Dangote Refinery: Nigeria must enforce crude oil supply to local refiners
The Dangote Oil Refinery called on Nigeria's regulator of upstream oil to enforce a law which stipulates that producers supply local refineries. It said that the lack of enforcement increased its operating costs. The 650,000-barrel-per-day capacity refinery, built by Africa's richest man Aliko Dangote on the outskirts of Lagos for $20 billion, has struggled to get sufficient supplies from Nigeria, where vandalism and low investment impede oil production. In a Friday statement, Dangote Refinery alleged that the Nigerian Upstream Petroleum Regulatory Commission had failed to enforce the Domestic Crude Supply Obligation.
Production from Nigeria's Ikike Field to Start
TotalEnergies, OML99 operator (40%) in partnership with the Nigerian National Petroleum Corporation (NNPC, 60%), announces the start of production from the Ikike field, in Nigeria.Located 20 kmoff the coast, at a depth of about 20 meters, the Ikike platform is tied back to the existing Amenam offshore facilities through a 14 km multiphase pipeline. It will deliver peak production of 50,000 barrels of oil equivalent per day by the end of 2022.The Ikike project is designed to minimize greenhouse gas emissions: estimated at less than 4kg CO2e/boe.
Pipeline Fire Kills Three in Lagos
A fire on a pipeline owned by Nigeria's state oil company in the commercial capital Lagos killed three people on Sunday, a Reuters witness said.The blaze broke out in the Abule-Egba district of the southwestern megacity. Residents said it started shortly before 8 p.m. (1900 GMT).A Reuters television camera operator counted three dead bodies at the scene. The fire burned nearby houses and vehicles.Another witness, resident Ayo Adewale, said there were "many dead people". Reuters was unable to verify the claim.Many fires on pipelines in Nigeria, Africa's biggest crude oil producer, are caused by theft and sabotage.
NLNG Okays Train 7
The Nigerian National Petroleum Corporation (NNPC), Shell, Total, and ENI on Friday signed the final investment decision (FID) to give the go-ahead for the construction of Train 7 of the Nigeria Liquefied Natural Gas (NLNG) project.The new train is expected to boost output by 35% to 30 million tonnes per year, NLNG said in a statement, and will arrest a decline in Nigeria’s LNG output. NLNG operates six LNG processing units, known as trains, on Bonny Island. Nigeria LNG said it would boost its liquefied natural gas output by more than 30%.According to reports…
Aquaterra to Install Two Platforms for FIRST E&P in Nigeria
Global offshore engineering solutions provider Aquaterra Energy in conjunction with Maerlin Nigeria Ltd, its local partner, has been awarded a contract by FIRST Exploration and Petroleum Development Company Ltd (FIRST E&P) to design, engineer and install two non-identical Sea Swift conductor-supported offshore platforms in the Niger Delta Basin.The provider of offshore engineering solutions and technical support for the oil and gas industry in the United Kingdom and internationally said in a press release that the platforms are destined for the Anyala and Madu fields within Oil Mining Leases 83 and 85 offshore Nigeria…
Nigeria senate to probe state oil firm over Nigeria LNG funds
Nigeria's Senate voted on Tuesday to probe the state oil firm's alleged withdrawal of $1.05 billion from gas company Nigeria LNG.The Premium Times newspaper reported on Monday that the Nigerian National Petroleum Corporation (NNPC) had used proceeds from Nigeria LNG - a venture between the state oil firm, Royal Dutch Shell, Total and ENI - to fund purchases of, and subsidies for, fuel during a shortage in early 2018.NNPC was not available for immediate comment.(Reporting by Camillus Eboh; writing by Paul Carsten; editing by Jason Neely)
NNPC Says Shell, ExxonMobil Also Looking at Crude Swaps
Nigeria's state oil firm NNPC could sign crude-for-product deals with Shell and ExxonMobil, similar to one signed with BP last week, a senior NNPC official said on Monday.Nigerian National Petroleum Corporation (NNPC) announced last Wednesday that it had signed such a deal with BP and would provide more details later."Unfortunately, Shell and ExxonMobil exited the downstream sector in Nigeria a couple of years ago but they are coming back for this particular arrangement, because it’s an opportunity for them to get crude and sell their products to the refineries…
China Willing to Invest $3 Bln in Nigerian Oil Operations
China National Offshore Oil Corp (CNOOC) is willing to invest $3 billion in its existing oil and gas operation in Nigeria, the Nigerian National Petroleum Corporation (NNPC) said on Sunday following a meeting with the Chinese in Abuja.During a visit to Nigeria's state-owned NNPC, CNOOC Chief Executive Yuan Guangyu said the Beijing-based oil company had invested more than $14 billion in its Nigerian operations and expressed readiness to invest more.Guangyu said Nigeria was their largest investment destination…
Nigeria's State Oil Firm Illegally Paid $707 mln in Fuel Subsidies
Nigeria's state oil company illegally paid 216 billion naira ($707.4 million) in fuel subsidies in 2017, according to a Senate probe, the findings of which were released on Thursday.The investigation by the upper legislative house said that parliament had not approved those payments by the Nigerian National Petroleum Corporation last year, and any further spending on subsidies should be halted with immediate effect.Reporting by Camillus Eboh Writing by Paul Carsten
Nigerian Gasoline Shortages Persist
Nigeria's state oil firm said on Tuesday it had spent $5.8 billion on fuel imports since late 2017, as it combats a fuel shortage that has left people queuing for hours at filling stations and hobbled an already-struggling economy. "The corporation's intervention became necessary following the inability of the major and independent marketers to import the product because of the high landing cost which made cost recovery and profitability difficult," the Nigerian National Petroleum Corporation (NNPC) said in a statement. The price of gasoline is a highly charged subject in Nigeria, Africa's largest oil exporter.
Nigeria Investigating Brass LNG Corruption
Nigeria will hold an investigation into alleged corruption involving the state oil firm's long-awaited Brass LNG project, including questions over the use of government funds. The Nigerian National Petroleum Corporation's (NNPC) liquefied natural gas project has been stuck in the planning stages for more than a decade, with some Western partners having pulled out because of tough operating conditions and an unfavourable investment environment. Nigeria's Senate, the West African nation's upper legislative house…
Nigerian Petroleum Development Co Lost $4.9 bln to Attacks This Year
The Nigerian Petroleum Development Company (NPDC), a subsidiary of state oil firm NNPC, said on Wednesday it had lost 1.5 trillion naira ($4.9 billion) due to attacks on its facilities since the beginning of the year. The subsidiary of the Nigerian National Petroleum Corporation specialises in exploration and production of oil. Militants' attacks in the oil-rich Niger Delta have severely hobbled production this year, at one stage reducing output by more than a third. (Reporting by Ulf Laessing and Paul Carsten)
Unpaid Wages, Sackings Stir New Tension in Nigeria's Oil Hub
The moment a group of Nigerian contractors met executives from Italian oil major ENI to discuss unpaid wages they started shouting, calling them fraudsters and liars until a police commander restored calm. Wenenda Mpi, local manager of ENI unit Agip, blamed the payment delays on debts owed by the Nigerian National Petroleum Corporation (NNPC) and said the government had promised to sort the problem out. The heated meeting, called after hundreds of ENI contractors threatened a protest that police feared could turn violent…
Former Nigerian Oil Firm Head Charged with Money Laundering
The former head of Nigeria's state oil company was charged in court on Thursday with money laundering and five counts of fraud, the country's anti-corruption watchdog said. The Economic and Financial Crimes Commission (EFCC) said last month it had arrested Andrew Yakubu and seized $9.8 million from the former head of the Nigerian National Petroleum Corporation (NNPC) in the northern city of Kaduna. "Former GMD, NNPC, Andrew Yakubu who was arraigned today, March 16, 2017 before Justice A R Mohammed of the Federal High Court…
Nigeria Bill Aims to Break Up NNPC
The long-awaited oil governance bill passed by Nigeria's upper chamber of parliament proposes breaking up the state oil company into three commercial entities supported by a regulatory body and a fund to oversee the distribution of money. The Petroleum Industry Governance Bill, passed on Thursday by the Senate, is part of planned reforms that make up the sprawling Petroleum Industry Bill (PIB), discussed for over a decade following several redrafts, aimed at revamping the OPEC member's energy sector. The…
Nigeria's State Oil Company Signs Deals with Chevron, Shell
Nigeria's state oil company said on Thursday it had signed agreements with Chevron and Shell to boost crude production and reserves. The Nigerian National Petroleum Corporation (NNPC) said a joint venture agreement with Chevron Nigeria Limited would see the development of proven and probable reserves of 211 million barrels. It said a joint venture with Shell Petroleum Development Company would lead to the development of a project comprising of 156 development activities across 12 oil mining licences in the Niger Delta production hub. (Reporting by Alexis Akwagyiram and Chijioke Ohuocha)
Nigerian Militants Attack State-run Pipeline
Militants in Nigeria have attacked a crude oil pipeline on the outskirts of Warri, a city in the Niger Delta, which is operated by a subsidiary of the Nigerian National Petroleum Corporation (NNPC), a community leader said on Monday. Two blasts were heard on the Pipelines and Product Marketing Company (PPMC) line late on Sunday night, said Batan community chairman Ogugu Dickson. A security source also said there had been blasts. NNPC could not immediately be reached for comment. No group has claimed responsibility for the attack. Reporting by Tife Owolab
Nigerian Lawmakers Probe Corruption Allegations
Nigerian lawmakers have set up a committee to investigate allegations of corruption at the state oil company contained in a letter from the minister of state for petroleum. In the letter from Emmanuel Ibe Kachikwu to President Muhammadu Buhari, dated Aug. 30 and confirmed by the oil ministry, the minister said the conduct of the head of the Nigerian National Petroleum Corporation (NNPC) lacked transparency. He said recent appointments by NNPC's group managing director (GMD), Maikantu Baru, should be suspended pending a review. He also accused Baru of largely bypassing the board of directors.
Oil Finds Bottom on Supply Worries
Oil prices hit 5-week lows on Wednesday on U.S. stock build. Crude oil futures edged up on Thursday, supported by news of an attack on a Nigerian oil pipeline and a weaker U.S. dollar, after four days of falls over scepticism that a global glut in crude supplies could be stemmed. Brent crude was trading up 33 cents, or 0.7 percent, at $47.19 a barrel by 1020 GMT. U.S. crude was up 28 cents, or 0.6 percent, at $45.62 per barrel. Futures hit five-week lows on Wednesday after data showed stocks of oil in the United States had risen by a record amount last week…
Oil Prices Find Floor After Falls on Supply Glut Woes
Oil prices edged up on Thursday, supported by news of an attack on a Nigerian pipeline and moving off a five-week low reached the previous session when U.S. crude stocks data compounded doubts that a glut in global oil supplies could be reduced. Brent crude was up 25 cents, or 0.5 percent, at $47.11 a barrel by 1200 GMT. U.S. crude was up 7 cents, or 0.15 percent, at $45.41 per barrel. Prices were underpinned by concerns about supply disruptions after militants in the Niger Delta attacked a pipeline operated by the Nigerian National Petroleum Corporation on Wednesday.
