The Nation Newspaper

Tag: Nigerian National Petroleum Corporation

  • Major oil companies neglect host communities – Obaseki

    Major oil companies neglect host communities – Obaseki

    Gov. Godwin Obaseki of Edo has decried the poor attitude of multinational oil companies operating in the state toward the welfare of their host communities.

    Obaseki made the disclosure while hosting the Senate Committee on Petroleum Resources (UpStream)when the committee members paid him a courtesy visit on Friday in Benin.

    According to him, the impact of multinational oil companies operating in the state is not felt anywhere.

    He said that the Nigerian Petroleum Development Company was the heart of the Nigerian National Petroleum Corporation and was located in the state but that its impact was never felt in the state.

    The governor lamented that other multinational companies operating in the state were similarly, not making any impact on the economy of the state.

    “To us, this is an issue of concern and we want the house and indeed the National Assembly to look into it.

    “Companies operating in states should be made to contribute and add value to their host states, while federal agencies should be encouraged to do more for the states.’’

    The governor told the committee members, led by the committee Chairman Sen. Omotayo Alasodura, that the most salient issue in the state was the availability of security.

    He said that there was no record of violence or attacks on oil facilities in the state, a development that should have made the companies to make a positive impact in their host communities.

    Alasodura said that the committee members were in the state for an oversight function on some federal institutions in the state.

    He congratulated the governor on his recent election, expressing his optimism that the governor would build on the legacies of the previous administration.

    Some of the senators on the visit include Sen. Peter Nwaoboshi, Clifford Ordia and Francis Alimikhena.

  • Avengers blow up NNPC gas pipeline in Akwa Ibom

    Avengers blow up NNPC gas pipeline in Akwa Ibom

    ….Expect more attack, say Militants

    The Niger Delta Avengers has claimed responsibility for the attack on gas pipeline belonging to Nigerian National Petroleum Corporation, (NNPC), in Obotim Nsit, Nsit Ibom Local Government Area, Akwa Ibom State.

    The attack on the NNPC gas pipeline which was located in Ikot Okukuk Nsit Junction in Nsit Ibom local council occurred around 12pm on Sunday, according to local villagers.

    But statement by the spokesperson of the avengers, Mudoch Agbinibo, said the facility was blown up at about 11:30pm on Sunday night.

    The statement also asked the NNPC authorities to check their facility whether they will claim if it was ‘system Anomaly’ as Exxon Mobil recently did before later affirming similar attack on their facilities in the state.

    The statement by the avengers read: “11:30pm on Sunday, the NDA blow up Nigerian National Petroleum Corporation (NNPC),  gas pipeline at Nsit-Ibom L.G.A, Akwa Ibom state. NNPC should check their pipeline if it’s ‘system Anomaly’.”

    It asked the NNPC authorities to check their facility whether they will claim if it was ‘system Anomaly’ as Exxon Mobil recently did before later affirming similar attack on their facilities in the state.

    At as the time The Nation arrived at the scene, there were officials of Akwa Ibom Fire Service on the ground trying to put out the fire from the gas pipeline which was attacked by the avengers.

    Before Sunday’s attack on NNPC gas pipeline in Nsit Ibom, around June this year, the Niger Delta Volunteers, (NDV), announced its presence in Akwa Ibom State.

    The group had in a statement signed by its spokesman, Commander Ekpo Ekpo, claimed responsibility for the attack on gas pipeline belonging to NNPC/NGC supplying gas to ALSCON, Ikot Abasi, Akwa Ibom State.

    Even when the State Government and the Police Commissioner, Murtala Mani, had both denied the knowledge of the attack and called it a gas leakage, the militants had insisted that its professionals attacked the pipeline at exactly 11:45am on Thursday June 16 to welcome President Muhammadu Buhari who was due in the country from oversea trips.

    The group had warned that the ongoing dialogue between the Federal Government and the Niger Delta militants should be extended to Akwa Ibom state otherwise it would shut down some major platforms and flowlines in the state.

    They also vowed to attack some ‘selfish’ Paramount Rulers in the State who connive with oil companies to ‘siphon’ money meant for community development.

    Only last week also, three Militant groups, Niger Delta Volunteers, NDV, Niger Delta Peoples Liberation Movement, NDPLF, and Bakassi Freedom Fighters, BFF, have promised to lunch more attack on oil installations in Akwa Ibom state unless the Minister of State for Petroleum, Group Managing Director – NNPC and Managing Director of Nigerian Ports Authority vacate their offices.

    The group had in statement yesterday criticised President Muhammadu Buhari for not appointing somebody from the Niger Delta region into the newly constituted Board of the Nigerian National Petroleum Corporation (NNPC).

    The statement by the militant groups was jointly signed by its spokepersons Commanders Ekpo Ekpo for NDV; Henry Etete for NDPLF and Asukwo Henshaw for BFF, and sent to newsmen in Uyo, the state capital.

    The group also demanded the sacking of NNPC’s Group Managing Director Dr. Maikanti Baru and replacement of same with an indigene of the Niger Delta.

    They lamented that it was an ‘insult’ on the Niger Delta region that the Minister of Petroleum who also doubles as the President of Nigeria is from the North, the Group Managing Director – Dr. Maikanti Baru and four other members of the board are from the North.

    The statement read: “The appointment of Nigerian Ports Authority Managing Director is an insult to the people of Niger Delta, the action of the Buhari has proved that he is the president of the North and not the President of Nigeria.

    “We totally condemn the newly constituted NNPC Board by the President and we call for immediate sack of the Group Managing Director and replacement of same with an indigene of the Niger Delta, it is an insult on the Niger Delta region that the Minister of Petroleum who also double as the President of Nigeria is from the North, the Group Managing Director – Dr. Maikanti Baru and four other members of the board are from the North.

    “We demand immediate removal and investigation of the Minister of State for Petroleum, Dr. Ibe Kachikwu for spending over N150m on some selfish ex-militant leaders to work against the Niger Delta Avengers and other militant groups in the Niger Delta without any result.

    “We congratulate the Niger Delta Avengers for successful operation in Akwa Ibom and assure them of more cooperation and support, we wish to prove here that there was attack on Exxon Mobil pipeline, even Exxon Mobil as at today can testify that there was attack, and we promise that more are coming in the next few weeks if the Minister of State for Petroleum, Group Managing Director – NNPC and Managing Director of Nigerian Ports Authority still remains in office.”

     

  •  NLNG gets new CEO as Omotowa bows out

     NLNG gets new CEO as Omotowa bows out

    The Board of Directors of the Nigeria LNG Limited on Thursday approved the appointment of Mr. Tony Attah as the new Managing Director and Chief Executive Officer of the company.

    Mr. Babs Omotowa, who has held the position for nearly five years, will be returning to Shell International in Hague, ‎Netherlands, according to a statement signed by the company’s General Manager, External Relations, Kudo Eresia-Eke.

    The NLNG said Omotowa, who was appointed CEO by the board in December 2011, would be sorely missed for his uncommon vision, professionalism, compassion and commitment.

    It said Attah, a former managing director of Shell Nigeria Exploration and Production Company, would be taking over from him after returning from an assignment at Shell’s Group Integrated Gas business as senior projects advisor, working on projects in the Netherlands and Singapore.

    Attah comes to the NLNG with a 28-year experience in the Nigerian oil and gas industry, the statement said.

    At NLNG, he will be responsible for sustaining NLNG’s top quartile performance in supplying liquefied natural gas to the global energy market and advancing the company’s expansion programmes, according to the statement.

    NLNG is owned by four shareholders, namely, the Federal Government, represented by the Nigerian National Petroleum Corporation (49 per cent), Shell Gas BV, (25.6 per cent), Total LNG Nigeria Limited (15 per cent), and Eni International (N.A,) N. V. S. a. r. l (10.4 per cent).

  • Marketers assure of decrease in pump price soon

    Marketers assure of decrease in pump price soon

    The Major Oil Marketers Association of Nigeria (MOMAN) on Tuesday assured Nigerians that pump price of Premium Motor Spirit (PMS), otherwise called petrol, will drop very soon.

    The Executive Secretary of the association, Mr Obafemi Olawore stated this while addressing newsmen in Lagos.

    According to Olawore, despite non availability of foreign exchange at official exchange rate of N197 to $1, major marketers are relying on their upstream divisions to get dollars to finance their imports.

    “I’m assuring Nigerians that pump price of petrol will soon drop as against claims that it will rise above the present band.

    “Price won’t go up as long as the Nigerian National Petroleum Corporation  (NNPC) is bringing in products.

    “Although, we are expected to source for dollars at the parallel market but the good news is that we are getting dollars from our upstream divisions.

    “Shell supports Conoil, Agip to support Oando, ExxonMobil supports Mobil Oil Nigeria, Total supports Total Nigeria, MRS and Forte get support from NNPC,” he said.

    The executive secretary, however, said that further that full deregulation was the answer to the challenges fuel scarcity in Nigeria.
    “The solution to fuel scarcity is full deregulation.

    “If there is no policy reversal, marketers will bring in products.

    “The situation will encourage us to bring in more investment. We have invested in meters presently to ensure adequate metering.

    “Others are doing their calculations in how to bring in investment in refineries and once we begin to refine domestically, it means we have attained full deregulation,” he said.

    He denied the allegations that marketers were making abnormal profit because they were selling old stock.

    Olawoore said that announcement of new price would have been made on May 7, but it was discovered that marketers had plenty stock and would have made abnormal profit.

    “So, the government waited for the majority of our members to sell most of their old stocks before announcing new pump price on May 11.

    “We have not been making much profit like that, what we have been doing is to continue in business since our fixed costs are always being recovered,” he said.

  • Court grants Dasuki, Salisu, Baba-Kusa bail

    Court grants Dasuki, Salisu, Baba-Kusa bail

    • Trial opens Jan 21

    A High Court of the Federal Capital Territory (FCT), Abuja has granted bail to former National Security Adviser, Colonel Sambo Dasuki and two others.

    The others are ex-Director of Finance and Administration in the office of the NSA, Shuaibu Salisu and former Director of the Nigerian National Petroleum Corporation (NNPC), Aminu Baba-Kusa.

    They were arraigned on December 14 before the court on a 19-count charge bordering on criminal diversion of funds preferred against them by the Economic and Financial Crimes Commission (EFCC).

    Friday, Justice Hussein Baba-Yusuf, in a ruling on their bail application, admitted each of them to bail at N250million and one surety at the same amount.

    The judge said the sureties must show evidence of owning a property in the Federal Capital Territory worth N250m.

    The judge further directed that the surety must be a Civil Servant not below the rank of a Director in the Federal Civil Service.

    The surety must also swear to an affidavit of means while the accused persons are expected to deposit their travel documents before the court in addition to informing the court whenever they need to travel outside the federal capital territory.

    The judge adjourned to January 21 next year for commencement of trial.

    Dasuki, Salisu, Baba-Kusa and two companies – Acacia Holdings Limited and Reliance Referral Hospital Limited were charged with conspiracy and criminal breach of trust under the Penal Code Act and the Economic and Financial Crimes Commission (Establsihment) Act.

    Dasuki and Salisu were accused of distributing funds held in the account of the NSA in the Central bank of Nigeria (CBN) to politicians, media practitioners and businessmen purportedly for political campaigns and organizing of prayer sessions.

    The duo was, in counts 5, 6, 7 and 8 accused of paying N2.2billion to Baba-Kusa through  the bank accounts of Acacia Holdings Limited and Reliance Referral Hospital Limited in Zenith Bank Plc.

    Dasuki, Salisu and former Special Assistant, Domestic Affairs to the President, Hon. Warimpamowei Dudafa (now at large) were, in count 1, said to have received N10billion, which they converted to $47m and 5.6m Euro, and claimed to have distributed to  the Peoples Democratic Party (PDP) presidential primary election delegates  around November 27, 2014.

    Dasuki and Salihu were, in count 2, said to have, between January 22 and March 19, 2015 “remitted N2, 120,000,000 into the account of DAAR Investment and Holding Company Limited   controlled by one Dr. Raymond Dokpesi for the funding of the media activities for the 2015 presidential election campaign for the Peoples Democratic Party (PDP).

    They were in counts 15, 16 and 17 accused of paying N670m “to the bank account of General Hydrocarbons Limited with Guaranty Trust Bank Plc controlled by one Obaigbena Nduka purporting the said sum to be payment for’ energy consulting’; “N250m to the bank account of Tony Anenih with First Bank of Nigeria Plc”; and “N345m to the bank account of Starbriid Limited with Stanbic IBTC Bank and Guaranty Trust Bank controlled by one Emmanuel Lawani on behalf of Senator Iyordhia Ayu for the construction of shopping mall at Jabi, Abuja.

    Baba-Kusa, Acacia Holdings and Reliance Referral Hospital were charged in counts 9, 10, 11 and 12 for receiving funds from Dasuki and Salihu which they knew to be proceeds of criminal conduct.

    The accused persons pleaded not guilty to the charge when it was read to them.

  • NNPC deploys drones to monitor movement of oil vessels

    NNPC deploys drones to monitor movement of oil vessels

    Fresh vista to the fight against the perennial problem of oil theft and pipeline vandalism appeared on the horizon Tuesday with the disclosure by the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Ibe Kachikwu that the Corporation is working towards the deployment of drones across the nation’s territorial waters to monitor the inwards and outwards movement of oil bearing vessels.

    In a presentation at the special conference on Security in the Gulf of Guinea organized by the Gusau Institute, Dr. Kachikwu stated that the Corporation is working on a range of far reaching options designed to end the ugly episodes of crude and petroleum products theft within the next eight months.

    The press statement of the corporation’s Group General Manager, Group Public Affairs Division, Mr. Ohi Alegbe quoted the helmsman as saying: “We are launching an armada of approaches which will include incorporation of drones to check movements of vessels within our territorial waters; We are looking at the current logistical nightmares of changing staffing at the loading bay of crude oil export terminals virtually every 90 days, We are trying to equip the navy sufficiently though they are very well equipped in terms of skill set but not in terms of arsenal for patrols within the maritime area.”

    On the issue of pipeline protection, the GMD explained that though the Corporation is working assiduously with the law enforcement agencies to increase the presence of military personnel in the area, the ultimate security for the critical oil and gas assets lies squarely with the host communities.

    “The best security for these pipelines lies with the communities. We are trying to create enough incentives for them to see these pipelines as their own,’’ he said

    Lamenting the impact of oil theft on the smooth operations of the nation’s refineries, the NNPC GMD warned that if left unchecked, the menace could invariably make it impossible for the NNPC to operate the refineries.

    “Most of our product pipelines are ruptured and attacked frequently. For instance between June 2014 and June 2015, we recorded about 3, 500 to 4,000 attempts at the various products pipelines across the country. In addition to that, the pipelines that are supposed to convey crude to the refineries are perpetually hacked, ’’ he added.

    Dr. Kachikwu noted that the resort to the use of marine vessels to convey crude to the refineries is coming at heavy cost.

    “What this means is that no matter what we do with the refineries today, unless that is solved, we really are going nowhere, we cannot operate the refineries.”

  • New appointments vindicate Buhari – APC

    New appointments vindicate Buhari – APC

    The All Progressives Congress (APC) in the South East geopolitical zone said on Friday that recent appointments by President Muhammadu Buhari is a clear demonstration that the President bears no grudge against any section of the country.

    In a statement issued by its Zonal Spokesman, Osita Okechukwu and made available to journalists in Abuja, the party said the appointment of Dr. Ibe Kachikwu and Engr. Dennis Ajulu as Group Managing Director and Group Executive Director (Exploration and Production) of the Nigerian National Petroleum Corporation (NNPC) respectively vindicated his earlier position that every region of the country under his watch would receive equal and fair treatment.

    He also applauded the enlistment of Enugu Airport among the airports to be upgraded, describing it as a clear indication and demonstration that Mr. President bears no grudge against Ndigbo for not voting for him.

    He recalled that South-East APC had earlier assured the Igbos that President Buhari will not marginalize them for not voting for him and therefore urged Ndigbo to disregard gossip-terrorists and ethnic merchants peddling falsehood that President Buhari hates the Ndigbo.

    “Since I cannot assume to know all the pressing issues facing Ndigbo or what Ndigbo expect of the new Nigeria we wish to build, I would greatly appreciate if you could kindly arrange a consultative meeting with Ohaneze Ndigbo where we could discuss and try to determine how this could best be done.

    “I considered it pertinent to hold consultations with all communities nationwide in order to build a mutually acceptable national consensus. Needless to add, no national consultation will be complete or meaningful without a meeting with the leadership of Ohaneze Ndigbo.”

    [news_box style=”2″ display=”tag” link_target=”_blank” tag=”APC” count=”6″ show_more=”on” show_more_type=”link” header_background=”#bc7f58″]

  • NNPC probe: What mother tick told its children

    According to a certain African folklore, mother tick, the wizened matriarch of the blood-sucking specie of mites is said to have told her little ones to always stay calm and take cover each time humans begin to act up and begin to switch on the heat.

    “Stay quiet and lie low my children,” mother tick would admonish her fledgling parasites in hushed tone, “whatever is heated up would eventually grow cold.”

    Could this be the unfolding scenario in Nigeria today? Is the new All Progressives Congress (APC) government losing the momentum that brought it to office or is it actually planning diligently to unleash the real transformation?

    Apart from the fact that 30 days after inauguration, the President’s core backroom team (chief of staff and all the secretaries) is not yet in place and running, people fear there may be some disorientation when they eventually come on board.

    The civil servants may just get used to reporting directly to number one to the detriment of the appointees. This will mean that there may be so much bad blood that crucial tasks requiring urgent action may be jeopardised.

    One notable example is the ongoing attempt to probe the Nigerian National Petroleum Corporation (NNPC). After the inauguration of the National Economic Council (NEC) last Monday, President Muhammadu Buhari set up a four-member committee to probe an alleged misappropriation of about N3.5 trillion by the NNPC and another N2 trillion from the Excess Crude Account (ECA).

    The panel comprises the governors of Edo (Adam Oshiomhole), Gombe (Ibrahim Dankwanbo), Kaduna (Nasir el-Rufai) and Akwa-Ibom, (Emmanuel Udom).

    NEC is a conclave of all the governors of the land and the president; it meets every month to deliberate on broad national issues. Now the matter of NNPC is crucial being Nigeria’s most strategic asset and again, being at the core of the unbridled corruption that ravaged the country in the last few years. Flashing a searchlight on this body is neither an ad-hoc affair nor a matter for busy governors.

    NNPC is Nigeria’s putrid honey pot. It requires a truly forensic audit of its affairs in the last five to 10 years. There is need to ascertain the true picture and completely revamp and upgrade its processes. There is need for even a forensic review of an earlier forensic audit by a certain accounting firm. NNPC is the heart and soul of the nation; it is an elaborate enigma, a jigsaw puzzle that would solve most of Nigeria’s problems if handled right.

    This is why Hardball is worried that after 30 days of the CHANGE administration and after all we know about this bastion of corruption, we can only come up with this kind of committee. If we mismanage the NNPC affair, it means that we are not gonna  get much else right. With this excited crowd of panelists to probe NNPC, the blood-suckers, like mother tick, would take one look and chuckle to themselves: “We thought these fellows were serious!”

  • Ashafa hails Buhari over NNPC board dissolution

    Ashafa hails Buhari over NNPC board dissolution

    Senator Gbenga Ashafa on Wednesday commended President Muhammadu Buhari over the probe and dissolution of Nigerian National Petroleum Corporation (NNPC) board.

    Ashafa made this remarks while defending the likely results of a motion he made recently on Fuel Tanker Tragedies on Nigeria’s Highways at a plenary session on the 25th of June.

    The lawmaker, representing Lagos-east, Senatorial District, who described the move as a fallout of legislative actions, noted that the Buhari led administration is willing to reverse the negative economic trends caused by the unregulated management activities of the NNPC.

    “The dissolution of the NNPC board, the current probe, amongst other things to follow, is a direct fall-out from the plenary proceedings.The prayers sought by the motion have been granted and it further underscores the need for legislators to face up to the task of keeping the executive arm of government and its various agencies in check.” he stressed.

    “June 29, the National Economic Council chaired by Vice President, Yemi Osinbajo set up a four-man committee to probe and unravel the sum of N3.8trillion not remitted to the Federation Account by the NNPC between 2012 and May 2015 as well as $2.1bn purported to have been deducted from the Excess Crude Account (ECA) without approval.

    “The gradual cleansing of the nation’s economic rot is as a result of Buhari’s vision and the steady nature of change which is aimed at placing Nigeria’s economy, which is currently dependent on crude oil, back on its once-enviable pedestal in Africa.”  He observed.