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Tag: Dr. Maikanti Baru

  • Kyari, Baru inspect oil drilling operation in Bauchi, Gombe

    The outgoing Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, alongside his successor, Mr. Mele Kyari, at the weekend visited the oil drilling operation site in Kolmani River II well in Bauchi and Gombe states.

    Baru said President Muhammadu Buhari is committed to growing Nigeria’s hydrocarbon reserves through the exploration of the various inland basins across the country.

    A statement by the corporation’s Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, quoted Baru as saying: “Expanding frontier basins exploration is one of the most important projects for Mr. President. He is fully convinced that the inland basins exploration holds the key to the next step of growing Nigeria’s crude oil reserves.”

    The GMD noted that for an economy, which is heavily dependent on hydrocarbon production, there is need to continuously look for additional reserves to avoid depletion.

    “Naturally, oil reserves deplete over time, and if you don’t replenish them, you will one day wake up to realise that you have nothing left to explore from the ground,” Baru said.

    Read Also: NNPC promises more support for good cause

    He said the visit was part of the smooth transition at the corporation to fully brief Kyari on the progress of work at the drilling site.

    “I cannot hand over the NNPC without bringing the new GMD here for him to appreciate the kind of activities going on at the area. I am well-briefed but he needs to be on top of developments here too. And from his comments and observations, I am convinced he has already keyed into the project, as envisioned by Mr. President,” Baru said.

    The outgoing GMD said the visit with his successor brought a good omen to the Kolmani exploration site as the team of explorers recovered a “fish” stuck in a well at the depth of 13,400 feet after about three days of tedious and continuous “fishing”.

    In drilling parlance, “fishing” is the process of retrieving an item stuck in a well in the course of drilling, while a “fish” is simply the recovered item.

    Baru also lauded the professionalism of the exploration team in maintaining zero Loss Time Injury (LTI) during the operations.

    He noted that with the level of commitment and dedication he had seen in the exploration team, he could not wait for Mr. President to light the first flame at the area, signifying the potential discovery of hydrocarbons.

  • 223 firms bid for sale, purchase of gas

    223 local and foreign companies on Tuesday offered to sell and purchase natural gas liquids in domestic and export market.

    The Nigerian National Petroleum Corporation, Group Managing Director, Dr. Maikanti Baru, who was represented by the Chief Operating Officer, Gas and Power, Engr. Saidu Mohammed presided over the bid opening ceremony in Abuja.

    The exercise was monitored by agencies such as the Department of Petroleum Resource, Nigeria Extractive Industries Transparency Initiative, Bureau of Public Procurement and others transparency organisations in Abuja.

    Details shortly…

     

  • FG cash call arrear exit payment hits $1.5b

    The Group General Manager (GMD), Nigerian National Petroleum Corporation (NNPC) Dr. Maikanti Baru on Monday revealed the corporation has paid $1.5billion out of the $5billion cash call exit to Joint Venture (JVC).

    He said: “We negotiated settlement between 2016 JV cash call arrear. Also championed indigenous cash exit, self- funding. So far we have paid over $1.5billion out of the $5.1billion cash call arrears to date.”

    The development, according to him, has not only restored the confidence of IOCs, JV partner, in Nigeria, it has also led to reserves growth and improved oil production.

    Baru was represented by the Chief Operating Operating Officer, Mr.  at the 12th Annual International Conference of the Nigerian Association for Energy Economics (NAEE) holding in Abuja.

    The theme of the conference was: “Energy access and efficiency imperatives for sustainable development in emerging economies.”

    He said: “In 2018, which was the second year in the roll, we concluded the fiscal year without any cash call arrears.”

    Baru said the development culminating in the corporation not recording any cash call arrear in 2018.

    NAEE President, Prof. Wumi Iledare, who had at the weekend advised Nigeria to heed the advice of the International Monetary Fund (IMF) to stop subsidising the pump price of the Premium Motor Spirit, said that it was to forewarn the country of retrogressive to the Venezuela’s condition.

    His words: “From my opinion, benefits from petroleum subsidy of over 40 years compare to the cost are not comparable.

    “I stand to be corrected that the cost to the economy of petroleum subsidy is significantly higher to benefits.

    “Subsidy is a gorilla to the Nigeria economy and something has to be done. Otherwise, Venezuala is knocking at the door and it is not a good experience.”

    He also disclosed that in the last year, Nigeria’s national average daily crude oil production stood at about 2.019 million barrels.

    This volume, according to him translates to an increase of 9% above the 2017 average of 1.86 million barrels and comes as significant improvement from the unimpressive production levels recorded on my assumption of office in July, 2016.

  • Exploration continues after 10,000 feet deep operation in north, says NNPC

    Group Managing Director of the Nigeria National Petroluem Corporation (NNPC), Dr. Maikanti Baru has stated exploration in Northern Nigeria will continue despite having gone 10,075 ft deep in the oil exploration on the Kolmani River II Well.

    The NNPC boss disclosed this in Kaduna on Thursday at the 40th edition of the Kaduna International Trade Fair.

    He said the corporation is working on the Kolmani River II with optimism and high expectation.

    He said the exploration will enable the NNPC do a massive appraisal of the discovery of gas reserves made in 1999 in the region.

    Baru said President Muhammadu Buhari has personally urged the corporation to go back to exploration on the Kolmani River II Well.

    Drilling, he said, has been going on smoothly, stating as at Thursday’s morning, the corporation has dug 10,075 ft deep with a target to reach 14,270 ft exploration.

    “The main purpose of this well is to start some massive appraisal of the discovery that was made way back in 1999 of some gas reserves in Kolmani River 1 and so far the drilling has been going on smoothly to enable exploration.

    READ ALSO: NNPC pushes for zero gas flare

    “We will do the needful, if we need to probe any particular section we will take our time to do it, our target date is to see that by the end of May, we complete exploration on that particular well and move to Kolmani River iii which site is almost ready for the rigs to move there and from there we move to other locations,” he said.

    He urged stakeholders at the fair to provide an opportunity for stakeholders and long term exhibitors like NNPC to take stock of their participation through the years with a view to consolidating on areas of strength, while working on avenues for improvements.

     Baru said the loss of agriculture to crude oil exploitation has retarded local industries that feed on agricultural produce as feedstock, prominent among which he said are the textiles industry as well as tanneries in the North.

    On product availability, the NNPC GMD said as supplier of last resort, the corporation would continue to ensure that the nation is wet with “white products” that enable local business movements of goods and services are guaranteed.

  • NNPC pushes for zero gas flare

    The Nigerian National Petroleum Corporation (NNPC), Group Managing Director (GMD), Dr. Maikanti Baru yesterday said the corporation would make sure that no new gas project would be approved without zero gas flare modalities.

    He stressed that for already existing gas flare projects, the NNPC was exploring various options to commercialise the gas flare with a view to eliminating it.

    He stated this while receiving in audience the national leadership of Host Communities of Nigeria (HOSTCOM) led by its National chairman, High Chief Benjamin Style Tamaranebi, at the NNPC Towers in Abuja.

     

    The NNPC chief expressed commitment to a zero gas flare regime for every new gas project, even as the corporation trained its sights on commercialising existing gas flare projects for the benefits of the host communities and Country at large.

    Baru assured HOSTCOM that NNPC would continue to partner the various host communities to enable them benefit maximally from exploitation of the nation’s hydrocarbon resources.

    The GMD commended HOSTCOM for restoring sanity to the Niger Delta region, saying the relative peace had given operators the leverage to concentrate on production for the benefit of the national economy.

    The statement quoted Baru as saying that: “I want to thank the Oba of Benin for midwifing HOSTCOM and the traditional rulers of Oil Mineral Producing Communities of Nigeria (TROMCON). For us as operators, we will continue to dialogue with the bodies so as to create enabling operating environment for the business and for the communities.”

    He urged HOSTCOM, as a pan cultural organisation, to partner with NNPC in stemming the incessant pipeline vandalism, illegal refineries and illegal crude oil bunkering in the Niger Delta, adding that the elimination of those vices would reduce to the barest level, incidences of environmental pollutions.

    The NNPC helmsman noted that the clean-up of Ogoniland had commenced in earnest with the release of the first tranche of the funding for the project since last year, adding that HOSTCOM should the environment, water and aquatic animals of the region are not impacted negatively by illegal bunkering and breaking of petroleum products pipelines.

    He pledged the commitment of Oil and Gas Operators to abide by Global Memorandum of Understanding (GMOUs) entered into with the communities and noted that GMOUs should not be seen as a replacement for government interventions in communities.

    The NNPC GMD noted that the Oil and Gas business was a global business hence HOSTCOM should provide hospital environment that would encourage investors to continue to prefer Nigeria to other investment destinations in Africa.

    Earlier, National Chairman of HOSTCOM, High Chief Tamaranebi, thanked President Muhammadu Buhari and Dr. Baru for always granting host communities a listening ear, assuring that HOSTCOM and TROMCON would continue to collaborate with the Federal Government for the common good of all.

    He commended the Federal government for the ongoing clean-up of Ogoniland, while urging that other communities with similar challenges should be cleaned up as well for the well-being of members of such communities.

  • NNPC pledges commitment to gas development

    The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, has expressed the corporation’s commitment to support any project that would encourage production and utilization of natural gas for the benefit of the nation.

    Disclosing this recently at the signing ceremony of the Nigeria Liquefied Natural Gas Limited (NLNG) Train 7, Nigerian Content Plan, in Abuja, Dr. Baru, who was represented at the occasion by Chief Operating Officer (COO), Gas and Power, Engr. Saidu Mohammed, said the signing ceremony was important as one of the major processes to bring the Train 7 project on board.

    The NNPC spokesman, Mr. Ndu Ughamadu disclosed this in a statement Tuesday.

    He noted that the project had a lot of potentials that would benefit the nation, but called on the Nigerian Content Development and Monitoring Board (NCDMB) to ensure that Train 8 and any other LNG projects in the future should be designed to accommodate more local content in the fabrication of facilities.

    Commenting on the corporation’s interest in the signing agreement, he said that the Train 7 project was in line with NNPC’s vision of prioritizing the use of natural gas to the greater benefit of Nigerians.

    “Apart from being 49 per cent shareholder in NLNG, we are more interested because it will enhance the development of gas in the country. Bringing the gas to this Train 7 would involve a robust gathering system that will connect trunk lines from offshore to the hinterland, looking beyond NLNG to domestic market, which will open up a flexible system that allows us to swing gas either way, depending on need. This implies that if NLNG is not running, the gas meant for it can be sent to the local market, and when the local market has difficulty in getting the gas consumed, same can be sent back to NLNG.

    READ ALSO: NNPC boss seeks energy integration in Africa

    Baru stated that NNPC’s 49 per cent share in the NLNG meant more dividends to the corporation, even as he advised NCDB to make room for more Nigerian Content in subsequent LNG projects

    The GMD called on other partners in the project to obey the rules of engagement.

    “My fellow shareholders please let us continue to provide the necessary support that NLNG as a company requires and always remain compliant with what we are signing today”.

    Earlier in his address, NLNG Managing Director/CEO, Engr. Tony Attah, expressed gratitude to the management of the NNPC for its roles in seeing the project to this critical stage.

    Speaking in the same vein, Engr. Simi Wabote, NCDMB Executive Secretary, said that NNPC’s presence at the signing ceremony was an indication of the corporation’s commitment to ensuring that the Train 7 project gets to Final Investment Destination (FID) this year as projected.

  • NNPC begins rehabilitation of Port-Harcourt refinery

    Nigeria’s effort at ensuring local sufficiency in refined petroleum products was bolstered on Thursday with the formal commencement of the first phase of the rehabilitation of the 210,000 barrels per day capacity Port-Harcourt Refinery complex that comprises the 60,000 barrels per day old Refinery built in 1965 and the 150,000 barrels per day, new Refinery, commissioned in 1989.

    The exercise, flagged–off by an elated Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, at a formal kick–off meeting in the premises of the refinery in Port-Harcourt, came 19 years after the last Turn Around Maintenance (TAM) exercise of the nation’s premier refining plant.

    NNPC Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, in a release in Abuja, said the project would be executed by Milan-based Maire Tecnimont S.p.A, in collaboration with its Nigerian affiliate, Tecnimont Nigeria.

    The release disclosed that Maire Tecnimont S.p.A is listed on Milan Stock Exchange with interest in international engineering and construction, technology and licensing, and energy business development, adding that the Tecnimont group had operations in 40 different countries, numbering about 50 operative companies with a workforce of about 5,500 employees.

    The NNPC’s spokesman quoted the GMD as saying that at the end of the phase 1, the Refinery complex should be able to reach 60 per cent capacity utilisation.

    Ughamadu stated that NNPC was engaging eni/NAOC as Technical Advisor to support the Rehabilitation of PHRC, saying NNPC/PHRC would leverage eni’s extensive refinery supply chain network and warehouses to procure critical materials for the programme.

    He noted the first phase of the rehabilitation contract which would run for six months will involve detailed integrity check and equipment inspection of the Port-Harcourt Refinery complex beginning from end of March, 2019.

    The integrity test comes as a forerunner to the second phase of the rehabilitation project which entails a comprehensive revamp of the complex aimed at restoring the refinery to a minimum of 90 per cent capacity utilisation.

    Subject to the successful completion of the integrity checks, Phase 2 of the project would be executed on an Engineering Procurement Construction basis by Tecnimont in collaboration with the original builders of the plant, JGC of Japan.

    READ ALSO: We are recruiting, NNPC confirms

    Speaking on behalf of the contractors, Antonio Vella, Chief Officer, Upstream, Eni, said all the companies involved would deploy all available modern resources to ensure effective upgrade of the plant.

    Vella enthused that with the commitment of all parties involved, it was certain that NNPC would be able to celebrate the revamp of the PHRC that would lead to its full capacity utilization on schedule and in full safety.

    Speaking on behalf of the workers unions, Comrade Odor Victor Ayiri, Branch Chairman of the Petroleum and Natural Gas Senior Staff Association (PENGASSAN) and Comrade Dibiah Joseph, Chairman of the National Union of Petroleum and Natural Gas Workers (NUPENG), jointly pledged the support of workers to ensuring a smooth turnaround of the facility.

    It will be recalled that the NNPC had to abandon its earlier funding strategy by its DSDP Term Contractors/Consortia due to onerous conditions demanded after more than twelve (12) months of negotiations.

     NNPC has resolved to immediate direct funding from internal cash flows while it goes to the financial markets for debt financing.

    NNPC further segmented the Rehabilitation to begin with Port-Harcourt Refinery Complex and then progress to Warri and Kaduna Refinery complexes using the same methodology.

  • NNPC: Kolmani River-II drilling ongoing

    The Kolmani River-II Well which spud-in was flagged off last month by President Muhammadu Buhari is progressing satisfactorily, with drilling so far of 6,700 feet, the Group Managing Director, Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, has said.

    A release yesterday stated that Dr. Baru spoke while receiving an Award presented to him by the Petroleum Technology Association of Nigeria (PETAN) Executive for his landmark achievement in the development of inland basins in the country, especially the drilling of the Kolmani River-II Well and his efforts in deepwater operations.

    Baru explained that the target was 14,200 feet, although the depth could be longer depending on findings, even as he explained to the visiting PETAN Executive that President Muhammadu Buhari should be commended on the progress being made on the drilling of the well.

    Read also: Zimbabwe Tour spurred our resurgence in Namibia, says Okpe

    Prospecting for oil and gas in Kolmani River-II Well is one of the recent foray of the government into inland exploration in parts of the country.

     

  • NNPC to extend AKK project to North Africa

    The Group Managing Director of NNPC, Dr Maikanti Baru, says the corporation is considering the extension of Ajaokuta-Kaduna-Kano (AKK) gas pipeline project to Algeria to ensure African integration.

    Baru disclosed this in a statement issued by the corporation in Abuja on Wednesday.
    “The AKK gas pipeline to Algeria was in furtherance of its African integration drive, Baru said, adding that it was also in line with plans to extend the West African Gas Pipeline, (WAGP) to Morocco.

    Baru spoke when the executive officers of the Petroleum Technology Association of Nigeria (PETAN) paid him a visit in Abuja.
    He also said that the corporation was achieving satisfactory progress with oil exploration activities at the Kolmani River II Well.

    He said that the corporation had drilled 6,700 feet in the well, noting that the target for the Kolmani River well was 14,200 feet.
    He added that the depth could be longer, depending on findings.
    He explained that President Muhammadu Buhari should be commended for the progress being made on the drilling of the well, adding that prospecting for oil and gas in Kolmani River-II Well was one of the recent forays of the government into inland exploration in parts of the country.

    The GMD also commended PETAN for its contribution to the development of the Nigerian petroleum industry.

    “My pride in PETAN is that today, we have the capacity and expertise as Nigerians to carry out any job in the industry that was hitherto done by foreigners.

    “As a champion of Nigerian content, we will continue to support you in whatever way we can,” he said.
    In his remarks, Chairman of PETAN, Mr. Bank-Anthony Okoroafor, commended Baru for engineering transformation in every aspect of the petroleum industry since his assumption of office.

    He cited the resumption of exploration in the inland basins and the flag-off of Bonga South–west project, which has been in the shelf for more than 10 years, as fruits of Baru’s visionary leadership and doggedness.

    Read also: NNPC records 12.13b trading surplus for December

    The PETAN chairman said that in recognition of Baru’s sterling performance and as a mark of appreciation to him, the association had decided to honour him with its “Visionary Leadership Award”.

    He said Baru would also officially open the Nigerian Pavilion at the forthcoming Offshore Technology Conference (OTC) and serve as keynote speaker on the theme: “Nigeria’s Deepwater: The Journey So Far” at the conference.

    He said the GMD would also serve as chairman of the technical session.

    The PETAN chairman explained that the association was committed to the realization of the nation’s four million barrels per day production and 40 billion barrels reserve targets, adding that with Baru’s commitment, the targets would be achieved.(NAN)

  • Baru eyes energy integration in Africa

    The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, has called for more integration among countries within the West African sub-region towards providing lasting solutions to the region’s numerous energy challenges.

    He spoke during a meeting with the United States Energy Secretary, Rick Perry and some African petroleum ministers, on the sidelines of the 19th CERAWeek Conference taking place in Houston, United States.

    A statement yesterday explained that Baru said energy integration across the sub-region was necessary as it will drastically reduce unemployment and restiveness as well as improve the economies of the affected countries.

    “Nigeria as a regional leader has already encouraged regional integration by first putting up the West African Gas Pipeline (WAGP) to ensure gas is available to West Africa. We are also doing the Trans Sahara Gas Pipeline (TSGP), even as we are intent on extending the WAGP to Morocco,” Baru was quoted to have said on the occasion.

    He said the intention was to come up with a West African Power Pool that would put up power plants and other gas-based industries along those areas within the respective countries.

    The GMD said Nigeria’s crude oil production had seen tremendous improvement in recent years, due to Federal Government’s laudable efforts in ensuring security in the Niger Delta region.

    He said Nigeria and the U.S have been very good partners with about $35billion worth of trade between the two countries.

    Earlier in his remarks,  Perry expressed U.S commitment towards helping Africa achieve energy independence for the benefit of the people.

    “For our part, we will support progress by engaging economically as well as championing open markets in societies. We endorse the modernisation of critical oil and gas infrastructure which leads to better security and diversification of energy supplies and exports,” he said.

    Describing innovation as the surest path to energy security, Perry said once countries innovate, they are greeted with greater economic growth, opportunities and national security.

    “We support efforts to improve the regional inter-connectivity. We also see energy access as critical to increasing prosperity and combating the cycle of poverty,” he said.

    He said as the number one producer of oil and natural gas in the world, the U.S was more than well-positioned to not only share its resources, but also its technology and know-how.

    He said his country would work towards transforming the Africa’s domestic energy systems so that it would provide power, create jobs, foster development, open up new opportunities and improve almost every facet of human existence on the continent.