Entrenching the R&D Culture for Sustainable Capacity Building

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ENERGY REPORT

LOCAL CONTENT

SUSTAINABILITY

INFRASTRUCTURE

BUA to Complete 200,000bpd Refinery in Nigeria Before 2025 AKK Pipeline Project: NRC Begins Haulage of Line Pipes

Entrenching the R&D Culture for Sustainable

Capacity Building

Eni Ramp Up Oil JV Operations in Nigeria to Fund Renewable Energy Ship Pollution: NIMASA To Ensure Availability of Sulphur Compliant Fuel Total declares force majeure on $20bn LNG project in Mozambique Climate Change, Carbon Economy and Co-benefits of Gas Utilization

ENERGY WOMAN

“ the golden formula is that you make your own luck; staa by always being prepared for oppoounities… ” Oghogho Effiom, African Regional Director (SPE) & Snr Hydrocarbon Dev't Planner (Shell Nigeria)

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CONTENTS APRIL 2 0 2 1 VOL 4 NO 4

MAJORWAVES

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ENERGY REPORT

LOCAL CONTENT

SUSTAINABILITY

INFRASTRUCTURE

Digitalisation: key to reducing crude oil production cost — Derefaka

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BUA to Complete 200,000bpd Refinery in Nigeria Before 2025 AKK Pipeline Project: NRC Begins Haulage of Line Pipes

Entrenching the R&D Culture for Sustainable

Capacity Building

Eni Ramp Up Oil JV Operations in Nigeria to Fund Renewable Energy Ship Pollution: NIMASA To Ensure Availability of Sulphur Compliant Fuel Total declares force majeure on $20bn LNG project in Mozambique Climate Change, Carbon Economy and Co-benefits of Gas Utilization

ENERGY WOMAN

“ the golden formula is that you make your own luck; staa by always being prepared for oppoounities… ” Oghogho Effiom, African Regional Director (SPE) & Snr Hydrocarbon Dev't Planner (Shell Nigeria)

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No Timeline for Deregulation Yet in Nigeria’s Downstream Sector – NNPC Boss

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“Nigeria’s Gas Resources Would Mean Nothing If…”- Attah

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NCCF: NCDMB Sets Up $20m Loan Support For Women In Business

Nigeria’s Burgeoning LPG Market

“The golden formula is that you make your own luck; start by always being prepared for opportunities”- Effiom

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NCDMB To Partner Amnesty Office on Capacity Development

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Gas Pricing Hindering Investment in Power Transmission, Distribution — DPR

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Shell Sets Target to Provide Electricity to 100 Million People By 2030

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WIEN/REAN Make Clarion Call for Corporate Signatories to Gender Charter

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From training of lecturers to rehabilitating vocational centres, sponsorship of research-oriented programmes, boot camps and provision of funding, the NCDMB is deliberate about its quest to entrench R&D as a culture towards building lasting capabilities and capacity in the nation’s oil and gas space. With a carefully-followed agenda in this regard, it’s almost certain that Nigeria will arrive at about 70 percent local content, which translates to a $14 billion in-country spend from an annual $20 billion across the nation’s hydrocarbon industry. Our cover story brings you more on this. How is it that Mozambique is on the verge of losing Total’s $20 billion earmarked for development of Liquefied Natural Gas at a time when global investment in hydrocarbon is drying up from commitments to energy transition models? Find out inside. Inter-connectivity of Nigeria’s transportation infrastructure is already playing a role in the AKK project. Find out how. Oghogho Effiom is our Energy Woman for the month. She was recently appointed into the office of Africa Regional Director for SPE International. This interview is a “must read” for women professionals, whether they are already high up the corporate ladder or just struggling to make an impression as freshers. These and many more stories in our April edition will keep you abreast with major events in Africa’s energy space. Let’s hear from you, please. Thanks

Jerome Onoja

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Editor’s Note Publisher Joshua Bretz Managing Editor Jerome Onoja Editor Margaret Nongo-Okojokwu Business Development Stanley Etim Taiwo Olamilekan Amicable Aluu Production Solomon Obande Toma Stephen Research Analyst Simon Olanipekun Correspondents: Lagos Ikenna Omeje Abisoye Vincent Emeka Enunwah Daniel Terungwa Chukwunonso Mordi Port Harcourt Arit Dan Stella Odogu US Omaya Joko UK Kunle Kazeem

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Majorwaves Energy Report is published by Majorwaves Communications, 25B, Adebayo Doherty Street, Lekki Phase 1. Lagos Phone: +2349035477966 Email: info@majorwavesenergyreport.com www.majorwavesenergyreport.com

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INDUSTRY NEWS

BUA to Complete 200,000bpd Refinery in Nigeria Before 2025 By Ikenna Omeje

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ith the signing of a progress acknowledgment statement between BUA Group and Axens of France fo r th e fo rm er ’s p ro p os e d 200,000barrels per day refinery in Akwa Ibom, the Group has expressed optimism about completing the project before 2025. With a target of between three to four years for construction, the firm noted that the refinery is expected to be operational by 2024 all things being equal. This comes as the French President, Emmanuel Macron, has commended the Chairman of BUA Group, Abdul Samad Rabiu, for his commitment to the development of lasting relationships between French and Nigerian businesses. Represented by Franck Riester, the French Minister for Foreign Trade and Attractiveness, Marcon invited Abdul Samad to the “Choose France Summit” and said his administration is ever ready to support peopleoriented and developmental projects in Nigeria. “I am very pleased to see how

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committed Abdul Samad Rabiu is for the refinery and in the space of philanthropy,” Macron said. Speaking at the ceremony yesterday, Rabiu stated that the refinery, when fully operational, would reduce the huge cost of transporting crude oil offshore, refining it and bringing it back into the country. Rabiu added that the decision to site the refinery in Akwa Ibom – Southern Nigeria was strategic due to the huge availability of raw materials and its proximity to export petroleum products to regional countries. He added that the multi-billiondollar integrated 200,000 bpd refinery and petrochemicals plant will be producing Euro-V fuels and Polypropylene for the domestic and regional markets. BUA explained that Axens was selected, after a comprehensive process, for its advanced technology licenses, basic engineering, catalysts and adsorbents, proprietar y equipment, training and technical services. BUA Group Chairman and CEO, Abdul Rabiu, said: “The refinery

and petrochemicals project is in line with BUA’s vision to develop local capacity in key industries where we can add the most value and raw materials can be sourced locally. Once completed, this RFCCbased complex will produce highquality gasoline, diesel, and jet fuel meeting Euro-V specifications for the Nigerian and larger regional markets. “Also, it will produce propylene, an essential component for the petrochemicals industry used in polypropylene-based plastics and packaging. This project will help in reducing Nigeria’s dependence on imported fuels and petrochemicals.” Riester, during a visit to the BUA Group office in Lagos, where he handed over a personal invitation from President Macron to Abdul Samad Rabiu to attend the Choose France Summit in June in Paris representing business leaders from Nigeria and Africa, acknowledged that the project is advancing on schedule. Source: The Guardian


INDUSTRY NEWS

Digitalisation: key to reducing crude oil production cost — Derefaka

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ig it a lis atio n is key to reducing the Unit Operating Cost (UOC) of producing crude oil in Nigeria to $10 per barrel by December 2021, according to a technical adviser to the Minister of State for Petroleum Resources.

Mr Justice Derefaka, Technical Adviser, Gas B usin ess an d Policy Implementation to the Minister, made the assertion on Thursday at an Exploration and Production (E&P) Industry Cost Reduction Webinar. It had as its theme: “Building Digital Competencies To Improve Asset Management Efficiency In The Nigerian Oil And Gas Sector“. Derefaka said, “Now more than ever, oil and gas organisations are using technology to drive down

production costs to improve margins as they fight prolonged drops in oil prices. “The driving objective of this webinar is to discuss the imperatives for E&P companies in the Nigerian oil and gas sector to achieve operational excellence in asset management, toward realising a UOC of $10/bbl by 2021. “One of the main drivers for the achievement of this initiative is digitalisation.” According to him, apart from investing in digitalisation and modern technology, oil and gas companies need to train their workforce periodically to harness its benefit. He said, ”Investment in technology and workforce capacity and competence development are essential to surviving current market

conditions. “The key challenge to a digital oil and gas company that would successfully transform through technology and emerge stronger from the crisis appears to be a competency gap. “Presently, a significant share of companies do not have the competencies necessary to realise the technology’s investment value.” Derefaka said the Minister of State for Petroleum Resources, Chief Timipre Sylva, was committed to reducing the UOC of producing crude oil which was still over $20. H e s ai d t h at t h e Fe d e ra l Government was also targeting production of three million barrels per day, which could be achieved by digitalisation and deployment of modern technology by oil and gas companies.

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INDUSTRY NEWS

ADITOP Hails NNPC’s Downstream Strides

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group of petroleum tanker owners in Nigeria under the auspices of the Association of Distributors and Transporters of Petroleum Products (ADITOP) has commended the Nigerian National Petroleum Corporation (NNPC) for its unrelenting efforts to bring sanity into the downstream sector of the oil industry Speaking during a visit to the NNPC Towers Abuja, the National President of ADITOP, Alhaji Lawal Mohammed, expressed delight at the achievements of the Corporation under the

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leadership of Mallam Mele Kyari, especially in the area of stakeholder engagement. Group Managing Director of the NNPC, Mallam Mele Kyari (Right) with the National President of ADITOP, Alhaji Lawal Mohammed. “This singular action of meeting with us defines you as a leader with limitless leadership humility and untiring capacity for encouraging the concept of stakeholder management and eagerness to carry us along in every public policy engagement of the NNPC concerning the

oil and gas value chain,” Mohammed stated. He pledged the group’s sup p or t for N NP C stressing that they were ready to place their trucks and retail outlets at the disposal of the Corporation for any pilot programme and investment initiative. While welcoming the A DITOP lea dership to the NNPC Towers, Mallam Kyari pledged to work with the petroleum products distributors to sustain the prevailing sanity in the downstream sector.


INDUSTRY NEWS

No Timeline for Deregulation Yet in Nigeria’s Downstream Sector – NNPC Boss

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he Group Managing Director of the Nigerian National Petroleum Corporation, NNPC, Mallam Mele Kyari, has said that there was no timeline for full deregulation of the oil sector in the country at present. Kyari, who stated this in an interview with State House correspondents after meeting with President Muhamma du Buhari at the Presidential Villa, Abuja, also assured Nigerians that the queues at petrol stations in some parts of the country would soon fizzle out. His reaction came against the backdrop of fresh petrol scarcity in the Federal Capital Territory, FCT, Niger and Nasarawa states which led to the product selling for as much as N500 per litre in the black market. Kyari said: “I have no update in hand now, this (deregulation) is beyond me, but we are engaging to make sure we have the right timeline.” Responding to a question on his position on subsidy, having said few weeks ago that subsidy would set in no matter the situation and his recent statement that there would be no increase in petrol price in the month of May, he said that subsidy

was a government policy matter. “Subsidy is a policy matter, I am sure you are aware of this, there are engagements going on within government to get the best framework for having a fully deregulated PMS market.

is anything much to worry about,” he said.

“As this is going on, we are engaging all parties and all stakeholders as government and to make sure that at the end of the day, there is an exit that is beneficial to the ordinary man.

On the fuel queues that surfaced in Abuja and adjoining states yesterday, the GMD explained that the queues were a result of the industrial action embarked upon by petroleum tanker drivers against their employers, the National Association of Road Transport Owners, NARTO, on compensation package which made them to suspend loading of petroleum products at the depots.

“That is why we know we will not be able to complete that in the month of May and, therefore, we declared that there will be no increase in fuel price.”

Kyari said the disagreement had been sorted out, following the intervention of NNPC, adding that normal loading operations had commenced from the depots.

Fielding question on the increasing market price of crude oil to about $67 per barrel and how it had impacted on NNPC finances, being the major importer of the product, he said there was no cause for alarm.

He also said government had embarked on engagements with relevant stakeholders to get the best framework to have a fully deregulated Premium Motor Spirit, PMS, which he described as a government policy.

” You know it works both ways. Once prices increase, your revenue also increases. So, I don’t have any numbers around it, but I also know that your obligation to price of petroleum increases and your net revenue also increases. There is a balancing factor, I don’t think there

He said: “These queues will go away. It is because there was an industrial action by petroleum tanker drivers against their employers, the National Association of Road Transport Owners around their compensation package.

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INDUSTRY NEWS “Those issues were not resolved up till yesterday (Monday), until we intervened to ensure that there is an amicable settlement between the parties so that they will have peace and then normal loading operations will commence from the depots.

NNPC, SEEPCO Sign Gas Development Agreement By Ikenna Omeje

“As I speak to you at this moment, loading has commenced in all depots in the country, dispatches of trucks are ongoing in all the depots in the country, and they have called off the strike for a period of one week to enable us intervene and find a solution. So, there is really nothing fundamental that is happening now.” Meanwhile, motorists besieged petrol stations around the Federal Capital Territory, FCT, yesterday, despite assurances by the Nigerian National Petroleum Corporation, NNPC, that there would be no hike in the ex-depot price of petrol. Checks around the nation’s capital, Abuja and surrounding towns and states, showed that most independent petrol stations were shut, with only few major marketers opened to motorists. Expectedly, motorists flocked around the few stations with the product, with queues stretching for long distances. The scene at the two petrol stations, Total and Conoil opposite the NNPC Towers at the city centres, was chaotic as motorists struggled to gain entrance into the stations. Youths took the advantage of the situation to make brisk business as they hawked petrol in 10 litre kegs for N5,000, amounting to N500 per litre. NNPC Group Managing Director Mallam Mele Kyari had on Monday said that there will be no increase the ex- depot price of Premium Motor Spirit, Petrol, in the month of May. Source: Vanguard

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he Nigerian National Petroleum Corporation (N N P C) a n d Sterlin g Exploration and Energy Production Company (SEEPCO), on Thursday, April 22, 2021, signed a Gas Development Agreement (GDA) in Abuja. “This latest milestone provides the terms for the development of OML 143 Gas, providing gas for the domestic market which aligns perfectly with the Federal G overnment ’s National Gas Expansion Programme (#NGEP),” NNPC tweeted via its verified Twitter handle @NNPCgroup. It would be recalled that both companies in September 2020 signed a natural gas deal that will see the development and commercialization of gas from Oil Mining Lease (OML) 143. The project, which could rake in between $500 and $600 million, is aimed at reducing gas flaring in the country and monetizing it. SEEPCO, which partners NNPC in the OML 143, is an indigenous

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c o m p a ny c h a ire d by To ny Chukwueke. The company ventured into Exploration and Produc tion (E&P) business in the year 2005. SEEPCO participated in the 2005 bid round held by the Department of Petroleum Resources (DPR) and was successful with the license of OML 143 (formerly OPL 280). Gas is seen as the energy of the future and Nigeria has over 200 Trillion Cubic Feet (TCF) of gas reserves and over 600TCF of unproven gas reserves, which if properly harnessed will make the country to continue to remain relevant in the energy market, as the world transits from fossil fuels to green and cleaner energy. As part of the Federal Government’s gas revolution agenda, President Muhammadu Buhari, on March 29, 2021, launched the “The Decade of Gas” programme, which aims to make Nigeria a gas-powered economy by 2030.


INDUSTRY NEWS

Eni Ramp Up Oil JV Operations in Nigeria to Fund Renewable Energy “We aim to replicate our Norwegian Var model in different countries, with potential business combinations which are currently under screening,” Gattei said at the time. Other companies have gone down the same path in recent years. BP merged its Norwegian operations with local producer Det Norske in 2016 to create Aker BP, which trades on the Oslo Stock Exchange.

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taly’s Eni is considering spinning off oil and gas operations in Nigeria and other West Africa and the Middle East countries into new joint ventures to help reduce debt and fund its shift to low-carbon energy, according to company and industry sources. Africa’s biggest foreign oil and gas producer, Eni has prize assets in Nigeria, Congo and Angola. It has big production centres in Egypt and Libya, has rapidly built a presence in the Gulf and is looking to grow in Asia, says Reuters. The move is part of a major overhaul the company launched last year as it transitions into renewables and a gradual tapering of oil and gas output. Eni aims to replicate the success of its 2019 oil and gas spin-off in Norway, where it formed joint venture Var Energi with private equity firm HitecVision and retains a 69.6 per cent stake. That created Norway’s second largest oil and gas producer after acquiring Exxon Mobil’s portfolio there for $4.5 billion, giving it production of about 150,000 barrels of oil equivalent per day. The investment has been highly profitable, paying Eni nearly $1.3 billion euros in dividends since its creation. “The company is working on doing more of the same (as Var) with

chosen partners in West Africa and the Near-Far East and Far East,” a source said without giving further detail. Creating a separate entity will allow Eni to shift some of its debt, which rose last year to 26.7 billion euros ($32.2 billion), off its balance sheet given it will no longer be consolidated at group level, the sources said. With lower debt, Eni hopes to raise new capital to build its renewables and low-carbon business which will form the backbone of the future company. Eni has recently held talks with several large oil and gas producers including BP and Total to merge parts of their operations in West Africa and the Middle East, sources told Reuters. Eni, BP and Total all declined to comment. BP and Total face challenges like Eni’s in terms of managing debt and low-carbon emissions but it remains unclear if the talks will be successful, the sources said. Europe’s top energy companies were forced to raise record amounts of debt after oil and gas demand cratered in the wake of the pandemic. Eni Chief Financial Officer Francesco Gattei in February told analysts that there are “opportunities” in business combinations like Var Energi to remove debt from Eni’s balance sheet.

Large oil companies typically prefer operating oil and gas fields, taking pride in their operational capabilities. But for Eni, which has said its oil output will start tapering off after 2025, the JV model offers a way to cut costs and squeeze more money out of the oil and gas division. Eni, headed by veteran oilman Claudio Descalzi, is also mulling spinning off its new retail and renewable energy business next year to raise funds. It could list a minority stake in a unit that could be worth around 10 billion euros, according to sources. Like its peers, Eni has set ambitious targets to slash planet-warming emissions to net-zero by 2050 while rapidly expanding its renewable power generation and biofuel capacity. The joint ventures model offers companies a way to build a new low-carbon business centred around renewables, power trading and retail, while jettisoning legacy oil and gas businesses which will be wound down over time, a senior source close to Eni said. The new model also of fers transparency to investors regarding greenhouse gas emissions, he added. “If you still co-own the new company, you’re still liable for the emissions. But you can report them separately which allows you to show investors how you are decarbonising your core business,” the source said. Source: Oriental News

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INDUSTRY EVENT

OGTAN Honours Sylva, Auwalu, Others By Ikenna Omeje

up of the Centre was aimed at reducing cost, enhancing safety and value addition to the industry. “Accordingly, we must continue to collaborate and leverage our individual strength for mutually beneficial outcome.

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he Oil & Gas Trainers’ A ssociation of Nigeria (OCTAN), on Wednesday April 28, 2021, honoured the Minister of State for Petroleum Resources, Chief Timipre Sylva; and the Director of Department of Petroleum Resources (DPR), Engr. Sarki Auwalu. The awards were presented at the OGTAN Annual General Meeting/ Lecture Series, which took place at Eko Hotel & Suites, Victoria Island, Lagos. Sylva received the award of ‘Gas Decade Personality Award’ in recognition of his huge contributions towards the development of Nigeria as a gas-based economy and the transition to a cleaner source of energy in alignment with the global energy transition and the sustainable development goal regarding inclusive energy access. OGTAN also honoured the Director of Department of Petroleum Resources (DPR) Sarki Auwalu with the ‘Oil & Gas Innovative Award.’ This is in recognition of his numerous contributions and innovation that led to the build up towards the nation’s goals in line with the global energy transition and bring stability and expansion and participation to the

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national economy. Receiving the award at the hybrid event, Auwalu dedicated it to the management and staff of the DPR, who he said had painstakingly exhibited innovation and creativity to add value, promote ideas and create opportunities for the sustainable development of the Nigerian oil and gas industry, in the interest of the nation.. He said: “Let me reassure all our partners of DPR’s commitment and collaboration towards sustainable human capacity development for the benefit of all stakeholders in the Nigerian oil and gas value-chain. ” In this, we look forward to enhanced collaboration with Indigenous training organisations. “For us at the DPR, our role as business enablers and opportunity providers, position us strategically as a driving force in the use of technology and application of technical know-how thereby, entrenching sustainable partnerships to grow our indigenous capacity.” The DPR Director who also touched on the recent inauguration of the National Oil and Gas Excellence Centre (NOGEC) by President Muhammadu Buhari, said the setting

“This is the pivotal role that the Department will continue to play as industry leader. To this end, the DPR is proud to be associated with OGTAN because our drive to build industry capacity is synchronous with that of the renowned o r g a n i s a t i o n . “O v e r the years, OGTAN has maintained its reputation as the ‘gold standard’ of independent training service providers in the oil and gas sector. “OGTAN was established to develop indigenous capacity for the Nigerian oil and gas industry in line with the mandate of the Department and other agencies of Government such as Nigerian Content Development Monitoring Board. “I am proud to say that OGTAN has become a household name to reckon with and continues to blaze the trail in the comity of indigenous capacity development experts,” Auwalu said. Others who were awarded include the Managing Director, Falck Prime Atlantic – Mr Ayo Otuyalo; Managing Director SLC Resources – Mrs Michele Aiyegbusi; Dean Faculty of Engineering, Institute of Petroleum Studies, University of Port Harcourt – Professor Joel Ogbonna; Managing Director Deep Blue Energy Services – Mrs Anita Omoile; Managing Director Danvic Petroleum; and former President of OGTAN – Dr Mayowa; for their immense contributions to the growth of the Association and the oil & gas industry at large.


INDUSTRY EVENT

“Nigeria’s Gas Resources Would Mean Nothing If…”- Attah holding the position of the largest oil and gas producer in Africa and the sixth supplier of global LNG through the operations of NLNG. Our Train 7 project alone will attract about $10billion into the country with significant revenue generation for government and our shareholders but also over 12,000 jobs opportunity for Nigerians. “This is a decade of gas, another decade of sustained operations in NLNG, a decade of Train 7 and perhaps Trains 8,9 and 10; a decade of elimination of gas flaring, a decade of more Domestic LPG in households in Nigeria; and overall, a decade of fully gas-powered economy,” he said.

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he Managing Director of Nigeria LNG Limited (NLNG), Engr. Tony Attah has said the large deposit of gas resources in Nigeria would amount to nothing if the gas were not developed and utilised urgently to meet the nation’s energy needs. Engr. Attah said this at the presummit conference of the 2021 Nigeria International Petroleum Summit (NIPS) organised by the Federal Ministry of Petroleum Resources and sponsored by NLNG. He stated that it was necessary to act now on gas through deliberate policies such as the Decade of Gas. He added that the country must not continue to be gas-rich and energypoor where our gas processing and LNG capacity do not match the volume of our gas reserves. Engr. Attah, however, emphasised that the time for Nigeria to become a top gas nation is now when gas is playing a pivotal role in bridging traditional energy sources and renewables. “Our world is changing. We are set to add two billion more people by 2040 to become 9 billion people

on earth. On the back of this and anticipated growth in human prosperity, energy demand is expected to grow by more than 30%. Essentially the world needs more energy; but needs it cleaner and cheaper to manage climate change and the 20C challenge through decarbonisation. “Energy transition has begun, resulting in massive change in the global energy mix while renewable sources are gaining prominence to replace coal and other forms of fossil fuels. Gas is set to be the fastest growing transition fuel of the future. This is a great opportunity for Nigeria. Nigeria is blessed with plenty gas reserves – 200TCF of proved reserve and an additional 600TCF scope to be proven by SEC rules. “Proving the 600TCF will move us to number four in the world from the current 9th position which I believe should be a key objective for this decade of gas agenda. Essentially, Nigeria is a gas nation as we have more gas than oil on a BoE basis. “Nigeria currently plays a significant role in the global energy sector,

He added that “Gas is everything for Nigeria. We must use what we must get what we want. Saudi Arabia and Dubai used oil to move their economies to becoming one of the best in the world, Qatar has used gas to transform from a fishing economy to becoming a global gas giant. Nigeria has both oil and gas. However, Nigeria has thus far ridden on the back of oil for over 50 years, but the time has come for Nigeria to fly on the wings of gas. At NLNG, we believe It is time for GAS.” Engr. Attah urged the Federal Government and stakeholders in the energy industry to maximise the Decade of Gas by focusing on developing and legislating the right regulations, policies, and laws that will engender the right environment for the much-needed investment in all the streams of the sector. Engr. Attah added that NLNG was ready to partner with the government in making the Decade of Gas a reality as the Company continues to actualise its vision as a global LNG company, helping to build a better Nigeria. NLNG is owned by four Shareholders; namely, the Federal Government of Nigeria, represented by Nigerian National Petroleum Corporation (49%), Shell Gas B.V. (25.6%), Total Gaz Electricite Holdings France (15%), and Eni International N.A. N. V. S.àr. l (10.4%).

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INDUSTRY EVENT

Decade of Gas: Buhari Hopes to Industrialise Nigeria Through Gas by year 2030 By Esther Chukwunonso Mordi

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ige ria’s Pre sid e nt Muhammadu Buhari has launched the country’s “Decade of Gas” which is aimed at transforming Africa’s biggest oil producer into an industralised nation, entirely powering its economy with gas by the year 2030. Speaking at the virtual launch of the project on Monday, 29th March 2021, Buhari said that his administration would fully utilise the enormous gas resources in the country to uplift the economy and drive industrialisation. He stated that before the declaration of the Year 2020 as The Year of Gas, “this Administration had shown commitment to the development of Nigeria’s vast gas resources and strengthening of the gas value chain by reviewing and ‘gazetting’ policies and regulations to enhance operations in the sector as encapsulated in the National Gas Policy of 2017.” ‘‘Our major objective for the gas sector is to transform Nigeria into an industrialized nation with gas playing a major role and we demonstrated this through enhanced accelerated

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gas revolution,’’ he said. According to the Nigerian president and Minister of Petroleum resources, given the country’s potential of about 600 trillion cubic feet of gas, the commodity has the enormous potential to diversify the Nigerian economy. The rising global demand for cleaner energy sources has offered Nigeria an opportunity to exploit gas resources for the good of the country. We intend to seize this opportunity” “It is well known that Nigeria is a gas nation, but the country has focused on oil over the years and that is the paradox this administration has decided to confront when we declared the year of gas in Nigeria. It was a bold statement to demonstrate that gas development and utilisation should be a national priority to stimulate economic growth, further improve Nigeria’s energy mix, drive investment and provide the muchneeded jobs for our citizens.” “The rising global demand for cleaner energy sources has offered Nigeria an opportunity to exploit gas resources for the good of the country. We intend to seize this opportunity,” he said.

Highlighting some of the achievements recorded in the gas sector under his administration, especially that of Nigeria Liquefied Natural Gas , the president acknowledged that more work had to be done in the gas space which has led the Federal Government to begin a more productive push towards gas development. “NLNG contributes about 1 percent to GDP and it has contributed $114 billion in revenue over the years, $9billion dollars in Texas, $18 billion dollars in dividend to the federal government, $15 billion dollars in fixed gas purchases and all these were achieved with 100% Nigerian management and 95% Nigerian workforce. “Remarkable progress has been made to achieve this objective. These include development of gas infrastructure, promoting domestic utilization of LPG and CNG, commencing the process of commercializing gas flares, development of industrial and transport gas markets and increasing gas to power. “We also kick-started other policies and projects like the National


INDUSTRY EVENT Gas Expansion Programme, Autogas policy and the construction of the 614km Ajaokuta-Kaduna-Kano gas pipeline. “After a thorough review of these laudable achievements and successes in the gas space, we acknowledge that Nigeria still has more work to do in the gas space. “This has led the federal government to begin a more proactive push towards gas development. This initiative will ensure further optimal exploitation and utilisation of the country’s vast gas resources”, he said. In his welcoming remarks, Secretary General of OPEC, HE Mohammed Sanusi Barkindo, expresses gratitude to the president for his visionary leadership and commitment to the organization’s sustainable market stability. Speaking on the PIB and the OPEC’s “World Oil Outlook”, he said: “The ‘Petroleum Industry Bill’ that seeks to comprehensively reform Nigeria’s oil and gas industry is currently moving through the hallowed chambers of the National Assembly, and thus the ‘Decade of Gas’ is both timely and relevant. “The importance is also evident from OPEC’s World Oil Outlook (WOO). The WOO sees natural gas as the fastest-growing fossil fuel over the forecast period, driven by higher urbanization rates, industrial demand, and its competitiveness over coal in power generation. “Moreover, at the end of the WOO forecast period in 2045, oil and gas are still expected to make up over 50% of the global energy mix. In fact, global primary energy demand is set to increase by 25% in the period to 2045”, he said. Barkindo stated that the world needs more energy and Nigeria as a reliable and dependable supplier of hydrocarbons to global markets, has a key role to play in this regard, stressing the need for utilization of all resources efficiently.

“Tackling emissions has many pathways and we need to explore them all. The oil and gas industries are part of the solution; we possess critical resources and expertise that can help unlock our carbonfree future. “I would like to commend the President for keeping faith with the requirements of continued heavy investments, including critical gas projects, such as the Ajaokuta– Kaduna–Kano Natural Gas Pipeline, the Nigeria LNG Train 7 project and actively promoting several fertilizer blending plants across the country, supporting the ongoing agrarian revolution. “Nigeria’s ‘Decade of Gas’ initiative also shines a beacon of light on the importance of the Gas Exporting Countries Forum (GECF), and the value of multilateralism. OPEC and the GECF have much in common. We have some of the same Member Countries, including Nigeria, share similar founding principles, and collaborate. “Gas is vital to Nigeria’s future, as is oil. And both will be fuels of choice globally for the foreseeable future and instrumental in facilitating the energy transition,” he added. The Minis ter of Petroleum Resources, Chief Timipre Sylva, Speaking at the event said that the objective of the pre-conference hybrid summit was to create a road map for the Federal Government of Nigeria’s aspiration using its vast natural resources to put Nigeria in the league of top industrialized nations over the next decade. Nigeria’s gas reserve, with proven 303 tcf and potential 600 tcf are most extensive in Africa and the top 10 globally, however, in domestic utilisation of gas to power the economy, there is chronic shortage. This is a narrative we intend to change,” he said. The Minister said the President’s plan for industrialization with the country’s vast natural gas resources was well thought out and deliberate, a dding that “th e e con omic

recovery and growth plan of this administration revolves around the utilization of natural gas”. Speaking on the four priority areas, he said “The four priority areas enunciated in the ERJP are energy sufficiency, transportation, agriculture, manufacturing, and industrialization. The common denominator is natural gas as it is the major fuel for power generation, transportation and key ingredient for manufacturing fertilizer which is required for agriculture. “It is no longer acceptable that despite the country’s vast natural gas resources, the gap between electricity supply and demand is huge, access unreliable and cost expensive. We must deal with the energy poverty in this country, we must find a way to unlock the natural gas potential of this great nation and drag over 120 million people out of energy poverty”. Tony Attah, Managing Director of Nigerian Liquefied Natural Gas, NLNG, said that gas is set to be the fastest-growing transition fuel of the future as global natural gas consumption is projected to increase by more than 40% by 2050. Attah said: “Our world is changing; we are set to add 2 billion more people by 2040 to become 9 billion people on earth. On the back of this and anticipated growth in human prosperity, energy demand is expected to grow by 30%. “Essentially the world needs more energy; but needs it cleaner and cheaper to manage climate change and the 20C challenge through Decarbonisation. Energy transition has begun, resulting in massive change in the Global Energy mix.” According to him, while renewable sources are gaining prominence to replace coal and other forms of fossil fuels, gas is set to be the fastest growing transition fuel of the future, adding that “Global Natural gas consumption is projected to increase by more than 40% by 2050.”

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INDUSTRY EVENT “This is a great opportunity for Nigeria, Nigeria is blessed with plenty of gas reserves – 200tcf of proven reserve and an additional 600tcf scope to be proven by SEC rules. “Proving the 600tcf will move us to No 4 in the world from the current 9th position which I believe should be a key objective for this decade of gas agenda. Essentially, Nigeria is a Gas Nation as we have more gas than oil on a BoE basis. “Nigeria currently plays a significant role in the global energy sector, holding the position of the largest oil and gas producer in Africa and the sixth supplier of global LNG through the operations of Nigeria LNG Limited. Our Train 7 project alone will attract about $10billion into the country with significant revenue generation for the government and our shareholders but also over 12000 jobs opportunities for Nigerians.” He reiterated that “Gas is Power and Energy, Gas is Transport – as in Auto Gas, Gas is Petrochemicals – feedstock, Gas is Manufacturing and Industries, Gas is Food from fertilisers,” adding that gas is everything for Nigeria. “We must use what we have to get what we want. Saudi Arabia and Dubai used Oil to move their economies to becoming one of the best in the world. Qatar has used GAS to transform from a fishing economy to becoming a global gas giant… Nigeria has both oil and gas… However, Nigeria has thus far ridden on the back of Oil for over 50 years, but the time has come for Nigeria to fly on the wings of gas, at Nigeria LNG, we believe it is time for gas,” he stressed.

perhaps Trains 8, 9 and 10; a decade of elimination of gas flaring, a decade of more domestic LPG in households in Nigeria and overall, a decade of fully Gas-Powered Economy! “As I stated at the beginning, this will require solid collaborative effort, and the active participation of all stakeholders including the National Assembly currently working on the Industry Bill (PIB). The PIB holds the ace to be one of the biggest opportunities for our gas future as a nation and we should not miss this window. The Group Managing Director of NNPC, Mallam Mele Kyari, in his welcome address affirmed Nigeria’s preparedness to play a strategic role in the new global energy order as the world transits to cleaner energy. Kyari stated that technology and innovation were facilitating a new global energy order aimed at decarbonizing the world and safeguarding the climate, stressing that renewable energy sources such as solar and wind which would be key components of the new energy mix were largely influenced by seasons and were non-transportable to demand centres where they are in short supply. H e a d d e d t h at u n d e r t h e circumstances, natural gas, and by extension blue hydrogen, would be heavily depended upon as transition fuels to play a key role in the clean energy drive and would provide a significant proportion of the global energy mix as well as guarantee feedstock to gas-based industries.

He also added that the PIB is one of the big opportunities for gas future as a nation and stressed that solid collaborative effort and active participation was required among stakeholders working on the PIB

“Nigeria, under the visionary leadership of President Muhammadu Buhari, has committed huge resources to ensure that domestic gas infrastructure reach every corner of our country to deepen natural gas utilization, spur investment in power and gas-based industries, grow the economy and generate employment for millions of our young people,” he said.

“This is a decade of gas, another decade of sustained operations in Nigeria LNG, a decade of Train 7, and

Mallam Kyari stated that NNPC and its partners have embarked on a number of strategic projects

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to deepen delivery of gas to the domestic market and elevate the build-up of greater potentials for export. “The completion of the EscravosLagos Pipeline System Phase 2 (ELPS II), commissioning of the ObiafuObrikom-Oben (OB3) Lot 2, the NPDC Oredo Gas Handling Facility, and the SEEPCO Gas Processing Plant can be easily cited, even without mentioning ongoing strategic backbone gas infrastructure projects such as the Ajaokuta-Kaduna-Kano (AKK) pipeline, the OB3 final hookup, the Nigeria-Morocco pipeline and several other gas-based industries initiatives. All these will herald the sunrise of the gas revolution in our country within the decade,” the GMD stated. The Department of Petroleum Resources (DPR) also outlined five critical levers for gas development as Nigeria moves to leverage its abundant gas resources for national growth, diversification of the economy and to use gas as the fuel for economic transformation. DPR Director, Mr Sarki Auwalu said the levers: availabilit y, a c c e s s i b i l i t y, a f f o r d a b i l i t y, and acceptability as well as deliverability were critical to utilizing Nigeria’s proven gas reserves of 203 TCF for national development. He said: “Whereas references have been made to the other elements in this discussion, right pricing of gas is requiring particular attention to ensure security of gas supply and security of credible gas demand. “This is because upstream gas producers must be assured that they will receive fair and equitable returns for their investments whereas, the price must be such that the endusers are able to pay for gas offtake in a reliable and consistent manner. “Accordingly, the most robust and sustainable pricing mechanism is that which ‘let the market speak’ in a way that all costs are reflective of prevailing market conditions and for which the economic dynamics of demand and supply can interplay


INDUSTRY EVENT in an open, transparent, and free market environment.

to improve gas deliverability and availability.

“Thus, our drive as a nation should be early attainment to the Willing Buyer; Willing Seller market status. Any transitional pricing arrangements, today, must be structured to quickly give way for market-led pricing regime and conditions”

He said the government was also working towards the expeditious passage of the Petroleum Industry Bill (PIB) which would enhance clarity in legislative, regulatory, fiscal, and administrative frameworks in the industry.

The DPR boss commended President Muhammadu Buhari and the Minister of State for Petroleum Resources, Chief H.E Timipre Sylva, for their outstanding leadership in deepening gas utilization in Nigeria.

“This bill, when passed into law, will eliminate the uncertainties and bottlenecks associated with gas development in Nigeria and accelerate the growth of the Nigerian gas market to a fully developed and matured status.

He said these efforts had culminated in the establishment of the National Gas Expansion Programme, National Gas Transportation Network Code and the National Gas Flare Commercialisation Programme. Auwalu said it also includes the ongoing construction of the ELPSII, OB3 and AKK pipelines as critical backbone gas infrastructure required

“Specifically, on gas matters, the PIB provides for the following: promotion of dedicated gas exploration and development, gas terms, fiscal separation of gas as a commodity. It will also enhance the domestic gas delivery obligation, tariffing structure & methodology, open access regimes and revised gas pricing framework, to mention but a few,” he added.

The virtual Pre-Conference Summit had limited in person attendance at the Transcorp Hilton, Abuja of gas players at the highest level and thousands of delegates joining virtually across various platforms, the event which discussed the road map towards a gas-powered economy by 2030 was organized by the Ministry of Petroleum Resources and sponsored by the Nigeria LNG Limited (NLNG). As with previous editions, the Nigerian International Petroleum Summit (N.I.P.S) 2021 will also facilitate close interaction with high level political decision makers, government officials, industry specialists, other relevant agencies and the private sector. Scheduled to hold on the 6th – 10th of June 2021, the co-located international exhibition will allow companies to showcase their expertise and market their goods and services directly to decision makers across the Oil and Gas value chain.

NCCF: NCDMB Sets Up $20m Loan Support For Women In Business ...Emphasizes Need for Increased Women Participation in the Industry

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he Nigerian Content D evelo p m ent a n d M onitoring B oard (NCDMB) has announced the setting up of a $20million loan scheme to support women in business especially in the oil and gas sector. Executive Secretary of the Board, Engr. Simbi Wabote, stated this at a virtual roundtable by the Diversity Sectoral Working Group (SWG) of the Nigerian Content Consultative Forum (NCCF). In his remarks, Wabote stated that the mandate of the Board has always been the need to promote local content in every sphere of the oil and gas sector. Majorwaves Energy Report APRIL 2021, Vol 4 No 4

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INDUSTRY EVENT Quoting Section 57 of the NCDMB Act, he said the role of the Nigerian Content Consultative Forum is to provide a platform for information sharing and support in order to chart way for local content development in Nigeria. According to Wabote, “The basic aim of the NCCF is to seek how to harness ideas and collaborative efforts for women development with basic emphasis in the oil and gas sector which is why I need to emphasize that this is a purely professional group and not a political group that will begin to advocate for political offices or positions for women. “Therefore all our communications with with all women group will be through the NCCF.” Speaking further on the need for funding in the local content sector, he said the agency was committed fully in that aspect. Key enablers to local content development is funding which is why we approached the governing council of the NCDMB and they graciously approved $20 million loan support scheme to support women in business which will be domiciled in the Bank of Industry and collaboratively managed by the BoI and the NCDMB,” he added. Earlier in her remarks, the chairperson of the Diversity SWG of the NCCF, Mrs. Alero Onosode, said the working group was established to identify areas of collaborations as there are about 9 groups working together to harness value for women in the oil and gas sector. She added that, “The group has four key pillars of which centers on how to impact the lives of women in the sector as well as

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research to know the current data of women participation as there is no confirmed data yet,” Others, according to Mrs. Onosode include: “Polic y advocacy and capacity development which will enhance networking and stakeholder engagement.”

Women Engineers of Nigeria (APWEN), *Women in Energy, Oil & Gas (WEOG) *Women In Energy Network (WIEN) *SPE Women in Energy Nigeria

She noted that the target is that by the end of 2021, there should be a valuable data of women in business and women in organisation available by the group.

*Shell Women Network

In his closing remarks, The Director of Planning, Statistics and Research of the Nigerian Content Development and Monitoring Board (NCDMB) as well as the SWG Coordinator, Mr. Patrick Obah emphasised the importance of women in the industry, while reiterating the Board’s commitment to support women-owned businesses and projects. He said:

* The Women in LPG (WiNLPG)

“The truth is that women run the world, everybody knows that and that is the truth. So how do we make them run the world today using statistics to prove to the society that yes, this is the direction?” “First you need to select your project very carefully, from your presentations I can see a lot of beautiful projects that you all are involved in, so careful pick out those very outstanding ones and bring to us, we are ready to support those projects. We will fund them, we will discuss with you and come up with strategies to handle them,” he said Women Associations present at the stakeholders engagement meeting includes, *Association of Professional

*Chevron Women Network * The Ladies in oil and gas (LIOG)

* Women in Geosciences and Engineering (WiGE)


LOCAL CONTENT

Sylva Inspects Oil and Gas Park, Hails NCDMB Margaret Nongo-Okojokwu

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he Minister of State for Petroleum Resources, Chief Timipre Sylva has commended the Nigerian C o nte nt D eve l o p m e nt a n d Monitoring Board (NCDMB) for the quality of work and the progress recorded on the Nigerian Oil and Gas Park being developed by the Board using wholly Nigerian companies. Sylvia gave this commendation when he led members of the NCDMB Governing Council and other stakeholders to the inspect the level of work done on the site located in Emeyal 1, Ogbia, Yenagoa Local Government Area, Bayelsa State. He disclosed that the project is 70 percent completed and will be commissioned before the end of 2022 by President Muhammadu Buhari. “I must say I’m very impressed with what I have seen today. This place used to be a swamp before this time, but a lot of work has been done to bring it to this standard.”

The Petroleum Minister explained that oil and gas parks were being developed around the oil and gas producing states to provide opportunities for original equipment manufacturers to produce components that would serve the oil and gas industry and its linkage sectors. Sylva added that the project supports the President Buhari’s agenda on job creation as it would create about 2000 direct and indirect jobs upon completion. Speaking further, Sylva said,” the NCDMB has done very well; before the establishment of this Board, local participation was about three percent but today they have taken it to over 30 percent and the trajectory is to boost it to 70 percent by the year 2027.” Sylva applauded the host community for sustaining the atmosphere of peace and urged them to continue to promote peace and tranquility in the community to ensure completion of the project.

In his welcome address, the Executive Secretary, NCDMB, Engr. Simbi Wabote commended the minister for his drive towards the success of the project. He hailed the Minister for his devotion and commitment towards the actualization of the massive project and appreciated Mr. President for the support and drive towards opening local manufacturing shop centers within the country. “The policy of President Buhariled Federal Government towards opening up local manufacturing in the country is one sure way of driving economic development,” Wabote said. Wabote reiterated that the Nigerian Oil and Gas Park Scheme (NOGaPs) is one of the NCDMB flagship projects which is in line with the Federal Government’s mandate to develop indigenous capacities for the oil and gas Industry.

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LOCAL CONTENT

Solar Power Naija: An Enabler for Economic Growth Econonic Sustainability Plan, this power solution programme was designed by the Rural Electrification Agency (REA) with the aim of powering 5 Million households through a N140 Billion financing programme for private developers. “Kicking off in Jangefe, Jigawa state, we have planned a rollout across all 6 geopolitical zones in the country, reaching our 36 states, and ensuring that Nigerians have access to cheap and environmentally friendly renewable power. “The President had previously emphasized the need to diversify and decentralize power supply, and with the Covid-19 pandemic causing economic fallouts, implementing off-grid solutions like solar power became the best route.

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he kickoff of Solar Power Naija Programme by the Federal Government on Friday, April 9, 2021, in Jangefe, Jigawa state, is commendable, as the programme will increase access to electricity in the country and lead to economic growth and development, especially in off grid communities.

“Getting access to electricity ranks as one of the major constraints for the private sector according to the 2020 Doing Business report. Hence, improving power sector performance, particularly in the nonoil sectors of manufacturing and services, will be central to unlocking economic growth post COVID-19.”

The programme, which was scheduled to kick off in December 2020, but never did, was formerly launched by the Vice President, Prof. Yemi Osinbajo, with funfair in Jangefe.

As at 2018, access to electricity in Nigeria was 56.5 percent, according to the World Bank, Sustainable Energy for All (SE4ALL ) database from the SE4ALL Global Tracking Framework led jointly by the World Bank, International Energy Agency, and the Energy Sector Management Assistance Programme.

Access to electricity is one of the major challenges hindering the economic growth of the African giant, Nigeria. The World Bank in June last year approved $750 million for the country under what it called “Power Sector Recovery Operation (PSRO)”, to improve the reliability of electricity supply, achieve financial and fiscal sustainability, and enhance accountability in the power sector. The Bank, however, noted: “About 47 percent of Nigerians do not have access to grid electricity and those who do have access, face regular power cuts. In addition, the economic cost of power shortages in Nigeria is estimated at around $28 billion – equivalent to two percent of its Gross Domestic Product (GDP).

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Solar Power Naija Programme, which will provide solar home systems to 5 million Nigerian households within 12 months, as part of the Economic Sustainability Plan, will deliver electricity to 25 million Nigerians and create 250,000 jobs. Under the programme, the Federal Government is giving support to Solar Home System manufacturers and the bulk procurement of local meters. Announcing the kickoff of the programme via his verified Twitter handle, Osinbajo said: “Under our

“Through renewable solar power, we can cross off several goals at once – provide accessible power supply, while creating jobs for thousands in the solar industry, as well as those looking to join in. “ T his p ub lic- p ri vate s e c to r partnership is supported by concessionary lending via the CBN and commercial banks. Subsidies and rebates to the tune of $200Million have also been set to ensure affordability for our final consumers – the people.” The kickoff of Solar Power Naija Programm e by th e Fe deral Government, demonstrates its commitments to meeting global target on energy for all. Nigeria is signator y to S us tainable Development Goals (SDGs) of the United Nations (UN), to which the Goal 7 focuses on ensuring access to affordable, reliable, sustainable, and modern energy for all by 2030. Effective implementation of this programme will accelerate access to electricity in off grid communities, empower rural dwellers economically and help the country to a large extent towards achieving SDG Goal 7.


LOCAL CONTENT

FG to Sanction Violators of Expatriate Quota Rules -Aregbesola positions are issued and given to about 4,000 companies annually on the average. “In strict compliance with local content regulations and national interest, therefore, about 60,000 middle level employment opportunities are expected to be created equally and annually for knowledge and skills transfer. “But unfortunately, the country does not seem to benefit from these and the question to ask is that, since we do not have the benefits, how do we organise ourselves to earn it,” the Minister noted.

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he Minister of Interior, Rauf Aregbesola, has said that the Federal Government was set to sanction any foreign organisation who breached the country’s Expatriate Quota rule. Expatriate Quota is the total number of quotas given to foreign companies within which to operate in the country. Aregbesola gave the warning at the 2nd Stakeholders’ meeting on Expatriate Quota Administration in Nigeria at the Grand Pela Hotel and Suites, on Wednesday, in Abuja. The Minister noted that it had become imperative to impose severe sanctions on whoever breached the country’s Expatriate Quota rules, noting that it had seriously impacted on the rate of unemployment in the country. “Whoever is not worried about the rate of unemployment in the country is not a patriot. We must be concerned about the high level of unemployment in the country. “This is largely due to the breach of the quota rules by foreign companies, who take up most of the jobs that ordinarily would have been taken by our citizens,” he said. Aregbesola recalled that he inaugurated a nine-man Special Task Force on business permit on

Expatriate Quota Administration (EQA), on Dec. 1, 2020, to investigate, inspect, penalise and enforce sanctions for breaching the utilisation of EQA. “In Nigeria, whether indigenous joint venture or foreign, this permit and EQ are the best practices globally. ‘’ Every nation regulates its economic relations with other nations, in a mutually beneficial way, but putting its national interest and citizens above others. “All nations of the world, in short there is no nation that can be careless of it because every nation is there to promote, advance, and to protect the interest of its own citizens. “It is a healthy competition that has survived the test of time. If properly and effectively managed, it will lead to technology transfer, manpower development, and rapid industrialisation. “Where nations are careless or unmindful of it, it leads to untold consequences of lopsided and imbalanced relationship, foreign domination, stunted development of the host country’s personnel, and ultimately creates a dependency syndrome,” he said. The Minister noted that the country had suffered from the syndrome of quota breach to a reasonable degree, due to a non-diligent implementation of the rules and guidelines. “It is also replicable in many African and developing economies. So, this is a very serious national policy, as an average of 30,000 expatriate quota

Aregbesola reminded those behind such practices to desist as the Federal Government had resolved to deal decisively with them. Also, the Permanent Secretary, Federal Ministry of Labour and Employment, Dr Yerima Tarfa, noted that Nigeria had reached a stage where the enabling Act, guidelines, processes, and its monitoring/ evaluation had to be holistically reviewed to achieve local content. Tarfa was represented by the Director of Employment and Wages, Federal Ministry of Labour and Employment, Mr Inyamali Audu. He noted further that local capacity that existed, and which held prospective job opportunities for thousands of Nigerians were unlawfully and arbitrarily filled by expatriate firms, especially in the construction and oil and gas sectors. “The concern is not just that Nigerians are denied the available opportunities in these areas, but many companies actually exceed their legitimate quota”, he said. He urged the Federal Government to rise to the challenge and come up with stringent measures to address the ugly trend, as well as ensuring that the local contents were secured.

(NAN)

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LOCAL CONTENT

NCDMB To Partner Amnesty Office on Capacity Development Margaret Nongo-Okojokwu

Col Milland Dixon Dikio (rtd)

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he Executive Secretary, Nigerian Content Development and Monitoring Board (NCDMB), Engr. Simbi Wabote has pledged the readiness for the Board to partner with Presidential Amnesty Office in area of human capacity development for the ex-agitators. He made this known when the interim Sole Administrator of Presidential Amnesty Programme (PAP), Col. Milland Dixon Dikio (rtd.) paid a courtesy visit to the Board’s headquarters in Yenagoa, Bayelsa State, recently. Wabote explained that some of the trainings provided for the ex- agitators were not conducted by internationally recognized institutions, hence most of the beneficiaries could not be employed with the skills and certificates they acquired. Stressing the importance of requisite certifications in the oil sector, Wabote said, “the industry is very specific in term of certifications required and if it is not met, you cannot force them

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to consider another thing”. Wabote further opined the need for the PAP to diversify its activities to ensure that it meets the purpose for which it was set up and fulfills President Muhammadu Buhari’s vision of diversification into agriculture and other allied sectors. He mentioned that the Oil and Gas industry is technology driven hence the number of people it can employ was very limited. While correcting the misconception about the NCDMB, Wabote stressed that it is not an intervention agency for the Niger Delta region, but regulatory organisation set up to ensure the participation of Nigerians both in the operations of the oil and gas industry as well as coordinate human capacity development in the industry and linkage areas. “We are not an intervention agency like Amnesty Office or NDDC but a regulatory agency responsible for all Nigerians. Wabote charged the PAP boss to chart ways and opportunities for

programmes that can service the Oil sector including catering, logistics, insurance, among others. He promised that the Board will partner with the Amnesty office to develop a strategy that will improve the opportunities available for the ex-agitators. Earlier in his remarks, the interim Sole Administrator of PAP, Col. Milland Dixon Dikio (rtd.) mentioned that the aim of the visit was to seek areas of collaboration with the Board on areas of training for the ex- agitators in the region. In his words, “the amnest y programme has successfully reintegrated about 22,000 ex-agitators with trainings and empowerments in various skills. We seek the Board’s collaboration in specific needs of the oil sector where people can be trained and engaged.” Dikio reiterated that the PAP aims at transforming the remaining 8000 exagitators to become entrepreneurs to contribute to the national economy.


LOCAL CONTENT

NCDMB Partners ANOH Gas to Complete Oil and Gas Training Centre In PH Margaret Nongo-Okojokwu

The Nigerian Content Development and Monitoring Board (NCDMB) has flagged off a partnership arrangement with ANOH Gas Processing Company Limited for the completion of the Center for Skills Development and Training (CSDT) located at Greater Port Harcourt Area, Rivers State. Construction work at the skills acquisition center had been stalled since 2014 due to paucity of funds after it was conceived by the Petroleum Technology Development Fund (PTDF) to train and increase the competence and capabilities of Nigerians to meet the low-to-middle level human resources needs of the Nigerian oil and gas industry. The Executive Secretary of NCDMB, Engr Simbi Kesiye Wabote stated that the Board commenced discussions with PTDF in late 2019 on areas of collaboration to complete and operationalize the center. He explained that Anoh Gas Processing Company (AGPC) Ltd was engaged to complete the project under the NCDMB’s intervention tool known as Capacity Development Initiative (CDI) projects. He said that “CDI projects are utilized in collaboration with operators and service providers in the oil and gas industry to address identified gaps in local capacities

and seize opportunities to grow local capabilities.”

is very keen to finish off abandoned government projects.

The Executive Secretary commended the diligence and pragmatism of AGPC Ltd in identifying with the project as its CDI and re-mobilization of the contractor to site, with a view to completing the skill center in readiness for students’ intake and utilization.

In his remarks, the Managing Director, Anoh Gas Processing Company Limited, Mr. Okechukwu Mba disclosed that the company decided to partner with the NCDMB to contribute to the development of skilled professionals who will work in the oil and gas sector.

He expressed belief that making the facility functional will promote skills development and attainment of one of the Board’s mandate of developing local capacities and capabilities and the Technical Capacity Development Pillar of the 10-year strategic roadmap.

In his words, “I am particularly happy for the benefits the country stands to gain from the completion of this facility. It will produce youths equipped with relevant skills they require to pursue a rewarding career in the oil and gas industry.”

“Globally, achievement of the local content agenda is hinged on domiciling value-adding activities and this is heavily dependent on locally available skilled manpower. It is in recognition of the critical role that skilled manpower plays in the development of local content that the Board has Technical Capability Development as one of the strategic pillars of its 10-Year Strategic Roadmap.” Wabote said. Wabote revealed that the completion and utilization of the project will be a major achievement of the Ministry of Petroleum Resources and especially President Muhammadu Buhari, who

He indicated that the completion of the CSDT was part of the company’s $10m Capacity Development Initiative commitment made on the back of the development of the 300MMscfd capacity ANOH gas processing plant, located on OML 53 in Imo State. While commending the Board for the importance attached to Capacity Development initiatives, Mba disclosed that the organization is set to work with the Board on other Human Capacity Development programmes.

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INFRASTRUCTURE

AKK Pipeline Project: NRC Begins Haulage of Line Pipes from Warri To Itakpe By Ikenna Omeje

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h e Nigeria n Railway Corporation (NRC) has commenced haulage of line pipes from Warri in Delta State to Itakpe in Kogi State, for the construction of the Nigerian National Petroleum Corporation (NNPC) – sponsored AjaokutaKaduna-Kano gas pipeline project. NRC early in April, began the delivery of the project materials along the Warri-Itakpe corridor, where the pipeline will pass through. A video posted by the NNPC on its verified Twitter handle on Friday, showed a train moving slowly along the corridor to deliver pipes at strategic locations, in a journey expected to last for 8 hours, at 50 kilometres per hour. “A major boost in the delivery of #AKKGasProject as NRC Train finally commenced epoch-making haulage of line pipes from Warri to Itakpe. This locomotive, which began journey @11.05am on 8th Apr 2021, carried 96 pipes at once, an equivalent of 32 trailers on the road!” NNPC tweeted. The Management of NRC had in October last year disclosed that the Corporation was having talks with

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the NNPC, with respect to moving materials for the construction of the 614Km gas pipeline project. The construction of the pipeline project was flagged off virtually in June last year by President Muhammadu Buhari. The AKK Project is being built through a Build-Operate-Transfer, public-private partnership model, whereby the contractor provides 100 percent of the capital, and aims to establish a guaranteed gas supply network between the South and the North of the country at a budgeted cost of $2.8 billion. Noting the economic importance of the pipeline to the country some months back, the Group Managing Director of NNPC, Mele Kyari said, “the AKK pipeline project is key to resolving the power deficit challenge of the country. Its multiplier effect on the economy and provisions of jobs will be unprecedented.” Upon completion, the project would enable the injection of 2.2bscf/d of gas into the domestic market and facilitate additional power generation capacity of 3,600MW.

It will also support the development of petrochemicals, fertilizer, methanol, and other gas-based industries that will generate employment and engender shared economic prosperity. The Bank of China and SINOSURE are the financiers, while Brentex/ China Petroleum Pipeline BureauCPP Consortia and Oilserve/ China First Highway Engineering Company-CFHEC Consortia are the two EPC Contractors handling the project. The EPC contract for the 614km AKK gas pipeline project was awarded at a total contract sum of US$2.592 billion to Messrs. Oilserv Plc/China First Highway Engineering Company (Oilserv/ CFHEC Consortium) for the first segment covering 303km. While Brentex Petroleum Services/ China Petroleum Pipeline Bureau (Brentex/CPP Consortium) will handle the second segment covering 311km under a debtequity financing model with loan from Bank of China and SINOSURE, to be repaid through the pipeline transmission tariff and supported by a sovereign guarantee.


POWER

Nigerian Businesses Lose $29bn Yearly to Poor Power Supply – World Bank

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h e World Bank on Wednesday said businesses in Nigeria lose about $29bn annually because of the country’s unreliable electricity. It also observed that Nigeria had the largest number of people without access to electricity in the world, as everyone in 10 people without access to electricity now reside in Nigeria. The bank’s positions were contained in the Power Sector Recovery Programme fact sheet which was presented during the World Bank virtual dialogue with energy reporters recently. The presentation was done by the bank’s Practice Manager, West and Central Africa Energy, Ashish Khanna. It said, “Businesses in Nigeria lose about $29bn annually because of unreliable electricity. Nigerian utilities get paid for only a half of electricity they receive.

“For every N10 worth of electricity received by Discos (distribution companies), about N2.60 is lost in poor distribution infrastructure and through power theft and another N3.40 is not being paid for by customers. “Six in 10 of registered customers are not metered, and their electricity bills are not transparent and clear. This contributes to resistance to pay electricity bills.” The PSRP document presented by the bank stated that only 51 per cent of installed capacity was available for generation, as an average Nigerian consumed four times less energy than her counterpart in a typical lower middle-income country. It, however, noted that every Nigerian paid less for electricity than what it costs to supply electricity to them.

because the government wanted to help poor Nigerian families to pay their bills. “But richer families use more electricity; so a big chunk of government support ends up going to those who do not really need help with paying bills,” it stated. On the PSRP, the bank described it as a comprehensive response to Nigeria’s power challenges with the aim to renew the country’s economy by rebuilding a functioning and fair power sector. It also stated that between June 2020 and February 2021, the World Bank Board approved $1.25bn financing to support the government in its efforts to reset the power sector. Source: Punch

It stated that the government for years was paying the difference

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Gas Code: DPR to Work with GenCos on Challenges -- Auwalu He said that the DPR would ensure that all the provision in the gas value chain was keyed into with the code. “With NERC, Nigeria Gas Company and all the stakeholders we will get things done well, and the essence of the meeting is to get the Gencos to appreciate the code. “For us, this meeting is the onboarding of the Gencos to the gas network code, “he added. In his remarks, NERC chairman, Sanusi Garba, said that the most important element to grow the Nigerian economy was gas, adding that the nation cannot make progress without adequate power supply.

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he Department of Petroleum Resources (DPR) says it will align itself with the challenges identified by the Electricity Generating companies as regards the Nigeria Gas Transportation Network Code (NGTNC).

of the explorers and the producers, which determine a lot of things.

The DPR Chief Executive Officer, Mr. Sarki Auwalu disclosed this at the NGTNC engagement with the DPR, Gencos and the National Electricity Regulatory Commission (NERC), in Abuja, recently.

Auwalu said that the drive of the code was to help the country to migrate to the gas economy endowed with a huge deposit of the product.

“I appreciate the remark by one of the Managing Directors of the Gencos that they are sitting on gas. “We have 203 Trillion Cubic Feet (TCF) of gas that is proved, and 600 TCF about to be proved and we have so much gas project already ongoing. “What I am saying is that the network code is not only looking at end-users, shippers or transporters. “It is also looking at gas explorers and producers; when you look at the issues you have highlighted, they are issues we have observed with our interactions with you, we will identify them and work through it,” Auwalu said. He added that the only omission in the concerns of the Gencos was the needs

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He noted that the DPR would continue to engage with NERC and commended the Gencos for accepting the code.

According to him, the code is in line with President Muhammadu Buhari’s directive that the country must migrate to a gas economy. This, he said, would help to take a lot of Nigerians out of poverty and equally create the needed jobs in the country. “As you know, the president has declared this decade, a decade of gas, and he has given all the support to ensure that it is achieved,” he said. He noted that there was the need for the country to change the way things were done to get different results for the growth of the nation. Auwalu said that there was no misalignment with all the concerns of the Gencos but noted that the most important need of the code was to ensure business viability.

Garba said that there was a need to discuss how 70 to 75 per cent of power generation could be generated through gas. Represented by the Vice Chairman, Musilim Oseni, he said that NERC was ready to work with the DPR to ensure that the critical changes needed would be achieved. He said that NERC was optimistic that the network code would enable the needed milestone to achieve the migration to gas economy. Also, Mr Nnaemeka Ewelukwa , Managing Director of Nigerian Bulk Electricity Trading (NBET) Plc, said that there was the need for the network code to look at all the electricity value chain. Eweluka added that issues of charges, cost, invoicing, and payment should align for its impact in the sector. Representative of the Gencos, Mr Godwin Ogaje, said that they supported the gas network code. Ogaje pointed out that the major challenge was the big gap between the GTA and the code. He noted that various charges introduced by the code should be investigated for business viability. Ogaje listed some of the charges to include capacity charges, commodity charges and capacity obligations, among others.


POWER

Gas Pricing Hindering Investment in Power Transmission, Distribution — DPR By Ikenna Omeje

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he Director General of the Department of Petroleum Resources (DPR), Engr. Sarki Auwalu, has said that investors are not coming in to invest in the transmission and distribution ends of the Nigeria’s power sector, because of issues around gas Pricing. A significant percentage of the electricity generated in Nigeria is done with gas, but power generation companies pay in naira, even though gas exploration is a dollar business, which makes return on investment a very big challenge. Speaking in an interview with the Daily Sun, Auwalu noted that aside the problem of poor transmission and distribution infrastructure, the off-takers – the GenCos, usually insist on paying in naira, which creates a huge gap with the regular currency disparity. “The transmission company cannot really take the entire power generated. And the distribution capacity is also inadequate. We expect that more investors would come in to invest in distribution as well as transmission,” Auwalu said. “Unfortunately, that investment is

not coming for two reasons: We generate power, we use gas and there is the issue of gas pricing. Gas pricing also affects generation of power, even the payment for gas. This is because the business of gas pricing is done in dollars, but gas purchase is in naira. And the explorer of gas, uses dollars to explore and bring out the gas. But when he gives the off taker, he wants to pay in naira especially the GenCos. So, that really creates a huge gap, with the regular currency disparity.” According to him, gas owners struggle to get their money back, because they sell in naira, which is why most of them prefer to export gas to get needed forex so that they can stay in business. He, however, informed that the government is trying to work out something to make sure that the issue of currency disparity is addressed. “And I think, we are trying to work out something in a way that will no longer lead to this currency disparity. We are working that out. But remember every power that is sold to a customer that is not paid for, means that government

has paid for it. But Nigerians do not realise that. Every power generated, transmitted, marketed, which the consumer did not pay for, is being paid by the government. Because it’s a business that is paid upfront. So now the gas owners are struggling to get their money back because their transaction is in Dollars, but they are selling it in Naira. That also explains why most of them prefer to export gas to get needed forex so that they can continue to produce. Their argument is that with this intermittent gap, we must sell some portion of the gas to earn dollars so that we can be able to pay for drilling since I will give you the gas, you pay me in naira, I can’t get dollar. But we are trying to solve that problem and once solved, that case closes,” he stated. Auwalu explained that if naira were one of the International trade currencies, it would have made a whole lot of differences, but regretted it was not the case. “But unfortunately, not only for us, but a lot of other economies also rely on dollars to transact internationally. But that is the key to determining success of gas to power, gas to industry,” he bemoaned.

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Entrenching the R&D Culture for Sustainable Capacity Building By Ikenna Omeje and Jerome Onoja

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he impact of Covid-19 pandemic on the economy and the current global push towards energy transition, have necessitated the need for Nigeria to intensify its drive for building indigenous capabilities and capacity in the oil and gas industry by deepening the industry’s Research and Development culture. This write up examines some of the Nigerian Content Development and Monitoring Board (NCDMB)’s interventions in this regard.

in no distance time). The country is also working towards a 3 million barrels per day crude oil production with a target to lower its average production cost to $10 per barrel.

Nigeria has over 200 Trillion Cubic Feet (TCF) of proven gas reserves and about 37 billion barrels of crude oil reserves (with a target to increase it to 40 billion barrels

To d evelo p it s e n o rm o us gas reser ves for economic diversification, grow its crude reserves to 40 billion barrels, drive down crude production cost, and

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Also, crude oil accounts for 90 percent of its foreign exchange earnings and 70 percent of its revenue. As the mainstay of the economy of the largest crude oil producer in Africa, the sustainability of the entire value chain of the industry must be a priority.

achieve some semblance of an industrialised state, attention must be paid to R&D as an enabler for growth of the industry. The central spot for R&D in the oil and gas industry is evident in the evolution that took place in the United States few years ago, which catapulted the country to the number one spot as the largest crude oil producer in the world. The shale revolution! Extracting crude oil from shale and tight formations through fracking was novel at some point.


only innovation through increasing R&D expenditure and good governance can sufficiently drive sustainable economic growth and development on the continent. According to the paper, African countries need to strengthen and build their R&D capacity while ensuring the effectiveness of their government to achieve sustainable economic growth. Recognizing this, the Nigerian Content Development and Monitoring Board (NCDMB) in 2017 organised its maiden edition of R&D Fair and Conference to engender stakeholders’ participation. Developing Products for the Oil & Gas Industry Basically, R&D activities in Nigeria have not always had product development as a focus, rather they were aimed at publishing for promotions by the members of the academic environment. Presently, through the effort of the NCDMB, some oil and gas companies, on their own, pursue product development, either to cut down cost or to enhance their services by using local materials.

It later went on to account for more than half of the total US oil production in 2015, according to EIA. The feat became achievable through huge investments in R&D. Noting the importance of R&D in economic development, a research paper titled “The role of research and development (R&D) expenditure and governance on economic growth in selected African countries” by Ayinde et al and published in Africa Journal of Science, Technology, Innovation and Development in September 2020, found out that both R&D and governance are important factors in predicting economic growth in Africa. It added that

Patrick Oba, the Director of Planning, Research and Strategies at NCDMB said: “The R&D culture as designed by NCDMB appears to be new within the country.

COVER STORY by the members of the academic environment. “We felt that we needed to shift a bit towards the key aspects of product development and commercialization, so as

to create a culture where people earn money not just from salary paid to academic staff, but earn money from their patent right and also add to the economic development of the country. “So, it is actually new as a culture, and we have been trying to pass the message across, to get it entrenched into the consciousness of Nigerians,” Oba added. He admitted that the model was not entirely novel, but was only previously pursued on a small scale by a few companies who had individual goals. “There are companies on their own who have been pursuing product development, in order to increase some of their activities within the oil and gas industry, either in terms of saving cost or enhancing some of their services through the use of locally available materials. But the approach wasn’t across the nation. “So, it is an uphill task for us to change the narrative; but I must admit that the response from companies have been encouraging. We know that it is a battle that we are going to win, if we follow it conscientiously”, he added.

Patrick Oba,

In 2017, the NCDMB launched its intervention into the R&D space with the maiden edition of the R&D Fair. The event provided an opportunity for inventors to display their products. Oba noted that several products caught the attention of the Board, one of which was a particular machine that could transform plastic waste into petroleum product.

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COVER STORY

Prototype Development by Covenant University

“It’s common knowledge that Nigeria generates about 2.5 million tons of plastic waste annually. Now, that’s a huge feedstock there that needs harnessing;

but let’s not see it as though we intend to have a new source of fuel that will compete with crude oil”, Oba noted. Other products the board is pursuing include: hydropneumatic generator, which he believes will help the country address the problems of air pollution associated with the use of petrol-powered generators which are common in the country; the use of local materials for bio-remediation activities in the creeks. He said that the Board will work collaboratively with the National Petroleum Investment Management Services (NAPIMS) and the oil companies operating in the country to create an R&D budget, so that when the Board is interfacing with the oil companies they know there is a budget line called R&D. Oba added that

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$50 million R&D fund, which the board has made available for R&D, may look big, but “in reality it is very tiny, especially when compared to about $600 million that Petrobras gets annually

“What you see that oil companies use to support research work in institutions, are drawn from CSR budget. That is a task that we must do, not just with the oil and gas companies, but with NAPIMS, because it is NAPIMS that approves all of that expenditure in that aspect,” the Research boss quipped. Further, Oba opined that

as budget”. He bemoaned the lack of fund which was unlike India and other countries where blue chip companies pay about 2 percent to the government to support R&D; adding that part of the template of the Board on R&D is to seek support from multilateral organisations for R&D. He said, “from every research we have done, from every information that we have, and from every indication that is available to us,

the oil companies within the country – whether indigenous or international oil companies in the country – do not have R&D budgets that are operated within the country.

R&D is very important for the country in order to produce processes and products that will aid production of crude and gas at competitive rates, stating that contrary to the argument of some people that local content increases the cost of doing business; it actually reduces cost in the long run. Commenting on the global trend of energy transition and net-zero goals, he said that the country should be worried, because there will not be foreign direct investments (FDI) towards fossil fuel projects in the country anymore,


COVER STORY

Prototype Development by Covenant University

if that persists. He, however, noted that local content will be key in determining how the country survives, which will be largely hinged on local technological development - an offshoot of R&D. As a follow up to the 2017 fair, he informed that

the board is planning to hold a hybrid of R&D Fair and Conference probably by June,

which will be held in line with the Nigeria Centre for Disease Control (NCDC) and the World Health Organisation (WHO) Covid-19 protocols. In-Country Domiciliation of R&D Under the Section 36 of Nigerian Oil and Gas Industry Content

Development (NOGICD) Act, oil and gas companies operating in the country, are required to submit a brief of 5-year R&D plan showing the research they will carry out, stating the volume, monetary value, location of the research and its outcome. Speaking on this, Abdul-Malik Halilu, the General Manager of Research, Statistics and Development at NCDMB said, “We are taking advantage of section 36 of the NOGICD Act to enforce compliance and we have a second dimension to it. “The Act requires that oil companies submit a brief of 5-year R&D plan, indicating the research they will carry out, the volume of transaction in terms of dollar value, where the research will happen, but most importantly, the outcome of the research. So, there is a template for that and the IOCs are complying.

Abdul-Malik Halilu

our marginal field operators - are beginning to have R&D plans, which is very, very fundamental, and the values run into hundreds of millions of dollars. “The interesting thing to note is that even the indigenous producers –

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COVER STORY “So, we have that template; it is part of the R&D reporting requirements. And it is one of the statutory requirements they must submit to us every six months. “The other leg of the interventions we are having is on the back of major EPC contracts. There has to be R&D plans. And our focus on such R&D plans is to build infrastructure, because big EPC projects give us the leverage to also bring in big ticket items for R&D.” According to him, “Part of the success stories we have achieved so far is NLNG Research Centre in Port Harcourt that will handle the NLNG operations. “We also signed off on R&D programs with Shell in respect to establishing a subsea R&D training centre. And we intend to do that across all operating companies that have major EPC contract(s). That way, we are able to build requisite capability around infrastructure. “And then, the ultimate is that we will drive utilisation of those centres from the monitoring perspective. So,

we expect to see significant traffic in terms of R&D projects; in terms of details that will come out of those centres; in terms of new products, as well as processes and developments

that will come out of those centres,” he noted. Capacity Building: Catching Them Young In November 2020, the NCDMB demonstrated an endearing leadership in its drive to deepen R&D in the country’s oil industry with its new partnership with Enactus Nigeria for the implementation of its local content development program – the Nigerian Content Science and

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Technology Innovation Challenge (STIC). The Nigerian Content STIC is an enterprise development program designed to challenge students of all accredited Nigerian tertiary institutions to stretch their ingenuity and apply science & technology to create home-grown, innovative, and technologically-driven business solutions that address some of the country’s pressing everyday problems, accelerate reverseinnovation and create wealth, while also providing job opportunities for the growing numbers of the unemployed in Nigeria. The programme is also structured to provide opportunity for the successful applicants to experience top-of-the-range personal and professional development through a mentorship program integrated into the project implementation.

“The main vision was to engage the innovative and thinking community in creating new solutions and product for the industry.

We felt this was left out; as such, we started having innovators come through. Through it, we have seen a lot of products that we can incubate,” said Dr Ama Ikuru, Director of Capacity Building at NCDMB. He continued, “STIC is focused on the universities, using the proven Enactus model. They’ve been promoting innovation amongst universities. They have the structure, mentors, and guides to help develop ideas. “This year, we are at the stage where we have 15 people at the zonal level. We will support them in rolling out the products.” According to him, over time, the type of jobs available today has evolved into something different from what obtained in the past.

“So,

Dr Ama Ikuru

our capacity building programme and guideline are designed to produce skills that are required by the industry. “Till date, we have trained over 10,000 Nigerians but the industry uptake has been very slow. We have trained Petroleum Engineers, Geoscientists, Mechanical Engineers too. We are keeping pace with the demand of the industry. “I will say that, we are developing more sophisticated skills, more equipped and competent people for the industry “Fresh graduates, vocational training for non graduates, and specialized training for industry workforce. With the recent upgrade we introduced, it’s to make artisans meet the requirement of the industry”. He also confirmed that NCDMB have put in place a 60-20-20 training model, in which 60 per cent of the Board’s and industry’s training resources and efforts is devoted to providing young Nigerians with specialized skills they need to secure employment. Dr Ikuru added that trainees of the Board are provided with qualitative skills and international certifications that will position them for


COVER STORY employment within and outside Nigeria . Twent y percent of the training is geared towards improvement of the productivity of already employed personnel while another 20 percent of spend on training is used for trainings on soft skills.” Citing the instance where indigenous firms rose to the occasion and kept the oil industry running during the Covid-19 lockdown, he reported that

a key outcome of the Board’s human capital goals is that Nigerians now successfully operate fields divested by multinationals, needing no foreign intervention whatsoever. He added that the Board intends to continue and to sustain that

trajectory by creating more avenues for training. “We have plans to turn some government technical colleges into world class hubs in order to turn out competent people. We are also working with a number of faculties in the universities to provide equipment and support research works. These collaborations are being done to meet the mandate of the Board on capacity development,” Dr Ikuru said. The

Board is also working closely with members of Oil and Gas Trainers Association of Nigeria (OGTAN) in order to have some industry’s critical skill sets transferred to the younger generation

by experienced professionals. Vocational schools and members of Council for the Regulation of Engineering in Nigeria (COREN) among others groups are equally harnessed to pursue the Board’s in-country targets for various vocations, without neglecting global standards. A key feature with all the training is that, they come with on-the job training (OJT) and entrepreneurship. NOGTECH Hackathon Issues around pipeline vandalism, crude oil theft, inadequate domestic utilization of gas resource as against a continued flaring of the same have been on the front burner for years in Nigeria; but the right policies are beginning to spur the quest for new technologies and innovations in order to put these maladies to rest.

AirSynq Rep

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Homefort Energy

Locally-engineered solutions have the propensity to last very long and make a better business sense when compared to expensive imported technologies. Targeting bright innovative minds through the Nigerian Oil and Gas Technology (NOGTECH) Hackathon, the NCDMB has created a platform for the Nigerian youths to show their capacity to solve myriads of challenges in the nation’s oil industry through research and innovative solutions. The Board, earlier in July 2020, re ceive d a p p lic atio n s f ro m 630 startups who pitched their various solutions, after which only 15 finalists were selected from the pool. After a 3-day hackathon where their solutions were examined, five key solutions were selected as winners. They include: Gricd Mote, Fuel Intellisense, Home Fort, AirsynQ and Kiakia Gas 360. Each received a cheque of US$10,000 equity-free grant and proceeded to participate in a 3-month 34

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incubation programme during which they got workspace, expert mentors, global partners and market access to the nation’s oil and gas industry, ensuring they become commercial and investor-ready. When these technological solutions are successfully developed, deployed and mass produced, they have the potential for adding immense value to the country’s oil and gas Industry, and by extension, to the nation’s economy. It will also be a boost for the proliferation of home grown technologies which would create job opportunities for the teeming youth population. Speaking with Majorwaves Energy Report, the team leader of Homefort Energy, Opeyemi Owosho said an angel investor gave his firm a grant of additional $5,000, noting that it is a clear market vindication and acceptance of the technology as things are going favourably. “An angel investor approached us, we got a US$5,000. By Monday or Tuesday that should hit our account.

I think our decision to introduce the smart meter to this maiden model, so users can know when they run out of gas, is a smart one. So far so good, the market has vindicated our action,” he said. A large percentage of low-income Nigerian households who cook with biomass, kerosene and other forms of less environmentally-friendly fuels constitute the ready market for Homefort’s innovative technology. The youth-led indigenous firm invented the device to make access to cooking gas easier by deploying digital innovations and a pay-as-you go model towards LPG consumption. The “paygo” model is a proprietary smart meter which is retrofitted to cooking gas cylinders. And because the meter is IoT enabled,


COVER STORY

Enactus Representative at STIC.

“the gas cylinder can be remotely monitored to obtain accurate information on the volume of customers’ gas left in order to deliver fresh pre-filled cylinders to customers before they run out of supplies”. An interesting feature with the device is that when the unit bought is exhausted, the meter locks in the gas within the cylinder until a new account is bought. Explaining further, Owosho said: “basically, when you come to us, we onboard you after payment of the yearly subscription. The payment is done on our app, which you have to download first. We are automatically notified and delivery of the complete unit to your home is done afterwards.

Right there from your downloaded app, you can see what volume of gas you are consuming; we can also tell when your gas runs out.

But the idea is that we do not even want you to run out of gas.” Also speaking, Tayo Sadique the team leader of AirsynQ said that his firm currently has two potential customers, but their present challenge has to do with fabricating a demo. AirsynQ had put forward a solution that seeks to tackle the age-long problem of pipeline vandalism through an artificial intelligencebased pipeline vandalism detection system. Sadique said, “The customer is looking for our product demo, and we are making efforts to get round it. It’s important to note that helium gas is a bit expensive currently. A single tank goes for about N500,000 and we need three tanks to fulfill this demo request. So, we are working on something.” He explained that after the execution of the product demo, his team will

plan with the customer for a onemonth pilot project where the customer will be footing the bill for operating the product and then pay some amount per day for using it. Discussing avenues for the application of the product, he said the novel solution could be scaled up into some kind of maritime and coastline surveillance equipment. Benefits from successful trials and eventual use of the innovation would cut down on kidnapping, oil bunkery, pipeline vandalism, border porosity and other security challenges confronting the country. According to the tech savvy inventor,

the indigenous firm has had several conversations with the military and they have agreed to a product demo also.

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COVER STORY If successful, the technology will be adopted for use in combating insurgency and carrying out unmanned surveillance. Giving a description of the technology, he said it is more like a billion balloon aircraft, which generates leaks independently; so, there is no need for rotor blades and the likes. The design gives the balloon its ability to stay in the air much longer than a conventional object, such as an aeroplane. According to Sadique, the current product is engineered to stay afloat for up to 30 days. This enables the product to collect data which will be transmitted to a ground station, and from the ground station it is reported in real time to the client. Speaking further on the economic benefits of the product to the country, he said. “in terms of savings to the economy, Nigeria currently loses US$9 billion annually to pipeline vandalism. Using our technology for just pipeline vandalism can reduce that figure by over 50 percent”; adding that

if it is adopted across the nation for pipeline surveillance, it will generate around $200 million revenue yearly.

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On his part, Kufirre Ebong who leads the Fuel Intellisence team presents a technology which aims to improve transparency and accountability in filling stations across the country.

He, however, bemoaned the difficulty the firm is facing in trying to find a foreign company which manufactures the protocols used by the fuel pumps in the country in order to test the designed product.

He said,

“Testing the product has been challenging, because we’ve not been lucky with having access to the protocol document of the dispensers of most of the filling stations in spite of several attempts with the overseas manufacturers.

“Our innovation helps filling station owners curb theft and also have full overview of their filling stations or whatever is left in their underground tanks. It also captures all the ongoing transactions, keeps a log, and an inventory of everything that has happened. Eliminating sharp practices eventually saves money and posts more income at the end of the day.” He noted that the product, which can be used at flow stations, filling stations and refineries costs about $300 to produce in-country as against the imported version which goes for about $1,000 and is being used by some companies in the country to monitor their dispensers.

“To say the least, this hasn’t been easy but we may have finally landed the right protocol and should be testing it in a short while”, Ebong quipped. What Next? Scaling the developed and tested products from STIC, NOGTECH, and projects identified from the R&D Fair of the NCDMB has a huge potential on the country’s Gross Domestic Product (GDP).

It comes with the propensity to generate employment, expand the knowledge base of Nigerians in the industry, and by extension, the academia;


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STIC Launch

it will also entrench the culture of R&D and move the country closer to its industrialisation goals, while providing service to other linkage industries, attracting investment and earning foreign exchange from export to neighbouring African states. While making the best of its available human capital, locally, one would expect to see collaborations between Nigeria’s experienced human capital who currently ply their trade in the North Sea, the United States and other places with a high concentration of skilled personnel and their tech savvy Nigerian-based young researchers. Whether in the capacity of mentorship or in a healthy

competition, that interphase between the growing youth population and the fast-paced professionals based overseas is necessary and should be explored. Alluding to Dr Ama Ikuru on building capabilities, more schemes to proliferate internship programmes where practical exposure is guaranteed should be floated. A good example is the internship programme being championed by Shell and the Petroleum Technology Association of Nigeria (PETAN). A multiple of similar schemes by other IOCs will change the terrain and produce indigenous professionals with such concentration of highly skilled work

force which will be unrivaled across Africa and other places. The Board is developing the oil and gas industry and hopefully, Nigeria will achieve major milestones on its industrialization quest through R&D, as well as capacity building in accordance with its 10-year roadmap. From the Board’s antecedents, Nigerians should look forward to a continued rise in indigenous participation which aims at increasing local content to 70 percent; creating 300,000 jobs from industry activities; and retaining US$14bn in country from the US$20bn annual industry spend.

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POWER

Shell Sets Target to Provide Electricity to 100 Million People By 2030 by Ikenna Omeje natural carbon sinks such as forests. “We have set short-, medium- and long-term targets to reduce the carbon intensity of the energy products we sell and have tied the short-term targets to our staff incentive structure. This includes lowering emissions from our operations, including the energy consumed in running them. It also includes the emissions from oil and gas that others produce, and we then sell in our energy products – an industry-leading approach.”

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oyal Dutch Shell has set a target to provide reliable electricity to 100 million people without electricity in emerging markets by 2030, in its commitment towards helping achieve universal access to clean and affordable energy. A significant number of the global population does not have access to electricity, especially in Sub-Saharan Africa and Asia. Shell, which announced in February 2021 that it has refreshed its business strategy with what it called Powering Progress, in response to the impact of Covid-19 pandemic, said it powers millions of lives by providing energy for homes, businesses and transport, for cooking, heating, and lighting. The Chief Executive Officer of the Royal Dutch Shell, Ben Van Beurden, stated this in the company’s 2020 Sustainability Report, released recently. The report highlighted what Shell is doing with regards to its climate target, environment, social investment, among others. “We power millions of lives by providing energy for homes, businesses and transport, for cooking, heating, and lighting. We power lives by paying taxes, boosting local economies, and developing

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people. We also do this by helping achieve universal access to clean, affordable energy. Our ambition, by 2030, is to provide reliable electricity to 100 million consumers in emerging markets who do not yet have it,” Beurden said. “Powering Progress sets out our goals for powering lives and livelihoods, and respecting nature by protecting the environment. It lays out how we believe Shell can and must play a role as the world accelerates towards a future of zero- and lower-carbon energy. It is designed to integrate sustainability with our business strategy.” Shell is among energy giants who have set targets to transform into a net-zero emissions energy businesses by 2050, in support of the ambitious goal to tackle climate change in the United Nations Paris Agreement: to limit the rise in average global temperature to 1.5 degrees Celsius. Beurden said, “Becoming a net-zero emissions energy business means that we are reducing emissions from our operations, and from the fuels and other energy products we sell to our customers. It also means capturing and storing emissions safely underground using technology or balancing them with

He noted that while the company has made progress in diversity and inclusion over the years, there is still room for improvement in this regard. Speaking on gender equality, he said that as at the end of 2020, women occupied 27.8 percent in senior leadership positions at Shell. “In 2020, the death of George Floyd and its aftermath underscored society’s problem with racism. Shell is part of society, and while we may have made advances in diversity and inclusion over the years, we must acknowledge that we can do much better. For Shell, for me and the Executive Committee, these events have led us to seek a deeper personal exposure to racial injustice in Shell. We cannot take a stand in society, nor be a force for good, if we do not first fix ourselves. “In 2020, we launched a global Diversity and Inclusion Council for Race, which I sponsor. The council aims to build on our actions to advance diversity in our workforce, so it better reflects communities where we work and from which we draw talent. We will report publicly on our progress. “We are making advances in gender equality. At the end of 2020, the proportion of women in senior leadership positions at Shell was 27.8 percent, an increase from 26.4 percent in 2019. We aim to achieve 30 percent representation of women in these positions by the end of 2021, 35 percent by 2025 and 40 percent by 2030.”


POWER

Solar Power Naija: An Enabler for Economic Growth By Ikenna Omeje powering 5 Million households through a N140 Billion financing programme for private developers. “Kicking off in Jangefe, Jigawa state, we have planned a rollout across all 6 geopolitical zones in the country, reaching our 36 states, and ensuring that Nigerians have access to cheap and environmentally friendly renewable power.

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he kickoff of Solar Power Naija Programme by the Federal Government on Friday, April 9, 2021, in Jangefe, Jigawa state, is commendable, as the programme will increase access to electricity in the country and lead to economic growth and development, especially in off grid communities. The programme, which was scheduled to kick off in December 2020, but never did, was formerly launched by the Vice President, Prof. Yemi Osinbajo, with funfair in Jangefe. Access to electricity is one of the major challenges hindering the economic growth of the African giant, Nigeria. The World Bank in June last year approved $750 million for the country under what it called “Power Sector Recovery Operation (PSRO)”, to improve the reliability of electricity supply, achieve financial and fiscal sustainability, and enhance accountability in the power sector. The Bank, however, noted: “About 47 percent of Nigerians do not have access to grid electricity and those who do have access, face regular power cuts. In addition, the economic cost of power shortages in Nigeria is estimated at around $28 billion – equivalent to two percent of its Gross Domestic Product (GDP). “Getting access to electricity ranks

as one of the major constraints for the private sector according to the 2020 Doing Business report. Hence, improving power sector performance, particularly in the nonoil sectors of manufacturing and services, will be central to unlocking economic growth post COVID-19.” As at 2018, access to electricity in Nigeria was 56.5 percent, according to the World Bank, Sustainable Energy for All (SE4ALL ) database from the SE4ALL Global Tracking Framework led jointly by the World Bank, International Energy Agency, and the Energy Sector Management Assistance Programme. Solar Power Naija Programme, which will provide solar home systems to 5 million Nigerian households within 12 months, as part of the Economic Sustainability Plan, will deliver electricity to 25 million Nigerians and create 250,000 jobs. Under the programme, the Federal Government is giving support to Solar Home System manufacturers and the bulk procurement of local meters. Announcing the kickoff of the programme via his verified Twitter handle, Osinbajo said: “Under our Econonic Sustainability Plan, this power solution programme was designed by the Rural Electrification Agency (REA) with the aim of

“The President had previously emphasized the need to diversify and decentralize power supply, and with the Covid-19 pandemic causing economic fallouts, implementing off-grid solutions like solar power became the best route. “Through renewable solar power, we can cross off several goals at once – provide accessible power supply, while creating jobs for thousands in the solar industry, as well as those looking to join in. “ T his p ub lic- p ri vate s e c to r partnership is supported by concessionary lending via the CBN and commercial banks. Subsidies and rebates to the tune of $200Million have also been set to ensure affordability for our final consumers – the people.” The kickoff of Solar Power Naija Programm e by th e Fe deral Government, demonstrates its commitments to meeting global target on energy for all. Nigeria is signator y to S us tainable Development Goals (SDGs) of the United Nations (UN), to which the Goal 7 focuses on ensuring access to affordable, reliable, sustainable, and modern energy for all by 2030. Effective implementation of this programme will accelerate access to electricity in off grid communities, empower rural dwellers economically and help the country to a large extent towards achieving SDG Goal 7.

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MARITIME

Port of Antwerp Partners Nigeria Shippers’ Council on training, Consultancy necessary to make them full port. “If they are port of destination or origin, they have to be well equipped with rail. We have one operating in Kaduna, but the rail capacity is not anything to be proud of. “There are other things that must be incorporated like consolidation centres, stripping of containers, warehousing, companies that processes and add value to agricultural products and also packaging companies. “These and so many other things are areas in which we may have interest and we will study the course and discuss on the concept that needs to be adopted,” Bello said.

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he management of the Port of Antwerp on Thursday of fered training and consultancy opportunity on port efficiency to the Nigerian Shippers’ Council (NSC). Mr. Philippe Droesbeke, Manager, Port Projects, Port of Antwerp International, made this offer during a courtesy visit to the council in Lagos, noting that the opportunity would ensure Nigerian ports were modernised. The Port of Antwerp is the port of the City of Antwerp, located in Flanders (Belgium), mainly in the province of Antwerp but also partially in the province of East Flanders. It is a seaport in the heart of Europe accessible to capesize ships, reputed as Europe’s second-largest seaport after Rotterdam. D ro e sb eke said th e p or t ’s management was offering its experience and partnership to Nigerian institutions, organisations and companies in the maritime sector. “We have a long-lasting history in the Port of Antwerp, and we are here to offer our experience and partnership with Nigerian institutions, organisations and companies in the maritime sector.

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“We have a very good reference for cold chain, especially with perishables that will be offered for export,” he said. He noted that multimodality was an approach Nigeria should adopt as solution to congestion at Nigerian ports, urging the country to shift from the road to other modalities such as barges. Droesbeke said The Port of Antwerp had the capacity of 140 million tonnes of cargo in a year due to its multimodal approach. He explained that trains had 50 per cent, barges 40 per cent and trucks 10 per cent. He urged the country to invest in its port, adding that with the steady growth in cargo flow, there was need to acquire the right equipment to achieve efficiency. Responding, Mr. Hassan Bello, Executive Secretary, NSC, pointed out that the council was always interested in interconnectivity and having the country’s dry ports meet international expectations. “We need to know how the dry port will look like in Nigeria economy, especially for our exports, as we want to make them export centres and the infrastructure that is

He added that Nigeria wanted a modern port, and so needed to start right from the beginning to have the indices that would ensure the country would not face the same challenges with previous ports. Also speaking during the courtesy visit, the Executive Secretary, Nigerian-Belgian Chamber of Commerce in Lagos, Paulette Van Trier, expressed delight at the meeting, saying that the chamber had been working assiduously to improve trade between both countries. “We are trying to ensure produce to the ports is timely so that the goods can get to the international market and spread all around the world. “We hope that we can work together, have a positive partnership, and improve exports from Nigeria, thanks to Shippers’ Council. “As a chamber, we are not asking for money. We just want farmers and other exporters to know how the process is done globally. “We are providing Nigerians with examples via teachings and training to make people aware of global best standards and practices,” Van Trier said.


MARITIME

Ship Pollution: NIMASA To Ensure Availability of Sulphur Compliant Fuel ...Describes Complex as Development Milestone Daniel Terungwa

NPA Overhauls Cabinet, Appoints New Executives Daniel Terungwa

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he Nigerian Ports Authority has announced the appointment of four new General Managers and eight Assistant General Managers with immediate effect.

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h e N ige ria n M a ritim e Administration and Safety A gen c y, NIM A S A , has expressed its determination to ensure availability of marine fuels that comply with the regulation by the International Maritime Organisation, IMF, limiting the Sulphur in the fuel oil used on board ships to 0.50 per cent m/m (mass by mass). The Director-General of NIMASA, Dr Bashir Jamoh, stated this recently in Lagos at the opening of a two-day meeting of the Agency with modular and other refinery operators and fuel oil suppliers in the country.

to announce that the coast is clear for us to achieve this mandate. “Nigeria has advantage ab initio because we produce low Sulphur crude. The challenge for us now is conversion of this advantage to availability of bunker fuels that meet the IMO mandate,” said Jamoh. The DG boosted that Nigeria possess the capacity to become the bunker fuel hub for Sub-Saharan Africa and that there is a $2 billion bunker fuel market in Sub-Saharan Africa waiting to be harnessed by the country’s businessmen and women.

Jamoh who was represented by the Acting Head, Marine Environment Management (MEM) Department, NIMASA, Mr. Isa Mudi, said the Agency had made deliberate effort to conform to the new fuel oil mandate, known as IMO 2020.

Jamoh added, “Our refineries are not working at full-capacity, and this is an opportunity for the modular and other private refineries to come in to fill a vital gap in the marine fuel supply chain. Bunker fuel is a critical element in the shipping business.

“As the country’s shipping regulator, we have had interfaces with the relevant stakeholders on how to reach a win-win agreement on Nigeria’s compliance with the IMO Sulphur content cap. We are happy

“With the coming into effect of IMO 2020, we assure you

The appointment, according to a press release signed by the Assistant General Manager, Corporate & Strategic Communications, Ibrahim Nasiru, is in furtherance of the management’s commitment to motivating its workforce and building a formidable succession plan in line with the federal character principle. The newly appointed General Managers are Olaseni Alakija, who becomes General Manager, Corporate & Strategic Communications, Patricia Aboh, General Manager Servicom; Engr. Sylvester Nwankwo, General Manager, MD’s Office and Engr Anthonia Ohagwa, General Manager, ICT While the newly appointed Assistant General Managers are Naphtali Pella, now AGM, Audit (Finance & Investment); Adesina Salau, AGM, Land & Estate, Zainab Dantiye, AGM, Administration, and Nansel Zhimwan, AGM, Corporate & Strategic Communications. Others include Benjamin Oluyori; AGM, Enterprise & Risk Management, Ruth Boyo, AGM, Investments, Engr. Mukhtar Isah, AGM, Civil, and Felix Adekunle AGM, ICT (Network & Communications). With these appointments, the Authority boasts of a total number of 21 General Managers and 60 Assistant General Managers. While congratulating the new appointees, the Authority charged them to justify the confidence reposed in them by discharging their duties responsibly.

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SUSTAINABILITY

WIEN/REAN Make Clarion Call for Corporate Signatories to Gender Charter Margaret Nongo-Okojokwu

Lande Abudu Executive Secretary (REAN)

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omen in Energy Network (WIEN) and the Renewable Energy Association of Nigeria (REAN) have made a call for advocates of women to openly show solidarity in the signing of the African Gender Charter. The clarion call to sign the prowomen Charter was made by both associations at the recently held symposium themed “Light Up Africa” which was done to commemorate the International Women’s Day. Speaking at the launch of the Charter, Udom Inoyo a member of the Board of Trustee for WIEN said it was important for firms to identify with the aspirations of women in the energy space. He noted that the Charter provides an auspicious platform for companies to move beyond the rhetoric and to show solidarity

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Funmi Ogbue, President (WIEN)

with the women. “Today’s signing ceremony on one hand speaks to the journey of most of you (women) on this platform and your accomplishments and I think you should be proud of yourselves. On the other hand, it is a sad reminder of the state of affairs in our country, especially with students unable to stay in school or concentrate on their studies for fear of being taken by bandits. The call for the girl child was already steep, but now we need to dig ourselves out of the hole and that in itself most be a daunting task, but we should never, never, give up,” he said while publicly committing to the charter. In the same vein, Amina Maina, another member of the Board of Trustee for WIEN committed to an increase in the number of women at the decision-making level of organisations.

She explained that the reason she chose this commitment is because she believes that the more women in position of influence who fight for the cause of other women, the faster it will become for women to achieve their aspirations. “I am committing to champion the increase in the number of women at the decision-making level, within circle of influence and the general society,” she said. Some commitments on the Charter include: to ensure gender equality and inclusion; to contribute to gender inclusion in the transition to cleaner energy; to inspire and sponsor to study STEM related courses; and inclusion of women at the decision-making level, amongst others.


Chioma Ome, the Manager of Performance and Training at Solar Sisters who also doubles as Head of Communications at REAN, however noted that it will remain an ongoing process, as “the association continues to welcome willing corporates who want to sign the charter”. She added that a follow-up with the signatories as regards the signed commitment is not to “give room for intrusion”; but that “signatory companies are allowed to go at their own pace while the secretariat documents progress”. This year’s symposium which had Light Up Africa as its theme was graced by Mele Kyari, the Group Managing Director of Nigerian National Petroleum Corporation and Danmilola Ogunbiyi, Chief Executive of UN-Energy as both delivered keynote addresses. Speaking on increased energy access in Nigeria and the role of women in one of the panel sessions, the Managing Director of Waltersmith Patroman, Chikezie Nwosu, said, “It is important for Africa to realise we haven’t managed to consume the amount of energy that is required to consume. Therefore, the first thing that Africa needs to do, is about consuming. We need to start consuming the God-given resources of energy; whether it is fossil fuels, which are still part of the energy mix, or whether it is renewables like wind and solar, which are very predominant in terms of natural resources in Africa.” Also speaking in a panel session, the Founder/Chief Executive Officer of Sosai Technologies, Habiba Ali, who spoke on energy transition, discussed some of the challenges renewable energy companies in the country are facing and how they are coping. “We have the output-based fund, which helps to solve the problem of what it costs

to actually deploy solutions, because it is one thing to manufacture the solution, it is another to deploy it. It is very hard to get into those rural areas and sell these products and that is where we have had to suffer all these years,” she said. “Most importantly, affordability has come because of the pay-asyou-go model. There is also the issue of energy at your service when it comes to the mini-grid.” On her part, the Country Director of Solar Sister, Olasimbo Sojinrin, while discussing workplace policies, emphasized the need for companies to adopt positive discrimination to address the issue of discrimination against women in workplace. She said, “For us, it is like the very first basic policy that every organization should have, that is no-discrimination and equal employment oppor tunit y policy, which I think is actually essential. For us at Solar Sisters, we are positively adding more women to the green workforce, ensuring that we are grooming a workforce that is green, that has the expertise, but it is also mostly women.” Other highlights of the event include the Winning with Women Awards (WIWA) and the Supernova Girl launch. Winners of the WIWA award include: Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Engr Simbi Wabote, who won the Gender Advocate of the Year 2020 category; the Chief Operating Officer and Co-Founder of Ashdam Solar Company Ltd, Damilola Ashaleye who won the Woman Making Most Impact category; and Senator Sabo Mohammed Nakudu, Chairman Joint Committee on Petroleum Industry Bill (PIB), Nigerian Senate, who won the Most Inclusive Agency category.

Others include the CEO of Anergy Solar, Femi Adeyemo who won Corporate with Most Diverse Management Team; the Executive Director of Sahara Group, Tope Shonubi who won the Sponsor for Women in Leadership category; and the Managing Director of Waltersmith Patroman Ltd, Chikezie Nwosu who won the category for Best Place for Women to Work award. Equally launched on the same day is the ‘Supernova Girl’ initiative which creates an avenue for funding of girls in STEM. It also seeks to pair volunteering mentors with girls in STEM to bring out the best in them.

WIEN is an association established in 2020 to provide a platform for Women that work across the Energy Industry value chain; to network and build confidence and links to progress their careers or businesses. REAN on the other hand, is an independent, not-for-profit organization founded by renewable energy professionals, p roje c t develop er s an d practitioners in Nigeria’s renewable energy sector, dedicated to promoting the growth and development of the industry in Nigeria by engaging with the public and private sector to guide advocacy, policy formulation and investment in the sector.

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Total Partners Siemens Energy to Reduce LNG Related Emissions By Mordi Chukwunonso Esther

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otal and Siemens Energy has signed a Technical Collaboration Agreement to study sustainable solutions for CO2 emissions reduction. The collaboration will focus on natural gas liquefaction facilities and associated power generation. Total is the world’s second largest privately owned LNG player, with a global portfolio of nearly 50 Mtpa by 2025 and a global market share of around 10%. The Group benefits from strong and diversified positions throughout the LNG value chain: gas production and liquefaction, LNG transportation and trading, and contribution to the development of the LNG industry for maritime transport while Siemens Energy is one of the world’s leading energy technology companies. With its portfolio of products, solutions and services, Siemens Energy covers almost the entire energy value chain – from

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power generation and transmission to storage. Each partner will bring together their best-in-class technologies and combine their know-how to deliver industrial-stage solutions such as combustion of clean hydrogen in gas turbines, competitive allelectrical liquefaction, optimized power generation, the integration of renewable energy in liquefaction plants’ power system and their efficiency enhancement. Arnaud Breuillac, President Exploration & Production at Total said, “This collaboration with Siemens Energy, a major player in the energy technology sector, brings many opportunities to further reduce the carbon footprint of our activities, especially in our strategic LNG business,” “The development of low-carbon LNG will contribute to meet the

growth in global energy demand whilst reducing the carbon intensity of the energy products consumed. Reducing its carbon footprint is essential for LNG to play its role fully in the energy transition.” Thorbjörn Fors, Executive Vice President of the Industrial Application Division at Siemens Energy said, “We are pleased to partner with Total as one of the main players in the LNG value chain to explore how we can competitively reduce the carbon footprint of brownfield and greenfield LNG projects,” said “The agreement is a next step, following our announcement last June to collaborate together and conduct studies exploring possible liquefaction and power generation plant designs to help decarbonize the production of LNG.”


SUSTAINABILITY

Shell Partners C-Quest Capital to Provide Green Stoves to 1.5m Homes in East Africa

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ore and more companies wanting to reduce their carbon footprint are using the carbon offset market. This method is still struggling to gain unanimity among environmentalists, but the oil giant Shell believes in it and is involved. Shell and social impact project developer C-Quest Capital announced on April 16 that they have signed a contract to distribute clean and sustainable stoves for 1.5 million rural households in East Africa. This will be made possible by funding 60 million CO offsets2 Shell, for the voluntary carbon market. Under the agreement, more than three million stoves powered by wood biomass will be delivered over the next decade to replace the use of firewood, which is responsible for air pollution and greenhouse gases. Both sides also said that this investment will help improve the health of more than 7 million people and will make it

easier for women and girls to be empowered by preventing them from transporting firewood over long distances. “The agreement with Shell significantly and in the long term transforms the lives of some of the world’s poorest communities. It is not just about reducing emissions, but about improving the health and well-being of women, who are the main agents of social and economic development in rural Africa. Climate finance is just one way to achieve a development goal,”said Ken Newcombe, CEO and founder of C-Quest Capital. However, the voluntary market for carbon credits remains largely unregulated and is the subject of controversy within environmental groups about the credibility of carbon offset initiatives. Their ability to generate real CO reductions2 is always in question. For C-Quest Capital, there is no doubt about this market. The latter states that it has already reduced more than five million tonnes of CO2 through its development

projects, while helping to improve the lives of more than 20 million people. This is in sub-Saharan Africa, Central America and South and Southeast Asia. In fact, many personalities, including the former Governor of the Bank of England, Mark Carney, have taken action to restore the image of this market by establishing a stricter set of rules. The principle of carbon offsetting is based on the fact that the impacts of one tonne of carbon emitted somewhere can be offset by sequestering or reducing another tonne of carbon elsewhere. Individuals, businesses, or communities can voluntarily offset some or all of the emissions they could not help but emit by purchasing carbon credits that are expressed in TeqCO units2. Source: Agence Ecofin

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SUSTAINABILITY

Climate Change, Carbon Economy and Co-benefits of Gas Utilization ...Coming Eko Carbon Exchange webinar to link gas utilization with financial, technological leverage with a window to deepen the domestic utilization. In an era where the world is moving towards hydrogen as alternative energy source and the UK government is setting up a £20m fund for innovative projects with a target of phasing out the sale of new petrol and diesel cars and vans by 2030, Nigeria needs to rapidly beneficiate the gas resources to build capacity – both financial and technological, in the energy transition period.

By Innocent E. Azih

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ome of the biggest shifts in business and investment is happening in the oil and gas sector, denominated in the clean economic development paradigm. This shift is underpinned by the competitive race for a green global energy transition as pushed and rapidly amplified under a new US-China race for Net-Zero transition. Nigeria cannot be left out of the race, given her huge petroleum, especially gas reserves. Nigeria’s economy is almost entirely dependent on the petroleum sector. The sector also holds the key factor to low-carbon development in the country through the mitigation pathway. This means that it

(oil and gas) will continue to determine Nigeria’s economic performance into the Net-Zero era, depending on how it is continually navigated through the evolving sustainability transition demands.

Nigeria has a proven natural gas reserve of 203.16tr cubic feet as at 2020. It set sights on new target outputs of 210tcf by 2025 and 220tcf by 2030. This presents a product-economy that is acceptable to the low-carbon movement,

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This behooves the government to create policies that result in technologies being retrofitted for gas input use,

such as the auto gas scheme. This is already paving the pathway to heightened domestic gas consumption. The price of emission has risen significantly in the carbon market, post-COVID, and currently provides a longterm investment prospect around the world. From its bottomed-out condition in 2007 shuffling to as low as Euro3 per tonne in 2013, it has risen to Euro 23 per tonne in 2019 and only with high financial incentives for emissions reduction. Deepening the domestic gas utilization across consumer belts presents the multiple co-benefits of ensuring low-carbon development, retaining investments in the petroleum sector, and providing incentive payments

through c arb on of f set revenues in the Voluntary Carbon Market. This will lead to a spike in clean technology optimization as introduction of technology retrofits such as green engines, which use gas, will provide increasing income in the carbon market and further increase gas consumption.

It is therefore time to marry the opportunities of expanded domestic gas consumption with the emission reduction and revenue scope.

The Eko Carbon Exchange is consequently convoking a webinar to enable stakeholders in the gas value chain mainstream the knowledge that gas utilization is going to provide the financial and technological leverage required for business sustainability.

The Exchange plays the role of Carbon Aggregator to the Nigerian Gas Expansion Programme. It also partners key players in the carbon farming such as Amelia Agro Africa, Uganda. T h e webinar bring s a collaboration with key industry players, from the highest level of policy to investment, development and financial communities of practice as well as consumers of technolog y and gas resources.


SUSTAINABILITY The Eko Carbon Exchange has been mobilizing the carbon resources of Nigeria from the various sectors of the economy, through the aggregation of emissions avoided or reduced by low-carbon projects, practices and technology. This includes creating education and capacity for emissions management through webinars on solid waste, agricultural sector, renewable energy project, energy efficiency schemes, the construction and building-, and the financial-sector emissions.

Enyo Commences Rollout Of Solar -Powered Solutions Across Its Retail Stations Jerome Onoja

It is imperative to have a discourse that will focus on the co-benefit implications of an emerging era of fully deregulated and optimized use of Nigeria’s gas resources across all sectors. It comes with extra benefits to drive local goals from global trends in low-carbon economic development in the light of historically-observed shifts in the pattern of energy supply mixes.

It is time to mainstream the race to zero-carbon dynamics as it intensifies and as global regulations put investors on their wits’ end.

On the other hand, as hydrogen position to replace the hardest-toabate emissions, a gas expansion vision catalyzed in terms of emission abatement capacity is key. A convocation to interrogate the opportunities presented by these developments from the perspectives of Policy, Investment, Technology shifts and emission savings and carbon revenue is therefore critical. Join the conversation.

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s part of its commitment to support the sustainable development goal of improving energ y efficiency, leading fuel retailing company, Enyo Retail and Supply Limited has commenced utilization of solar-powered solutions across its retail stations in Nigeria. The introduction of these solutions is also aimed at providing alternative power and clean energy for the environment, as well as improve operations and serve customers better.

economic point of view’’

Currently, the Enyo station located at Lakowe, Lagos state, is fully operated and powered by solar with 10 more stations under development and a total of 20 stations expected to be powered by solar this year.

Awobokun also reiterated Enyo’s resolve to partner with Nigerian companies on its project.

‘‘The impact of our solar initiative is that it gives us an opportunity to actively contribute to maintain a healthier and sustainable environment within our local communities”, said Abayomi Awobokun, CEO, Enyo Retail and Supply Limited. ‘’Secondly, the plan is for our stations to function for longer hours because with solar, we don’t have to rely on the national grid or generators. This further gives us more agility, a lot more flexibility and provides more value from an

With this initiative, the company is encouraging an environmentally friendly solution to boost zero emission of greenhouse gases in Africa. Customers will have more access time to buy fuel, especially during periods where other stations are not operational. Enyo solarpowered solutions are already implemented at its stations not on the national grid and will roll out to all its stations within the next 24 months.

‘’We see collaborations as a key driver to solving some of the world’s biggest problems and I am excited that we are working with competent solar energy providers in Nigeria. Innovation is a major focus for us and being able to partner with trusted indigenous companies to deliver this project is something we are proud of” Enyo seeks to enhance customer effectiveness and raise more awareness to the global consciousness about using clean energy.

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SUSTAINABILITY

Imo Governor Commends Shell for Using Community Contractors for Infrastructure Projects

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he Governor of Imo State, Senator Hope Uzodinma, has commended Shell Petroleum Development Company’s (SPDC) commitment to the development of infrastructure and human capital in communities hosting the Assa North Gas Development Project in the state. The Governor also endorsed the gas project’s Cluster Development Board’s (CDB) employment of community contractors. Governor Uzodinma spoke recently through the State Commissioner for Environment, Dr. Ikay Njoku, at a ceremony by the CDBs to present cheques to community contractors for the third milestone for the over N360 million social investment projects designed to benefit people of the host communities. “I commend the Assa North and Ohaji Egbema Cluster Development Boards as well as their community contractors for doing good jobs so far. The Imo State Government will continue to monitor project execution to ensure that contractors do not lower the quality and standard of the jobs. We will have zero tolerance for corruption,”, he said.

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Chairman of Assa North CDB, Mr. Godswill Uzomba Uho, and his counterpart for the Ohaji/Egbema CDB, Mr. Casmir Ekeruo, pledged to “continue to monitor the community contractors to ensure that the right standards are maintained for their people”. SPDC’s External Relations Manager, Projects and Opportunities, Dr Banji Adekoya, emphasised “SPDC’s commitment to supporting projects that increase the capacity of our communities to deliver credible projects.” Adekoya, represented by SPDC’s Community Interface and Social Performance Adviser, Mr. Victor Alimele, said, “The gas development project in Imo State is one of the priority projects of the Federal Government of Nigeria because its development will help the government deliver on its ambition to provide enough gas for domestic consumption, power generation and gas-based ammonia and urea fertilizers for farmers.” “The Assa North Gas Development Project will be a major game-changer in our country’s quest for energy sufficiency and economic growth and, once again, it emphasizes Shell’s unshaken commitment to Nigeria

both now and in the future,” he said. “The project has the potential to be one of the largest domestic gas projects in the country when completed”, Adekoya added. When completed the Assa North Gas project will produce 600 million standard cubic feet of gas per day (mscf/d) from its upstream facilities and process 300mscf/d from the SPDC gas facility under construction to boost domestic gas supply for power generation and general industrialization. To benefit the local communities, SPDC has a deliberate Nigerian and Community Content Strategy embedded in the projects’ operations to create vast opportunities for Nigerian firms in Engineering, Procurement and Construction contracts; immense employment and sub-contracting opportunities for workers and local contractors in the project area; as well as opportunities for capacity development initiatives, knowledge transfer and human capital development, Adekoya said. The Cluster Development Board im p l e m e nt s S PD C ’s G l o b al Memorandum of Understanding for delivering sustainable development projects in the host communities


SUSTAINABILITY

OMAA Rolls Out First Gas-Powered Buses In Nigeria

Taking advantage of the African Union’s latest charter on free trade, Oguegbu noted “with AfCFTA already in force we hope to expand our service beyond Nigerian borders, exploring opportunities in Africa’s 54 countries and 1.2 billion population”.

(Left to right) Dr. Ishaku Abner, Technical Assistant (Downstream) to the Hon. Minister of State for Petroleum Resources; Mrs Pat Igwebuike, Special Adviser to the Anambra State Governor on Legal Matters; Dr. Mohammed M. Ibrahim, Chairman National Gas Expansion Programme (NGEP) and Chinedu Oguegbu, Founder and CEO, OMAA

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n indigenous energy firm, OMAA has rolled out Nigeria’s first locally assembled natural gaspowered buses and are already producing in volumes. The roll out took place at its facility in Igbo Ukwu near Nnewi, Anambra, in the presence of Dr. Ishaku Abner, Technical Assistant (Downstream) to the Hon. Minister of State for Petroleum Resources, Mrs. Pat Igwebuike, Special Adviser to the Anambra State Governor on Legal Matters and Dr. Mohammed M. Ibrahim, Chairman of the National Gas Expansion Programme (NGEP). OMAA manufactures factoryfitted dual-fuel vehicles to meet the growing demand of vehicles that run on cleaner energy sources within Nigeria and across Africa. The company showcased its facility and demonstrated its ability to cater to energy demands for the transportation and energy industry with natural gas. The event is coming on the heels of the Federal Government’s declaration of the decade of gas, a commitment to diversify the economy and see Nigeria develop and commercialize its gas resources. According to the NNPC, domestic demand for natural gas will rise

from current levels of 1.5 billion cubic feet per day (Bcf) to 7.4 Bcf by 2027. Mr Chinedu Oguegbu, Founder and CEO of OMAA, said at the event “This is the beginning of a trend that will revolutionize not just the transportation industry but the energy industry in Nigeria, by accelerating utilization of the abundant natural gas resources we are endowed with”. He noted that the buses are rugged and more durable because they are adapted to Nigerian roads; the company is also expanding its network nationwide to ensure quality aftersales and availability of spare parts. Speaking at the roll-out, Dr Mohamed M. Ibrahim mentioned, “OMAA has been a robust partner of the National Gas Expansion Program and there is no doubt that the company is on track to make a tremendous impact in the energy and transportation industries” In her remarks, Mrs Pat Igwebuike stated “it is delightful to see such innovative developments take place in Anambra state. With this technology, I believe that OMAA will eventually become a staple brand in the industry”.

“Whatever the need for our development and industrialization as a people today, we should be sustainable in our approach and think of the livelihood of future generations. “Whether we like it or not, climate change is real and the use of gas as a transition fuel reduces the damage done by biomass, not just to the environment but to human health”, he noted. World Health Organisation (WHO) had recently released a report that showed that 3.8 million people die yearly from illnesses attributed to household pollution arising from inefficient use of solid fuels and kerosene for cooking. Oguegbu further stated that OMAA was also committed to job creation and in due course will have a phased migration in its operations when it transits from semi-knocked down (SKD) to completely knocked down (CKD) operations. That way, it will be “localizing more components, up-skilling staff and contributing to the burgeoning automotive ecosystem”. He claimed that, “by switching to CKD, we will end up creating more jobs for the teeming youth population in the country. It is a part of our overall policy where we commit to training and retraining our people. Sourcing components in-country also has a positive impact on the local supply chain as capacity utilization, jobs, value addition all move in the right direction”. The company plans to introduce within the next year a wider portfolio of solutions to address the energy demand in the residential, commercial and industrial markets, using natural gas.

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“The golden formula is that you make your own luck; start by always being prepared for opportunities” - Effiom

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ocial media recently went abuzz when news broke out that a Nigerian female geologist, Mrs Oghogho Effiom has been elected as the African Regional Director of the Society For Petroleum Engineers - SPE International, which makes her the voice of Africa on the SPE table globally. Oghogho has about 20 years of technical experience in the Upstream oil and gas businesses with assignments in Nigeria and the United States covering offshore drilling operations, reserves estimation, field development and execution. Her current role involves project maturation, risk management, technical integration, and stakeholder management. She is a senior production geologist,

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a 4D seismic interpretation subject matter expert and a front end development project manager, currently working with Shell Companies in Nigeria leading projects in both deep water and shallow offshore. She was the 2020 chair of the SPE Lagos Section, winning the 2020 Presidential Award for the section. In 2019, she received the SPE African Regional Service Award. She served as chair of the 2018 Nigerian Annual International Conference and Exhibition, and the 2016 SPE Annual Technical Conference and Exhibition Soft Skills Workshop on Strategic Planning. Oghogho holds a master’s degree in asset integrity management from Robert Gordon University in

Aberdeen and a bachelor’s degree in geology from the University of Benin in Nigeria. She is happily married to Joseph and has two teenage sons. In what is seen as a generational take over from her predecessor and a massive win for the African region and also women in STEM – being the first woman to serve in this capacity; Oghogho brings with her a wealth of technical expertise, having distinguished herself on many leadership fronts locally, regionally and globally. In this interview with Majorwaves Energy Report’s Editor, MARGARET NONGO-OKOJOKWU, she sheds more light on her role, her vision for the SPE Women In Energy as well as other issues of National interest. Excerpts.


ENERGY WOMAN Congratulations once again on your election as the top SPE leader in Africa - the incoming Africa Regional Director, a position that sits you on the Board of SPE International! What does this mean to you and the SPE Sections in Nigeria and indeed in Africa and what specific targets are expected of you as you occupy that seat? Thank you for your kind wishes. Indeed, it is a very big achievement for Lagos section in particular, which is my ‘home’ section. It’s an honour to me as a person, and I’m very glad to have been considered for the position of Regional Director for SPE Africa. I can tell you that the appointment is so new that my specific brief has not been handed off to me yet. My official start time for this position is late September to early October. So, by then, I’ll have much clearer view of what my specific brief will be and I would be happy to share that.. For now, what I know is that I’ll be representing Africa on SPE International Board, I’ll be representing the interest of African SPE members,

and I’ll be contributing to many of the initiatives that SPE International is trying to champion, for example, diversity and inclusion in the oil industry, business and leadership within the oil industry, various standards and procedures that are being developed in the oil industry. So it’s a whole raft of activities that SPE is championing, and I’ll be the voice of Africa on the Board. That sounds interesting. So, for those who may not know much about what you do, could you please speak to us about your current role as a senior Development Planner for Shell Nigeria? My job in Shell is a Senior

Development Planner. It is very similar to Project Management in the Hydrocarbon Maturation process. When projects get initiated, a development Planner defines how they get to the production stage. For example, you want to produce a number of barrels of oil in the future, you get a Project Manager like myself to work with the team to select the best sub-surface, surface and development concept that will help to deliver the barrels that is needed at a particular time , under a particular budget, with certain target for the schedule.. Its centred around oilfield production, hydrocarbon maturation and project management. Your previous role included opportunity maturation, risk ma nage me nt , tech nic a l a nd stakeholder management means to an average reader. Some of the terms sound familiar but please explain what they really mean. Indeed, my job involves risk management. I have to be able to quantify risks and make decisions in a way that’s logical and reputable, and gives good results. In everything that you do, imagine you’re an investor in the oil industry, and you want to invest billions of dollars, you have to know what the risks are - what are the threats? What are the things that can prevent you from achieving those goals? What are the strengths of the project? What are the weaknesses? How do you determine whether this decision you’re going to make is a good decision or not? So, that’s also part of what my previous role involves. I must add though, that

risk and decision management is an integral part of my current role as well. Once you reach a certain level of seniority, it is impossible to avoid managing risks and making decisions.

Looking at your role at Shell Nigeria, what are your thoughts on the current

trend on the energy transition globally and how do you think Nigeria should play in this global discourse? Also, do you see this move as threatening to your present field? If yes, how do you think people like you and your colleagues can survive this transition? So a little bit of my background; I started my career as a geologist, I also studied Geology at the University of Benin and what a geologist does for the oil industry is that you are part of an exploration team that actually finds hydrocarbon. So my job essentially has been finding hydrocarbon, developing them, designing wells, drilling them and ensuring that oil gets into the tank. I’ve done that in the last decade or so of my career. Now if I think about where the industry is going currently , there’s a lot of push to reduce carbon emissions in the atmosphere. So you see that

there’s a lot of push towards more sustainable and more renewable energy sources, and I think that’s the way to go. However, there’s still going to be a place for hydrocarbons in developing nations in the future. Most of the developed nations have developed themselves on the strength of their technology, which have been backed by the energy provided by hydrocarbons, they’ve gotten to a place where technology has now taken over, there’s a lot of automation, a lot of digitization and so on and that’s fantastic, but for many of the developing nations like Nigeria and much of Africa, we are still in a place where we need to rely on the energy sources that come from hydrocarbons; I believe we will eventually get to a place where we will need to decarbonize and reduce emissions as much as other countries, but I think that we are still a little bit behind other countries at the moment. There’s a possibility of some sort of leap-frogging taking place in the future,

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which means that Nigeria as a nation may join the rest of the world and decide to immediately switch to renewables, that’s definitely possible, but I think that we are still a long way from that right now. What I do see as a trend in Nigeria is our push for more gas. Funny enough some people don’t realise that Nigeria is actually more of a gas province than oil, we have almost three times more gas than oil in Nigeria as reserves, people don’t realise just how much gas Nigeria has in terms of associated and non-associated gas. So

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if Nigeria really desires to use the gas the way the Gas Master plan has laid it all out, then we would definitely be better off for it, and I think we are on course in terms of utilizing our natural gas to its full potential. What is your vision for the SPE

Women In Energy which you currently lead? Regarding my vision for SPE Women in Energy, as I look to the future, I want to see more involvement with SPE Women in events not just within the SPE but within the Nigerian Energy industry as a whole. We are working on having a bigger network of women in the oil industry where we all support one another, provide a platform for visibility of the impact


ENERGY WOMAN and achievements of the women of the industry and we look out for one another. Take for example, we have a group in SPE called our women, our pride that is building a database of women in the oil industry such that when we need women to be represented on the tables where decisions are being made, we have that database to go to where we can call on the right persons to represent us on that table. my vision is really to continue to expand that. I think there are too many places where decisions are being made or discussions are being had where women’s voices are not being heard, so

my vision for SPE women is that we continue to expand that frontier to create a much more cohesive organisation that really becomes a group for change in the oil and gas industry in Nigeria.

How do you manage tough times; also, what’s your biggest fear as a professional? I will start with the second question first; what is my biggest fear at work? my biggest fear at work is being involved with any safety incident because sometimes we tend to forget that the oil industry is still one that is rife with safety issues and challenges that can have a huge impact on life and the environment. I’ve got colleagues who go to the rigs, who go to the facilities, who are traveling everyday even with the COVID situation, we still have the production people who are onsite, still working extremely hard, to churn out the hydrocarbons that Nigeria as a country needed to survive, because Nigeria needs the foreign exchange, needs the products of hydrocarbons to survive, its actually an existential problem, so I still fear for my colleagues, and myself as we embark on field activities, there are still safety risks that can impact lives and the environment, these are the things I pray not to happen as we

continue in the oil industry in Nigeria. Coming to your first question now; how do I manage hard times? It may sound like a cliché, but honestly

Prayers keeps me going; I’m a person of faith, and there comes a time really, where you’ll just have to yield yourself to the higher powers of God, because sometimes when you dig deep and are down, you may not always find the strength within yourself to help keep you going. Family is also a very important factor, then friends, when you have the right support system, really good friends that uplift you, it gets you through hard times. if there’s any advice I’ll give to the readers, it would be to surround yourself with people that uplift you. there are so many things in the society now that are there to bring you down, so don’t surround yourself with people that will bring you down, surround yourself with people that will lift you up, whether they are friends or family members, church or religious leaders and so on, do that because that’s the only way you can really survive tough times. How do you manage work-life balance?

Work-life balance for me is also called stakeholder management. the way I see it is that we’ve all got stakeholders, and your stakeholders at home are your family: your spouse and children; in my case I have a husband and two children. And in the office it’s

my boss, it’s my team members, my clients etc., Now I look at the work that I do and life generally as though we are juggling balls in the air and sometimes some balls can drop and its okay to allow some balls drop if you know that that ball is not going to break. there are times when you can’t allow the ball that is made of glass to drop and break. So its knowing which of your balls is a glass ball, which of your ball is a Plastic ball that will bounce back and which of your ball is a wooden ball, which may not break but you will have to do some work to pick it back again. I ‘ll give you an example, there are times when I had to miss my children’s soccer and basketball games, maybe I’m not the kind of parent that they’ll call to come and read stories in the class because I’m working during the day but I always to explain to my kids that this why Mummy cant’ do this at this time’ and we’ll make a deal on what we can do instead?. I’m amazed at how understanding children can be, they’ll just say ‘Okay I want you to do this for me on Saturday or Sunday’, and I will say oh that’s a good compromise, and we go with that. The second thing is that my husband is extremely supportive, he’s a hands-on father to our kids and a very supportive spouse. It’s a gamechanger that whenever I am unavailable, my husband covers up for those gaps, and he does it so well, by not telling the kids ‘see, your mum isn’t going to show up at your school today’, but more like ‘hey, guess what? Daddy is going to be the one to come to school today!’ And they get excited hearing about it. They really don’t know the difference, just that sometimes they see Dad, sometimes they see Mum, and at other times they see both of us. So it’s about having that united front as stakeholders and being extremely transparent with them about what you can and can’t do. I can’t do everything and they are well aware that the things I can do, I did and the things I couldn’t do, I explained and made it up to them and made sacrifices for them. The same goes for work: it’s not every task I could take on and not every assignment I could go on;

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ENERGY WOMAN there were times I had to turn down an assignment because my kids needed me more. I recall there was a time I was being posted to a different location in Nigeria on an official assignment and I couldn’t go because my son was at the time taking his Common Entrance Examination and I wanted to be available for him at that period. I didn’t take on that assignment, which could have led to a promotion for me as well. It was a decision that I made and had to bear the consequences for it, I mentioned it to my husband, and we agreed to let it go, no complains, and that’s it. So it starts with you being honest at least with yourself first, about what is important at that time, what you can and cannot do, putting all your stakeholders into consideration and working towards satisfying them as much as you can. Even I call myself my own stakeholder as well, because there are times when I just need my own peace and rest; that I have to take my mental and physical health into consideration as well. That’s how I manage work-life balance. What’s that golden formula that has brought you this far and what advice do you have for aspiring young professionals in the Industry? In terms of having a golden formula, I’m sure if I’m going to say what I’m going to say next, some people will roll their eyes and say, “it’s just a cliché”, but I think that’s really the golden formula, which is:

You make your own luck; and what I mean by luck is that your opportunity will also meet your preparation. Start by always being prepared for opportunities, which means that you think about the end you want to achieve for yourself. At the time I joined SPE, may be 10, 12 years ago, becoming the Regional Director was not something that was

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even in the realm of possibility for me. I didn’t even see it as something as possible for me, but I did put in a lot of my best efforts into being the best SPE member that I could be, which means that I volunteered for committees, I gave presentations, I wrote papers, I went for conferences, and basically, I stood up to be counted when decisions were being made, I volunteered my services, and was always very active in the things of the association, because SPE is the association that marries my love for technical discipline of petroleum Engineering and sub-surface with the philanthropic part of me. So, even as a member of SPE, there is SPE Cares, that really does a lot of outreaches – carrying out charitable activities for the society and our communities, that was a way that I could exercise my technical skills and capabilities and also give back to my local community. That was something that really appealed to me and year-on-year, I would volunteer my time and experience, to give training, coaching, and lectures on a range of topics. after volunteering for a long time, you build a reputation for yourself for being someone who is not only technically competent, but also a servant leader, and that comes to bear at a time when they’re looking for folks who have the credibility, the stamina and the foresight to be able to lead. I think the golden formula would be when an opportunity meets your preparation Onlookers on the outside would call it luck, but it’s not really luck because you’ve really put in a lot of efforts into it and the opportunity becomes available; So that’s what I will advise; that

in anything that you volunteer to do , anything that you want to be part of, do it with excellence and consistency, and just continue to do stuff that you enjoy, where your passion will shine through, and genuinely put yourself out there, to support and help others and eventually, these things will speak for you in any space.


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ACROSS AFRICA

Total declares force majeure on $20bn LNG project in Mozambique

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otal has declared force majeure on its multibillion dollar LNG development in Mozambique after an escalation in attacks by Islamist insurgents forced the mothballing of Africa’s biggest private investment. The French energy major said on Monday it had activated the contractual get-out “considering the evolution of the security situation” in Mozambique’s northernmost Cabo Delgado region, where insurgents last month laid waste to a town adjacent to the $20bn project. The attack on Palma killed dozens of people, including foreign workers, and made thousands more homeless, prompting Total to withdraw all staff from the nearby project on the Afungi peninsula. Discoveries of vast offshore gas reserves over the past decade promised to transform the economy of one of the world’s poorest nations. But the LNG development

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has been overshadowed by the rise of the insurgent threat since 2017, especially attacks in the past year that have left President Filipe Nyusi’s security forces on the back foot. The company has not given a date for when it might resume operations, which analysts say is likely to depend on evidence that government forces are being better trained and equipped to fight the insurgents. Mozambique’s national oil and gas regulator said on Monday that Total would assess the suspension’s impact on the project’s timetable alongside the government. Total previously signalled that the Mozambique project would produce its first gas in 2024. But even before the Palma attack, exports were unlikely to start before

the second half of 2025, analysts at NKC African Economics said. In the past year, the LNG project, which is targeting production of 12.9m tonnes per year, was also hit by stoppages caused by a coronavirus outbreak and an earlier insurgent threat close to the site. “While Total’s latest withdrawal may be lengthy, we believe it is unlikely to be permanent,” NKC analysts added. But “the later start date . . . will not only delay the economic benefits stemming from these exports, but will also reduce government revenues” over the project’s lifetime. Total has a 26.5 per cent stake in the Mozambique LNG project alongside other global investors and ENH, Mozambique’s state oil and gas company.


ACROSS AFRICA

East Africa: French, Chinese Oil Firms Seals Controversial Pipeline Deal With Uganda,Tanzania Daniel Terungwa

Senegal to Raise $1.3bn for Universal Access to Electricity by 2025

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he Ugandan and Tanzanian governments have signed a series of agreements with oil companies Total of France and the Chinese National Offshore Oil Corporation. The deal paves the way for the construction of a pipeline to carry crude oil from Uganda to a Tanzanian port on the Indian Ocean.

issues related to the EACOP Project have been amicably resolved”.

French and Ugandan environmental action groups have confirmed they will continue legal action against the project which they claim will cause major human and environmental problems.

The letter cites “extensively documented risks” including “impacts on local people through physical displacement … risks to water, biodiversity and natural habitats; as well as unlocking a new source of carbon emissions”.

The 3-billion-euro project led by Total and the Chinese National Offshore Oil Corporation provides for the management of oilfields in the Lake Albert region in Uganda’s west, and proposes pumping the crude to the coast across Tanzania via the East African Crude Oil Pipeline (EACOP). According to a joint press release within the week, the latest agreements signed by Ugandan President Yoweri Museveni and his Tanzanian counterpart Samia Suluhu Hassan mean that “all outstanding

On 1 March, more than 250 local and international organisations addressed major banks in a letter calling upon them to refrain from financing “the longest heated crude oil pipeline in the world”.

The two French organisations, Survie and Friends of the Earth, along with Stop EACOP and several Ugandan environmental action groups, have already launched a legal campaign to prevent the construction of the pipeline, or at least to oblige Total to ensure that the project will not have an irreversible human or environmental impact.

enegal wants to live up to the universal goal of access to electricity by 2025. It is time to seek funding with the support of the World Bank to make the government’s action plan effective. Providing reliable, quantity and quality electricity at an affordable price to all its citizens by 2025 is one of Senegal’s priorities. The country has decided to raise, with the support of the World Bank, 732 billion CFA francs ($1.3 billion) for structuring projects in rural and suburban areas. The World Bank has already provided nearly 167 billion Fcfa to support the Senegalese government’s electrification project. The West African Development Bank has announced a commitment of 49 billion francs. A roundtable discussion with various investors, technical and financial partners has been held since 8 April. In Senegal, the electricity rate in urban areas is 94% compared to 53.9% in rural areas. Despite these figures, the country is among the countries with the highest performance in access to electricity in West Africa, with 76% reached nationally by the end of 2019. Source: Agence Ecofin

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Angola Optimistic About Future of Oil Sector Daniel Terungwa

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ngolan Minister of Mineral Resources, Oil and Gas, Diamantino Azevedo has reiterated optimism about the future of the oil sector in Angola, which presents itself with “great” potential. According to the minister, Angola remains “blessed with great oil potential, presenting itself with a stable, competitive and very attractive oil sector for investors”. Speaking at the Bidding Roadshow for oil concessions in the Lower Congo and Kwanza Terrestrial Basins, he said that the Government is focused on the continuous improvement of the business environment to attract the local and international investors.

largest oil producer in Africa in the last two decades. According to the minister, the Government will aggressively continue with its strategy of allocating blocks in the coming years, in order to guarantee, consistently, an increase in the volume of activities and investments in the sector. The strategy aims to mitigate the decline in production and hydrocarbon reserves in the country. “With a focus on ensuring the contin ue d sus tainabilit y of production and activities in our sector, we are here today to continue our strategy for awarding concessions”, said Minister Azevedo.

Azevedo said that Angola has a robust history, of “great pride and great relevance” in the oil industry, having been evolving in this sector for several decades, with major discoveries of hydrocarbons in onshore, shallow and deepwater segments.

He reiterated the countr y ’s commitment to continue working with partners to improve the business environment, creating the necessar y conditions to continue to invest in this sector considered stable, competitive and with attractive rates of return for investment.

This, he said, has allowed the country to reach the position of second

With the concessions allocation

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strategy of the two basins, the National Oil and Gas Agency (ANPG) continues with the 2020 bidding round, composed of 9 onshore blocks, a continuous part of this strategy foresees allocations of more than 50 concessions between 2019 and 2025. On December 31, that the National Agency of Petroleum, Gas and Biofuels (ANPG), within the scope of the Strategy for the Attribution of Petroleum Concessions 2019-2025, announced the intention of bidding on the CON1, CON5 and CON6 Blocks (Baixo Terrestrial Basin) Congo) and Blocks KON5, KON6, KON8, KON9, KON17 and KON20 (Kwanza Terrestrial Basin), starting the promotion process. ANPG launches the sale of the data package of the blocks to be auctioned, after clarification sessions of the bidding process. The ongoing promotion process will culminate with the launch of the Public Tender, on April 30, 2021, the date on which the rules, procedures and Terms of Reference for that tender will be disclosed.


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