Connect with us

Energy

NCDMB, Total Celebrates Load Out of Ikike AMD 2 Module, project to create 30,000 jobs

Published

on

NCDMB, Total Celebrates Load Out of Ikike AMD 2 Module, project to create 30,000 jobs

Modupe ASUDO

ABUJA-SENIOR officials of the Nigerian Content Development and Monitoring Board (NCDMB), Total Energies Nigeria and the Department of Petroleum Resources on Saturday in Port Harcourt, Rivers State celebrated the load out of the AMD 2 Module of the Ikike Development Project, describing it as another remarkable Nigerian Content accomplishment by Total Energies Nigeria Ltd.

Oil

The AMD 2 Module is a component of the Brownfield package of the Ikike project, and the contractor is Sudelettra Nigeria Ltd. The project is being developed as a satellite tie-back to the Amenam-Kpono field, also owned and operated by the Total/NNPC JV.

Delivering his address at the load out ceremony held at Sudelettra Fabrication Yard, the Executive Secretary of NCDMB, Engr. Simbi Kesiye Wabote lauded Total Energies for being a worthy partner in Local Content development since the enactment of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act in 2010. He hinted that Total’s local content milestones on the Egina FPSO project remains a reference point for major project promoters to date.

The Executive Secretary who was represented by the General Manager, Projects Certification and Authorization Division, NCDMB, Engr. Paul Zuhumben noted that the Board and Total collaborated at the beginning of the Ikike project to earmark high local content commitments and targets which had now yielded fruits.

He listed some of the pace-setting statistics of the AMD-2 Module to include all engineering design works domiciled in Nigeria with 93 percent or 89,003 man-hours by Nigerian personnel and entire fabrication scope executed at Sudelettra Fabrication Yard, with Nigerians performing 98 percent of the 298,158 fabrication man-hours.

Other third-party services executed by Nigerian companies with requisite facilities included NDT, GRP Piping, Laboratory Testing, among others.

Wabote assured that other work scopes on the Ikike platform would be domiciled in accordance with the agreed local content targets, to sustain the job creation drive of the Federal Government.

He said: “in line with the commitment of Total Energies in the signed Nigerian Content Compliance Certificate (NCCC), hook-up engineering and tie-in services, inspections and integrity works, pre-commissioning and commissioning, marine activities would be executed with over 95 percent Nigerian personnel with locally owned equipment and assets.

“This is in keeping with the Board’s initiatives geared towards utilization of Nigerian owned marine assets and investments.”

The Executive Secretary further noted that the AMD-2 Module provided an opportunity to carry out refresher oil and gas trainings for 57 personnel as well as trainings for 30 new personnel. He requested the contractor and Total to retain the trainees in the remaining part of the Ikike project.

In his comments, the Executive Director, Total Energies, Port Harcourt District, Mr. Obi Imemba indicated that the entire Ikike project has recorded 77 percent overall progress and the construction of the modules-topsides, platforms, risers, jackets and all other packages were executed in various Nigerian yards by different vendors as approved by NCDMB. He added that “Our offshore campaigns are also being executed with vessels that are domiciled in Nigeria and the drilling is with Nigerian companies.”

He confirmed that the company had used the project to enable more than 30,000 jobs directly and indirectly, highlighting that all the aspects of the job were done with the spirit of promoting Nigerian Content and in collaboration with industry stakeholders.

The Executive Director also underscored the company’s commitment to developing a pipeline of oil and gas projects and supporting additional production potentials of Nigeria, adding that the company was keen to capitalize on all the lessons learnt from previous projects to develop the Ikike project in a simple, cost effective and efficient manner.

He recalled that the Final investment Decision (FID) for the Ikike project was taken in 2019, with support of the partners and the AMD-2 Module started in 2020 and on completion it weighed 250 tons.

He commended the contractor for delivering on the project despite the scourge of the COVID-19 and economic challenges and for recording more than 500,000 manhours without any Loss Time Injury (LTI).

Imemba assured that the offshore components of the project were already in progress, including the installation of topsides, adding that that commissioning and celebration of first oil were expected early 2022.

The Project Manager of Ikike Project, Total Energies, Mr. Modestus Nwosu confirmed that over 44 Nigerian vendors were engaged on various scopes of the Ikike project. He added that the project had also followed the instruction of the Board to undertake the renovation of a hostel and workshops in Government Technical College in Port Harcourt, River State.

 

Energy

Sahara Group Urges More Refining, Storage To Boost Africa’s Downstream

Published

on

Inadequate refining capacity, insufficient storage, and impeded product movement across Africa are the three major impediments slowing the growth of the continent’s downstream oil sector, Wale Ajibade, Executive Director, Sahara Group has said.

Ajibade expressed his views in a paper “Africa Downstream Market Developments and Forecast” presented at the recently concluded Africa Refiners and Distributors Association (ARDA) Week 2024 in Cape Town, South Africa.

He maintained that addressing these gaps would transform Africa’s downstream petroleum industry.

Biztellers reports that the ARDA Week 2024 is Africa’s foremost gathering of stakeholders in the downstream oil industry.

Ajibade noted that shoring up the continent’s refining capacity was critical to sustaining efficiency, availability and accessibility in the sector.

He explained that as Africa explored ways of achieving hitch-free energy transition, efforts must be made to ensure optimisation of the sector’s value responsibly and collaboratively.

In his words, “Many African countries lack sufficient refining capacity to meet domestic demand, leading to heavy reliance on imports. This lack of self-sufficiency leaves these markets vulnerable to supply disruptions.

“Addressing this would require fresh investments and collaboration across the sector’s value chain.”

On insufficient storage infrastructure, Ajibade pointed out that this has continued to hamper the ability to maintain strategic reserves and ensure reliable supply during times of high demand or supply chain disruptions.

“In East Africa, shippers at Beira, Dar es Salaam and Mombasa — the key entry ports for refined products — are experiencing significant demurrage. Ageing and poorly maintained pipeline networks result in significant product losses and distribution bottlenecks,” he stated.

According to him, a collaborative solution which involves regulators, operators, investors, financial institutions, and government owned oil companies is required to help the African downstream sector to reach its full potential and provide reliable and affordable energy access to the continent’s growing population.

“Africa’s downstream Market leaders will need to work closely with her the various governments and agencies to carefully navigate the complex challenges through regulation and technology adoption while pushing for sustainable growth across Africa,” he added.

He also stated that the continent increasingly relied on imports of refined products to support consumption growth, primarily due to the underutilisation of existing refineries caused by technical issues.

He called for, “Investments in refinery upgrades, pipeline modernisation, and the construction of new storage facilities will be crucial to overcoming these challenges and unlocking the region’s energy security and economic development.”

Highlighting some positive trends in the sector, Ajibade said the African downstream market is experiencing rapid growth and transformation, driven by soaring energy demand, population growth, and the focus on industrialisation, urbanisation, and economic He explained that these would drive the demand for refined petroleum products, petrochemicals, and related downstream services is forecasted to grow by up to 30% by 2040.

“Africa is experiencing a lot of migration from rural to urban areas. In 2015, Africa had only six cities with more than five residents compared to 17 expected in 2030. Africa has experienced an increase in the number and capacity of industries across the continent, with industrial GDP set to double by 2025,” he said.

On the promotion of regional and cross-border trade, Ajibade noted that initiatives such as the African Continental Free Trade Area are promoting regional integration and facilitating cross-border trade in downstream products.

“This is encouraging investments in integrated downstream assets, logistical infrastructure, and harmonised regulatory frameworks to capitalise on the expanded market opportunities,” concluding that production of chemicals, plastics, lubricants, and specialty products would foster self-sufficiency and spur economic growth through increased job creation, reduced import reliance and enhanced technological innovation,” he added.

Continue Reading

Energy

NNPC Ltd, Partner Unlock 12,000bpd Production From Awoba Unit Field

Published

on

Keen on optimising production from the nation’s hydrocarbon assets to boost revenues and meet her OPEC production quota, the Nigerian National Petroleum Company Limited (NNPC Ltd.) and its Joint Venture partner in the Awoba Unit Field, Newcross Exploration and Production Ltd., have restarted production from the Awoba field which last contributed production to the Bonny Terminal in 2021 and was finally shut down in February 2022 due to evacuation issues and crude oil theft.

This was contained in a statement put out on the state oil company’s X handle on Tuesday from Abuja, under the signature of its Chief Corporate Communications Officer, Olufemi O. Soneye.

He asserted that since the restart of the Awoba field by NNPC Ltd and it partners on April 13, 2024; production from the field has averaged 8,000 barrels per day and is expected to plateau at 12,000 per day at full ramp up within 30 days.

Awoba is also expected to significantly boost gas supply to the power sector and other gas-based industries, Soneye added.

Biztellers reports that the Awoba Unit which straddles OMLs 18 and 24 is located in the mangrove swamp south of Port Harcourt, Rivers State. Both OML 18 and OML 24 assets are under the management of the NNPC Upstream Investment Management Services (NUIMS).

Recall that the NNPC Ltd. has been recording a string of production successes from the JV portfolio which have significantly lifted overall national production. Besides the recent start of production at the Madu Field by the NNPC Ltd/First E&P JV, the company has achieved the restart of production at OMLs 29 and OML 18 in late 2023 which have steadily contributed an average of 60,000bpd to the nation’s production output since their restart.

The Group Chief Executive Officer of NNPC Ltd., Mallam Mele Kyari, ascribed the achievement to the President Bola Ahmed Tinubu administration’s success in providing enabling operating environment for businesses to thrive.

He expressed appreciation to all stakeholders (staff, operators, host communities, government security agencies, and private security contractors) who played a pivotal role in achieving the feat.

Continue Reading

Energy

NNPC Ltd, First E&P Achieve 20,000bpd Production At OML 85

Published

on

The Nigerian National Petroleum Company Limited (NNPC Ltd) and its Joint Venture partner in OML 85, First Exploration and Petroleum Development Company Limited (First E&P), have commenced oil production from the asset also known as Madu Field.

Biztellers reports that production from the field which is located in shallow waters offshore Bayelsa State and operated by First E&P is expected to be at an average of 20,000 barrels per day.

The achievement is a testament to the commitment of the President Bola Tinubu administration to optimise production from the nation’s oil and gas assets through the provision of enabling environment for existing and prospective investors.

According to the Group Chief Executive Officer of NNPC Ltd, Mele Kyari, the commencement of oil production at the Madu Field is a significant milestone that will contribute to the larger goal of meeting the production required to drive revenue growth and boost the nation’s economy.

He commended stakeholders for their support, and opined that the addition of 20,000 barrels per day by an indigenous oil player signals the commitment of stakeholders to achieving economic development for Nigeria.

Recall that the Final Investment Decision (FID) on the development of the Madu Field and a sister field, Anyala, was taken by the NNPC Ltd/First E&P JV in 2018.

Production from the Madu Field will be processed at the JV’s Abigail-Joseph Floating Production Storage and Offloading (FPSO) Unit, which has a crude oil storage capacity of up to 800,000bbls.

Continue Reading

Copyright © 2022. Biztellers, powered by Alphaxristi.