The $550 million upstream gas project between the NNPC Ltd and TotalEnergies on the development of the Ubeta field has taken off, the Presidency announced on Tuesday.

This was contained in a statement in Abuja, on Wednesday, by the Chief Corporate Communications Officer, NNPC Ltd, Olufemi Soneye.

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According to Soneye, the Special Adviser to the President on Energy, Olu Verheijen, made the disclosure during an inaugural US-Nigeria Strategic Energy Dialogue, hosted by the U.S. State Department in Washington, DC.

“The signing ceremony of the 550 million USD Final Investment Decision (FID) on the Ubeta Field Development Project took place in Abuja in June, this year,” he stated.

The Ubeta field, which was discovered in 1964, is located northwest of Port Harcourt, Rivers State.

It was gathered that at a luncheon organised as part of the inaugural US-Nigeria Strategic Energy Dialogue, Verheijen revealed that the upstream gas project would deliver 350 million standard cubic feet of gas per day when operational.

Verheijen added that major energy reforms introduced by President Bola Ahmed Tinubu since June 2023 focused on improving energy security, attracting investments, and deepening collaboration with key partners, including the US government.

She said the key reforms had improved the viability of the gas-to-power value chain of the country.

The reforms, according to her, included initiatives to improve cash flows in electricity distribution through smart metering and the payment of outstanding debts owed investors and to reduce carbon emissions from gas production.

She added that the President issued five new executive orders to support the reform efforts, aimed at providing fiscal incentives for investment and reducing the cost and time of finalising and implementing contracts to develop and expand gas infrastructure.

The presidential aide said the directives are aimed to immediately unlock up to $2.5 billion in new oil and gas investments in the country.

Responding, the U.S. Assistant Secretary of the State Department’s Bureau of Energy Resources, Geoffrey Pyatt, said the dialogue was apt and strategic.

“The inaugural U.S.-Nigeria Strategic Energy Dialogue has set the stage for strengthened energy collaboration between the United States and Nigeria. Together, we’re advancing shared energy security, decarbonisation, and economic growth goals,” he said.

Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, led the Nigerian delegation to the event.

Officials from the Ministry of Power, Nigerian Upstream Petroleum Regulatory Commission, Nigerian Midstream and Downstream Petroleum Regulatory Authority, Nigerian Content Development and Monitoring Board, and NNPC Limited were also in attendance.

The U.S. delegation included representatives from the Bureau of African Affairs, USAID, the U.S. Department of Energy, the U.S. Trade and Development Agency, and the Export-Import Bank.

Joe Ajaero, the President of the Nigeria Labour Congress (NLC), has criticized the Nigerian government for its role in the current pricing dispute between the Nigeria National Petroleum Corporation Limited (NNPCL) and the Dangote Refinery, attributing it to erratic government policies.

In a press briefing at Murtala Muhammed Airport Terminal Two on Wednesday, Ajaero condemned the situation as fraudulent and argued that a deregulated market should encourage competition and consumer choice, not impose restrictive pricing.

He asserted that the attempt to regulate Dangote’s pricing or influence private sector costs undermines fair market practices.

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Ajaero called on Nigerians to voice their concerns, claiming the government’s actions are undermining the private sector’s ability to set prices.

He said, “For a product produced here, he didn’t import with dollars, there was no landing cost, and they want him to sell it at the same cost as what they are bringing from abroad. That is fraudulent and unacceptable.”

Additionally, Ajaero criticized the government for not repairing the refineries as promised in August of the previous year, noting that no progress has been made as of September 2024.

On the subject of the N70,000 minimum wage, Ajaero assured that implementation is on track according to the agreement made on April 18, 2024.

He confirmed that the National Assembly has approved the bill, and the committee on consequential adjustments is actively working on its rollout.

The Coalition of Energy Reforms Lawyers and Activists (CERLA) has raised serious allegations against the Nigerian National Petroleum Company Limited (NNPC Ltd), accusing the state-run oil firm of attempting to sabotage the operations of Dangote Refinery.

In a recent press briefing, CERLA claimed that the NNPC Ltd falsely reported that Dangote Refinery was selling Premium Motor Spirit (PMS) at ₦868 per litre.

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The coalition’s spokesperson, Okwa Dan, condemned these actions, labeling them as a deliberate move to obstruct the progress of Dangote Refinery while fostering corruption within Nigeria’s energy sector.

“The NNPCL has consistently acted as a barrier to transparency in the sale and distribution of crude oil in Nigeria,” Dan remarked.

He further criticized the company for favoring the importation of low-quality fuel, which he described as both “fraudulent and counterproductive.”

Dan also accused the NNPCL, under the leadership of Mele Kyari, of sustaining a fuel subsidy scam that has kept the country dependent on imported PMS.

According to CERLA, the latest actions against Dangote Refinery are part of a broader scheme to stifle locally operated refineries.

“The NNPCL’s operations remain opaque, and we question why it has been designated the sole off-taker of PMS from Dangote Refinery,” Dan said, further arguing that the NNPCL’s claims of high PMS prices are misleading, as Dangote’s crude stock is priced in dollars.

CERLA has called on the NNPCL to cease what it terms a “slander campaign” against Dangote Refinery and has threatened legal action if the issue persists.

The coalition emphasized that the Nigerian public has suffered enough from the NNPCL’s lack of transparency and demanded accountability from the corporation.

Dan concluded by suggesting that the NNPCL’s discomfort stems from the emergence of the Dangote Refinery and urged the government to intervene in the matter.