Sweetcrude june2014 by Sweetcrude reports

Finance

2014 June, SweetcrudeReports

Yoho, Forcados, Qua Iboe Closure: Nigeria's oil earnings down by N30bn

The floor of Nigerian Stock Exchange

Privatise Nigerian refineries through capital market — BGL IKE AMOS

he Federal Government has been called upon to carry out the privatisation of the countries’ refineries through the Nigerian capital market, as this will help eliminate corruption and ensure transparency in the sale process. This was the view of analysts at BGL Research in their Economic Note, titled, ‘Privatisation of the refineries - A review of issues and opportunities for the economy.’ According to the analysts, the process through which the privatisation is carried out will go a long way in determining the success or otherwise of the exercise and the post-privatisation experience. They said, “It is arguable that low political will to effectively manage Nigeria’s refineries as a public enterprise might ultimately

translate to the inability to transparently oversee the sale of the enterprises in a corruption-free method. “In this regard, the process could result in the transfer of assets into the hands of individuals and/or groups with the lack of immediate expertise, skills and experiences to immediately produce results beyond rent seeking.” The analysts noted that using the capital market to privatise the refineries will help deepen the capital market and present a significant opportunity for a broad-based distribution of ownerships to the citizens. Continuing, they said, “For instance, Tanzania sold 26 per cent of its shares in Tanzania Breweries Limited through the newly-established stock exchange. Also, Ghana sold several of its public enterprises through shares offered on the Ghana Stock Exchange. “The story is not different with Cote d’Ivoire, which

carried out the World Bankmandated privatisation exercise to a large extent via the Bourse Regionale des Valeurs Mobilieres SA or BVRM based in Abidjan. “In 2003, the UK government decided to privatise the country’s postal services, Royal Mail, by selling its majority stake through an Initial Public Offering (IPO) valued at over five billion euro. “It is imperative to do a cross sectional analysis along this path with a view to determining what role the method of sale adopted played in these countries.” They further stated that beside the sale of the refineries, it is sacrosanct for the government to establish structure and systems to provide post-privatisation monitoring in terms of policy compliance, adherence to agreerd terms and work force retention. They, however, warned that any attempt to privatise the refineries before the

passage of the Petroleum Industry Bill, will amount to putting the cart before the horse. According to them, the reform that the PIB, currently trapped before the National Assembly, brings to the table in relation to a complete overhaul of the industry landscape is unprecedented and largely positive for the economy provided all factors are elaborately considered. The analysts further stated: "It borders on a new vista of governance, institutional, corporate and competitive structure of the entire value chains of the oil sector - upstream, midstream and downstream. "Hence, pivatisation of the refineries before the passage of the PIB may not be the appropriate step. The operation of the privatised refineries would benefit immensely from the backward and forward linkages that the PIBinformed reform would catalyse.

igeria's gross revenue totalled N584.15 billion in April, representing N30.20 billion drop in the earnings for the month of March, which stood at N614.35 billion. The revenue drop is mainly as a result of decline in production and exports during the period occasioned by shut-ins or shut down at four major oil facilities. The facilities are ExxonMobil's Qua Iboe and Yoho terminals as well as the Forcados and Bonny terminals belonging to Shell. Disclosing this in Abuja, Accountant-General of the Federation, Mr. Jonah Otunla, said the situation was also impacted by repair work at Agip-operated Brass Terminal, which was hit by the activities oil thieves. But e maintained that despite the revenue decline, the sum of N634.72 billion was available to the federal, state and local governments to share in April. The April allocation, according to him, is N6.65 billion lower than the N641.38 billion shared in the previous month. “The distributable statutory revenue for the month is N533.746 billion, which is less than the N534.907 billion that was shared for the month of March. “In addition, the sum of N35.55 billion is proposed for distribution under the Subsidy Reinvestment and Empowerment Programme. So, the total revenue distributable for the current month, including Value Added Tax of N65.425 billion, is N634.72 billion,” he said. From the amount shared by the three tiers of government, the Federal Government got N249.06 billion, representing 52.68 per cent; the states received N126.327 billion, representing 26.72 per cent; while local governments got N97.39 billion, or 20.6 per cent of the total amount distributed. As for the oil producing states, Otunla revealed that N55.2 billion was shared among them based on the 13 per cent derivation principle. On Value Added Tax, he said the gross revenue collected in April was N65.425 billion as against N63.307 billion received in March.

2014 June, SweetcrudeReports

Finance

IKE AMOS

he negative effect of the refusal of oil companies to list on the Nigerian Stock Exchange, NSE, has been brought to the fore once again, as United Kingdombased Heritage Oil Plc announced that its Nigerian operations contributed $48.1 million (about N7.696 billion) to its revenues in the first quarter of 2014. The amount contributed by its Nigerian operations is 95.44 per cent of its total first quarter revenue of $50.4 million. According to its interim management statement for the first quarter financial result, the company said this result was driven by its OML 30 licence in Nigeria. The company disclosed that production for the first three months of 2014 from OML 30 averaged about 9,216 barrels of oil per day net to Heritage, 33 per cent higher than the same period in 2013. The company, however, noted that revenue from OML 30 was impacted negatively by an enforced shut-in at a third party terminal, where the crude is exported and there being an under lift at quarter end resulting in an inventory build-up. It added that maintenance work on OML 30 was progressing as planned. “Production in the first quarter was impacted by a leak on the undersea tanker loading pipeline at the third party owned Forcados crude oil terminal. This stopped export shipments for about one month, thereby forcing OML 30 to shut-in for a similar time once storage had reached capacity,” the company said. Also commenting, Mr. Paul Atherton, Chief Executive Officer, Heritage Oil, said: “Operations at OML 30 were impacted during the first quarter, but re-commenced in early April 2014 so that we have been able to build on our progress in 2013. “Nigeria remains the focus for 2014, with increasing production from OML 30, whilst concurrently progressing exploration programmes in PNG and Tanzania. “As a result of the shut-in at OML 30, output for the quarter was 18 percent lower than Q4 2013. During the first quarter gross production of over 50,000bopd had been achieved". Atherton explained that the installation of gas compressors, refurbishment of equipment, statutory

Capital Flight: Nigeria accounts for 95% of Heritage Oil income

Oil rigs

inspection and testing of all pressure vessels, and inspection of all wellheads and pipelines continued to support well optimisation. “New compressors for Afiesere and Kokori will be commissioned once production has stabilised. The installation of two new compressor engines in Olomoro is making a positive impact on uptime, which should result in further increases in production. Commencement of development drilling remains on track for the second half of the year,” he said. He added: “The average realised commodity price achieved in Nigeria was $110.51 per barrel in the first quarter of 2014. Over the quarter, there were three liftings in Nigeria which generated revenues net to Heritage of $48.1 million, compared to $216.4 million in the same period last year. "Revenues in Q1 2013 were boosted by the sale of inventories that had built up as there were no sales in 2012 since the license was acquired in November 2012, said Heritage. Heritage’s footprint in Nigeria was established in November 2012 on the completion of the acquisition of a major interest in OML 30 through its interest in Shoreline Natural Resources Limited. "Shoreline acquired a 45 percent interest in OML 30

for cash consideration of $850 million, with the National Petroleum Development Company holding the remaining 55 percent interest.” Capital flight has been a major problem to the Nigerian economy. It has been reported that Nigerians missed out in the over $30.82 billion, about N4.87 trillion, cumulative

dividends declared in 2012 by international oil companies in their home countries, following their refusal to enlist on the Nigerian Stock Exchange, NSE. Five oil majors operating in Nigeria – Royal Dutch Shell P l c , C h e v r o n , ConocoPhilips, Statoil, and Eni, declared combined total dividend of $30.82 billion for

the 2011 financial year. However, two other oil majors, Mobil and Total listed their downstream operations for the benefit of Nigerians. But the five oil companies, though listed in their home countries, have refused to list on the NSE, hence depriving Nigerians from participating in their dividends over the years.

We'll maintain exchange rate stability, says Emefiele

he new boss at the Central B a n k o f Nigeria, CBN, Mr. Godwin Emefiele, says the CBN under his tenure will pursue a gradual reduction in interest rates and maintain exchange rate stability as part of his key policy agenda. “We shall pursue a gradual reduction in interest rates. “A comparison of selected macroeconomic aggregates from some emerging market countries, including South Africa, Brazil, India, China, Turkey and Malaysia indicate that Nigeria has one of the highest

Treasury Bill rates. “Such high rates creates preserved incentives for commercial banks to simply buy virtually risk-free government bonds rather than lend to real sector,’’ the new CBN governor said in Abuja as he assumed office. Emefiele stated that in the interim, the apex bank will continue to maintain a monetary policy stance, reflecting the liquidity conditions in the economy as well as the potential fiscal expansion in the run-up to the 2015 general elections,’’ The former Zenith Bank managing director, who assumed office on Tuesday June 3 as the 11th CBN governor, replaced Sanusi Lamido Sanusi, who was

suspended by President Goodluck Jonathan before the expiration of his tenure. Emefiele said that to enhance financial access and reduce the cost of borrowing credit, there was the need to pursue policies targeted at making Nigeria’s Treasury Bill rate more comparative to other emerging markets. He said that while reduction in both deposit rates would encourage investment attitude in savers, a reduction in lending rates would make credit cheaper for potential investors. “The bank will also begin to include unemployment rates as one of the key variables considered for its monetary policy decisions," he said.

2014 June, SweetcrudeReports

Labour

Govt to partner Nigerdock on skills training

Nigerdock yard CHUKS ISIWU

inister of Industry, Trade and Investment , M r . Olusegun Aganga, has revealed Federal Government's plan to partner NigerDock, the nation's premier ship building and repair company, in churning out skilled manpower for the oil and gas industry as well as other sectors requiring specialised and highly

technical workforce. The minister made the disclosure during a visit to the Snake Island Integrated Free Zone in Lagos as part of the ministry's review and assessment of the performance of the free zones in the country since their certification. At the Snake Island, Aganga said he was highly impressed with the level of business in the Free Zone, describing NigerDock, the leading company operating in the zone, as a pride to the nation.

The minister particularly expressed delight with the level of facilities at the NigerDock Training School and the quality of products from the institution. He explained that because of the specialised and highly technical nature of training at the institution, the Federal Government was ready to partner the company on skills acquisition training of Nigerians to help the country meet up with the manpower demand in the oil

TUC urges FG, NASS to step up passage of PIB

…Laments problems in petroleum, power sectors

he Trade Union Congress of Nigeria, TUC, has expressed dismay over the non-passage of the Petroleum Industry Bill, PIB, by the National Assembly up till moment, asking President Goodluck Jonathan to personally intervene with a view to breaking down all the impediments affecting the passage. Leaders of TUC at their

National Executive Council, NEC, meeting, called on members of the National Assembly to muster the political will in dealing with the passage of PIB after it had long undergone all the appropriate inter-agency and legislative processes, including the reviews of the Presidential Task Force for its accelerated passage. TUC leaders, in a communiqué at the end of the NEC meeting, said: “NEC-in-

session notes with dismay and worry the continued delay in the passage of the Petroleum Industry Bill (PIB) despite several pronouncements and directives by Mr. President aimed at ensuring the accelerated passage of the Bill, and based on which Mr. President would expedite assent to the Bill as an Act of Parliament. "The NEC expressed discontent over the lack of

and gas sector and other industries where highly technical, skilled manpower were required. This, he said, was in accordance with the resolve of the government to partner with any organisation that had something to offer towards moving Nigeria to the next level. To bring the partnership to fruition, the minister said he would be directing the Industrial Training Fund, ITF, to work out the modalities for a take off.

political will being exhibited over the Bill’s passage, since it has long undergone all the appropriate intera g e n c y a n d l e g i s l a t i v e p r o c e s s e s , including the reviews of the Presidential Task Force for its accelerated passage. “The meeting urges Mr. President to personally intervene with a view to breaking all the impediments affecting his speedy assent to the Bill.

Aganga also expressed delight that from a workforce of under 400 when NigerDock was privatised about then years ago, the Jagal Group - the new investors in the company now employs about 5,000 workers in the firm. He stated that as evidence of the level of business activities going on at the Snake Island Free Zone, the zone is currently the largest assembly of working cranes on one site in Sub-Saharan Africa. As at moment, over 46 cranes are on the island, working on several projects, including the fabrication of platforms, bridges and jackets for Total's Ofon, ExxonMobil's Erha and Chevron's DSO projects. In his speech during the minister's visit, Group Executive Chairman of the Jagal Group, Mr. Anwar Jarmakani, urged the Federal Government to support companies that have proven themselves in terms of investment in the economy and successful execution of projects. Lauding the government's Local Content policy, he said the success of NigerDock so far was mainly as a result of the existence of the policy. "All things we have done and all things we are doing today couldn't have been possible without Local Content (policy)," he asserted.

2014 June, SweetcrudeReports

Labour

MKPOIKANA UDOMA

ollowing last m o n t h ' s explosion which claimed over seven lives at the Nigerian National Petroleum Corporation, NNPC, jetty in Okrika, Rivers State, oil workers under the auspices of the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, have called for an investigation into the explosion. PENGASSAN’S National Public Relation Officer, Mohammed Seyi Gambo, said a thorough investigation would unravel the real cause of the explosion to forestall future occurrence. He also frowned at the alleged oil theft by vandals from the pipelines close to the NNPC jetty under the watchful eyes of security agencies at the jetty, which allegedly caused the explosion. “It is so unfortunate that for years now, PENGASSAN has brought to the forefront the issue of petrol theft and illegal oil bunkering and little or nothing has been done about them," he said. The PENGASSAN spokesman also alleged conspiracy by security agents and officials of the NNPC in this regard while calling on the Federal Government to take action against these acts of economy sabotage. According to him, “The report we also got (on the explosion) is that there is a conspiracy to make sure things are swept under the carpet, and we are calling on the Federal Government to rise up because this is economy sabotage. This is also an embarrassment to the government of today with all the security issues that have befallen us. “Information reaching us is that there is a cartel in these facilities, from the security to the officials of these facilities. I am also aware that the media has been barred from going there so that thorough investigations will not be done and they will be able to clean up the whole act” he said. Over seven persons reportedly died and scores were injured in the explosion that rocked the jetty, located close to the Port Harcourt Refinery. The explosion was allegedly to have been triggered by the activities of pipeline vandals and oil thieves. Chairman of Okrika Local Government Area, Mr Tamuno Williams, who confirmed the explosion after inspecting the area where the incident occurred, said it

Okrika jetty explosion

Oil workers call for probe of Okrika jetty explosion happened along a creek close to the NNPC jetty as a result of illegal siphoning of petroleum products from the NNPC pipelines. "Indeed, there was a fire explosion as a result of some activities related to siphoning of product from NNPC pipelines and I have gone to assess the situation," he said, accusing the Pipelines and Product Marketing Company, a subsidiary of the NNPC of

negligence. He said oil thieves in connivance with PPMC officials were responsible for the explosion. Williams stated: “Such activities, such connection, such highly technical work, well constructed by experts, could not have been perfectly done without the connivance of the PPMC. If you want to take any product and sell, I don’t have

any problem with that. My quarrel is that their (PPMC) negligence is detrimental to the environment of Okrika. “There was an explosion today (Sunday) because of the activities of the NNPC and their cohorts. That is the truth of the matter. Who did it, I don’t know. Who was there to watch over it, I don’t know. But I went there with the press; I was refused entry into the facility. So,

what was there to hide?" Speaking on the matter, a top official of PPMC, Mr. Ralph Ugwu, dismissed Okrika Council chairman’s claim that pipeline vandals and PPMC officials were responsible for the explosion. Ugwu explained that the explosion had no impact on the operations of the NNPC as the corporation did not record any casualty.

Labour hints on industrial unrest in power sector

rganised labour in the nation’s power sector has hinted of a nationwide industrial unrest over unfair practices by new owners of electricity companies in Nigeria, besides picketing of the Distribution Companies, DISCOs, and Generation Companies, GENCOs, by state councils of the Nigeria Labour Congress, NLC. State councils of NLC in the Southwestern part of the country, the South-south and some parts of the north recently picketed some DISCOs and GENCOs over casualisation, de-unionisation of workers and victimisation of unionists and union leaders, among others. Speaking on the development, General Secretary of the National Union of Electricity Employees, NUEE, Joseph Ajaero, praised members of the union for their

courage and resilience over the years, saying, “We salute the tenacity of purpose of our members in the struggle to liberate Nigerian workers and masses from economic slavery. The last few years has been characterised by struggle for the survival of our industry. "The campaign of calumny and name calling orchestrated against us has been unprecedented while use of state apparatus to cow us assumed a large dimension. Despite these odds, we have remained resolute in pursuing our struggle against all forms of oppression. God in His infinite mercy has been our strong tower. “We salute the courage and resilience of our members for

the rare commitment and painstaking efforts of fighting for the emancipation of electricity workers. It is instructive to note that the Federal Government’s privatisation policy is aimed at destroying jobs, impoverishing many Nigeria families through consumer exploitation and profit maximisation by the new captains in the industry. "It would equally be stated that the Federal Government policy violated the three key principles upon which privatisation was presented to Nigeria namely: that the new investor must have technical competencies, managerial ability and that privatisation must attract Foreign Direct Investment (FDI)".

Solid Mineral

2014 June, SweetcrudeReports

We will revive Ajaokuta Steel Company soon, says Sambo

Mining site

FG targets 'serious investors' in mining sector

igeria is aiming to a t t r a c t s e r i o u s investors in its mining industry after it would have purged the sector of under-performing miners. Vice President Namadi Sambo, who disclosed this, said government would soon cancel all the licences of the under-performing miners across the country. He said government was determined to cancel the affected licences so as to attract more serious investors in the sector. Sambo, who spoke in Abuja, expressed government’s readiness to provide incentives to the private sector in the development of coal mining for electricity generation. Speaking while receiving the president of the Dangote Group, Alhaji Aliko Dangote and his management team at the State House, the vice president challenged the

group to take advantage of the opportunities in the nation’s mining sector by investing in the sector. Sambo commended the Dangote Group for its huge investment in the country, saying such investment has created employment opportunities to millions of Nigerians. Speaking earlier, the Chairman of the group, Alhaji Dangote, announced the company's interest in the development of the Nigerian mining sector. He said that "high profile mines in Nigeria had been licensed to those that do not possess the requisite capacity to develop them and the time frame given to develop them had since expired". He added that the firm had entered into a partnership with Andre de Coulters, one of the leading companies responsible for about 44,000 megawatts of electricity, about a third of Brazil’s power

generation capacity. Dangote further said that the group had acquired about 260,000 hectares of land to develop sugar plantations in Adamawa and Taraba. According to him, plans are under way by the group to acquire more land in Bauchi and Yobe states for sugar plantation upon the

completion of the Kafin Zaki Dam. He said that about 56,000 hectares of land had also been acquired in Kebbi and payment for compensation to those affected had commenced. According to Dangote, the plantations are planned to produce about 1.5 million tonnes of sugar, ethanol, biocompost and animal feeds. He revealed that the plantations would generate about 360 megawatts, which he said, was above the firm’s requirements. He said the firm would require about 240 megawatts while the remaining 120 megawatts would be transferred to the national grid for distribution to the host communities.

Sambo, expressed government’s readiness to provide incentives to the private sector in the development of coal mining for electricity generation

ice-President Namadi Sambo says the Federal Government would revive the Ajaokuta Steel Company Limited soon to promote the development of the nation’s automotive sector. Sambo, who maintained that the revival of the company would offer viable socio-economic opportunities to Nigerians, said President Goodluck Jonathan had already directed him to ensure the speedy revival of the industry. "Very soon, I want to assure you that the promise Mr President made sometime in Kogi State that the Ajaokuta Steel Industry will be brought back to life. I want to categorically state that all the encumbrances that have been stopping the progress of this project have been removed by Mr President. "He has directed me as Chairman of the NCP (National Council on Privatisation), to expedite action and ensure that Ajaokuta steel industry is back to life," he said at the foundation laying of Kogi House in Abuja. The vice-president assured that the Federal Government would partner with the state government in providing social amenities to the inhabitants of the state. According to him, in addition to the P r e s i d e n t ’ s commissioning of the 450 megawatts, MW, Geregu Power Plant, the Federal Government will soon commission the standard gauge railway from Lokoja to Warri Port and will complete the Banda Inland Water Port by December. "We are supporting the private sector in development of 1,000MW coal power plant as well as development of all the solid minerals and hydrocarbons.

2014 June, SweetcrudeReports

Solid Mineral

Bauchi woos investors on solid minerals development

Precious stones

he Bauchi State Government has embarked on aggressive enlightenment of potential investors, including youths, on the huge potential in the solid minerals deposit in the state.

Malam Isa Mohammed, the Managing Director, Bauchi Mining Synergy and Exploration Limited, made the disclosure to in Bauchi, saying the state was endowed with a variety of solid minerals in commercial quantity, second only to Kaduna State.

“Nature has endowed Bauchi State with an abundance of untapped solid minerals resources which can be broadly categorised into three metallic ores, non-metallic and gem stones,” he said. Among the minerals he

Ajaokuta Steel can generate 15,000 direct jobs -Rep

he Ajaokuta Steel Rolling Mill is capable of generating no fewer than 1 5 , 0 0 0 d i r e c t employments when fully operational, a member of t h e H o u s e o f Representatives has said. Hon. Ben Nwankwo from Anambra State made the disclosure as the House mandated its Committees on Steel, Priviatisation and Commercialisation and Justice to investigate the concession of the Ajaokuta Steel Rolling Mill, ASRM, and to probe the affairs and failure of the mill. The resolution followed a motion by Nwankwo, who

noted that the mill and the National Iron Ore Mining Company, NIOMC, in Itakpe, Kogi State, were in 2005 concessioned to two India firms without due diligence. According to him, the concessionaires, Global Infrastructure Holdings Limited and Global Steel Holdings Limited, allegedly operated in ways contrary to the concession agreement. He said that due to complaints on the operation of ASRM and NIOMC by the concessionaires, the Federal Government revoked the concession agreement of ASRM in 2007. This, he said, led to protracted arbitral proceedings at the

International Centre for Commercial Arbitration in London. The lawmaker said that the pendency of the arbitral proceedings further compounded the woes of the mill. He, however, said that recent disclosures indicated that the Federal Government had “successfully’’ reacquired ASRM from Global Infrastructure Holding Limited in circumstances not clear. Nwankwo said that the fate of NOIMC was still not clear. Nwankwo expressed concern that the employment potentials of the mill had not been exploited.

listed are kaolin, tin, gemstones, granite, talc, quartz, iron ore, gypsum, zircon, calcite, tantalite, chalcopyrite, mica, copper ore, limestone, tourmaline, beryl and garnet. Others are aquamarine pyrite, rutile, talc, cassiterite, migmatite, columbite, orthoclase, muscovite, aquamarine, topaz, marble, silver, fluorite, zircon, graphite, dolomite, wolfromite, bismuth and others. The managing director said the government had put in place mouth-watering incentives to attract investors with a view to fully harness and exploit the state’s solid minerals potential. “What we are trying to do besides putting in place attractive incentives is to come out with reserve estimate of these minerals. “Our experts are already moving to all nuke and crannies of the state, from one local government to the other, collecting the needed data on the state’s solid mineral deposit,” he added. Mohammed explained that the government had entered into partnerships with USAID, South African Government, the UK and Canada among others to assist in establishing the

reserve estimates. According to him, when concluded the information would be made available to the media and relevant authorities to give potential investors access to information on the huge endowments in the sector. “The time to invest in the solid minerals sector is now because Nigeria must go beyond oil and be ranked number one solid minerals producing country in Africa as it has the potential to achieve it. “The states of the nation live as beggars with arms stretched towards Abuja for the monthly stipend that keeps them going. It is time for states to start looking inward,” he said. Mohammed said the Bauchi State Government had resolved to exploit its solid mineral potential and create other revenue source that would lift it on a pedestal of economic selfreliance. “ S o l i d m i n e r a l development is one of the vital visions of Governor Isa Yuguda which he believes that when properly harnessed and tapped could sustain the state in terms of revenue generation. “It is to achieve this goal that the governor established BMESL that will be run under Public Private Partnership arrangement. The idea of the company is to maximally exploit the revenue potential of the mineral deposits in the state,” he said. He added: “The mining company will create a central market where extractors and buyers could meet with a view to sustaining the synergy between the miners and the buyers for the mining business to flourish. “It will also provide sensitisation workshops and carry out awareness campaigns on mining activities generally. The company will also provide skill acquisition programmes with a view to enhancing the productivity of our local miners. “Currently, we have more than 10 cooperative societies that have registered with us and others are still coming.”

Freight

2014 June, SweetcrudeReports

A ship

he Nigerian M a r i t i m e Administration and Safety A g e n c y , NIMASA, is working hard to ensure it establishes and maintains physical presence in all remote areas of Nigeria's maritime domain, Director-General of the agency, Mr. Patrick Akpobolokemi, has revealed. Akpobolokem maintained that as a result of NIMASA's activities, especially the physical patrol of the waters, incidence of security breaches on Nigerian waters have been on the decline both in frequency and success rate. "The last two years of our acquiring operational and enforcement capability has led to the arrest of over 244 vessels. Their offences range from piracy and sea robbery, economic sabotage, illicit activities to non-compliance with regulatory regimes and evasion of statutory levy payment. Our activities in the area of Maritime Domain Awareness (MDA) have got a significant boost through our improved enforcement capability. "NIMASA as a maritime administrator (MARAD) with coastal, flag and port state responsibilities is now able to physically patrol, monitor, enforce and where necessary interdict suspects and vessels that breach our

'NIMASA working to establish presence across Nigeria's maritime domain’ maritime laws no matter where they are located in our waters," he said recently in Warri, Delta State. Stressing that all the programmes of the organisation were aimed at improving Nigeria's fortune in the maritime sector, Akpobolokemi he appealed to the Federal Government to grant it partial autonomy to enable it function more efficiently. He said this autonomy should be such that would exempt NIMASA from remitting its unspent funds into the federation account for next five years. This, he said, will help empower the agency financially and enable it commit all its accruable resources to its projects. Already a proposal to that effect has been sent to the Presidency with approval being awaited. Akpobolokemi further explained the need for the partial autonomy, saying: "We call for our exclusion for at least five years because of the capital intensive nature of the project; after all, the projects are for Nigerians, they are federal government projects and when you see that some sectors go back to the

presidency for incentive, bail out, and so on, then you know we are also qualified, considering what we are doing for our people and for the government of Nigeria. "Some other agencies go to the federal government to ask for money or even to ask for bail out, but we don’t do that, we are talking about what we are contributing within some period because cumulatively all this project

may go up to a billion dollars and you can imagine how expensive it is and that is why we are asking for it." Statutorily, according to the NIMASA DG, a portion of the agency's revenue is transferred to the Maritime Academy of Nigeria (MAN) in order to assist it to grow. He said that as a stop gap measure to fill the death of capacity in the maritime industry, NIMASA is

training 2,500 Nigerians in different maritime schools in different regions in maritime Universities and Academies abroad and that this is a very big boost to the sector. "We don’t stop there, we also help to assist outside our statutory obligations; all to get capacity, and when this university will be developed, when the academic session starts, it will increase the capacity," he said.

Ex-dockworkers demand full gratuities from govt MKPOIKANA UDOMA

etired dockyard workers in Rivers State have made demands for full payment of their gratuities and pensions from the Federal Government. President of the Dockyard Pensioners, Ufeme Utoka, made the call in an interview in Port Harcourt, saying Federal Government's continued

indebtedness to the retirees has increased their hardship and in most cases had led to the death of many. He further called for the immediate payment of their entitlements. Also in Port Harcourt, a River State-based shipping magnet, Mr. Ifeanyi Asugo, has urged the development of tourism in the creeks and coastal areas in the country to boost Nigeria’s economy. Mr. Asugo also made the assertion in an interview with newsmen in Port Harcourt, he noted that

Nigeria’s overconcentration on oil was inimical to the economy and has encouraged lack of economic creativity. The shipper who explained that economic diversification was imperative for Nigeria to meet up with the economic best practices as in other climes in the world, also called for economic renovations aimed at repositioning the nation’s economy at its right whole place.

2014 June, SweetcrudeReports

Freight

Customs says PAAR now working at Apapa Port

Nigerian port

Dryad Maritime plots new course in industry

r y a d Maritime, UK’s leading maritime intelligence agency, has unveiled new and enhanced services and a complete re-brand as part of its relaunch and repositioning within the maritime operations industry. The overhaul follows six years of exponential growth for the formerly niche Portsmouthbased intelligence company. With three industry awards under their belt, new offices opening in Singapore and continuous development of their products and services, Chief Executive Officer Graeme Gibbon Brooks says the time is right for the expansion and repositioning of a company world renowned for its specialist high-grade intelligence capability. ‘There is always an argument to stay small-scale and niche but the time is right for a new approach. Our true identity has always been as a maritime operations company – our 24-hour ops room is our heart and soul, and producing expert intelligence analysis is just one output of our operation. "Dryad has built up the right expertise, experience

High fuel prices and low freight rates have had a significant impact on the profitability of shipping and Dryad’s newest offering, the Voyage Efficiency Service, addresses these issues and reputation to seize a great opportunity to occupy a broader space within the maritime operations industry. The re-positioning of the company comes as we complete our current phase of expansion and diversification which will see our offering extend far beyond purely intelligence services," Graeme. said. The new products and services have been developed by Dryad’s expert and highly experienced team of former Royal Navy operators who work side-by-side to employees with proven commercial sector experience. Dryad Maritime attributes its success to the empathy and

genuine concern its team have for seafarers and SOLAS due to their own high-risk operational experience. High fuel prices and low freight rates have had a significant impact on the profitability of shipping and Dryad’s newest offering, the Voyage Efficiency Service, addresses these issues. Drawing on their existing portfolio of services, Dryad effectively combines weather and fleet monitoring with risk mitigation and regulatory compliance to streamline operations on behalf of operators saving them time, money and administrative

burden by using the very latest meteorological and environmental data modelling. Already Dryad is providing weather and efficiency routing to one of the world’s leading charterers. The Voyage Efficiency Service works in partnership with Dryad’s newest service launched earlier this year, PRISM – Professional, Risk & Integrated Services Management which is an extension of Dryad’s managed service offering. PRISM reflects the changing landscape of maritime crime and offers a unique range of cost effective and flexible solutions based around the ever changing threats to maritime operations. ‘I am confident that the robust strategic plans put in place by our board of directors will set Dryad Maritime on a firm footing to compete effectively in a broader market. We’ve built our reputation by providing intelligence and risk analysis which adds insight, meaning and prediction – undoubtedly our extension of services will adhere to the same principles’, added Graeme.

ustoms Area Controller of the Apapa Area 1 Command, Comptroller Charles Edike, has said the Command has been able to surmount the initial problem associated with the PreArrival Assessment Report, PAAR, scheme and that it was now working effectively at the Apapa port. Edike said the PAAR document, which is a new requirement for goods clearance at all Customs ports, is now issued within hours of entry submission in Apapa port. “We are happy that PAAR is coming out beautifully and I must say that we are coming out of the storm gradually and as we speak PAAR is now being transmitted with ease. PAAR is rolling out smoothly and before the importer gets home after processing his form M, the PAAR will be ready before that same night,” he disclosed. This will, however, only happen if the importers and agents provided information that were not contradictory as this would lead to a rejection of their entries by the automated system, thereby delaying the entire process. On the initial challenges encountered with the PAAR, the controller said they were normal for any project that was new and that the important thing was to try to overcome the initial problems. Evident of its successful operations, the Apapa Area 1 Command raked in N29.3 billion revenue in April, which is over 50 per cent of the N55 billion collected between January and March this year. But the first three months of the year saw the command confronted seriously by the PAAR problem at its Apapa Container Terminal, which could be responsible for a lower revenue during the period. Edike said the improved revenue in April came through a combination of hard work and use of i n f o r m a t i o n communication technology by his team.

Motoring

2014 June, SweetcrudeReports

A guide to the 10 most reliable car brands NKEM IGBIKIOWUBO

very car brand likes to market themselves as the best. From “The Relentless Pursuit of Perfection” that launched Lexus to the top of most quality surveys, to “The Ultimate Driving Machine” solidifying the performance pedigree of BMW, automakers like to tell us that they alone are going to offer the absolute best longterm ownership experience. But are they telling the truth? I have been a car dealer, an auctioneer, and partowner of an auto auction over the past 15 years. During that time, I have seen a lot of easily detectable patterns between those brands that have truly stood by their promise, and those that were merely giving lip service. However, one man’s experience can only go so far. That’s why over the past year and a half, I have codeveloped a long-term reliability study that now has nearly 350,000 sample trade-ins from all over the country. These vehicles were all independently inspected and appraised by professional car buyers who are trained to detect mechanical and structural issues, which can be overlooked or unreported by the owners in other industry studies, and are recorded by those who have no owner bias. We also took a close look at whether certain models began to show severe mechanical issues after the usual period when new cars are under the microscope. Most quality studies offered to the general public either focus on initial quality (90 days) or what industry analysts have called long-term quality (3 years to 5 years). As a result, an awful lot of vehicles end up receiving recommendations earlier in their life, and then become rolling money pits as they get older. We wanted to show whether specific brands and models were living up to their public billing, or simply using clever words at the beginning and shafting their customers in the long run. The 10 worst vehicles and the 10 best vehicles have already been covered. However, the majority of new car buyers are brand loyal (51.5 percent buy the same brand according to the market analysis firm R.L. Polk). Therefore, we’re focusing specifically on the 10 best brands in the marketplace today. Here are, the top 10 in ascending order:

MITSUBISHI

This was a complete shocker. However, Mitsubishi has benefited from long model runs over the past ten years, and much of what they sold was devoid of the unproven electronics and technologies that have hurt other brands. Fourcylinder models are particularly strong in terms of long-term reliability.

HUMMER The short-lived Hummer brand may have been the butt of many a joke before it’s demise. But the best-selling versions of these over-sized, gas guzzling models offered durable engines and transmissions that were shared by several other GM trucks and SUVs.

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2014 June, SweetcrudeReports

Motoring

10 most reliable car brands CONTINUED FROM PAGE 38

MERCEDES-BENZ Mercedes is helped by three big ingredients that help their longterm reliability: Long model runs for their most popular vehicles; a multitude of models that share the same engines and transmissions; and finally, a quality initiative that made long-term customer satisfaction a priority. We should note that all three of these brands are surprisingly close to each other in terms of long-term reliability.

8 ACURA

Honda’s Acura division is helped by four-cylinder models such as the Acura RSX and Acura TSX, which are ranked among the highest quality vehicles in the study. The poor reliability of transmissions for V-6 models throughout the late-90’s and early 2000’s pulled down the overall rankings of both brands.

5 CHEVROLET

INFINITI Six of the top 10 Inifiniti models are ranked among the top 15% in overall quality. The Infiniti QX4, an SUV based off Nissan Pathfinder, has enjoyed particularly long periods of trouble-free ownership as have the G37 and M35.

While Chevrolet cars have routinely averaged middling to mediocre reliability, Chevrolet trucks and full-sized SUV’s have rightly earned their reputation as workhorses. The Corolla-based Prizm and the Chevrolet Corvette are the best Chevy cars when it comes to long-term reliability.

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2014 June, SweetcrudeReports

Motoring

10 most reliable car brands CONTINUED FROM PAGE 40

HONDA The entire Honda line-up has offered excellent long-term reliability with two notable exception: V-6 Accords and Odysseys. The frequency of bad transmissions for the Odyssey, and the Accord from 1998 thru 2002 was enough to pull them well outside the top rankings of reliable vehicles, although fourcylinder Accord models continue to be ranked among the top.

GMC

Author’s note: Brands with the bulk of their trade-ins from 2000 and before were removed from the rankings to maintain consistency between brands.

Once again it’s the full-sized American truck and SUV that makes all the difference for domestic manufacturers. The same strong showing in full-sized trucks is also true for Ford. For GMC, it’s the Sierra truck, Suburban SUV, and Savanna full-szied van that are true standouts.

Green Centre

LEXUS

Lexus has three of the top seven ranked vehicles when it comes to long-term reliability; including the Lexus LX which is ranked at #1 along with it’s sister model, the Toyota Land Cruiser. Lexus is the only brand in the study that offersexcellent long-term reliability for every single model they sell.

TOYOTA

There are certain weeks when the Toyota Camry will offer more high-mileage trades than all European models.... combined. Part of Toyota’s dominance comes from having two of their models, the Camry and Corolla, represent nearly half their sales. However as Lexus offers three of the top 10 vehicles when it comes to longterm reliability, Toyota nails four more spots. The Land Cruiser, 4Runner, Sequoia and Avalon are all top ranked with the Corolla and Camry firmly in the top 3% of reliable models.

Eco-conscious drivers can choose between a growing number of vehicles these days: hybrids, pure electrics and frugal gas-powered green machines. Both hybrids and electrics help urban motorists save mo ... 1. 2015 Mazda MAZDA6 2. 2015 BMW X3 3. 2015 Lexus RX 4. 2014 Infiniti QX60 5. 2014 Kia Optima Hybrid 6. 2014 Hyundai Elantra 7. 2014 Lexus CT 8. 2014 BMW i3 9. 2014 Kia Rio 5-door 10. 2014 Honda Civic Sedan Economy The global focus on the environment hasn’t been lost on automakers, who in recent years have made leaps in both the fuel efficiency of conventional engines as well as in the development of alternative ... 1. 2014 Dodge Journey 2. 2014 smart fortwo 3.2014 Volkswagen Jetta Sedan 4. 2014 Kia Forte 5. 2014 Volkswagen Golf 6. 2014 Scion tC 7. 2014 Ford Focus 8. 2014 Honda Insight 9. 2014 Chevrolet Cruze 10. 2014 Honda CR-Z

Technology

2014 June, SweetcrudeReports

contaminated sites. Other countries have other mechanisms and commonly sites are rezoned to “higher” uses such as high density housing, to give the land a higher value so that after deducting cleanup costs there is still an incentive for a developer to purchase the land, clean it up, redevelop it and sell it on, often as apartments (home units). Mapping remediation There are several tools for mapping these sites and which allow the user to view additional information. One such tool is TOXMAP, a Geographic Information System (GIS) from the Division of Specialized Information Services [1] of the United States National Library of Medicine (NLM) that uses maps of the United States to help users visually explore data from the United States Environmental Protection Agency’s (EPA) Superfund and Toxics Release Inventory programs.

Environmental remediation work

Environmental remediation

nvironmental remediation deals with the removal of pollution or contaminants from environmental media such as soil, groundwater, sediment, or surface water for the general protection of human health and the environment or from a brownfield site intended for redevelopment. Remediation is generally subject to an array of regulatory requirements, and also can be based on assessments of human health and ecological risks where no legislated standards exist or where standards are advisory. Remediation standard In the USA the most comprehensive set of Preliminary Remediation Goals (PRGs) is from the Environmental Protection Agency (EPA) Region 9. A set of standards used in Europe exists and is often called the Dutch standards. The European Union (EU) is rapidly moving towards Europe-wide standards, although most of the

industrialised nations in Europe have their own standards at present. In Canada, most standards for remediation are set by the provinces individually, but the Canadian Council of Ministers of the Environment provides guidance at a federal level in the form of the Canadian Environmental Quality Guidelines and the CanadaWide Standards|CanadaWide Standard for Petroleum Hydrocarbons in Soil. Site assessment Once a site is suspected of being contaminated there is a need to assess the contamination. Often the assessment begins with preparation of a Phase I Environmental Site Assessment. The historical use of the site and the materials used and produced on site will guide the assessment strategy and type of sampling and chemical analysis to be done. Often nearby sites owned by the same company or which are nearby and have been reclaimed, levelled or filled are also contaminated even

where the current land use seems innocuous. For example, a car park may have been levelled by using contaminated waste in the fill. Also important is to consider off site contamination of nearby sites often through decades of emissions to soil, groundwater, and air. Ceiling dust, topsoil, surface and groundwater of nearby properties should also be tested, both before and after any remediation. This is a controversial step as: 1.No one wants to have to pay for the cleanup of the site; 2.If nearby properties are found to be contaminated it may have to be noted on their property title, potentially affecting the value; 3.No one wants to pay for the cost of assessment. Often corporations which do voluntary testing of their sites are protected from the reports to environmental agencies becoming public under Freedom of Information Acts, however a “Freedom of Information”

In the US there has been a mechanism for taxing polluting industries to form a Superfund to remediate abandoned sites, or to litigate to force corporations to remediate their contaminated sites inquiry will often produce other documents that are not protected or will produce references to the reports. Funding remediation In the US there has been a mechanism for taxing polluting industries to form a Superfund to remediate abandoned sites, or to litigate to force corporations to remediate their

R e m e d i a t i o n technologies Remediation technologies are many and varied but can be categorised into ex-situ and in-situ methods. Ex-situ methods involve excavation of affected soils and subsequent treatment at the surface, In-situ methods seek to treat the contamination without removing the soils. The more traditional remediation approach (used almost exclusively on contaminated sites from the 1970s to the 1990s) consists primarily of soil excavation and disposal to landfill “dig and dump” and groundwater “pump and treat”. In situ technologies include Solidification and Stabilization and have been used extensively in the USA. Thermal desorption Thermal desorption is a technology for soil remediation. During the process a desorber volatilizes the contaminants (e.g. oil, mercury or hydrocarbon) to separate them from especially soil or sludge. After that the contaminants can either be collected or destroyed in an offgas treatment system. Excavation or dredging Excavation processes can be as simple as hauling the contaminated soil to a regulated landfill, but can also involve aerating the excavated material in the CONTINUES ON PAGE 43

2014 June, SweetcrudeReports

Technology

Environmental remediation CONTINUED FROM PAGE 42

case of volatile organic compounds (VOCs). Recent advancements in bioaugmentation and biostimulation of the excavated material have also proven to be able to remediate semi-volatile organic compounds (SVOCs) onsite. If the contamination affects a river or bay bottom, then dredging of bay mud or other silty clays containing contaminants may be conducted. Recently, ExSitu Chemical oxidation has also been utilized in the remediation of contaminated soil. This process involves the excavation of the contaminated area into large bermed areas where they are treated using chemical oxidation methods. [1]

groundwater. Air stripping is a method that can be effective for volatile pollutants such as BTEX compounds found in gasoline. For most biodegradable materials like BTEX, MTBE and most hydrocarbons, bioreactors can be used to clean the contaminated water to non-detectable levels. With fluidized bed bioreactors it is

support microbial degradation of the compound (especially petroleum) by direct injection of oxygen into the subsurface, or the direct injection of a slurry that slowly releases oxygen over time (typically magnesium peroxide or calium oxyhydroxide). Solidification

and

technology that relies on the reaction between a binder and soil to stop/prevent or reduce the mobility of contaminants. ·Stabilization - involves the addition of reagents to a contaminated material (e.g. soil or sludge) to produce more chemically stable constituents; and ·Solidification - involves the addition of reagents to a

including: ·the relatively low cost and widespread use of disposal to landfill; ·the lack of authoritative technical guidance on S/S; ·uncertainty over the durability and rate of contaminant release from S/S-treated material; ·experiences of past poor practice in the application of cement stabilization

[2]

SEAR - surfactant enhanced aquifer remediation A l s o k n o w n a s Solubilization and recovery, the Surfactant Enhanced Aquifer Remediation process involves the injection of hydrocarbon mitigation agents or specialty surfactants into the subsurface to enhance desorption and recovery of bound up otherwise recalcitrant non aqueous phase liquid (NAPL). In geologic formations that allow delivery of hydrocarbon mitigation agents or specialty surfactants, this approach provides a cost effective and permanent solution to sites that have been previously unsuccessful utilizing other remedial approaches. This technology is also successful when utilized as the initial step in a multi faceted remedial approach utilizing SEAR then In situ Oxidation, bioremediation enhancement or soil vapor extraction (SVE). Pump and treat Pump and treat involves pumping out contaminated groundwater with the use of a submersible or vacuum pump, and allowing the extracted groundwater to be purified by slowly proceeding through a series of vessels that contain materials designed to adsorb the contaminants from the groundwater. For petroleum-contaminated sites this material is usually activated carbon in granular form. Chemical reagents such as flocculants followed by sand filters may also be used to decrease the contamination of

Environmental remediation work possible to achieve very low discharge concentrations which will meet or exceed discharge standards for most pollutants. Depending on geology and soil type, pump and treat may be a good method to quickly reduce high concentrations of pollutants. It is more difficult to reach sufficiently low concentrations to satisfy remediation standards, due to the equilibrium of absorption (chemistry)/desorption processes in the soil. However, pump and treat is typically not the best form of remediation. It is expensive to treat the groundwater, and typically is a very slow process to cleanup a release with pump and treat. It is best suited to control the hydraulic gradient and keep a release from spreading further. Better options of insitu treatment often include air sparge/soil vapor extraction (AS/SVE) or dual phase extraction/multiphase extraction(DPE/MPE). Other methods include trying to increase the dissolved oxygen content of the groundwater to

It is more difficult to reach sufficiently low concentrations to satisfy  remediation standards, due to the equilibrium of absorption (chemistry)/desorption processes in the soil. However, pump and treat is typically not the best form of remediation stabilization Solidification/stabilization work has a reasonably good track record but also a set of serious deficiencies related to durability of solutions and potential longterm effects. In addition CO emissions due to the use of cement are also becoming a major obstacle to its widespread u s e i n solidification/stabilization projects. 2

Stabilization/solidification ( S / S ) i s a remediation/treatment

contaminated material to impart physical/dimensional stability to contain contaminants in a solid product and reduce access by external agents (e.g. air, rainfall). Conventional S/S is an established remediation technology for contaminated soils and treatment technology for hazardous wastes in many countries in the world. However, the uptake of S/S technologies has been relatively modest, and a number of barriers have been identified

processes used in waste disposal in the 1980s and 1990s (ENDS, 1992); and ·residual liability associated with immobilized contaminants remaining onsite, rather than their removal or destruction. In situ oxidation New in situ oxidation technologies have become popular, for remediation of a wide range of soil and groundwater contaminants. Remediation by chemical oxidation involves the injection of strong oxidants such as hydrogen peroxide, ozone gas, potassium permanganate or persulfates. Oxygen gas or ambient air can also be injected to promote growth of aerobic bacteria which accelerate na t ura l a t t e nua t i o n o f organic contaminants. One disadvantage of this approach is the possibility of decreasing anaerobic contaminant destruction natural attenuation where existing conditions enhance anaerobic bacteria which normally live in the soil prefer a reducing environment. [3]

Community

2014 June, SweetcrudeReports

Youths threatening to cripple oil activities are selfish —Ex-Militant MKPOIKANA UDOMA

iger Delta youth groups threatening to cripple oil activities in the region over the failure of resource control to be adopted at the National Conference, have been urged to shun the old method of militancy and channel their pressure to the appropriate quarters. An ex-militant and president of the Grassroots Development Network, GDN, Comrade Pat Obiene, made the appeal as he blamed Niger Delta youth leaders for failing to put their pressure on the right people, who, according to him, are lawmakers at the national and state levels. “They want to cripple oil activities in the Niger Delta as justification that they did not give them resource control. Let me ask them ‘have you engaged your senators since 1999 from the Niger Delta’? It is only the GDN that have been publicly preaching that in a democracy, it doesn’t mean the man (politician) owes you nothing after his election. "This is the only part of the world that a politician turns into a demi-god immediately after election, but when he come to share two cups of rice and some wrappers, everybody sings praises and worship for him. Both NASS

Youths protesting (National Assembly) members and States Houses of Assembly members are guilty of this,” he said. Obiene added: “So, it is not about using the same old method of militancy. We need to change our strategy. It is not about saying that you will cripple the economy. If you

cripple the economy, what will you eat? Is it not from the same oil that all of us are feeding?” Obiene rather advocated for a mass mobilisation of the Niger Delta people to prevail on their lawmakers for the recognition of referendum as the way

Bad Road: Eleme indigenes threaten to ground oil operations

ndigenes of Eleme Community in Rivers State have threatened to occupy the Akpajo-Eleme Port Harcourt Refinery axis of the East-West road in three weeks, over its deplorable condition. The East-West road, leading to the Port Harcourt Refinery and Onne Federal Ocean Terminus and about 200 other industries, in Rivers State, has been in a dilapidated state, despite the Federal Government ongoing reconstruction work on the road from Warri in Delta State to Eket, Akwa-Ibom State.

The people of Eleme, while lamenting the poor state of the road, especially the section of the road in their area, accused the multinational oil companies operating in the area of insensitivity to the plight of the people. Speaking with newsmen in Port Harcourt, the president of the National Youth Council of Nigeria, NYCN, Eleme Chapter, Mr. Isaac Obei, affirm that the youths, women and elders of the area will occupy the roads as well as ground business activities in the area, if relevant authorities failed to respond to the demand.

According to him, “We’ve had a meeting with our leaders. Our women, children, elders and youths, all of us will go out on the road during which we will seal the road. Our royal fathers will seat on the road if in three weeks, the relevant authority does not come down and start rehabilitating the road. We don’t just need a promise, they must come down and show action, that is what we are going to do and we are going to do it to compel these people to listen to us” he said.

forward because resource control was a matter of law. According to him, “If anybody or group now is deceiving himself or itself on crippling the economy, they have no idea of what to do and if they don’t, they should listen to those who have practical ideas. We have been

They want to cripple oil activities in the Niger Delta as justification that they did not give them resource control

lazy shying away from those who we should channel the pressure on, which are the lawmakers; because the whole issue of Niger Delta and resource control and the South South is a matter of law that was wrongly orchestrated since the foundation of Nigeria”. Stressing that what was important now was to sustain massive mobilisation and prevail on the Federal and State lawmakers to quickly amend section 9 of the Constitution that does not recognise referendum, he said this was necessary as "the whole world now is pushing for referendum that gives the people the right to vote what they want." "The current constitution does not support referendum, even section 18 of the Intervention Act does not. So, the option now is not for them (youths) to threaten that they want to cripple oil activities because that's the old method," the former militant leader noted. He further asserted: "We have three senators from each state. The Niger Delta has nine states. Since 1999, has any group called to engage the senators?”

2014 June, SweetcrudeReports

Community MKPOIKANA UDOMA

he Ijaw Youth Council, IYC, a Niger Delta y o u t h organisation, has chided the National Conference Sub-Committee on Devolution of Power and Resource Control for voting to maintain the current status quo of 13 per cent as derivation for oil-producing states. The council, in a statement by its spokesman, Mr. Eric Omare, expressed disappointment with the representatives of the Niger Delta in the committee, especially its chairman, former governor of Akwa Ibom State, Obong Victor Attah, for allegedly betraying the common position of the people of the region on resources control. The IYC (worldwide) in a statement by its spokesman, Eric Omare, said it rejects in its entirety the decision of the National Conference Sub-Committee on devolution of power and resource control to maintain the current status quo of 13 percent as derivation for oil producing states and thereby rejecting the demand for

Polluted Niger Delta water

Niger Delta group says no to 13% oil derivation resource control. According to the statement,“The Niger Delta people have a common position on the issue of resource control, which cannot be changed unilaterally by Obong Attah and its co-

travellers. It is disappointing that Obong Attah, a former advocate of resource control, could justify retaining 13 per cent derivation considering the fact that the 2005 Obasanjo’s political Reform C o n f e r e n c e h a d

recommended an increase in derivation about nine years ago. “The IYC regards the national interest and threat to secession, which Obong Attah cited as their justifications for retaining 13

per cent, as feeble and unjustifiable. The legitimate demand of the Niger Delta people to control their resources in line with tenets of federalism cannot in any way amount to threat to national interest. In any case, the Niger Delta region has sacrificed enough by bearing the hazards of laying the golden egg that sustains Nigeria, “the group warned. The group further said: “Our expectation that the National Conference would right the wrongs of the past, deepen our federal system of government and put Nigeria on the path to development is being betrayed. This is nothing but a triumph of the retrogressive and provocative agenda of reactionary forces in northern Nigeria” “The IYC wishes to warn that the decision of the Niger Delta people to give peace a chance to allow the Federal Government to address the problems of the region should not be taken as weakness. The Niger Delta people are still willing, ready and capable of bringing the Nigerian economy down to its knees.” the statement said.

2014 June, SweetcrudeReports

Community

Ogonis charge govt on urgent implementation of UNEP Report

Shell spends N492m on scholarship for Niger Delta youths

Niger Delta environment

s Nigeria joined the rest of the world recently to celebrate the W o r l d Environment Day, indigenes of Bodo City and K-Dere communities in Ogoni, Rivers State, have called on the Federal Government to urgently begin the implementation of the environmental assessment of Ogoniland as recommended by the report of the United Nations Environmental Programme, UNEP. Paramount ruler of K-Dere community, Chief Fabian G b e r e s u t o l d SweetCrudeReports that the community has lost its virtue due to oil spills and called on the government to respect the reports issued by UNEP. According to him, “Today our lives here is completely near extinction. We definitely don’t do have any occupation again, except a few of us who are involve in civil service and or who are engaged in

one business or the other, but how many of them? We are about 400,000 population here, so how many of us are civil servants? This is not up to 3 percent of our total population? The rest of us are idle. We cannot farm anymore, our lands have been destroyed, and our women cannot get involved in farming activities anymore”. In the same vein, the paramount ruler of Bodo City, Chief Menebariro Agbe Kote lamented that many of the indigenes were now falling sick due to the polluted environment caused by oil spills in the area. He said the people have decided to raise their voice in line with the theme of this year's world environment day In his words, “There are lots of sicknesses here, because of the high pollution especially in our waters, even our boreholes are contaminated because of the underground water pollution, our borehole waters is full of oil. We do not

have access to potable water supply, no good hospital, our people are really suffering. It is even affecting our marriages, as our wives cannot go to farm,” he said. In the meantime, the Movement for the Survival of Ogoni People, MOSOP, has threatened to lead a protest to Abuja if the Federal Government failed to act on the UNEP report before the end of this month. Media adviser of MOSOSP, Mr. Bari-Ara Kpalap accused Federal Government of insensitivity towards the plight of the Ogoni people.

hell Petroleum Development Company, SPDC, has spent N492 million on its Niger Delta Post Graduate Scholarship award to 30 beneficiaries, an official said. The company's M a n a g i n g Director/Country Chair, Mr Mutiu Sunmonu, said in Port Harcourt recently that the company spent N164 million annually on every batch of 10 beneficiaries. He explained that the company had so far run the scheme for three years, starting from 2010/2011 batch, adding that the scholarship enabled the beneficiaries to obtain second degrees in top rate universities in the UK. Sunmonu named the institutions as Imperial College, London; University College, London, and the University of Leeds, which were in partnership with Shell. According to him, the amount spent on the scheme was not too much of a burden to the company compared to the amount spent on its other scholarships that had run for many years. "It is something we will continue to do very gladly because we believe that the results are showing. We are happy to see young graduates, coming from the Niger Delta, being able to play key roles in the oil and gas industry in the country," he said. Sunmonu revealed that the beneficiaries were selected purely on merit

within the states in which the company operated in the Niger Delta region, namely, Bayelsa, Delta and Rivers. "We don't want to send them to some tiered second universities; that is not the idea, that is not best for them and that's why we targeted those universities." He explained that the concept behind the scheme was deeply rooted in the company's desire to help develop capacity in the Niger Delta and that the story following the Niger Delta region had been that there were not enough people from the region in the oil and gas industry, especially at the senior level. The Shell Country Chair said that this prompted the company to tackle the situation ''not by some funny affirmative action, not by doing some kind of quota system'' but through a credible scheme. “We believe that everybody has talent. So, what we are trying to do is to help develop talent such that everybody, no matter where you come from, you can compete effectively with any other person from other regions in the country,'' he said. The 2012/2013 batch was hosted to a dinner early in June by the company during which the beneficiaries were received back to Nigeria and they bid farewell to the scheme. Sunmonu congratulated the beneficiaries, who were the third batch, for successfully completing their Master of Science degree programmes.

2014 June, SweetcrudeReports