 per cent average capacity utilisation of the refineries in November 2013, and a slight decline from the 30.87 per cent utilisation year on year to December 2012. The refineries are the Kaduna Refining and Petrochemical Company (KRPC), Port Harcourt Refining Company (PHRC 1 & 2), and the Warri Refining and Petrochemical Company (WRPC). Specifically, the NNPC put the respective average capacity utilisation of the refineries in December, as: KRPC – 32.96 per cent, PHRC – 4.48 per cent, and WRPC – 40.41 per cent. According to the NNPC, 388,000 metric tonnes, MT, of dry crude oil, condensate and slop was received by the […]

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The Nigerian National Petroleum Corporation, NNPC, has put the combined average capacity utilisation of Nigeria’s four refineries at 25.95 per cent for the month of December 2013. According to data from the NNPC’s December 2013 Monthly Petroleum Information, this is a significant improvement from the 6.46 per cent average capacity utilisation of the refineries in November 2013, and a slight decline from the 30.87 per cent utilisation year on year to December 2012. The refineries are the Kaduna Refining and Petrochemical Company (KRPC), Port Harcourt Refining Company (PHRC 1 & 2), and the Warri Refining and Petrochemical Company (WRPC). Specifically, the NNPC put the respective average capacity utilisation of the refineries in December, as: KRPC – 32.96 per cent, PHRC – 4.48 per cent, and WRPC – 40.41 per cent. According to the NNPC, 388,000 metric tonnes, MT, of dry crude oil, condensate and slop was received by the […]

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Emergency workers at the scene of an explosion on Monday that killed at least 71 people in Abuja. LAGOS, Nigeria — Militants struck near the heart of the Nigerian state early Monday, bombing a bus station in the capital, Abuja, just miles from the seat of government in one of the worst attacks in years in the country’s struggle with insurgents. At least 71 people were killed in a blast that ripped through dozens of vans and coaches, leaving a grim spectacle of dead and wounded. Top Nigerian officials, whose offices are a short distance away, immediately attributed the bombing to the Islamist group they have been battling for years, Boko Haram. If that turns out to be the case — and the group itself rarely acknowledges its actions — Monday’s bombing would represent a significant amplification of Boko Haram’s bloody campaign to undermine the Nigerian state. Over the […]

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An explosion has blasted through a busy commuter bus station on the outskirts of Nigeria’s capital, Abuja, as hundreds of people were traveling to work. Many are feared dead. The blast destroyed more than 30 vehicles and caused secondary explosions as their fuel tanks exploded and burned. The Boko Haram terrorist network has been threatening to attack the capital, in the middle of the country and hundreds of miles from its traditional base in the northeast, where it has killed hundreds of people this year. The Islamic extremists claimed a 2011 suicide bombing by two explosives-laden cars that drove into the lobby of the United Nations office building in Abuja. It killed at least 21 people and wounded 60.

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Oil India Ltd. (OINL) , the nation’s second-biggest state-run explorer, is studying an acquisition of Nigerian oil and gas assets owned by Royal Dutch Shell Plc (RDSA) , according to people familiar with the matter. Oil India is weighing a bid for stakes Shell holds in some onshore blocks, valued at as much as $2 billion, the people said. It will partner with India’s Sandesara Group on the potential purchase, according to the people, who asked not to be identified as the deliberations are private. The explorer joins Dangote Group , controlled by Africa’s richest man, and Seplat Petroleum Development Co. in seeking to acquire Nigerian assets being sold by Western rivals. Shell and Chevron Corp. are divesting fields in the country amid persistent violence and crude theft in the oil-rich Niger River delta. India’s government-run oil companies are building on their record $5.5 billion of acquisitions last year […]

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QUEUES for petrol still dot many Nigerian cities and villages. This is to tell government that importation would never solve the country’s challenges with fuel. Groups that once challenged governments over the matter have long gone to other affairs, seeing how selective governments remain about matters on which they heed advice. Nobody bothers government any longer about the domestic refineries,which are oscillating between public and private ownership. In moments of apparent concern or fitful wakefulness, government announces privatisation or sale of refineries. After predictable public outbursts rejecting the proposal, our listening government relents. A long bout of silence ensures. What appears uttermost in the minds of Nigerians is getting affordable fuel for their vehicles and to run their power generators, without which they are guaranteed darkness. Many parts, these days, go for weeks without electricity. Where it is available, it is at most epileptic. The concentration on getting through […]

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