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LEKOIL inks infrastructure agreements for Otakikpo development
LEKOIL , the oil and gas exploration and production company with a focus on Nigeria and West Africa, announces that the Otakikpo Joint Venture, has executed definitive agreements for the next phase of the Otakikpo marginal field development.
Further to the execution of a non-binding Memorandum of Understanding, the Otakikpo JV has executed binding definitive agreements with Schlumberger which covers the comprehensive in f ra s t r u c t u re sh a rin g a n d field management services for the planned upstream drilling programme.
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The upstream drilling programme consists of a phased drilling of up to seven new wells in Otakikpo. The drilling of the first two wells is expected to increase gross production to approximately 10,000 bopd from the current gross rates
of 5,755 bopd.
“We continue to make progress towards our shared ambitions to drill additional wells and unlock further value for all stakeholders from Otakikpo. We are pleased with the Joint Venture’s relationship with Schlumberger, a world class project execution partner, as we are committed to advancing this exciting and transformative project that is aimed at increasing the value and cash generation abilities of the field,” Lekan Akinyanmi, CEO of LEKOIL noted.
“As a result of the lower oil price environment and a change of project scope by the Otakikpo JV and other project stakeholders, these project capex estimates are a reduction on previous estimates of $170 million ($68 million net to LEKOIL Oil and Gas Investments Limited) as announced on 1 July 2019. LEKOIL expects to potentially raise, according to its participating interest, its own portion of the required funding from a combination of of f take financing from a subsidiary of a major international oil company and cashflow from existing production,” Mr Akinyanmi said.
The Otakikpo JV entered into an infrastructure sharing and utilization agreement in respect of the production from the Otakikpo marginal field with Integrated Hydro c arb on Infras truc ture Limited, a special purpose company incorporated and owned by Green Energy International Limited to build, own, operate and maintain the shared infrastructure facilities (the “ISUA”). Pursuant to the ISUA, Integrated Hydrocarbon Infrastructure Limited will assume the role of facility operator (from its parent, Green Energy International Limited) and will build, own, operate and maintain certain flow stations, pipeline facilities and terminal facilities to be used for the evacuation of crude oil produced from the Otakikpo marginal field.
Airports concession: Sirika receives certificates of Compliance from ICRC
The federal government’s concession plan for four of its international airports received a boost recently as the Minister of Aviation, Senator Hadi Sirika, received the Outline Business Case Certificate of Compliance for the concession of Lagos, Abuja, Port Harcourt and Kano International Airports from the Infrastructure Concession Regulatory Commission (ICRC).
Receiving the certificates of compliance from the Director General of the commission, Mr. Chidi Izuwah, in his office, Sirika said that with the certificates of compliance, “we will go-ahead to the Federal Executive Council for approval for the full business of concession to proceed and that will turn the airport terminals to its full potential in private hands as millions of dollars would be pumped into the airports”. He recalled that President Muhammadu Buhari had earlier approved the Aviation Sector Roadmap which the ministry has been following and operating diligently and part of which was airport terminal concession. Sirika, in a statement issued in Abuja by the Director, Public Affairs, Ministry of Aviation, Mr James Odaudu, commended the ICRC, which through its mandate has guided the ministry throughout to ensure compliance and value for money, transparency, equity and fairness. He also expressed satisfaction with the quality of work done by the transaction advisers that culminated into the release of the certificates by the ICRC.
The minister noted that with the full implementation of the airport terminal concession, about 241,700 jobs will be created. In his remarks, the Director-General of ICRC, Izuwah said the federal government through the Ministry of Aviation has adopted publicprivate partnership (PPP) as the strategy to leverage on private sector participation and investment in order to achieve the upgrade and development of new terminal infrastructure at the four airports in a cost-effective and value-formoney manner. He said the airports in Nigeria have great potentials but was currently operating at suboptimal level due to factors that will have to be improved under the PPP programme.
According to Izuwah, airport terminal concession is one of the critical projects under the aviation sector roadmap of the federal government and fits well within the scope of the ministry’s strategic plan for the sector. He congratulated the minister, ministry staff and the transaction advisers on the achievements recorded so far, and wished for greater success as the project enters the procurement stage.
Shell Nigeria Gas (SNG) has completed the final phase of its 20 kilometer domestic gas pipeline expansion project in Abia State, southeast, Nigeria.
The project, which connects Agbor Hill, Osisioma and Araria industrial zones, has also enabled the supply of pipeline gas to Ariaria Market Energy Solutions Limited, the Independent Power Project (IPP) consortium that provides electricity to the popular Ariaria market. Ariaria International Market is one of the largest leather shoe-making and open stall markets in West Africa, with over 37,000 shops and an estimated one million traders. A press release by the Media Relations Manager, Shell Nigeria, Bamidele Odugbesan, quoted the Managing Director, SNG, Ed Ubong, as saying on the completion of the expansion project, “We are proud of this domestic gas infrastructure investment which allows the industries in Abia to have more reliable and cleaner source of energy. SNG is committed to supporting Nigeria’s industrialisation provided there is a stable regulatory
environment in the domestic gas sector that allows investors recover their investment.”
Also speaking on the completion of the expansion project, the Managing Director, NICEN Industries Limited, a paint and plastics manufacturer connected to the pipeline gas, Christopher Eze, said, “SNG has put life back into our industries in Aba through the provision of this natural gas line. This milestone will open up the state for an influx of investors thereby creating an enabling environment that will generate job opportunities for the youth of the State. I am sure that many industries in Aba will quickly take advantage of this great opportunity. Our company sincerely appreciates SNG for this great feat”.
On his part, the President of the Manufacturers Association of Nigeria (MAN), Mansur Ahmed said, “MAN is proud of the role that Shell is playing in driving industrialisation in Nigeria through domestic gas supply. Industries and manufacturing plants play a key role in transforming the Nigerian economy and this project will connect many manufacturers in Abia State, one of the nation’s major industrial hubs, to pipeline gas, which is a cheaper, cleaner and more reliable source of energy.
According to Ahmed, the gas supply to the Ariaria Market IPP would strengthen micro, small and medium enterprises in the Abia State and enhance the operating environment for manufacturing to thrive. SNG also noted that it has in collaboration with its partners and local stakeholders agreed to build infrastructure and deliver natural gas to over 150 industrial and commercial customers, mostly in Ogun, Abia, Rivers, Bayelsa and Lagos States. This will drive industrialisation; provide employment for skilled and unskilled local population in addition to directly improving internally generated revenues in these states. It added, “With a reputation for safety, credibility and reliability, SNG has maintained a 16-year streak of successful ISO 14001 certification and has operated for over 10 years without any lost time injuries.”
Nigeria, Uganda, Others Explore Regional Integration Post Covid-19
Af ric a’s oil p ro du cin g countries can develop their technological capacities and capabilities by learning from Nigeria if regional integration is embraced as a survival strategy post COVID-19, the Nigerian Content Development and Monitoring Board (NCDMB) has said.
Tunde Adelana
The Director of Monitoring and Evaluation, NCDMB, Tunde Adelana stated this during a Webinar hosted by Majorwaves Energy Report recently, with the theme; “Optimising Local Content through Regional Integration in a post COVID-19 Africa.” He said local content in the Nigerian oil and gas industry is not about indigenization, but domiciliation and domestication of skills. He added that indigenous companies have since built capacities on the back of the policy.
Adelana noted that Africa is a very rich continent and has a lot of mineral resources in every nook and cranny, adding that research should be encouraged in the continent to develop these local resources. He said, “Africa is a very rich continent and we have a lot of mineral resources everywhere. We need to look back and do some more research into our local resources, to see how they can be utilized to support, not just the oil and gas sector, but the entire economy at large. “Nigeria has abundant skills. We have abundant capabilities and competencies, given the length of time we have been in this industry (60 years). Our achievements speak for themselves. And for the rest of Africa, there is a lot you can learn from Nigerians.”
“Our principle is Local Content, and it is not about indigenization. It is about domiciliation and domestication. It means, bring it to us and do it here, our people will learn from it and become experts in that field.”
“R&D is the bedrock of any development. We need to continue to evolve, to create values. R&D is very key on this and I think this is one of the opportunities that Africa as a continent needs to take on, post Covid-19.”
Dr. NJ Ayuk
Also speaking at the webinar, a legal expert on structuring, local content, documentation and negotiation of oil, gas and petrochemical transactions, Dr. NJ Ayuk, enjoined Nigerian oil and gas services firms to take advantage of opportunities in Equatorial Guinea, Mozambique and other Africa countries post COVID-19. Elaborating on the importance of regional integration in post COVID-19 Africa, he noted that the African Continental Free Trade Agreement (AfCFTA) has a pivotal role to play but bemoaned the difficulty it will face if the local content laws of participating countries were not harmonised. “Nigeria for example, has competent oil services firms but finds it difficult operating in fellow African countries because of local content laws” he said, while urging Nigeria to lead the campaign for a regional content law.
According to the Executive Chairman, African Energy Chamber, “in the last two years, there has not been any major project in Africa.” He then called on Africa oil producers to make their fiscals competitive, so as to attract big projects. He lauded the Nigerian Liquefied Natural Gas (NLNG), describing it as one of the most successful LNG in the world.
‘’Africans, Stand up! Be conquerors and go to these places where you never thought you will go; set up service companies and compete internationally!” he stated.
“We need to get off our high horses as Africans and start competing. Africa, we need to be honest with ourselves: it is a time to go bold!”
He further noted that, “there is no reason why we cannot use this Covid-19 moment to leap frog into the future and break bounds.”
On her part, Director of Technical Suppor t Ser vices, Petroleum Authority of Uganda, Peninah Aheebwa said National Content in the Ugandan oil industry is about value creation and retention in-country.
She said, “For us, National Content means in-country value creation and retention, whilst ensuring competitiveness, efficiency and effectiveness.”
According to her, “ We have opportunities for Joint Venture with UNOC. This is available for African operators to seize.
Peninah Aheebwa
“While FID was delayed in Uganda, we used the opportunity to build some level of capacities which can be deployed in Mozambique and South Sudan; discussions have begun in this regard.
“Our National Supplier Database is open to everyone for registration, whether nationals of Uganda or not.”
Lending his voice to the discussion, Head, Oil and Gas Southern Africa, Standard Bank Group, Paul Eardley Taylor, said that there is existence of local content escalator for all projects in Mozambique.
Paul Eardley He said, “Local Content escalator exists for all projects in Mozambique, as subsequent plans for development have increasing provisions negotiated projects compared to earlier ones.”
He stated that, “A Mozambican company is one that is set up in Mozambique and pays tax in Mozambique; it does not have to be owned by a citizen. We’re excited about the opportunities there for other African countries.”
On the local content opportunities in the country, he said, “The opportunities for Local Content in Mozambique’s LNG is estimated at 5billion US Dollars over the next 4 to 5 years.”
Speaking on the future of oil and gas companies in the country post COVID-19, he said, “The next phase for a lot of the local companies is equity funded joint ventures, and over time they will become the established local corporates in Mozambique which have the skills and the track records of the companies in Nigeria.”
The webinar was graced by stakeholders of the oil and gas sector across Africa, Europe and America as attendees aimed at identifying opportunities across Africa for built capacities and capabilities; the flow of capital, formation of JV towards big ticket projects; finding practical solutions to challenges with integrating businesses across national boundaries; optimising bi-lateral and multilateral trade a g re e m e nt s a c ro ss re gio n s; leveraging technology in a post Covid-19 era across the continent; and comparing National Content legislation of individual countries, as well as provisions for collaboration and dispute resolutions. As countries are strategizing on the way forward post COVID-19 pandemic, African countries are expected to recover faster collectively and to benefit more from one another with regional integration strategy, which was the highlight of the webinar.
World Bank approves $750m credit for Nigeria to improve electricity Supply By Ikenna Omeje
The World Bank recently, a p p r o v e d t h e P o w e r Sector Recovery Operation (PSRO) of $750 million in International Development Association (IDA) credit facility for Nigeria. A release by the Bank said that the credit, which was approved by the Bank Board of Directors is aimed at improving the reliability of electricity supply, achieve financial and fiscal sustainability, and enhance accountability in the country’s power sector. Giving reasons for approving it, the Bank said: “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 2 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 non-oil sectors of manufacturing and services, will be central to unlocking economic growth post COVID-19.” Speaking on the credit, the World
Bank Country Director for Nigeria, Shubham Chaudhuri, said: “The lack of reliable power has stifled economic activity and private investment and job creation, which is ultimately what is needed to lift 100 million Nigerians out of poverty.”
“The objective of this operation is to help turn around the power sector and set it on a fiscally sustainable path. This is particularly urgent at a time when the government needs all the fiscal resources it can marshal to help protect lives and livelihoods amidst the COVID-19 pandemic.” The PSRO provides results-based financing to support the implementation of the Government’s Power Sector Recovery Program (PSRP). The PSRP is a comprehensive program to restore the power sector’s financial viability, improve service delivery and reduce its fiscal burden. The PSRO is expected to increase annual electricity supplied to the distribution grid, enhance power sector financial viability while reducing annual tariff shortfalls and protecting the poor from the impact of tariff adjustments. This will enable the turaround of power sector while helping the Federal Government to redirect large fiscal resources from highly regressive tariff shortfall financing towards critical crisis-responsive and pro-poor expenditures. It will also increase public awareness about ongoing power sector reforms and performance. Specifically, the PSRO will ensure that 4,500 MWh/ hour of electricity is supplied to the distribution grid by 2022 by strengthening the regulatory, policy and financing framework. It will also enhance the accountability and financial viability of the sector, helping the sector create a track record of sustainable operation necessary for unlocking much needed private investments in the future.
The IDA, established in 1960, helps the world’s poorest countries by providing grants and low to zerointerest loans for projects and programs that boost economic growth, reduce poverty, and improve poor people’s lives. IDA is one of the largest sources of assistance for the world’s 76 poorest countries, 39 of which are in Africa.
FG received no payment from international electricity customers in Q4 2019 – NERC
The Federal Government received zero payment from its international electricity customers (i.e., Societe Nigerienne d’electricite – NIGELEC and Communaute Electrique du Benin–CEB) in the last three months of 2019, the Nigerian Electricity Regulatory Commission (NERC) has said. According to the 2019 fourth quarter report of the commission, the invoice issued to the two international customers stood at N29.50million and N2.07billion respectively.
“During the quarter under review, the special and international class of customers made no payment to NBET and MO. The invoice issued to Ajaokuta Steel Co. Ltd (designated as a special customer) and international customers (i.e., Societe Nigerienne d’electricite – NIGELEC and Communaute Electrique du Benin–CEB) stood at N29.50million and N2.07billion respectively. The Federal Government has continued to engage the governments of neighbouring countries benefitting from the export supply to ensure timely payments for the electricity purchased from Nigeria,” NERC said.
The commission also stated that out
of a total invoice of N193 billion issued to the eleven Distribution Companies (DisCos), only a sum of N74.20 billion was remitted, representing 38.32 percent remittance performance. It said that as much as N3.06 out of every N10 worth of energy sold during the period under review, was not collected from consumers as and when due. “The average total remittance performance to the market for all DisCos wasrose to 38.32% and ranges from 19.57 percent (JosDisCo) to 51.50 percent (EkoDisCo).
“The level of collection efficiency during the quarter under review indicates that as much as ₦3.06 out of every ₦10 worth of energy sold during the fourth quarter of 2019 remained uncollected from consumers as and when due. “During the fourth quarter of 2019, a total invoice of N193.66billion was issued to the eleven (11) DisCos for energy received from NBET and for service charge by MO, but only a sum of N74.20billion of the total invoice was settled, representing 38.32 percent remittance performance. This represents 0.44 percentage point increase from the final settlement rate recorded for the third quarter of 2019 following the commencement of enforcement action by the Commission. Individual DisCo’s remittance performances to NBET and total market (combined MO & NBET) settlements during the fourth quarter of 2019 are represented in Figure B below. Although the DisCos fully met the expected minimum remittance thresholds (MRTs) to MO, the average aggregate remittance “performance to NBET was 27.96 percent, with performance levels ranging from 6.05 percent (Jos) to 43.38 percent (Eko). This is lower than the MRT prescribed in the Orders on minimum remittance issued to all DisCos in July 2019 with only Jos DisCos meeting the remittance obligation during the quarter under review. “ It said that the financial viability of Nigerian Electricity Supply Industry (NESI) is being threatened by nonimplementation of cost-reflective tariffs, high technical and commercial losses, as well as energy theft.
“The financial viability of NESI is still a major challenge threatening its sustainability. As highlighted in the preceding quarterly reports, the liquidity challenge is partly due to the non-implementation of costreflective tariffs, high technical and commercial losses exacerbated by energy theft and consumers’ apathy to payments under the widely prevailing practice of estimated billing. The severity of the liquidity challenge in NESI was reflected in the settlement rates of the energy invoices issued by NBET to each of the DisCos as highlighted above, as well as the non-payment by the special and international customers.” As part of efforts to address the challenge occasioned by low remittance to the market and the viability of the DisCos, the Commission said it has since commenced the review of DisCos’ compliance to meeting the MRT for enforcement actions. It is also reviewing the 2020-2025 performance improvement plans filed by the DisCos and related strategy towards addressing the operational challenges of DisCos.
“...my initial presence
was met with huge applause and cheer from the men on the rig floor when I was transported” Engr. Elizabeth Rogo
Engr Elizabeth Rogo has over 19 years international experience in engineering, operations, project management, consultancy, business development and management in oilfield services (onshore and offshore) from global companies including BJ Services, Baker Hughes (Baker Oil Tools Division) and Weatherford International. Areas of operations include Canada, USA, Europe and Africa. She is the Founder and Chief Executive Officer of TSAVO oilfield services, as well as the East African President of African Energy Chamber. With a BSc. in Chemistry minor from Mount Saint Vincent University and a Bachelor of Engineering from Dalhousie University both in Halifax, Nova Scotia, Canada, Elizabeth made history in subSahara Africa’s wing of Weatherford International as the first woman to head and very effectively manage operations in Eastern Africa countries.
She previously held the position as SPE Chair (Nairobi Section) and has been an active mentor to many young professionals in the energy sector, as well as a sought-after speaker and moderator on gender diversity and local content in the oil and gas industry. In this interview with Jerome Onoja, she covers a number of topical issues ranging from business to personal, from regional to continental. Excerpts:
STEM isn’t a very interesting and easy field to succeed in, particularly as an African girl. How did you navigate the narrows? What was growing up like, the environment, and pursuing STEM subjects?
STEM is very interesting and exciting if that is what you like and are good at it. I have always been interested in the Sciences. Like many young African girls of my generation, I always thought I would be a doctor growing up. Engineering held no sway for me. I have to say I struggled initially in mathematics as a youngster but one day it all clicked and I was hooked. I give credit to my wonderful teachers who put up with my endless questions and enthusiasm.
I am very fortunate that I grew up in a single parent home with a very liberal and supportive mother who always encouraged us to see the world as our oyster. Education has always played an important role in my family, as far back as my grandparents who were teachers. I attended excellent private schools in Kenya and proceeded to the UK for my secondary education and then on to Halifax, Nova Scotia, Canada for university. It was during my first BSc. degree while still determined to enter medical school that I became interested in environmental sciences which eventually led me to take engineering as my second degree. I am very proud to say that I helped pay my way through engineering school by working during the semester, holidays and internships. This instilled in me strong work ethics and understanding the sacrifices our parents make giving us an international education.
My engineering program had a CO-OP component to it, which meant we needed to undertake two internships. My first internship was with one of the largest Canadian consultancy engineering firms, SNC Lavalin, where I was exposed to the world of oil and gas. One of the major projects my team was involved in was the regulatory process for the
Northeast Pipeline which would carry natural gas from the Sable Offshore Project (a joint venture) - Canada’s first offshore natural gas project – within the Maritimes and into Northeastern USA.
I had the chance to attend many high-level meetings and public open houses that gave me an understanding of how energy and infrastructure like pipelines had a huge socio-economic impact. My second internship was with the Nova Scotia Petroleum Directorate (now part of the NS Department of Energy) where again I was working on highly confidential reports and attending meetings that involved senior level government officials. My strong work ethic and eagerness to learn was noted. I had a chance to travel to Houston, Texas as part of my project and visited the huge Petrochemical plants. After my graduation I moved to Houston and began my career in the oilfield services sector starting as a Field Engineer in Hydraulic Fracturing with BJ Services and eventually progressed into international operations in Europe and Africa as an expatriate with Baker Hughes and Weatherford.
As the Founder of TSAVO Oil Services Limited, what led to the conceptualising and birthing of the consultancy services you offer in oil & gas, geothermal and the mining sectors? If you had asked me 4 years ago if I would have started TSAVO, I would have given you a resounding No! I was very happy working my way up in management and it was only when my international assignment took me to Uganda in 2011, at the height of Tullow Oil’s exploration project, that I began to see enterprising entrepreneurs who were looking for opportunities in this new sector of oil and gas. It struck me that many of us with the technical expertise and business knowledge were comfortably ensconced in our positions. During the downturn that hit the oil and gas sector from 2015, and as we began consolidating and in many cases closing down operations, retrenching local staff and expatriates, it hit me that with time all this talent would leave the region and then what? It would have been very easy to head back to the US and continue my career and take a breather from working internationally for 10 years. That was when the idea of starting TSAVO began to crystallize.Kenya does not have stringent local content laws like we see in places like Nigeria where international companies must partner with an indigenous company. So, the appetite for many of these international companies was to pack up, leave and wait it out rather than entering into collaboration with local companies at the time;
“barring one or two like Baker
Hughes that saw the potential in building a local base and are beginning to reap the rewards today.
I basically took stock of what value and expertise I brought in starting a new venture in a downturn and realized that I had amassed all this knowledge and experience and if my company at the time, Weatherford, entrusted me to run their regional business, surely, I could to the same. TSAVO was born in 2017 with a vision to begin a technical company within the energy sector. I would be less than honest if I do not tell you that, at the beginning, I was running on adrenaline with very little sleep as failure was not an option. From not having the structure of a large corporation, the expatriate income and benefits, to starting one’s business on the sofa with savings and faith takes gut! Many people thought I was mad to leave corporate America and more so, not to return back to the USA.
“All I know is that, after celebrating
our 3rd year anniversary, I have come through bruised in some way, but wiser and even more determined to see the impact of TSAVO, not only in the Eastern Africa region but across Africa.
In order to work in the areas of oil and gas, geothermal and mining, I understood very early on that to make the necessary inroads in my business I would need to attract very strong strategic partners and consultants. This is an area that is still growing organically. I was very adamant that the size of my company should not deter from the value I bring to any potential partnership. I have had representatives from some major companies tell me that I have the audacity to think I can sit at the table with them. I even “ had one drilling operations
manager push me out of a meeting with the intent of side-lining me and convincing my international partner to go with his choice of a local partner.
That is where my connections with my partners, respect, integrity and grit enabled me to call out such practices – it’s the game of the mouse versus the elephant. Basically, word got around that I was not someone you messed with!
3.How are you able to cover these East African countries: Kenya, Uganda, Tanzania, and Mozambique; then Ethiopia? Definitely, there must be several barriers, whether cultural or skill set. How did you surmount them?
My previous roles as Senior Business Development, Country Manager and eventually as Regional Area Manager (East Africa) for Weatherford, provided me with a deep perspective of what was on ground operationally and culturally in the region. It was that experience and knowledge base that I brought into TSAVO from day one. I have never liked being pegged in a corner, so I see TSAVO more than just a Kenyan company. I am proud of my Kenyan roots but in order to challenge myself, I need to see that, we can also work across Africa.
“You only have to look at
Nigerian companies who started the same way, grew successfully and are not afraid to go head to head with international companies.
So, I see TSAVO as having the potential to grow and go anywhere barring obvious constraints. I always think big!
Tell us about your journey since entry into the energy space. What prepared you for the roles you occupy today?
I am convinced that the preparation for the roles I have had since entering the energy space began at home. I was raised by a single Mother, Amb. Orie Rogo-Manduli, who is a very dynamic and hardworking person, so in many ways you were expected to emulate her business acumen and strength. I learned that to make it in this world you need to stand up for what you believe in and make your own path. There is nothing free in life. Sometimes even all the hard work and money one may put in is not enough when you consider biases such as one’s gender and ethnicity, for example. It is those times that you have to really dig deep and look at alternative means and options. And when it does not succeed, always take away a lesson from that experience.
“I believe that God always
puts you in situations that are very difficult in order to succeed later on.
If you never understand that, you will always be failing or never advancing in your career and life. I have never allowed my gender become a hindrance, in fact I see it as a powerful tool to show the world that African women can make it, given the opportunity. And…if it is not there, we will create that opportunity and help empower those behind us.
“When you look around in the global oil and gas sector, do you see any Black woman running a major company?
No. I too looked around and realised if I wanted to be a CEO, I would need to create that space, knowing that one day we will see a Black woman in that space, just as we are already seeing in the geothermal sector in Kenya for example. Lastly, I say do not look at a hurdle as being a permanent showstopper. Look for solutions. If you have failures in your work learn from them. If you know what you want you need to take the initiative and find that door and if you have to burst it open. Be confident and self-assured. Keep learning and always challenge yourself. Learn to take criticism and improve on areas you are deficient in. Surround yourself with positive people that see your potential and will guide you in your journey. Value their time and advice. The life of an entrepreneur is a very lonely one, especially during those difficult times when you build your business and money is tight or non-existent, bills are piling up, and your bank manager is unavailable. You must have faith and dig deep within. Have the mind-set that, even this too shall pass!
As an engineer, what were some unique and memorable projects, as well as roles you handled in international projects?
My time in field operations in Texas and Louisiana with BJ Services provided a solid foundation before I transitioned with Baker Hughes into international operations where I worked for over 5 years. I was stationed as a Region Engineer in Aberdeen and worked on some exciting projects that included offshore West Africa, Tunisia and Turkey, before a transfer to Angola, where I moved into Sales and Marketing. Every project, whether small in value or multi-million dollar was important to me. I am a people person and a believer in walking together with my clients – I am invested in their projects. It is not just a matter of making money. I am filled with pride when a client appreciates my work and this happened on many occasions.
took place while working as a Field Engineer in parts of Texas and Louisiana where I confronted blatant racism – being questioned about my experience, gender, ethnicity, academic credentials…you name it.
It was a very jarring experience the first few times. But, I came to learn that many a time these people had never experienced working with an African woman engineer who was the lead on their projects. The only way to earn their respect was to know my stuff and help them make money! I had one or two stumbles, but I was respected by these same clients who initially refused to shake my hand, to specifically ask for me
to oversee their jobs. I had to learn to be the bigger person, educate and not always take things too personal. If I had to pick a memorable and light-hearted moment as a Region Engineer it would be the first of several offshore rotations I did in Equatorial Guinea (EG). I cannot remember any other location where
up and back down to the stimulation vessel before we began operations. I was taken aback and my colleagues on the vessel, who already got wind of what was awaiting me were equally amused with all the fuss being made since I was the only woman working on this project. Many of the men came up to me to shake my hand let me know how proud they were of what I was doing as an African woman. Never once was I ever I disrespected by anyone during my time offshore. I have to say that I did leave a little part of me in EG.
While at Weatherford, you stood out as the first woman to effectively manage Eastern African countries. How did you pull that off?
One of the lessons I learned from a woman executive in the oil and gas sector in Houston was to “ always know your trade and
never shy away from taking opportunities,
looking for opportunities and positioning yourself to take an opportunity. But none of these happens in a vacuum.
“You must have people who are
sponsors and will go to bat for you.
Hard work alone does not always land you into top jobs, and especially when you are making history in Sub-Sahara Africa (SSA) with my company. When the opportunity came to be the Country Manager of Kenya, we happened to be hosting the SSA Leadership Team in Kenya and during the presentations and discussions I made the right impression. In addition, the vice president at the time was very much into gender diversification. It was only a short time after that I took over as Regional Area Manager overseeing Kenya, Uganda, Tanzania, Ethiopia, Mozambique and South Sudan.
What’s your assessment of Eastern Africa and its level of energy poverty compared to the rest of Africa? What strategic plans are in place to address this disturbing issue by the various states?
Eastern Africa, and Kenya in particular, have made great strides in addressing the energy poverty. We are very fortunate in Kenya that we are endowed with Solar, Wind, Geothermal, Hydro as well as oil and gas projects, and potentially large natural gas offshore reserves. However, you still see that electricity is not only expensive but out of the reach for many. Governments are cognizant of this and investing in projects and infrastructure to address these deficiencies. Right now, there is a big discussion on clean energy initiatives and the reduction of funding fossil fuel projects, including pipelines. We in East Africa must be given the space to exploit our natural resources for the development of our population.
energy to take the place of what is traditionally the fuel of choice – oil.
But we are getting there through our energy mixes. In the mean time we need to insist that any energy project undertaken must utilize the best technology and solutions. Protection of our natural environment and the well-being of our people are paramount.
.How vibrant is the indigenous oilfield service sector in East Africa?
Oil and gas in the East Africa is nascent and the indigenous oilfield services sector in particular is in its infancy. We have several companies across East Africa that are led by mainly entrepreneurs and are working in peripheral services including transportation and logistics. For those involved in the core oilfield services (e.g., drilling, OCTG, cementing, completions, artificial lift, work-over, slick-line, specialized laboratory, etc.),
I can say with certainty that in Kenya we are only three companies: TSAVO Oilfield Services - of which I am not only the Founder/Chief Executive Officer but the only Woman, Lakeford Oilfield Services (Kennedy Yugi, General Manager) and Bentworth Energy (Carey Ngini, Founder & Chairman).
The oilfield services sector involves technical expertise, high safety measures, and capital, just to name a few major hurdles. In order to upscale as local we all work with strategic partners on some level. I have always viewed these types of collaborations as a win/win for both local and international companies. It is also important that we lead the charge on building a strong local content base and gender diversity.
With COVID-19, how has activities changed for you? Also, how long do you see this new normal staying with us?
Let’s not beat around the bush…it has been tough! This new normal will be with us for a long time and it is changing timelines on projects. There are other major inhibiting factors such as the big push on climate and clean energy initiatives, as well as steep decrease in funding for fossil fuel projects.
“None of the big Oil &
Gas projects in Eastern Africa have reached final investment decision (FID),
and that was even before COVID-19. I am talking about the Tilenga project in Uganda (Total) and the mega East Africa Crude Pipeline project from Hoima, Uganda to Tanga, Tanzania; the Lokichar Project in Kenya (Tullow Oil) which has recently been declared force majeure; all the upcoming mega LNG projects in Tanzania (Equinor/Shell) and Mozambique (Exxon Mobil) are also affected due to the effects of COVID-19. Being a small company, we have the capacity to be very flexible and look for other opportunities. Geothermal in Kenya has been a blessing but is also a very hard market to crack as it is state owned. However, we have made some inroads including winning work and continue to be heavily involved. In addition, consultancy is another area and that means having a strong network of good consultants and companies to bid with.
You belong to the 1 per cent female CEOs in the energy space. What are some of your advocacy activities to ensure Africa draws from more women like you, who are yet to be discovered? Mentorship inclusive.
That is indeed an honour and one that I do not take lightly. I have always been very active in mentoring students and young professionals. My position at Weatherford, SPE Chair for the Nairobi Section and then starting TSAVO has provided me with platform to highlight Women like me who are trailblazers in their own right. I have always and continue to advocate for the youth, young professionals and women. As you are aware, I was recently appointed the President (East Africa) for the African Energy Chamber (AEC). I am currently building a new Chapter in the region and having the backing of NJ Ayuk (Executive Chairman) as well as the exceptional people at AEC in Johannesburg, South Africa has really thrust me into the forefront. It is important that not only Africans but the world get to see what women in the energy sector are doing – and more so African women. Within TSAVO, I am very adamant that young women must be given a chance and the space to nurture their strengths and abilities. Many of our young African girls do not come from households where culture dictates their role and status as females and where they are not allowed to be assertive even though they are very bright. It is very important to start with our young girls.
“But I always say diversity
works even better when men are involved.
They too must understand that diversity does not take away jobs for them but adds value by bringing different perspective into the workplace. During a recent webinar that I co-moderated for young professionals in the extractives sector, I was very happy to hear from a young lady geothermal drilling engineer, Phyllis Mathenge who insists that women must take the initiative and advocate for women in the workplace. It is not the place for men, nor should women in leadership abscond their responsibilities to ensure issues concerning women are brought to the forefront. Now that is powerful hearing it from those who are coming behind us – they also get it! Lastly, I am involved in large and strategic conferences where I enjoy moderating, such as Africa Oil & Power, as well as undertake speaking engagements. I have also stepped into the exciting world of webinars under the African Energy Chamber. All these, including my work gives me the platform to showcase the talent African women bring to the Energy sector. As I said before, we usually dream to be what we are from what we see and read about. It’s time we are live to those who will follow in our footsteps.
What are some of your aspirations, both as Eastern Africa President with Africa Energy Chamber, and as the CEO of TSAVO Oil Services?
Some of my aspirations includes building value and longevity in the ventures I am running. As regional president, it is building a new Chapter from the ground up. What value can I bring to my members? I believe information is power and there is nothing more I enjoy like empowering others. Starting your own technical company has not been an easy feat but one I am fully committed to and determined to build a well-respected company. TSAVO began with a vision and as it continues to grow the visions an input of those around me will continue to mould this company. My aspiration is to build a company that continues long after I have stepped away and eventually leave an African legacy, started by a woman.
What are the major challenges in attaining SDG goals for the African woman? And how do these differ across regions in Africa? What solutions do you recommend?
By SDG I assume you are referring to Sustainable Development Goals and the effect on the African Women. We know the heavy burdens our African women carry, ranging from poverty, lack of education, clean energy and water, early marriage, access to good health, equal pay and opportunity in the workforce, etc. I would say that this differs more along economic lines. As someone in the energy sector I see how important it is to educate our young girls and steer them in professions that are not only male dominated but certainly have an impact on women. Our voices as women must be heard, loud and clear, and we must be encouraged to provide solutions including the technology One initiative that I am proud of is that TSAVO is a signatory to the international campaign: Equal By 30, which calls for equal pay and access to leadership and opportunities in the clean energy workforce. We came together with NJ Ayuk from the African Energy Chamber who is very passionate about women issues and successes. As we continue to grow, TSAVO will play a leading role in empowering young women.
Majorwaves recently hosted a webinar on regional integration. What’s your position on the concept?
“That was an excellent
webinar that really pertains to the East Africa story. I am a big believer in pooling of our resources and allowing cross-border work opportunities within the region.
This means if there is a deficiency of skills in one area of the region, we can utilize the expertise from another area. We have a chance in Kenya, Uganda and Tanzania to move away from local/national and more into regional integration. This is not a new concept to East Africa beginning with such organizations as the East Africa Community. East Africans have always held a strong community spirit that I feel, with time, has been eroded as we have become more nationalistic, especially over resources. This is the time for that spirit to be nurtured and to thrive in the energy sector. I tell people there is no super major in the oil and gas industry that can do everything – that is why global oilfield sector companies like Schlumberger, Baker Hughes and Weatherford exist.
How do you manage work-life balance, seeing you have a lot on your plate? How do you relax?
Truth be told I am a workaholic and very passionate about what I do.
“I have been accused
by some of being “too ambitious for a Woman”
I take that as a compliment. I know if I was a man that would never be an issue. I have not always managed my work life balance as I should and this has caused some rifts in my close relationships and my health. But I am now making strides in the right direction. Ironically, running TSAVO has taught me that I needed to incorporate a more balanced lifestyle.
cooking my own meals as part of my healthy regime and rediscovered my culinary skills.
I am taking time to work on my spiritual and inner self as well as exercising more. I find great comfort being at home surrounded by my family. Being an avid collector of African art, I have created a space I enjoy.
What’s the Africa of your dreams?
My dreams for Africa is that we the people are given the space to blossom and realize our true potential without unwarranted external interference. We are the keepers of this great continent that is blessed in so many ways – its beauty, abundant natural resources, its flora and fauna and its people. It’s time that we stop electing incompetent, corrupt and crooked leaders and start building out own utopia. We must appreciate what we have and be willing to put in the work to build our own utopia. I see a shift especially with the younger generation.
NIMASA moves to aid Seafarers By Ikenna Omeje
The Director-General of the Nigerian Maritime Administration and Safety Agency (NIMASA), Dr Bashir Jamoh, has said that the Agency is developing policies to improve the quality of training and certification, as well as remuneration for the country’s Seafarers. Jamoh made the disclosure recently in Lagos during a webinar hosted by NIMASA to mark the 2020 Day of the Seafarer.
A Press release signed by the Head, Corporate Communications, NIMASA, Philip Kyanet stated that the event featured local and international participation, with the key speaker and consultant at Transbasin Limited, Dubai, United Arab Emirates, Karen Ogidigben Onimisi, and Nigerian Labour Attaché at the International Labour Organisation (ILO) in Switzerland, Essah Aniefiok Etim, calling for better welfare and support for seafarers. The Director-General said, “Policies are in the pipeline to improve the quality of training and certificates we give to the seafarers. We are taking steps to standardise the curriculum of our training institutions in line with international standards.
“We are also working on increasing the remuneration of our seafarers. These policies would be announced as soon as we complete work on them.”
Jamoh said seafarers were among the most courageous people in the world, stressing that the theme for this year’s Day of the Seafarer, “Seafarers are Key Workers,” it’s a “testament to the fact that the world cannot do without seafarers. Seafarers hold the key to humanity’s survival on a day-to-day basis.
“They hold the key to our wellbeing in this time of COVID-19 period.” He praised seafarers for sustaining the global supply chain, distributing urgently needed medical supplies with enormous risk to their lives and families.“The seafarers are unsung heroes; they are also our invisible heroes. We see their handwork every day and everywhere in agricultural machinery, the food we eat, and the unbroken run of the manufacturing base, despite the global lockdown.” Jamoh also spoke on the challenges faced by seafarers amid the COVID-19 pandemic, including stringent work conditions in some countries, movement restrictions, lockdowns, crew change difficulties, fatigue and seasickness, and disruption of contracts. “As a regular, we have taken steps to alleviate the suffering of the seafarers. NIMASA was among the first government agencies to declare seafarers as being on essential duty, and we published this in a marine notice. We also issued COVID-19 guidelines to incoming ships towards ensuring that there is no importation of the virus by sea. “NIMASA was the first in West Africa to issue a COVID-19 marine notice.
We challenged ship-owners and employers of seafarers to take necessary proactive measures to lessen the pains of seafarers. “We also walked in lockstep with the IMO to tailor all our marine notices in the early period of COVID-19 towards supporting the extension of the validity of seafarers’ certificates, crew change, guidelines, procedure and their designation as essential workers,” he said while explaining measures the Agency has so far taken for the sake of the country’s seafarers. “It is said that a good sailor weathers the storm he cannot avoid; COVID-19 was a storm Seafarers couldn’t avoid. As tried and tested seamen and women, our seafarers have continued to weather this storm for us. We celebrate you today. Nigeria thanks you, the world appreciates you, NIMASA as a regulator will never abandon you. We will support you all the way,” Jamoh added. On his part, Karen, who is Director, Maritime Sector Consultant at Transbasin Limited, Dubai, United Arab Emirates, called on the international community to render necessary assistance to seafarers, especially during the COVID-19 pandemic. She commended NIMASA for supporting seafarers during the pandemic and emphasised the need for Nigeria to develop post-pandemic measures to make the country’s seafarers internationally marketable and competitive.
He said, “Seafarers are part of the global supply chain and should have access to shore leave at ports in accordance with global regulations. There is also a need to look at improved ways to mitigate the challenges that COVID-19 has brought before us, commencing with digitalisation of our processes, including local training and licensing of Nigerian seafarers.” Similarly, Etim, who is ILO Nigerian Labour Attaché, Permanent Mission of Nigeria to the United Nations in Switzerland, demanded better working conditions for seafarers. He called for greater opportunities to make their voices heard, saying they should be encouraged through appropriate rewards and compensations.
The release noted that as part of the activities marking the day, the Agency donated items that included essential commodities, Personal Protective Equipment (PPE), facemasks, and hand sanitisers to the seafarers. The Day of the Seafarer, marked June 25 every year worldwide, is a day set aside by the International Maritime Organisation (IMO) to celebrate seafarers and recognise their invaluable contribution to the global economy. This year’s virtual event, themed, “Seafarers are Keyworkers”, held via WebEx, specifically draws attention to the critical role and challenges of seafarers in the COVID 19 period.
NPA operates no cloned bank account By Ikenna Omeje
Authority. “The Authority hereby states that allegations that it operates such an account are untrue.
The Management of the Nigerian Ports Authority (NPA) on Monday said that the Authority does not operate a cloned bank account anywhere. This is in response to media reports based on a petition by one John Okpurhe to President Muhammadu Buhari, alleging that NPA operates a cloned account.
According to a release issued by the Manager General, Corporate and Strategic Communications, NPA, Jatto Adams A, the petitioner accused the Attorney General of the Federation, Abubakar Malami (SAN) of allegedly refusing to reward him for exposing over $1bn supposedly hidden in an account with Unity Bank Plc, allegedly operated by NPA. Okpurhe, who claims to be a whistleblower, cited an account number: 0013680344 allegedly being operated by NPA but the Authority said that based on evidence provided by a letter from Unity Bank Plc, the account does not exist. It, however, agreed that the NPA operates an account with Unity Bank Plc. with account number: 0013670344 with a total sum of $1,057,772.03 (One Million, Fifty-Seven Thousand, Seven Hundred and Seventy-Two Dollars, Three Cents) as of December 4, 2019, contrary to the $1,034,515,000.00(One Billion, ThirtyFour Million, Five Hundred and Fifteen Thousand United State Dollars) alleged by the petitioner.
According to the NPA, the account has not been in operation since 27 August 2010 due to a Suit No: FHC/L/CS/582/2010 GARNISHEE ORDER NISI in AMINU IBRAHIM & CO & ANOR. VS. NIGERIAN PORTS AUTHORITY where a garnishee order was placed on it following a case, which went from the Federal High Court to the Supreme Court over a period of eight years. It stated that following the completion of the case, the money was consequently transferred to the judgment creditor on December 4, 2019 in line with the Garnishee Order Absolute.
The statement reads: “The Management of the Nigerian Ports Authority is aware of media reports based on a petition by one Mr John Okpurhe to President Muhammadu Buhari. “The petitioner accused the Attorney General of the Federation, Mr Abubakar Malami (SAN) of allegedly refusing to reward him after exposing over $1bn supposedly hidden in an account with Unity Bank Plc. and allegedly operated by the Nigerian Ports “Mr O kp urh e , claiming to b e a whistleblower cited an account number: 0013680344 allegedly being operated by NPA but this account does not exist as evidenced by a letter from Unity Bank Plc. “The NPA operates an account with Unity Bank Plc. with account number: 0 01367034 4 with a total sum of $1,057,772.03 (One Million, Fifty-Seven Thousand, Seven Hundred and SeventyTwo Dollars, Three Cents) as of December 4, 2019 and not $1,034,515,000.00 (One Billion, Thirty-Four Million, Five Hundred and Fifteen Thousand United State Dollars) as alleged by the petitioner. “However, the NPA account has not been in operation since August 27, 2010 due to a Suit No: FHC /L /C S/582 /2010 G ARNIS HEE ORDER NISI in AMINU IBRAHIM & CO & ANOR. VS. NIGERIAN PORTS AUTHORITY where a garnishee order was placed on it following a case, which went from the Federal High Court to the Supreme Court over a period of eight years. “Upon the determination of the case at the Supreme Court, the judgment creditors continued with the Garnishee process which resulted in the credit of the amount $1,057,772.03 (One Million, Fifty-Seven Thousand, Seven Hundred and Seventy-Two Dollars, Three Cents) in favour of Suit No: FHC/L/CS/582/2010 GARNISHEE ORDER NISI- AMINU IBRAHIM & CO & ANOR. VS. NIGERIAN PORTS AUTHORITY on 4 December 2019 in line with the Garnishee Order absolute. “It is therefore obvious that there is no cloned account as speculated in the alleged whistle blowing effort of Mr Okpurhe.
“The account under discussion was frozen on the strength of a court order in August 2010, following the completion of the case; the money was consequently transferred to the judgment creditor on December 4, 2019 in line with the Garnishee Order Absolute.”
Oilserv Boss Extols FG Over The AKK Gas Pipeline Project
One of the biggest pipeline projects to be executed in Nigeria is the Obiafu/Obrikom to Oben Node Gas Transmission Pipeline System which forms part of the Nigerian Gas Master Plan. Following on its heels is the recently launched Ajeokuta-Kaduna-Kano (AKK) gas pipeline project. Both projects are being executed by the same contractor, Oilserv Limited, an indigenous integrated engineering, p r o c u r e m e n t , c o n s t r u c t i o n , installation & commissioning (EPCIC) service provider. With the AKK project, Oilserv is announcing that the era of looking inwards for solutions to Nigeria’s infrastructural development, especially in the oil and gas sector, has kicked off in earnest.
Speaking to media executives in Ajeokuta, the start-off point for the AKK gas pipeline project, Chairman/ Group Chief Executive Officer, Oilserv Limited, Engr. Emeka Okwuosa noted that the federal government has started a local content policy that will give both credence and opportunity to indigenous companies to showcase their prowess in all areas of development and innovation in the country. Engr. Okwuosa, while applauding the President Muhammadu Buhari-led administration for looking inwards in the execution of a mega project like the AKK gas pipeline project, stated that Oilserv has deployed 100% local content in the execution of the project, especially in manpower.
He insisted that Nigeria has abundant skilled manpower in all sectors of the economy, sufficient to drive the country, and commended President Buhari for tapping into this resource.
“This is a major part of our story, but also, this will go a long way to show that indigenous capacity has grown. Oilserv started its build-up even before the Local Content law came into place a few years ago. And we have continued to build and encourage and develop a lot of capacity. So, for us, it goes to show clearly that we have a Nigerian company that can compete anywhere in the world, and develop. This is one of the largest pipelines that exist in the world.” Oilserv is the major indigenous oil pipeline EPC company in Nigeria.
Affirming the company’s competence, the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kolo Kyari, while flagging off the project had assured the President: “We are confident that the contractors will deliver on this project. We have put every structure of transparency in management to ensure that this project is delivered as planned. This is a landmark project.” It will be recalled that the first phase of the Nigerian Gas Masterplan, the Obiafu/Obrikom to Oben (OB3) Node Gas Transmission Pipeline System was built by Oilserv. Before then, Oilserv had developed the entire gas distribution network in Lagos, powering industries in the state. Oilserv has also built major gas pipelines across South-South gas pipeline, 128 km, from the western end of Akwa-Ibom to Mfamosing, very close to Cameroon, that has made it possible for UNICEM cement plant to be able to operate.
The AKK pipeline is a 614km-long natural gas pipeline set to be laid between Ajaokuta and Kano in Nigeria and forms the first Phase of the Trans-Nigeria Gas Pipeline (TNGP) project. The TNGP project is an integral part of the proposed 4,401km-long Trans-Saharan Gas Pipeline (TSGP) to export natural gas to countries in Europe. The AKK pipeline is slated to originate from Ajaokuta and pass through Abuja and Kaduna, before ending at a terminal gas station in Kano. The project among other benefits will curb gas flaring and further boost industrialization and development in all regions in Nigeria. The choice of Oilserv Limited seems to be deserving as the company has performed various key projects relating to platforms, production facilities, and installation of Bulklines, all of which involve engineering, project management and construction services.
The company’s antecedent includes being the first and only Nigerian indigenous company to fabricate, install and commission the largest Oil manifold station for Shell Petroleum Development Co. Ltd. (S.P.D.C.), while also having successfully designed and constructed the largest Gas Transmission Pipeline System in Nigeria and Africa – the Obiafu/Obrikom to Oben Node Gas Transmission Pipeline System, which forms a part of the Nigerian Gas Master Plan. Among other challenging projects, Oilserv is also a major company executing pipeline repairs and rehabilitation work for S.P.D.C and the Nigeria Liquefied Natural Gas Limited (NLNG), in the Niger Delta region of Nigeria.