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Tag: Ndu Ughamadu

  • Governors wanted N40b after collecting N147b – NNPC

    The Nigeria National Petroleum Corporation (NNPC ), on Thursday cried out over how state Governors insisted that the corporation must remit additional N40 billion after paying N147 billion to the Federation Account Allocation Committee (FAAC ) for the month of June this year.

    The Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, who broke the news in a message to journalists, described the situation as “very unfortunate considering that NNPC is exiting the cash call phenomenon.”

    According to him, the agreement the NNPC has with the governors is that FAAC be given N112 billion monthly.

    Read Also: Buhari intervenes in FAAC, NNPC feud

    This , he said, however, will be subject to sufficient funds from sales of domestic crude oil allocation for the corresponding month after meeting cash call obligations on JVs, deductions of PMS cost under recovery and pipeline maintenance.

    He noted that “Incidentally, due to the posture of governors, the NNPC was able to raise 147 billion Naira this month(June) for the Governors by taking from the amount meant for settling cash call obligations.

    “Sadly, however, the Governors wanted additional 40 billion Naira.”

  • No fuel price hike, says NNPC

    There won’t be increase in fuel price, despite the rise in the landing cost of imported fuel, Nigerian National Petroleum Corporation (NNPC) Public Affairs Group General Manager, Ndu Ughamadu, has said.

    He said the landing cost goes up when the international price increases, adding that it is a normal occurrence in the global crude oil market.

    He said the government has fixed N145 as official pump price for premium motor spirit (PMS) or petrol, adding that marketers were free to sell it at either the regulated price or below it, depending on market forces.

    In an interview with The Nation Ughamadu denied any increase. He said: “NNPC is yet to give Nigerians the new landing cost of fuel as it is not within its responsibilities to do so. The responsibility of letting the country know what the new landing cost of fuel lies with the Petroleum Products Pricing Regulatory Agency (PPPRA) and being a Federal Government owned- parastatal like NNPC, NNPC cannot exercise control over what the PPPRA does or is expected to do in the Nigeria’s oil and gas industry.

    “The global oil industry moves or operates in line with the market forces. Once there is rise in the global price of crude oil, related activities move in similar direction. That is why the increase in the price of crude and its attendant rise in the price of brining the product to Nigeria do not bother us (Nigeria) much.  Traditionally, refiners of crude abroad ten to increase the cost of processing crude oil into finished products like Premium Motor Spirit, Kerosene and Diesel, when the price of crude rises at the global market.”

    He said the landing cost had increased in the second quarter of the year compared to the first quarter.

    The landing cost as at last December 22 was N171.4 per litre when the price of crude was $64 per barrel. At over $80 per barrel, the landing cost would be well above N180.

    He said the price of crude was below $50 per barrel in the first quarter, stressing that the price of crude is $81 per barrel. He added that the country should expect increase in the landing cost of fuel. According to him, the government, has huge under-recovery to battle in view of the rise in the landing cost.

    Ughamadu said the under-recovery rate is the gap between the cost of buying fuel abroad and the that of selling it at home. He said the government has been subsidising the cost of importing fuel, adding that the corporation was doing to avert fuel scarcity its attendant strains on the economy.

    He said the level of fuel imports by NNPC had grown, adding that the country consumes a little over 50million litres of fuel.

    It would be recalled that the government has taken over fuel import as marketers don’t find it profitable to import, especially without subsidy reimbursement.

     

  • NNPC, Agip to add 500mw to power grid

    As part of efforts to ramp up power supply in the country, the Nigerian National Petroleum Corporation (NNPC) and its Joint Venture Partner, Nigeria Agip Oil Company Limited (NAOC) have pledged their commitment to implement the Okpai Phase 2 Project to shore up the current power generation with 500 megawatts of power.

    Group Managing Director of the NNPC, Dr. Maikanti Baru, made the disclosure when he received the new Vice Chairman and Managing Director of NAOC, Fiorillo Lorenzo, in his office at the NNPC Towers on Tuesday.

    He said that the Okpai Phase 2 Project was being fine-tuned to expeditiously bring it on stream, adding that it would increase power generation by between 10 to 12 per cent.

    Read Also: NNPC seeks dual licensing for petroleum operation

    The corporation’s Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu made this disclosure in a statement, saying that “That is additional 500mw of power that is coming in, provided the transmission is up and going, then we should be able to boost the current power supply to the country by another 10 to 12 per cent of the current generation.”

    The GMD informed that the project, when completed, would impact significantly on economic activities of the country, stressing that once power was available, there would be a lot of improvement in the standard of living of Nigerians.

    Earlier, Lorenzo, said his company had a long-standing partnership with Nigeria and NNPC.

    “We want to grow and we want to build and develop new opportunities for the country and support the country in its energy journey. We want to try to change and improve the energy mix of the country and the Okpai Project is a testament of this commitment of our company,’ Lorenzo affirmed.

    On his part, the outgoing Vice Chairman of NAOC, Massimo Insulla, said the meeting with the GMD was fruitful with the discussion focusing on the opportunities in the Joint Venture (JV) and the Production Sharing Contract (PSC) and taking advantage of the oil price condition to bring additional value to the investment in the Nigeria.

    “We have been working for 15 years to implement the Okpai Phase 2 Project which is very important to the NNPC/NAOC JV, and we have been able to find a way to achieve our target with this administration,” Insulla stated.

  • NNPC records $476.24m crude oil, gas exports receipts

    NNPC records $476.24m crude oil, gas exports receipts

    …Delivers gas equivalent of 3,342MW for power generation

    The Nigerian National Petroleum Corporation, NNPC recorded total export receipts of $476.25m in December, 2017, from sale of crude oil and gas as against $201.11m in November, 2017.

    This is contained in the monthly NNPC Financial and Operations Report for December, 2017, which was released on Tuesday, said in a statement which the Group General Manager, Group Public Affairs Division, Ndu Ughamadu issued in Abuja.

    According to the report, while receipts from crude oil amounted to $342.16m, gas and miscellaneous receipts accounted for $ 94.85m and $39.24m respectively.

    On Naira receipts, the report showed that domestic crude oil and gas sales in the month amounted to N96.68bn, consisting of N89.11bn from domestic crude oil and N7.57bn from domestic gas.

    Of the Naira receipts, the sum of N77.57bn was transferred to the Federation Account in the month under review, while N19.11bn was paid for Joint Venture Cash Call (JVCC) being a first line charge to guarantee continuous flow of revenue stream to Federation Account.

    The report further showed that from January to December, 2017, NNPC remitted a total of N857.36bn into the Federation Account, N644.05bn for Joint Venture financing, and N19bn to the Federal Government for debt repayment.

    In terms of natural gas off-take, commercialization and utilization, the report indicated that out of the 234.08 Billion Cubic Feet (BCF) of gas supplied in December, 2017, a total of 138.99BCF was commercialized, comprising of 39.53BCF and 99.46BCF for the domestic and export markets respectively.

    This translates to a total daily supply of 1,275.09 Million Standard Cubic Feet of Gas (MSCF) to the domestic market and 3,209.70MSCF of gas supplied to the export market.

    Read Also: NNPC losing N774m daily on petrol sales, says GMD

    The report also showed that 60.89% of the average daily gas produced was commercialized, while the balance of 39.11% was re-injected, used as upstream fuel gas or flared.

    A total of 828MMSCF of gas per day was delivered to the gas-fired power plants in the month under review to generate an average of 3,342 Mega Watts (MW), a modest 11.4% increase on the November, 2017, gas-to-power delivery of 743MSCF to generate 3,115MW.

    Federation Crude Oil and Gas liftings are broadly classified into Equity Export and Domestic. Both categories are lifted and marketed by NNPC and the proceeds remitted into the Federation Account.

    Equity Export receipts are paid directly into Federation Account domiciled in Central Bank of Nigeria (CBN) after adjusting for Joint Venture (JV) Cash Calls.

    Domestic Crude Oil of 445,000bopd is allocated for refining to meet domestic products supply. Payments are effected to the Federation Account by NNPC after adjusting for crude oil and product losses, pipeline repairs and management cost incurred during the period.

    NNPC also lifts crude oil and gas, other than the Equity and Domestic Crude Oil, on behalf of the Department of Petroleum Resources (DPR) and the Federal Inland Revenue Service (FIRS), proceeds of which are remitted into the Federation Account.

    Third Party Finance liftings are crude oil and gas from fields that are financed using alternative finance/loan facility which require the servicing of debts before remitting the balance into the Federation Account as Price Balance.

     

  • NNPC pledges support efforts to ensure quality education

    NNPC pledges support efforts to ensure quality education

    Nigerian National Petroleum Corporation ( NNPC ) has promised to support Unity Schools Old Students Association (USOSA) and Usman Dan Fodio University, Sokoto, in the quest to promote quality education.

    The spokesperson, Mr Ndu Ughamadu. said in a statement in Abuja on Friday, the Group Managing Director, Dr Maikanti Baru, made the pledge when he received a delegation from the two organisations.

    Baru lauded the lofty objectives behind the establishment of unity schools when the delegation, led by USOSA President-General, Prof. Chidi Odinkalu, and the Vice-Chancellor of Usman Dan Fodio University, Prof. Abdullahi Zuru, paid him a visit.

    According to Baru, NNPC will support any genuine effort to promote the unity of the country.

    Read Also: NNPC to receive 2 Cargoes of petrol daily to eradicate queues

    He called for the restoration of citizenship and leadership training in schools to prepare students for leadership positions in the larger society.

    Baru expressed interest in the Mentorship and Transition Programme of USOSA which afforded old students the opportunity to connect with current students to offer guidance and help.

    He said NNPC would continue to further exploratory work in the inland basins.

    Baru said his belief in the university system  led to the Usman Danfodio University and Ibrahim Babangida University, Lapai, Niger, carrying out preliminary geological surveys of the Sokoto and Bida basins respectively.

    Earlier, Odinkalu said the association was on a mission to correct the decline in the education system and called on  well-meaning Nigerians to support USOSA in efforts to restore the past glory of unity schools.

    Also, the vice-chancellor called for the support of NNPC to establish a School of Energy Studies in Usman Danfodio University.

    He said the university looked forward to a partnership with the NNPC Renewable Energy Division.

    NAN

  • NNPC to receive 2 Cargoes of petrol daily to eradicate queues

    NNPC to receive 2 Cargoes of petrol daily to eradicate queues

    The Nigerian National Petroleum Corporation ( NNPC ) has said it will take delivery of two cargoes of petrol per day for the rest of February to boost supply and eradicate queues.

    A statement by the NNPC Spokesman, Ndu Ughamadu in Abuja on Thursday stated that two cargoes of 50 million litres each, making a total of 100 million litres, would be brought-in per day in February to replenish strategic reserves.

    “To enhance supply, 45 million litres of petrol was discharged from ships into jetties across the country yesterday.

    “Prior to the fresh 45 million litres discharged, we have 324 million litres of petrol on land and 432 million litres in marine storage making a total of 756 million litres.

    Read Also: NNPC  clampdown on erring marketers, fuel hawkers

    “These are enough to last for 22 days at 35 million daily consumption rate,’’ he said.

    Ughamadu said the jetties that received the 45 million litres shipments include Nacj, Apapa; Bop, Apapa; Techo Jetty, Lagos; Dutchess, Oghara; Vine Jetty, Calabar; Chipet Jetty, Lagos; and ECM Jetty, Calabar.

    “To ensure efficient distribution of the product to depots in the hinterland, the Nigerian Pipeline and Storage Company (NPSC), a midstream subsidiary of the NNPC, has been mandated to fix relevant pipelines to facilitate seamless pumping.

    “This is in addition to massive trucking arrangement that is in place,’’ he said.

    Ughamadu gave the assurance of the Corporation that with the measures in place, the fuel queues being experienced in some cities would soon be a thing of the past.

    NAN

  • NPDC to increase oil production to 500,000 bpd before 2022

    NPDC to increase oil production to 500,000 bpd before 2022

    The Nigerian Petroleum Development Company ( NPDC ), one of the upstream subsidiaries of the Nigerian National Petroleum Corporation ( NNPC ), will increase its daily crude oil production to 500,000 barrels per day before 2022.

    This target was announced by the Group Managing Director of the NNPC, Dr. Maikanti Baru, during the inauguration of the board of directors of the company in Abuja.

    Addressing the members, the GMD who also doubles as Chairman of the board charged them to grow the company’s assets and ensure that the 500,000 barrels per day crude oil production target is met by 2022”.

    The NNPC Group General Manager, Group Public Affairs Division,  Ndu Ughamadu made this known in a statement yesterday. 
    Bsru disclosed that the company was currently supplying 50 per cent of the West African Gas Pipeline system gas, adding that it was the in thing to have more gas assets, while commending the company for leaving up to expectations.

    Baru directed that NPDC’s Memorandum of Understanding (MOUs) with host communities should be tied to the availability of the lines saying “as stakeholders, they share in both our success and losses as well”.

    Also speaking at the event, Managing Director of the company, Mr. Yusuf Matashi, said from the meteoric growth the company had witnessed since 2016, the GMD’s target of 500,000 barrels per day was realisable by 2022.

    He said the board came at an appropriate time as it would address issues of processes and procedures necessary to drive a major oil company like the NPDC, while assuring it of the commitment of the company to the growth target.

    The NPDC currently produces about 200,000 barrels per day and going by its work programme, it will increase to 300,000 barrels per day this year.

  • NNPC deploys 50-fuel-laden trucks in Lagos to end queues at filling stations

    NNPC deploys 50-fuel-laden trucks in Lagos to end queues at filling stations

    The Nigerian National Petroleum Corporation (NNPC) on Monday appealed to motorists in Lagos State not to embark on panic buying of petrol because it had increased the fuel-laden trucks supplying fuel  to the city/state by 50 trucks

    Mr Ndu Ughamadu, the Corporation’s Group General Manager, Group Public Affairs Division, told the  the News Agency of Nigeria (NAN) in Lagos that the queues at filling stations would soon vanish with the new development.

    He said that the members of the public should not indulge in storing petrol in their homes because additional 50 trucks of petrol had been released to Lagos.

    Read Also: NNPC ‘releases 250 trucks of petrol’

    “About 250 trucks have begun to discharge petrol to Lagos compared to less than 200 trucks allocated to Lagos at the weekend.

    “Motorists are advised to avoid hoarding and panic buying of petrol as the NNPC has sufficient product in stock that will last several days,” he said.

    Ughamadu  attributed the sudden scarcity of petrol being experienced to a slight change in the distribution network in Lagos.

    According to him, Lagos is currently being supplied by members of the Major Oil Marketers Association of Nigeria (MOMAN).

    The NNPC spokesperson also acknowledged that there was a slight hitch at the Port Harcourt Refinery which he said was caused by power problem.

    “The Port Harcourt Refinery is slightly down for now, pending when the problem will be rectified,” he said.

    Meanwhile, NAN reports that hawkers had begun to capitalise on the situation to sell petrol to the public at exorbitant prices.

    The hawkers had been selling the commodity for  between N200 and N300 per litre.

    At Fadeyi on Ikorodu Road, a hawker sold a five-litre gallon of petrol for N1,500 instead of the official price of N725.

    Also, commercial transport operators had increased their fares by about 50 per cent.

    A trip to Oshodi from Costain now goes for N150 from its former N100 while Oshodi to Sango Ota in Ogun attracts N300 as against the former N200.

    NAN

  • ‘We have enough petrol’ – NNPC tells motorists

    ‘We have enough petrol’ – NNPC tells motorists

    The Nigerian National Petroleum Corporation ( NNPC ) on Thursday in Abuja urged motorists not to engage in panic buying of any petroleum products.

    A statement by the NNPC Spokesman, Mr Ndu Ughamadu, assured motorists that the Corporation had a robust stock of Petroleum Motor Spirit ( PMS ) otherwise known as petrol.

    According to the statement, the PMS stock was sufficient to serve the nation for more than 30 days.

    ”This plea comes on the heels of queues noticeable in some fuel stations, especially in Abuja.

    ”Motorists are advised to report any marketer selling above N145 per litre of petrol or hoarding the products to the Department of Petroleum Resources (DPR) which is statutorily empowered to deal with such issues.

    ”DPR has offices located in all parts of the country and law enforcement agencies would mete out appropriate sanctions to operators of fuel stations who engage in hoarding or sell products above the recommended band,” Ughamadu said.

    In another statement, Ughamadu said the corporation’s Group Managing Director, Dr Maikanti Baru, had directed that repair works be carried out immediately on the Escarvos to Lagos Pipeline
    (ELP).

    Read also: NNPC doubles supply as scarcity bites harder

    The pipeline, ruptured by an explosion today, January 11, along Egbokodo-Omadino, in Warri South Local Government Area of Delta State.

    ”Dr Baru further directed that gas supply from other sources like Oben, Oredo, Sapele, Ughelli and Utorogu be stepped up to augment any shortfalls as repair works have commenced on the pipeline.

    ”The Escravos pipeline supplies gas to power plants, in addition to feeding the West Africa Gas Pipeline System.

    ”It should be recalled that ELPS-C (downstream) of this pipeline was incinerated by a bush fire Jan. 2, at Abakila, in Ondo State, which
    has since been rectified and brought back to service,” Ughamadu said.

    The earlier fire incident had affected gas supply to customers in Ondo, Ogun and Lagos States with subsequent shutdown of some power plants with a combined generating capacity of 1, 143MW.

    NAN

  • Electricity: Power sector recovers 1,143MW

    Electricity: Power sector recovers 1,143MW

    The Nigerian Electricity Supply Industry (NESI) on Monday recovered 1,143MW from the restoration of the Escravos-Lagos Pipeline (ELP).

    The line which came down last week as a result of a fire incident has been restored and gas supply to customers on the line including power generating companies resumed.

    The Nigerian National Petroleum Corporation (NNPC) which disclosed this on Monday said the repair work on the pipeline followed the directive by the Group Managing Director, Dr. Maikanti Baru, to carry out an assessment of the damage with a view to getting a prompt solution.

    The statement NNPC Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, issued in Abuja, recalled that a section of the ELP at Abakila in Ondo State blew up in flames on January 2, 2018 as a result of a bush fire.

    According to the statement, the incident affected gas supply to customers in Ondo, Ogun and Lagos States with a subsequent shutdown of a number of power plants.

    With the restoration of the ELP and resumption of gas supply, the affected power plants with a combined generating capacity of 1,143MW would resume power generation.

    The power plants include: Egbin Power Plant in Lagos State; Olorunshogo Power Plant, PEL Olorunshogo and Paras Power Plant in Ogun State; and Omotosho Power Plant in Ondo State.

    The 36-inch Escravos to Lagos Pipeline System (ELPS) is a natural gas pipeline built in 1989 to supply gas from Escravos in the Niger Delta to various consumption utilization areas.

    It supplies gas to power plants in the South-west and also feeds the West African Gas Pipeline System.