Tag: Nigeria National Petroleum Corporation

  • No record of pipeline explosion in Nembe – NNPC

    The Nigeria National Petroleum Corporation says it has no record of pipeline explosion in Nembe, Bayelsa, as being reported in some quarters.

    Mr Ndu Ughamadu, the Group General Manager, Group Public Affairs Division of the corporation disclosed this in an interview with the News Agency of Nigeria(NAN), in Abuja, on Saturday.

    No fewer than 50 people were reported to be missing after a leaking oil pipeline exploded and caused stampedeIn Nembe Kingdom in Bayelsa, according to the spokesperson of the community’s council of chiefs, Mr Nengi James-Eriworii .

    Read also: EFCC invades home of Finance Director of Atiku’s company

    He said the blast which happened in the early hours of Friday caused massive oil spillage in the community.

    But the NNPC said that the Nembe trunk line was operated by the Aiteo Group.

    ” It is not our pipeline, it is Aiteo that was mentioned, which ordinarily they are supposed to be on joint venture with NNPC.

    “I have cross-checked with our downstream unit that manages our pipeline and they said that they didn’t have such records,” he said.(NAN)

  • NLC vows to resist sale of NNPC

    The Nigeria Labour Congress (NLC) on Tuesday that it will resist any attempt to sell the nation’s refineries or privatize the Nigeria National Petroleum Corporation (NNPC).

    It asked the government to immediately invoke the relevant sections of the law and revoke the Privatisation of the power sector.

    The Congress also said it will mobilize Nigerian workers to demand the composition of governing board for the Nigeria Social Insurance Trust Fund and other agencies of government whose boards are yet to be inaugurated and are being run by the Ministers as sole administrators.

    President of Congress, Comrade Ayuba Wabba who spoke at the 12th delegates conference of the NLC in Abuja said evidence abound across the country that Privatization has not done the nation any good as majority of government owned enterprises privatized are now comatose.

    Wabba said what has happened in the past the enterprises are under prices and sold to friends and associates who strip them of the assets, leaving them comatose and unproductive.

    He emphasized that “since the privatization of electricity distribution, Nigerians are yet to see the fulfilment of promises of efficient service delivery. Instead, the electricity situation has gone worse with chronic failures by DISCOs to supply prepaid meters, exploitation of Nigerians through estimated billings and reluctance to attend to basic complaints.

    “Even with N39 billion bailout funds from government, the supposed private entrepreneurs have failed to turn anything around except maybe their pockets, unfortunately, at the expense of Nigerians. This must stop. We call on government to reverse the power sector privatisation because it has failed.

    “Privatization of public utilities has not generally proven to be the correct thing to do in most countries even developed ones. According to a study released by Public Services International.

    Read Also: NLC insists on N30, 000 minimum wage

    “Why Public Private Partnerships don’t work; the many advantages of public alternative authored by David Hall privatizing public utilities has been a wreck in most countries. Example form Spain, France, India, South Korea, UK, Australia among others show how public/state guarantees and loans to private sector for the utilities sector have resulted in failures on delivery of services as well as repayment in most cases”.

    On the promise by one of the Presidential candidates to privatize the NNPC, Wabba said the Congress will not accept any attempt to sell National assets under any guise and will do everything possible and within legal means to stop such an attempt.

    He said that “the crisis of industrialization and manufacturing in Nigeria is best exemplified by the chaos in our downstream petroleum industry where we have been unable to manage our vast natural carbon resources for national development and the prosperity of our people. Our four national refineries are almost under lock and key as we depend on the importation of refined petroleum products for our energy needs.”

    He condemned the non-inauguration of the boards of some government agencies especially those within the Labour circle, saying such action had made the process of collective bargaining difficult, adding that the Congress has decided to take up the issue and would soon engage the relevant authorities over the issue.

    He said “as we gather in this Conference, almost four years down the line the following critical labour market institution boards are yet to be inaugurated. They are the NSITF, Michael Imoudu Labour Institute and PENCOM. This is not only a violation of the Act establishing these bodies but a denial of the critical role of social partners in the management of these boards.

    “Also, the National Labour Advisory Council has not been constituted thereby denying any avenue for tripartite consultation. No reason is good enough for this unhealthy development.”

    Speaking on the 2019 elections, Wabba said “As we approach the 2019 general election, we call on the election management body – Independent National Electoral Commission (INEC) – and in deed all stakeholders to ensure that we have a peaceful, free, fair and credible elections in February and March, 2019.

    “Congress will continue to hold both the players and the referee in this very important election to account on their words and conduct. Nigerians must rise above partisan interests and become the winners of this election – not political parties and their candidates.

    “The truth is that we do not have any other country other than Nigeria to call our own and we must therefore stop the politicians from using the elections as a pretext to throw the country into crisis.

    “In defending and promoting the cause of Nigerian workers, our focus is to build workers’ power through organizing. We have worked tirelessly to promote causes that can enhance the quality of life and improve the income cum other working conditions of workers. We have paid close attention to workers’ education through our increasingly improved education programmes especially the Rain and Harmattan Schools.”

    On the economy, Wabba said “Our national economy given its vast potentials, amidst diverse challenges, showed some promises in recent times. According to the National Bureau of Statistics (NBS), Nigeria’s Gross Domestic Product (GDP) grew by 1.81% (year-on-year) in real terms in the third quarter of 2018.

    “This is slightly better than the growth of 1.17% achieved in the third quarter of 2017. The recent GDP growth and increase in internally generated revenue are signs of the steady recovery of our economy from recession.

    “Despite these results, our economy remains largely import driven and dependent. The growth in the size of our economy – the biggest in Africa – is still non-inclusive as the gap between the rich and poor continues to widen. Though described as mixed, our economy is essentially rent seeking and still suffers from systemic distortions.

    “The National Bureau of Statistics (NBS) report for the third quota of 2018 indicates that the general number of persons unemployed in the country has increased by 3.3 million. The report further indicates that the combined rate of unemployment and under-employment rose from 40.0% in the 2017 third quarter to 43.3% in the third quarter of 2018.”

    He said Nigerians and the government should be worried that the increased pool of graduates, skilled and unskilled youth in the unemployment market especially rural unemployment is a time bomb, adding that attempt to sack workers under any guise as it happened in Kaduna State will complicate the situation.”

    He stressed that the over dependence of our economy on crude oil revenue and the mismanagement of our vast oil wealth through corruption perpetrated by successive governments continue to expose the nation to severe shocks from price fluctuation in the international crude oil market, saying “this was how we landed in the last recession.

    “While we commend the efforts of the current government on economic diversification particularly through agriculture, we are not unmindful of serious structural issues that undermine the progress being made, deeply limit inclusive growth and impact negatively on sustainable development. We will therefore continue to call on government to pay serious attention to these issues.

    Wabba informed the delegates that efforts were being made to reposition the Labour Party and make it a truly Democratic party that all workers will be proud of.

    He said “Your mandate to us to recover and reposition the Labour Party has been met with significant commitment and efforts. We have been able to secure a High Court order that has recognized the NLC as the custodian of the Labour Party. This success has made the task of recovering and repositioning the Labour party a lot easier.

    “Consequent upon the reconciliatory moves by this leadership and other stakeholders, we have agreed to hold an all-inclusive national convention of the Labour Party in order to elect genuine leaders that will translate into reality our shared aspirations to reposition the Labour Party as the numero uno political party in Nigeria.

    “We will intensify current initiatives to settle all the differences within the rank and file of the Labour Party and reconcile the warring factions. We will keep our focus on ensuring that the proposed all-inclusive National Convention of the Labour Party takes place sooner than later.”

  • Ministry denies knowledge of alleged NNPC’s $3.5bn subsidy fund

    The Federal Ministry of Finance has denied knowledge of a 3.5 billion-dollar fund allegedly kept and utilised by the Nigeria National Petroleum Corporation (NNPC) for fuel subsidy.

    The Permanent Secretary, Mr Mahmoud Isa-Dutse, gave the ministry’s position when he appeared before the Senate ad hoc committee probing the allegation in Abuja on Thursday.

    Isa-Dutse’s claim appeared to corroborate the Group Managing Director of the NNPC, Mr Maikanti Baru, who restated the agency’s denial that it had no such fund in its custody.

    The News Agency of Nigeria (NAN) recalls that the allegation emanated from the Minority Leader of the Senate, Abiodun Olujimi, at plenary on Oct. 16.

    In a point of order, Olujimi had alleged there was a 3.5 billion dollar “Subsidy Recovery Fund being managed only by the GMD and Executive Director, Finance, of the NNPC”.

    It was on the basis of that allegation that the Senate set up the committee, chaired by the Majority Leader, Sen. Ahmed Lawan.

    Isa-Dutse said the ministry was only aware of the outstanding payments under the old subsidy regime, being handled by the Debt Management Office (DMO).

    “As far as the current fuel importation regime is concerned, the Ministry of Finance does not have any account it is operating.

    “We are not aware of the alleged 3.5 billion dollar fund, and we do not maintain any subsidy fund account,” he said.

    The NNPC had earlier denied the 3.5 billion dollar subsidy fund claim in a statement on Oct. 17.

    The GMD explained on Thursday that the agency was only utilising a revolving fund of 1.05 billion dollars to defray the cost of under-recovery in the importation of fuel.

    Asked by the lawmakers to differentiate between subsidy and the “cost of under-recovery”, Baru said subsidy was usually captured in the national budget, while the latter was not.

    The 1.05 billion dollars, according to him, is part of the NNPC’s operational costs.

    He said the money was sourced from the corporation’s share dividend in the Nigeria Liquefied Natural Gas (NLNG) and domiciled in the Central Bank of Nigeria (CBN).

    Baru explained that the action was in line with section 7 (4)(b) of the NNPC Act, which mandated it to defray its operational costs from its revenue.

    “This 1.05 billion dollars is being administered under a steering committee that was set up, and a working committee that handles daily operations of this fund.

    “These committees comprise representatives of the Minister of Finance, Minister of State for Petroleum Resources, Accountant General of the Federation, CBN, Petroleum Pricing Regulatory Agency, Petroleum Equalisation Fund Management Board, Directorate of Petroleum Resources and the NNPC.

    “The fund is being transparently administered according to laid down processes and governance.

    “I would like this honourable committee to note that the actions of NNPC were in compliance with the National Assembly directive that NNPC, as the supplier of last resort should, and has, maintained robust petrol supply and distribution to the nation.

    “Currently, no other oil company imports petrol due to the high landing cost above the N145 per litre price ceiling on sale of the product, and also due to the lack of provision for subsidy in the Appropriation Acts since 2016,” he explained.

    The GMD assured the committee that the NNPC would continue to guarantee energy security in the country by maintaining PMS supply at the approved pump price of N145 per litre, except directed otherwise.

    When Lawan requested for documents to back up his claims, Baru said they were not immediately available and asked for one month to present them to the committee.

    But the lawmaker gave him two weeks to furnish the committee with the documents, and adjourned the hearing till Nov. 6.(NAN)

  • Only restructuring will cure Nigeria of its woes – Makarfi

    Former National Caretaker Chairman of the Peoples Democratic Party (PDP), Senator Ahmed Makarfi, on Saturday identified restructuring as what will bring enduring solutions to the myriads of challenges facing the country.

    Makarfi said the agitation for restructuring has assumed a recurring issue, and pledged to restructure the country to make it better and ensure rapid development if elected President in 2019.

    The former Governor of Kaduna State who made this known in Abeokuta while addressing executives of the Ogun State chapter of the PDP and supporters on his 2019 Presidential ambition, said he will restructure Nigeria along three planks – political, economic and social.

    He noted that restructuring is not about politics alone, but also  social and economic restructuring to  make the nation’s public institutions – Independent National Electoral Commission (INEC), Nigeria National Petroleum Corporation(NNPC), Police, power sector,  efficient, responsible and accountable to the people.

    According to him, this will eliminate or reduce ethnic bickering and suspicions in Nigeria.

    Makarfi recalled that the restructuring of Kaduna state was a major factor that ensured the success of his administration as the then governor and engendered peace for all the residents.

    “Restructuring is one of the key issues facing Nigeria now. And as a president, if nominated and elected, it’s one of the major issues that we have to face and address to make Nigeria work for everybody.

    Read Also: I’ll restructure Nigeria – Makarfi

    “Am I talking politics? No! It’s not because I’m looking for something that’s why I’m talking restructuring. Our leader, President Olusegun Obasanjo, in 2003, when he was thinking of the political reforms conference, he set up a technical committee to draw up the modalities and terms of reference of that conference.

    “It was I that was asked to chair that. And that conference was conducted on the basis of the report I submitted. But was the term of reference comprehensive? No! But it was also not the full terms of reference we submitted to government. The full terms of reference we submitted were comprehensive enough to cover all the issues that are topical now,” Makarfi said.

    On economy, Makarfi said the private sector would be encouraged to thrive and provide jobs for the teeming unemployed Nigerian youths.

    According to him, his administration would evolve  special incentives for special businesses in the private sector to enable them provide jobs for the people of Nigeria.

    In his remarks, House of Representatives member, Hon. Ladi Adebutu, lauded  Makarfi’s efforts “towards restoring orderliness” in the PDP, charged the presidential aspirant to work towards giving the citizens “a united Nigeria”

    Adebutu, who is also a governorship aspirant in Ogun state on the platform of PDP, also hailed  Makarfi for ensuring that PDP did not go into extinction during the crisis periods which the party went through.

  • 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.”

  • Don’t exclude NNPC from Procurement Act

    Sir: The Africa Network for Environment & Economic Justice, ANEEJ, sees the plan to exclude the Nigeria National Petroleum Corporation, NNPC, from being subject to the provisions of the Fiscal Responsibility and the Procurement Acts as unacceptable as it will defeat the primary purpose for a call on reforms in the oil and gas sectors of Nigeria.

    Even though the National Assembly worked really hard to fine-tune aspects of the Petroleum Industry Bill prior to its assent by the president, the attempt as reported in the press to ‘insulate the Nigeria Petroleum Company from bureaucratic draw-backs’, will be a setback for the entire process.

    We are concerned that that plan will promote impunity and reinforce the concrete blocks built around corruption in the oil and gas sector. Instead of excluding the NNPC from being subject to the Fiscal Responsibility and Procurement Acts, the National Assembly must ensure that all critical aspects of the bill pass through the rigorous conditions imposed by the Fiscal Responsibility and procurement laws.

    After it was proposed and sent to the National Assembly, the Petroleum Industry Bill has passed through the thick and the thin with the prospect that key constituents meant to safeguard the spirit and letters of its formulators are being whittled down considerably.

    ANEEJ verily believes that fears being expressed that exclusion of the NNPC from being subject to the Procurement Act and Fiscal Responsibility Act under Clause 102 would introduce recklessness in the sector are valid. To erase these fears and stem abuse, the NNPC must be subject to the provisions of our extant laws. These laws engender fiscal discipline, promote transparency and accountability, and are meant to excise Nigeria from the opacity which has characterized the operations of Nigeria’s oil and gas sectors over the years.

     

    • David Ugolor,

    Benin City.

  • DEATH IN THE NEIGHBOURHOODS

    • Saga of communities at risk of pipeline explosion

    A monumental calamity was averted last Thursday at Fagbile Estate, Isheri Oshun, a Lagos suburb, after oil vandals burst an oil pipeline in the community in the dead of the night and shattered the peace of the community.

    Shortly after the dastardly act was carried out, petrol started gushing out from the pipeline with the fume enveloping the community and choking the residents, who frighteningly woke up from their sleep.

    From that moment, the embattled residents became panicky and started fleeing the area at that wee hour of the night.

    “We narrowly escaped death that fateful day. If there had been a spark of fire in any part of the community when the petrol was flowing in different directions, most of us would have been roasted in our sleep. No fewer than 500 residents would have been consumed by fire if such had happened. It is better imagined and we thank God for averting the calamity for us,” one of the devastated residents said.

    Another worried resident, Victor Ademola, said:  “I perceived the smell of the fume around 1 am. I stood up and checked with my neighbours but found out the problem wasn’t from their side.  When I saw that the smell was from the pipeline, I took my wife and my children at that odd hour of the night and fled the area. Luckily for us, we got a tricycle operator who carried to without charging us more than they collect during the day.

    “Leaving the environment at that time of the night wasn’t safe but when you consider the danger that was looming, it was a better decision.  I learnt that the vandals have been surveying the area for some time before they eventually carried out the operation that put our lives in danger.  If there had been a spark of fire anywhere in the neighbourhood that fateful night, the story would never have been the same.”

    Reliving her experience, a resident Akpo Nkiruka said: “I perceived a thick smell of fume around 12:30am. I stood and checked round the house but did not see anywhere that petrol leaked in the house and newt back to bed.

    Thereafter, I heard a woman shouting that everybody should come out because vandals had tampered with the pipeline. Initially, I was reluctant to go out because I thought it was a decoy by robbers. Later, my son said I should go out because people were gathered outside.  It was at that point that I went out to see how the oil was gushing out. The height was higher than this electricity pole.  I quickly left the house with my children that odd hour of the night. We just came back today after the dust had settled. Many residents are still living in fear in spite of the fact that the situation is very calm now. I want to appeal to the appropriate authorities to do something about our power supply.”

    She added: “When I sensed danger, I quickly went to where I kept my money and took everything. I also took my ATM card so that if the unexpected should happen, i would have something to take care of myself and my household for about two weeks. That was the thought that came to my mind and I immediately acted on it,”

    Another resident, Akogun Ayodele, told The Nation that the product sipped into the well in his compound and has consequently robbed them of the opportunity of getting water to attend to their needs.

    “The maintenance section of the NNPC came and confirmed that the content of the well is 50 per cent fuel. That is a huge problem for us because that is the water we depend on for our house chores. We were all scared when the fume enveloped the community because fire is not any man’s friend.

    “What came to his mind while fleeing his apartment was to carry his small bag. I took my small bag and left when danger was looming. I became aware of the incident around 3am. Like every other resident, I thought it was fuel leakage in a nearby place but later observed it was from the pipeline because the fume was too choking. The people who woke earlier started raising the alarm that we should all wake up and leave our apartments.”

    A landlord, who gave his name as Moshood Obabiyi, said:  “We are still worried by the development. The incident is the first of its kind since I started living here 30 years ago. The government and the relevant agencies should take proactive steps to avert a reoccurrence and the attendant challenges. We all ran in different directions when the ugly incident occurred. I ran away without waiting to wear trouser. It was only the jalamia (Islamic gown) that I had on me that I wore while fleeing.”

    Barely one week after despicable incident, another case of vandalism was recorded at Babalegba area of Ijegun. The incident occurred on Monday.

    It was gathered that the vandals scooped oil that filled a number of trucks from the pipeline and bolted before security forces arrived at the scene.

    A source in the community, who asked not to be named, said prior to the incident, security forces were patrolling the area but were not in sight when the vandals struck again.

    He wondered why the vandals could have loaded fuel from the pipeline for several hours without being sighted by law enforcement agents.

    “It would take not less than one hour and more to load fuel into a 33,000-litre tanker. And for the vandals to have waited for several hours to scoop fuel into about five trucks in the dead of the night means they had all the time in this world to carry out their nefarious business unchallenged by security forces.”

    Confirming the story, a senior police officer, who did not want his name in print, said: “The story is true. Unidentified vandals destroyed pipeline at Babalegba Bus stop and took away fuel in some tankers before our men arrived there.”

    A chieftain of tanker drivers association, who asked not to be named, said the fear of being exposed by law enforcement agents is hampering intelligence sharing with security forces on the activities of vandals in the Ikotun-Ijegun-Ejigbo axis.

    “In the past, we had reported the activities of the vandals to law enforcement agents only for us to receive threat messages from anonymous persons warning us to desist from reporting their activities to the police.

    “It was a time a chief in this community got wind of an information that suspected vandals were planning to strike in the area, but because of our experience with policemen around, who we suspect may be shielding these vandals, we didn’t know who to share the information with.

    “A decrepit pipeline on Governor’s Road, opposite Akinyemi Junction, Ikotun leaked on Thursday April 12. The damaged pipeline spilled fuel on the road as panicky residents ran for their dear lives. Although the pipeline is being fixed as I speak but the authorities of the Nigeria National Petroleum Corporation (NNPC) should monitor their facilities well to stop this perennial destruction of pipeline and fixed damaged pipeline.”

    At the Baruwa area of Ipaja, where vandals struck a few weeks ago, community leaders told our correspondent that security measures, including surveillance and vigilante services, had been stepped up to prevent a recurrence of the incident which resulted in inferno and destruction of property.

    A highly placed source said the community is working in concert with the police on intelligence gathering and strict monitoring of places where pipeline routes.

    “We do not want a repeat of what happened a few weeks ago when fire broke out after suspected vandals destroyed a pipeline and left it uncovered after scooping fuel into several tankers.

    “To this end, the community leaders, vigilante groups and leadership community development associations in this area are partnering with law enforcement agencies, especially the police, to monitor oil installations and unscrupulous persons involved in vandalism.”

    Another area that has gravely suffered from the challenges of oil spill in the state is Diamond Estate, a federal government housing project along LASU/Igando expressway.

    The challenge appeared intractable in the estate as the residents said the problem began since the estate came into existence and lingers till date.

    The residents told The Nation that the challenge has been causing serious health and environmental problems for them.

    Thick smell of fume pervaded different parts of the atmosphere when The Nation visited the estate. Aside from the disturbing smell of the fume, traces of the spilling oil were always seen in the drainage and a well said to have been constructed by the NNPC to check the menace.

    One of the residents, who simply identified herself as Blessing, said the despicable development has caused serious health challenges for them and also robbed them of good night sleep. “We don’t sleep at night because of the smell. We always resort to locking our windows to prevent the smell from coming in and that comes with a lot of challenges, especially when there is no power supply. The pillage has affected my borehole. I can no longer use the water to do anything. I now depend on my neighbour whose borehole is not affected to get water. The situation has been like that for the past three to four years without any hope that it would be rectified soon. We had fears when the problem was very severe. Then, vandals used to come and scoop oil and endangering our lives. Even though the severity has drastically reduced, the smell of the fume makes us to suffer headache and sneezing. We want the government to do something urgently about it to save us from the environmental and other health challenges that the problem poses.

    Another resident told The Nation that no fewer than 30 tankers were filled with petrol in the wake of the problem. “The estate has been battling with this problem for many years and it is a good thing that you have come to check if it persists. We still have petrol spilling into some wells in the estate. Many homes cannot use their boreholes for anything. I even know of some who don’t cook because they fear that danger is always by the corner. How long would people continue to live in this disturbing condition in a house that some used their retirement benefits to buy? Do you expect such people to abandon their houses? And if they do, where would they go to?

    “As much as 30 tankers were filled with petrol when the NNPC came to evacuate oil trapped under the estate’s ground. Imagine that quantity of petrol in a residential place and not an oil well. It is not really healthy for adults not to talk of the children. The NNPC has tried but they can do better. We are talking about lives and property here and no amount of or resources deployed to this can be too much.”

    The Welfare Director of the estate, Mr Oluwafemi Aliu, admitted that a number of the residents are still affected by the development, saying: “There is no pipeline in this place. The NNPC has come and checked everywhere but found no pipeline crossing any part of the estate. The fume being perceived in some parts of the estate occurs only during the rainy season. It doesn’t come up during dry season. It is from the remnant of what was trapped under the ground that the smell oozes out.”

    Asked where the oil spill that occurs underneath the estate comes from, he said: “That is the question that the NNPC would have to answer. They have actually done a good job here. They gave us two water tanks that supply potable water to the estate to mitigate the challenge posed by the spill. They have done well but we still want them to come and complete the good work they began before now.”

    Findings also showed that oil spill has been occurring in Iyana Odo, another community contiguous to the Diamond Estate. A resident who identified himself as Emmanuel Olushola said they lived at the mercy of vandals who always stormed the neighbourhood in the middle of the night to syphon fuel.

    “We had a rough time dealing with challenges posed by vandals for a very long time. Most of the time, their activities always leave the pipelines leaking and posing huge danger to us. On several occasions, they would come with tankers in the dead of the night and begin to break street lights so that they could carry out their nefarious activities in darkness. It was a period of anxiety because the hoodlums were always prepared to maim and kill anybody that obstructed their operations. Apart from that, the spill that often takes place after their activities always poses serious danger to the lives of the residents.”

  • Senate probes NNPC/Agip N34.423bn secret account

    Senate probes NNPC/Agip N34.423bn secret account

    The Senate on Tuesday mandated its committee on Public Accounts to carry out a holistic investigation into the activities of the operation of a N34.423 billion account belong jointly to the Nigeria National Petroleum Corporation (NNPC) and Agip Oil company.

    This followed the adoption of a motion on “Urgent need to investigate NNPC, Nigerian Agip Oil Company 1PP Security” sponsored by Senator Dino Melaye (Kogi West).

    Melaye in his lead debate prayed the Senate to notes with serious concern the operation of an account by the NNPC/Agip Oil Company;

    He observed that the account opened with the name NNPC/ Nigerian Agip oil Company IPP Security account with address NNPC Garki, Herbert Macaulay Way, is domiciled in First Bank Nigeria Plc with account number 2006367288

    He also observed that the opening balance was N31, 704, 807, 979.2 with a closing balance of N34, 423, 738, 086.4 as at 25th April, 2017.

    Melaye said that he is aware that there has been lodgment and withdrawals since January, 2017.

    He said that a lot of questions are begging for answers as regards this account a. The objectives of the account? b. The Signatories to the Account? c. Is the account known to the Federal Government? d. What are the sources of the account’s fund?

    The lawmaker said that he is convinced that there is an urgent need to investigate the rationale behind the operation of this account in the interest of the country

    The motion was not debated before it was referred to the public accounts committee to investigate.

     

  • Loading at Ibadan depot inadequate, says IPMAN

    Loading at Ibadan depot inadequate, says IPMAN

    The Independent Petroleum Marketers Association of Nigeria (IPMAN) has said petrol allocation by the Nigeria National Petroleum Corporation (NNPC) to Ibadan Depot is grossly inadequate.

    Alhaji Raimi Tayo, who chairs IPMAN’s Ibadan Depot, told News Agency of Nigeria (NAN) in Lagos yesterday that independent marketers hardly loaded 12 trucks daily.

    Tayo said the situation was causing scarcity in the hinterlands.

    According to him, the depot, which usually loads six million litres daily, has reduced its load to 400,000 litres per day.

    He said the development affected business activities of independent marketers.

    Tayo accused the Federal Government of giving more attention, in product allocation, to private depots.

    He said: “Petroleum products allocation to Ibadan Depot was grossly inadequate.

    “We have appealed to the government, through the NNPC, to pump enough products to the depot so that marketers can be in business.

    “As at this morning (yesterday), private depots were selling at N158 per litre as against the government-regulated ex-depot price of N133.28 kobo.”

    Tayo urged the government to clamp down on depot owners who sold above ex-depot price to marketers.

    According to him, although the public accuse marketers of selling above the official pump price, there is no way marketers will sell petrol at N145 per litre at filling stations when the product is sold between N158 and N162 per litre at private depots.

    The IPMAN chairman appealed to the NNPC to make petrol available to marketers at depots to ease distribution to hinterlands.

    He condemned directives asking marketers to source the product at private depots.

    Tayo said: “This is wrong and unprofitable.”

    The IPMAN chairman noted that pipeline vandalism and inadequate pumping of petroleum products from System 2B – at Mosinmi – to Ibadan is also a challenge.

    NAN reports that the daily petrol pricing survey from Apapa Depot showed that the depots sold the product above ex-depot price of N133.28.

    At NIPCO, it was N160 per litre; Chipet, N162; Rahamaniyyah, N152.50; Obat, N152; Aiteo, N160 and A. A. Rano, N160.

    A depot owner, who spoke in confidence, told NAN that no depot owner imported petrol, adding that petrol loading still belonged to NNPC since it ‘s the sole importer.

    But NNPC’s Group General Manager (Public Affairs) Ndu Ughammadu said: “We sell to them at the official price. We have not increased ex-depot price. The appropriate agencies are monitoring.”

     

  • Buhari, Baru lauded over oil exploration in Chad Basin

    Buhari, Baru lauded over oil exploration in Chad Basin

    President Muhammadu Buhari and Group Managing Director, Nigeria National Petroleum Corporation, Maikanti Baru, Thursday received commendation for oil exploration drive in the Chad Basin.

    A group, PMB’s Oil and Gas Progress gave the commendation after its annual meeting in Abuja.

    A statement by the coordinator of the group, Mohammed Abdullahi, said President Buhari and NNPC GMD has won the heart of majority of Nigerians for their political will to initiate and encourage oil exploration in the northern part of the country.

    It accused past governments in the country of paying lip service to oil exploration in the north.

    It expressed hope that with the commitment of the President and the zeal of the NNPC GMD, some states in the north will soon assume oil producing status.

    The group noted that the commitment of President Buhari administration toward the discovery of oil in the northern part of the country would go a long way to douse tension in the country and ensure economic stability in the north.

    It recalled that the GMD had visited some states in the north, including Nasarawa, Sokoto, Bauchi, Yobe, Katsina, among others, with a view to commencing oil exploration in the areas for the purpose of generating more revenue for the country.

    It also recalled that the GMD NNPC had declared his readiness to grow the country’s crude oil reserves and increasing daily national production with a view to boosting the nation’s revenue generation.

    The group noted that the GMD had expressed this desire during the flag-off ceremonies of the NNPC/First E&P Oil Mining Leases (OMLs) 83/85 partnership for marine seismic data acquisition in Lagos.

    It said that Baru while performing the flag-off ceremony aboard Marine Vessel BGP Prospector offshore Lagos, declared that the project would boost NNPC’s drive towards enhancing the nation’s abundant hydrocarbon deposits.

    The development, Baru added, also reinforced the Federal Government’s commitment to further harness Nigeria’s numerous resources to enhance income streams and ultimately boost the nation’s economic prosperity.

     “Without doubt, this development resonates perfectly with NNPC’s commitment to growing the nation’s reserves and increase production, as enshrined in our corporate vision of 12 Business Focus Areas (12 BUFA),” Baru was quoted to have said.