Tag: NNPC

  • Baru returns home as fuel scarcity persists

    Baru returns home as fuel scarcity persists

    In a bid to resolve the fuel supply and distribution challenges witnessed in some parts of the country, the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, on Tuesday cut short his trip to London.

    Baru, who was billed to receive the Forbes Oil and Gas Man of the Year Award for 2017 in the British capital on Tuesday, returned home to address what he described as a “matter of urgent national importance.”

    Speaking on the development shortly before he left London, Baru urged Nigerians to stop panic buying as the Corporation was doing everything within its reach to address the situation.

    The NNPC’s Group General Manager, Group Public Affairs Division, Mr.  Ndu Ughamadu, in a statement quoted the NNPC GMD as saying “for the umpteenth time, I wish to call on all Nigerians to stop panic buying. We have said times without number that NNPC has sufficient products to cater for the needs of all consumers. ”

    Baru directed that more truckload of petroleum products be dispatched to various parts of the country to cushion the effects of excessive demand caused by panic buying.

    Read Also: NNPC to select core investor for Benue bio-fuel project – Baru

     

  • Fuel queues resurface in Sokoto metropolis

    Fuel queues resurface in Sokoto metropolis

    Fuel queues have resurfaced in Sokoto metropolis and its environs, creating hardship for motorists and commuters.

    The queues, which started two days ago, became worse on Monday morning as motorists resorted to panic buying.

    Some of the filling stations belonging to Independent Petroleum Marketers Association of Nigeria ( IPMAN ) have increased the price of a litre of petrol from N145 to N150 per litre.

    At NNPC mega stations and other filling stations run by major marketers, the queues were longer, as they maintained the official price of N145 per litre but were reluctant to sell to motorists.

    Some motorists on queue expressed displeasure about the situation and urged the government to act fast before it degenerated into a major problem.

    “We were happy that fuel scarcity during the yuletide had become history, only for the problem to resurface now.

    “Efforts must be made to curb the problem; especially with the current socio-economic realities in the country,’’ a Motorist, Mr Sifawa Ahmad said.

    Another motorist, Mary Onya said the situation was a cause for concern and government must take immediate action.

    Mr Mohammed Makera, Sokoto Operations Controller of the Department of Petroleum Resources (DPR), said  that the problem would soon ease off.

    “Expectedly, the problem will soon ease off as we will find out what the problem is and everything will be under control soon.

    “Officials of the DPR have embarked on sustained monitoring and surveillance and any marketer found wanting will face necessary sanctions, ’’ Makera said.

    He appealed for more patience and implored people to avoid panic buying in view of its associated dangers.

    NAN

  • NNPC sure of adequate fuel

    NNPC sure of adequate fuel

    The Nigerian National Petroleum Corporation (NNPC) yesterday assured that it has made arrangements for adequate supply of petroleum products across the country to aid hitch-free movement of motorists during and beyond the festive season.

    The assurance came on the background of reported threats by the Lagos State Chapter of the Independent Petroleum Marketers Association of Nigeria (IPMAN) to withdraw its services in Lagos and its environs due to alleged discrepancies in ex-depot prices.

    In a statement, Group General Manager, Group Public Affairs Division, Nigerian National Petroleum Corporation (NNPC), Mr. Ndu Ughamadu, the Corporation stated that the Ejigbo Satellite Depot was fully stocked and carrying out regular loading services.

    The Corporation further explained that the Ejigbo Satellite Depot had consistently dispensed premium motor spirit (petrol) at the approved price of N133.28 per litre contrary to allegations that it was sold at a higher price.

    According to NNPC, there is enough petroleum products in the country to last till the end of the year and 25 vessels laden with petroleum products are also being expected to berth between now and January 2018 to further boost supplies.

  • Hungary interested in Nigerian crude, LNG

    Hungary interested in Nigerian crude, LNG

    At a time that international crude oil market is getting more competitive, the Hungarian Government has indicated interest to purchase crude oil and Liquefied Natural Gas (LNG) from Nigeria.

    The Hungarian Ambassador to Nigeria, Professor Gabor Ternak, who disclosed this during a courtesy call on the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru,  in Abuja, said the decision to import crude oil and LNG from Nigeria was informed by the need to bridge the current supply gap being experienced in Hungary.

    “Hungary depends on oil importation to serve its energy needs as the country is non-oil producing. We want to diversify our sources of crude oil and LNG import and we are considering purchasing these products from Nigeria,” Ambassador Ternak stated.

    The NNPC’s Group General Manager, Group Public Affairs Division,  Mr. Ndu Ughamadu made this known in a statement on Wednesday.

    He said the Nigerian crude oil would be of great help to Hungarian Refineries involved in large scale commercial refining.

    The Hungarian envoy stated that Nigeria could also leverage on the bi-lateral relationship with his country by engaging the services of Hungarian firms that specialize in repairs, maintenance and building of refineries as well as medical services.

    He said that Hungarian universities with many years of oil and gas engineering expertise, could assist Nigeria in the areas of capacity building of oil workers.

    In his remarks, the NNPC GMD, Dr. Maikanti Baru, stated that the Corporation had commenced tendering process for the selection of the 2018 crude oil off-takers, adding that Hungarian companies could utilize the opportunity by participating in the exercise to maximize value from direct purchase, rather than going through a third party.

    “If you don’t participate in the tendering process, you would have to buy the products from one of the traders. However, if you participate with companies and refineries that meet our requirements, they could be shortlisted as off-takers,” The GMD averred.

    He explained that Hungary could purchase LNG through “spot cargo,” an arrangement in which excess production is given to registered off-takers with the Nigerian Liquified Natuaral Gas Limited (LNNG).

    “Normally, gas business is a long-term business and NLNG is not different, we already have existing 20-year contract that will expire by 2022. Nevertheless, we have what is called “spot cargoes”, when there is excess production, and the current contractors have gotten there share as enshrined in the contract, the excess production will be given to registered off-takers in the system,” Dr. Baru averred.

    He said Hungarian companies could submit their profile to NLNG for possible engagement as off-takers of spot-cargoes after meeting the standard requirements.

    The NNPC GMD stated that works on refurbishment of the Corporation’s refineries through original builders of the plants had commenced and that the Hungarian firms with requisite expertise could be considered through subcontracting by the main contractors.

    He said that NNPC through its subsidiary institution, the Nigerian Leadership Academy (NLA), would look into possible areas of collaboration with the Hungarian Universities for in-country capacity building of oil and gas workers.

    As part of the Corporation’s diversification plans, Dr. Baru said the NNPC, which has the largest medical facilities in the country from a single entity, was trying to put its 52 clinics across the country into commercial use, starting with its clinic in Abuja.

    He said NNPC would collaborate with Hungarian and other reputable companies that have proven capabilities to set-up world-class medical facilities for heart, spinal and brain surgeries as well as physiotherapy and specialized laboratories services that can compete globally and save Nigerians the burden of traveling abroad for treatment.

  • NNPC warns filling stations under-dispensing petroleum products

    NNPC warns filling stations under-dispensing petroleum products

    Mr Yemi Adetunji, Managing Director, Nigerian National Petroleum Corporation (NNPC), Retail, on Tuesday warned filling stations under-dispensing petroleum products to desist, saying the corporation had zero-tolerance for such irregularity.
    Adetunji gave the warning at a news briefing in Abuja on what the corporation was doing to reduce incidence of under-dispensing oil marketers with NNPC brand.
    According to him, the three strategic themes of NNPC Retail are business growth, being self-sustaining, and customers’ satisfaction, hence no customer should leave any of the retail outlets with dissatisfaction.
    “One of the key factors in retail business is that customers get value for what they pay for. We have a zero-tolerance for under-dispensing.
    “We have a network development and control section that monitors under-dispensing, policing the sales and the dealers. We have sanctions if they are caught.
    “It gets to a point where contracts of dealers will be terminated,’’ Adetunji said.
    Prodded for instances where action was taken against erring dealers, he said “for stations that take our brand as theirs, we have cases in court.
    “For those we have terminated relationships with, we are following through with the process until we totally disengage.
    “Our brand equity in 15 years is one of the highest in the country and we can’t allow any dealer to toy with that.
    “We are one of the companies declaring profits in the industry,’’ he said.
    Adetunji urged the public to report any filling station suspected to be under-dispensing fuel products or any other shady deal, and gave out contacts, including telephone numbers, for such report.
    He said that at the end of 2016, the organisation had a 14-per cent market share which could be “inching closer to 15 per cent now, though computations are done at year-end’’.
    The managing director said NNPC Retail would open three more mega stations to the public.
    According to him, one will be opened on Nov. 30 in Sagamu, the second by year-end in Port Harcourt and the third, in the first quarter of 2018 in Yenagoa.
    “It is a state-of-the-art 22-nozzle station. It has a bigger capacity, would be 24/7 open, available at all time. It is much bigger and can serve more vehicles conveniently at the same time.
    “It has room for expansion to build a hotel and park tankers for drivers that want to relax and lay over. It is along Lagos-Ibadan expressway,’’ he said.
    On the corporation’s Health, Safety and Environment report for the past year, he said that accidents were reduced by 55 per cent, zero-fire incidence was recorded and all trucks were in good working conditions.
    Established 15 years ago, the NNPC Retail was conceived as profit-oriented to operate model retail outlets with efficient service delivery of petroleum and allied products to customers in an environmentally-friendly manner.

  • NNPC chief: investor soon for Benue bio-fuel plant

    NNPC chief: investor soon for Benue bio-fuel plant

    Plans are underway to get investors for the bio-fuel plant in Benue State, it was learnt yesterday.

    Group Managing Director of Nigeria National Petroleum Corporation (NNPC) Dr Maikanti Baru spoke after a meeting with a delegation, led by Deputy Governor Benson Abounu.

    In a statement by the Group General Manager, Public Affairs Division, Ndu Ughamadu, Baru,  said the investor would be named soon.

    Represented by the Chief Operating Officer, Ventures Directorate, Dr Babatunde Adeniran, Baru explained that the core investor will provide 70 per cent funding, with the state and NNPC providing the balance.

    According to him, the plant will generate about one million jobs, and will link the energy as well as agricultural sectors, through commercial production of bio-fuels from selected energy crops.

    The NNPC boss listed other components of the project as sugarcane feedstock plantation of about 20,000 hectares; cane mill and raw/refined sugar plant producing 126,000 tonnes annually.

    The plant also includes a fuel-ethanol processing plant, with a capacity of 84 million litres annually.

    His words: “The bio-fuels projects will also help to establish the bio-gas cogeneration power plant, which will generate 64mw; carbon dioxide recovery and bottling plant that will produce 2,000 tonnes annually, as well as animal feed plant that will produce 63,000 tonnes annually.”

    Abonu said: “Benue State is offering 20,000 hectares of irrigable land space along the bank of River Benue as its equity contribution to the project in addition to a yet-to-be specified tranche of funds to shore up its stake to the level of directorship in the yet-to-be constituted board.”

  • Why Nigerian varsities can’t be among world best – ABU VC

    Why Nigerian varsities can’t be among world best – ABU VC

    The Vice Chancellor of Ahmadu Bello University ( ABU ), Zaria, Professor Ibrahim Garba has given reason why Nigerian universities cannot be among the best ranking in the world, saying that, no university can train Oxford counterpart with N20,000 per annum.

    The Vice Chancellor stated this at a press conference ahead of the university’s 40th Convocation Ceremony coming up on Saturday.

    As part of activities slated for the convocation is a lecture that will be delivered today (Friday) by the Group Managing Director of Nigeria National Petroleum Corporation (NNPC), Dr. Maikanti Kachala Baru, while the Oba of Lagos, Rilwan Akiolu will chair the session.

    However, Professor Garba while speaking on the prospects and challenges of Ahmadu Bello University identified lack of adequate funding as the major challenge of ABU, like its counterparts across the country.

    He said, if the Nigerian universities must produce graduates equal to those of Oxford, the government must be ready to fund it or be bold to ask students to pay.

    According to him, Our challenge in the university is there is no enough funding. No funding is enough but we are looking for adequacy in funding. For instance, this university spends N50 million monthly on power and government does not give us more than N120 million for over head annually. This money cannot pay my power cost for three months.

    “I have 50,000 students with half of them living on campus that I have to provide power and water for. An undergraduate student pays N20,000 as charges for the year and they want to take a degree that is equivalent to that of oxford. Is it realistic? And the government that tells them not to pay does not pay the balance.

    “A degree is a product. How much does it take to produce a graduate? How much is the student paying? What is the balance and who pays the balance? If you don’t pay the balance, that person will get a degree that is equivalent to whatever available money is there. There is no miracle about it. That is why the standards are falling.

    “Let us not deceive ourselves. There is a cost to everything. If you don’t bear the cost, you take less. We go for Chinese products but the Chinese products will only last for certain number of years. But if you buy a superior product, it last longer. Let us not deceive ourselves. There is no funding in the Nigerian system.

    “There are no funds to do research. The lecturers use their small salaries to do research in order to create knowledge to help the society. It is something that is challenging. In ABU, we have 2, 800 academic staff to carter for 50,000 students. If you do a simple arithmetic you will know the student teacher ratio.

    “In as much as we want to be seen to be producing quality graduates, the investment is essential and necessary. The Nigerian government certainly is not investing as much as it should in education. We must invest. If you don’t invest, you will never get quality products.

    “Investment in education is not a matter of luxury. If you want you must invest. You give universities a pittance to produce the same graduate that you pay 12,000 pounds to train. The more we train, substantial number of them drift away because if you train somebody, it is not even fair on the person to expect that he will come back and not have working tools. That guy will either leave the country or stay and waste. This is a big deal.

    “The government must be bold to either fund or ask the students to pay. If you don’t do this, we will continue like this, nobody will come from the USA to intervene by paying the cost of university. And worse of all, you continue to open more universities when you have not funded the existing ones.

    “If ABU is challenged with manpower, just imagine what other universities are facing. Even the money that we make we use it augment salaries. And we send our children abroad. We deceive ourselves that our universities are not ranking properly and I ask, if you are to rank the National Assembly against other assemblies in the world, will they rank high? You cannot remove the university from the nation. The same rot we find in the society is also in the universities”, he said.

    Speaking on the magic wand of the university’s success story, the Vice Chancellor said, “within our limited resources, we grow more faculties. But we also task the existing faculty more and more. I want people to know that when you see academic staff agitating, this is the problem”.

    Read Also: VC calls for improved girl-child enrollment in public schools

  • Refineries: NNPC eyes 445,000 bpd output by 2019

    Refineries: NNPC eyes 445,000 bpd output by 2019

    The Nigerian National Petroleum Corporation (NNPC) will not renege on its plans to return the four state-owned refineries – Port Harcourt 1&2, Warri and Kaduna – to their installed capacity of 445,000 barrels per day (bpd) by 2019, its Group Public Affairs Manager, Ndu Ughamadu, has said.

    According to him, the NNPC inaugurated nine committees on the rehabilitation of refineries last September to achieve the goal.

    The committees, he said,  include rehabilitation; stakeholder management; financing; legal and procurement.

    Others are pipeline, crude oil supply, security, staffing and succession planning.

    According to him, the committees are made up of pragmatic and result-driven persons, adding that they have promised to provide  workable solutions to the problems of the refineries.

    Ndu Ugbamadu said: ‘’While the committee on rehabilitation is headed by NNPC’s Group Managing Director Dr Maikanti Baru, the committee on stakeholders management is being headed by the Chief Operating Officer, Refineries and Petrochemicals, Engineer Aniboh Kragha. The committee on stakeholders’ management deals with issues bordering on the communities, where the refineries are located.”

    He added:‘’The leaders and members of these committees have taken it upon themselves the duty to investigate, analyse and proffer solution to the numerous problems facing the refineries. They hold meeting everyday, including Sundays. As I’m talking,  this Sunday afternoon, the heads of the committees and their members are holding meetings in order to make good of their promise of returning the refineries to optimal capacity, within a timeline of two years ( 2017-2019) given them by the Federal Government.”

    He said the NNPC has mandated the committees to do a thorough job of revving the refineries.

    Ughamadu said the process of returning the refineries to good condition is a long one, stressing that the committees in realisation of this fact, are taking their time to do a good job.

    The committees, Ughamadu said, are expected to submit reports of their activities to the NNPC’s GMD, Dr Baru, for their next line of action.

    He said the NNPC is not thinking of penalising any of the committees as they have agreed to do their best on making the refineries work well.

    The country, he said,  would not have any need of sapping crude for fuel by 2019, hence the directive to the committees to return the refineries to their nameplate capacities of 445,000 barrels per day.

    It would be recalled that the Federal Government had sunk billions of naira into turnaround maintenance of the refineries  without tangible results.

    The NNPC, in a recent document, said the four refineries have gulped up to $1.746 billion or N264 billion, when using a 16-year average dollar/naira exchange rate of N150.99 per dollar.

    The $1.746 billion turnaround maintenance investments were different from the $308 million reportedly spent for the same purpose by the military governments of late General Sani Abacha ($216 million) and General Abdusalami Abubakar (rtd) ($92 million).

    To avert waste of funds, the NNPC set up committees to provide modalities on how to make the refineries work. Prior to this, the NNPC unveiled a 2019 target to end the swap of 330,000 barrels daily through Direct Sale Direct Purchase (DSDP) arrangement, a new version of crude-for-product swap.

  • PENGASSAN backs NNPC on exploration in inland Basins

    PENGASSAN backs NNPC on exploration in inland Basins

    The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has commended the Nigerian National Petroleum Corporation (NNPC) on the exploratory activities it has been spearheading in inland basins.

    PENGASSAN National President, Comrade Francis Johnson, who led the Central Working Committee (CWC) of the union on a courtesy visit to the NNPC Group Managing Director, Dr Maikanti Baru in Abuja, said the yeoman job being undertaken by the NNPC with regards to the frontier basins would benefit the nation ultimately.

    Johnson, according to the NNPC statement that made this disclosure, said the union’s fervent prayer was for a breakthrough to be achieved in the Corporation’s exploratory efforts in the basins.

    The Management of NNPC under the leadership of Dr. Baru, has in recent time, embarked on aggressive exploratory operations in the nation’s frontier basins of the Chad Basin and Benue Trough in line with the aspiration of the Administration of President Muhammadu Buhari to increase the reserves base of the country.

    Dr. Baru, since assumption of office last year, has drummed up support for the exploration activities with critical stakeholders in Bauchi, Borno, Sokoto and Nassarawa State.

    In Nassarawa State recently, he disclosed that NNPC’s Frontier Exploration Services (FES), a services company of the Corporation, had mobilized the Integrated Data Services Ltd (IDSL), (an Upstream arm of the NNPC) to acquire seismic data in the Benue Trough commencing from the Keana area.

    At the visit to the GMD, the PENGASSAN National President also commended the NNPC GMD for collaborating with other government agencies and critical stakeholders to bring about efficiency in the Petroleum Industry, adding that his efforts has also led to the improved products supply situation being enjoyed in the country.

    Comrade Johnson said the NNPC Management was capable of returning the refineries to profitability while expressing the union’s confidence in the Corporation’s effort in that regard.

    “PENGASSAN will support any effective, efficient and sustainable model that can make the refineries viable,’’ Comrade Johnson said.

    He also called on the GMD to intensify the ongoing rehabilitation of the downstream facilities, especially the depots, pipelines, tank farms and jetties to further ensure seamless supply of products across the country.

    On the Petroleum Industry Bill, the PENGASSAN President emphasized the need for its speedy passage, adding that the unions were ready to collaborate with the National Assembly to resolve knotty issues associated with it.

    Responding, Dr. Baru disclosed that President Muhammadu Buhari had mandated him and the NNPC Management to bring back the refineries to their glorious days and thanked the unions for their belief in his capability to deliver on the president’s mandate.

    He said funding had been a major challenge in the rehabilitation of the refineries but was however optimistic that the various options being explored would yield positive results.

    The GMD expressed appreciation to the unions for their support in his effort to move the Petroleum Industry forward, while lauding their pragmatic approach to handling issues, saying this has helped to bring about industrial harmony.

    On his part, Chief Operating Officer (COO), Corporate Services, Alhaji Isah Inuwa, urged the unions to continue to work on the part of amity, while assuring them of NNPC management’s readiness to continue to collaborate with them in the overall interest of the Industry and the nation.