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Tag: Nigerian National Petroleum Corporation

  • 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.

     

  • Petrol crisis: NNPC imports $5.8bn worth of PMS

    Petrol crisis: NNPC imports $5.8bn worth of PMS

    The Nigerian National Petroleum Corporation (NNPC) said it spent about 5.8 billion dollars to import Premium Motor Spirit (PMS) popularly known as petrol to combat fuel crisis that resurfaced since late last year.

    In a statement signed by Mr Ndu Ughamadu, the Group General Manager, Group Public Affairs unit in Abuja, on Tuesday, it said the PMS was equivalent of 9.8 million metric tons.

    According to the statement, the Group Managing Director of the corporation, Dr. Maikant iBaru, disclosed this during a public hearing by the Senate Committee on Public Accounts at the National Assembly in Abuja.

    Represented by the Chief Operating Officer, Finance and Accounts, Mr. AbdulrazaqIsiaka, he said that the corporation carried out the massive importation in fulfilment of its statutory role of supplier of last resort.

    This, he said was to ensure that Nigerians do not suffer as a result of product unavailability.

    The GMD in the statement noted the corporation’s provision of 9.8 million metric tons of petrol so far had helped a great deal in ameliorating the suffering of Nigerians.

    He said the corporation’s intervention became necessary following the inability of the major and independent marketers to import the product.

    He pointed out that cross-border smuggling due to price disparity between Nigeria and neighbouring countries as well as logistic issues in trucking products to different locations across the country remained serious challenges in the quest for fuel queue-free situation in the country.

    The Chairman Senate Committee on Public Accounts, Sen. Matthew Uroghide, noted that the public hearing was a part of the Committee’s duty to find lasting solutions to the problem of fuel scarcity in order to make life easy for all Nigerians.

  • NNPC imports 5.8b petrol to tackle scarcity

    NNPC imports 5.8b petrol to tackle scarcity

    The Nigerian National Petroleum Corporation (NNPC) on Tuesday said that it has imported 9.8 million metric tons of Premium Motor Spirit (PMS) worth $5.8 billion to combat the fuel crisis that resurfaced since late last year.

    This was disclosed by the Group Managing Director of the corporation, Dr. Maikanti Baru, during a public hearing by the Senate Committee on Public Accounts  at the National Assembly Complex in Abuja.

    In a presentation by the GMD who was represented by the Chief Operating Officer, Finance and Accounts, Mr. Abdulrazaq Isiaka, NNPC stated that it carried out the massive importation in fulfilment of its statutory role of supplier of last resort to ensure that Nigerians do not suffer as a result of product unavailability.

    The corporation disclosed this in a statement on Tuesday.

    Read Also: NNPC commences recovery of N100b landed property

    According to the GMD, the corporation’s provision of 9.8 million metric tons of petrol so far has helped a great deal in ameliorating the suffering of Nigerians.

    He said the corporation’s intervention became necessary following the inability of the major and independent marketers to import the product because of the high landing cost which made cost recovery and profitability difficult owing to the regulated price regime.

    While assuring the public of adequate product supply, the GMD, however, pointed out that cross-border smuggling due to price disparity between Nigeria and neighbouring countries where a litre of petrol sells above N350 per litre as well as logistic issues in trucking products to different locations across the country remained serious challenges in the quest for fuel queue-free situation in the country.

    The Chairman Senate Committee on Public Accounts, Sen. Matthew Uroghide, noted that the public hearing was a part of the Committee’s duty to find lasting solutions to the problem of fuel scarcity in order to make life easy for all Nigerians.

     

     

  • Kachikwu directs NNPC to clear fuel queues in Abuja before Sunday

    Kachikwu directs NNPC to clear fuel queues in Abuja before Sunday

    The Minister of State for Petroleum Resources, Dr Ibe Kachikwu, on Thursday directed the Nigerian National Petroleum Corporation (NNPC) to ensure that petrol queues were cleared in Abuja before Sunday.

    Kachikwu gave the directive at a world news conference to intimate journalists on the upcoming international oil and gas conference and exhibition tagged the Nigerian International Petroleum Summit (NIPS).

    According to Kachikwu, the queues have been persistent because logistics and policy issues that could end the scarcity are largely unaddressed.

    “I can tell you behind the scenes, a lot of meetings are taking place because the fuel queue issue is both logistics and policy issues.

    “We will need to address fundamental policy issues to enable it go away especially in the area where the pricing is showing differentials between the landing and sales price.

    “The president is obviously very committed to keeping the price of petrol at where it is because he realises and sympathises with the sufferings of Nigerians.

    “I will hate for my colleagues to come and see the fuel queues so my directive to NNPC would be to get these queues out of Abuja.

    “The NNPC is working round the clock on this;p if you remember when this first started in December, it was a lot more massive.

    “Lagos is fuel queue-free and a lot of the state capitals are. Abuja is still struggling because of the logistics issues.

    “I haven’t gone round today but when I went round yesterday there was a huge improvement and I will be instructing the NNPC to do whatever it takes to ensure there are no queues next week.

    “Quite frankly, they will have to do whatever it takes to get this eliminated in Abuja.

    Read Also: Kachikwu reitrates FG commitment to exploring energy sources in river basins

     

    “That is the directive I will be sending to the NNPC and let them work night and day to put a lot more efforts in trying to do this,’’ Kachikwu said.

    The minister urged Nigerians to be patient about the fuel situation as there was a lot of “efficiency re-engineering’’ going on.

    He said the maiden NIPS conference, which would begin on Feb. 18 and end on the feb. 23 will help Nigeria’s oil and gas industry to build its capacities and competitiveness.

    On the recent rebound of Shale oil, Kachikwu explained that the bullish price rise that the oil market witnessed on the back of production cuts agreements did not worry Organisation of Petroleum Exporting Countries (OPEC).

    He said the slight drop in crude oil prices was not enough for OPEC to become reactionary.

    “In terms of the price, I don’t think we need to be panicky about it; we hit an all-time 70 dollars per barrel in December which was a surprise to all of us.

    “We are not ruffled by it, I know it has come down to highest 60 dollars now.

    “Shale has got to be active and we know whenever we are in excess of 65 dollars, Shale gets very active because the fundamentals become much more supportive to Shale investments.

    “I’ve always said that OPEC needs to just focus on it and what it needs to do, and forget what is happening in Shale.

    “Every OPEC producer must work hard to be a least cost producer because the truth is that if Shale can produce at 65 dollars, there is absolutely no reason why we should be struggling.

    “So, upper 60 dollars is not too bad; we moved from 27 and 28 dollars; let’s not begin to complain, it is a bit too early. These things fluctuate,” Kachikwu explained.

    NAN

  • 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

  • NNPC mulls PPP for gas pipelines

    The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, has urged the new Board of one of its downstream subsidiary companies, the Nigerian Pipeline Storage Company (NPSC), to partner with the private sector to build more pipelines parallel to the corporation’s existing ones.

    Baru who gave this charge while inaugurating the new Board of the company at the NNPC Towers, yesterday, in Abuja, said such partnership would enhance NPSC’s profitability.

    He said: “Your work also is to look at refurbishing these pipelines and storage along a Public Private Partnership (PPP) arrangement by getting willing private companies to invest in these pipelines. NNPC Management is very much disposed to supporting your efforts in this regard,” the GMD stated.

    Baru further urged the company to double its pipeline network in the next 10 years, stressing that such a target was “absolutely necessary.”

    The GMD described pipelines as arteries of the nation’s Oil and Gas industry, adding that part of the reform process embarked upon by the Corporation under his watch was to birth an NPSC that has a clear focus which sees pipeline storage and distribution as real business.

    “I have a passion for this company and I believe this firm will be a leader in that segment of our operations. That is why we focused our energy on refurbishing, repairing and re-streaming of our storage facilities and pipelines over the last few months,” Baru noted.

    He charged them to also integrate, through their pipelines resources, the various butanisation depots which are used as reception points for Liquefied Petroleum Gas (LPG).

    “We have a lot of LPG that is being exported. This could be utilized domestically in line with our vision of providing alternative energy sources for domestic and industrial use nationwide,” he stressed.

    Baru tasked the NPSC management to engage the various host state governments towards the restoration of the Products Right of Way (PRoW) to ensure the safety of the citizens and products.

    He added that most of the state governments were ever-willing to support the corporation in preventing infringements on its PRoW.

    He expressed NNPC Management’s readiness to engage security agencies against any act of economic sabotage towards the pipelines.

    Responding, the Chairman of the NPSC Board and Chief Operating Officer, Corporate Services, NNPC, Mr. Isa Inuwa, pledged the readiness of the Board to support the NPSC management towards achieving its set targets.

    “It is our vision to transit NPSC to a market-phasing, competitive and profit-making organisation. We are committed as a Board to deliver on this mandate,” Inuwa stated.

    Also speaking, the Managing Director of the company, Luke Anele, an engineer, thanked the NNPC management, saying that although the task before his team was huge, it would nonetheless leave up to expectations.

    Aside Inuwa, the new Board also has Engr. Henry Ikem-Obi, Engr. Luke Anele, Mr. Umar Ajiya, Mr. Ahmadu Sambo, Mr. Abdullahi Gunda, Mr. Ahmed Danladi, Mrs. Betty A. Ugonna and Mr. Victor Omoluabi as members.

     

  • End petrol scarcity queues in 7 days – Senate tells NNPC

    End petrol scarcity queues in 7 days – Senate tells NNPC

     The Senate on Thursday urged the Nigerian National Petroleum Corporation (NNPC) to, within seven days, end lingering scarcity of petrol and clear queues in filling stations across the country.

    This followed a unanimous adoption of report of the Committee on Petroleum Resources (Downstream) on the fuel crisis in the country, at plenary.

    In the report presented by its Chairman, Sen. Kabiru Marafa, the committee recommended that NNPC should be given seven days ultimatum to end long queues in fuel stations in the country.

    The committee stressed the need for security agencies to ensure effective border patrol to check diversion of petroleum products to neighbouring countries.

    It also recommended that the Department for Petroleum Resources (DPR) should double efforts to enforce compliance with government’s regulated pump price of petroleum products.

    “During our recess, the committee moved around some cities, including Abuja and Lagos, to ascertain the situation on ground.

    “When we thought that we were making progress, we just realised that the queues were resurfacing in fuel stations.

    “We also engaged with the NNPC and other stakeholders and we were informed that there were challenges of supply coupled with massive smuggling of petroleum products to neighbouring countries for higher prices.

    “Also, there is the problem of marketers selling above approved pump price,’’ the report stated.
    In his remarks, President of the Senate, Dr Bukola Saraki, urged NNPC to ensure compliance with the resolution and endeavour to end the queues within seven days.

    NAN

  • Marketers to NNPC: Increase petrol supply

    Marketers to NNPC: Increase petrol supply

    Owing to the persistent scarcity of the Premium Motor Spirit (PMS) also known as petrol, nationwide, the Executive Secretary, Depot and Petroleum Products Marketers Association (DAPPMA), Mr. Olufemi Adewole, on Monday urged the Nigerian National Petroleum Corporation (NNPC) to increase its supply to the marketers.

    He admitted that the corporation was giving fuel to marketers, stressing that if there were queues anywhere it meant that the supply was insufficient and that NNPC should increase it.

    Asked to give an update on the petrol market in view of the unending queues in the country, he told The Nation on phone that “I really don’t have an update about happenings in the last few days now. 

    “But I read in the news too. I came into Abuja this morning and I have seen one or two places that have fuel. To the best of my knowledge NNPC is giving marketers fuel. If there are queues it simply means they should give marketers more.”

    Speaking on phone, the National Vice President, Independent Petroleum Marketers Association of Nigeria (IPMAN), Alhaji Abubakar Maigadi attributed the queues to panic buying.

     He recalled that the scarcity started since last month and it was not easy for it to disappear from the whole country immediately.

    According to him, “there has been improvement in terms of loading and supply of  product. In Niger State there are queues but they are not long.”

    The NNPC Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, who was also called for a reaction to the persisting scarcity did not receive his call at press time.

    The fuel scarcity and its resultant queues that engulfed the Federal Capital Territory (FCT) seemed to have aggravated yesterday.

    Most of the independent marketer apart from the Nipco petrol stations in Kubwa, Lugbe Airport road were under lock and key. Some major marketers as Total in Zone 6, Wuse District however sold the product. 

    The NNPC affiliate stations that sold petrol yesterday were besieged by endless queues. The worst hit was the on mega station on Kubwa expressway and the one on Olusegun Obasanjo way, which both recorded long queues.

    At the Nipco on Airport road, it was discovered that the station pegged its maximum sale per vehicle at N3,000 per liter. 

    Although the stations did not alter the prices from a maximum of N145 per, black marketers took advantage of the scarcity to sell petrol in jerrycans on the expressways. They sold theirs for about N200 per litre.

  • ‘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