Energy
Fair Competition Drives Stakeholders Brainstorm on Nigeria’s Downstream Oil Sector
Stakeholders and experts in Nigeria’s oil industry, while discussing Nigeria’s downstream sector, noted the need for stability, especially on the back of the recent deregulation of the sector in line with the Petroleum Industry Act (PIA).
In her opening remarks at a media roundtable on Nigeria’s downstream sector organised by Extractive 360 in Abuja, the Executive Director of the organisation, Juliet Ukanwosu, stressed that the downstream sector remains a vital pillar of Nigeria’s oil and gas industry.
Ukanwosu noted that this is because it directly influences the availability, pricing, and distribution of petroleum products, as well as impacting the daily lives of citizens and the broader economy.
“We have observed, in recent times, the Nigerian petroleum downstream sector is navigating a turbulent phase marked by a combination of opportunities and pressures.
“Since the removal of fuel subsidies, market forces have largely determined pump prices, triggering intense competition — often described as a price war — among operators. This has led to fluctuating product prices, sometimes creating uncertainty for both businesses and consumers.
“In addition, challenges such as high operating costs, irregular foreign exchange rates, import dependency for refined products, and infrastructural bottlenecks have added strain to the sector,” she added.
The executive director pointed out that on the positive side, the liberalisation policy has opened space for more private sector participation, investment in storage and distribution infrastructure, and conversations around refining capacity expansion.
Overall, she stated that the sector was in a state of adjustment, seeking stability and competitiveness amid shifting regulations, volatile market dynamics, and evolving public expectations.
According to her, the session was designed to provide some clarity and new insights which can be used to enlighten the general public, with experts that will provide context, trends, and current realities.
In her presentation, a legal expert, Olasubomi Chuku, highlighted threats to competitive markets, including monopolies, unstable regulatory environments as well as market ambiguities and poor consumer protection.
Despite the enactment of the PIA, she argued that the market is still fairly closed as the licensing process is not open to interrogation through the Freedom of Information (FOI) Act, plus the issue of rejected or delayed approvals to independent players, while petroleum processing is still largely run by the government.
She underlined the near or emerging monopoly in refinery and weak price competition due to limited participants as well as collusion among dominant market participants for price fixing and hoarding, saying that these remain threats to a competitive market and price competition.
She therefore urged journalists to demand transparency during licensing rounds, monitor and publish prices across petroleum products and states and establish a formal process of interaction with regulators and the legislature to track accountability.
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Besides, Chuku urged the media to expose anti-competitive practices and celebrate competitive measures as well as educate the public on the benefits of competition in the oil and gas industry.
In his intervention, an Oil and Gas Governance Consultant, Ademola Adigun, who gave an overview of the industry, highlighted the need to ensure a level playing field in the downstream sector.
Adigun argued that when the sector is driven by fair competition, it makes for a healthy market, and ensuring an investment-friendly environment.
He said: “The petroleum downstream market should be driven by competition, and the competition must be fair and well regulated by its regulators to provide the benefits to the consumers.”
Energy
NLNG’s $10 Billion Train 7 LNG Project to Begin Operations by 2027
Expectations are high that the $10 billion Train 7 project of the Nigeria Liquefied Natural Gas Limited (NLNG) would go into operation by the end of 2027.
Managing Director of NLNG, Adeleye Falade, made the disclosure on the side-lines of the Gastech conference, yesterday, in Bangkok, Reuters reported.
This is part of a grand strategy by the company to raise production and address persistent gas supply constraints.
READ ALSO: Banks Caution Against Scammers over Dangote IPO
Train 7 project, located on Bonny Island, Rivers State, is expected to increase NLNG’s production capacity to 30 million metric tonnes per annum (mtpa), from the current 22 mtpa.
The project has suffered repeated delays, including disruptions associated with the COVID-19 pandemic and the Russia-Ukraine war.
Falade also disclosed that NLNG remained under a force majeure declared in 2022 following widespread flooding that disrupted gas supplies to the company.
According to him, the company would lift the force majeure when it reaches a 90 per cent utilisation rate, with the plant currently operating at between 82 per cent and 83 per cent.
“We still have a delta of about 15 per cent that we need to close,” Falade said. “Operationally, we are able to do that, but our biggest constraint is gas supply, and we’re working with all the relevant people, including the government, to be able to get more gas to flow into the plant,” he added.
He said NLNG was focused on meeting its existing contractual obligations to buyers while the company worked to increase production.
Falade added that interest in additional LNG volumes and spot cargoes had increased after exports through the Strait of Hormuz were curtailed by the Iran war.
“People are looking at more diversified, reliable sources of supply,” he said.
“Our priority currently is to continue to make sure that we fulfil our obligations to our existing customers and maximize as much production opportunity as possible that we have,” he added.
The NLNG is majority-owned by the Nigerian National Petroleum Company Limited (NNPC Ltd), while Shell, TotalEnergies and Eni are its international partners.
Energy
Smart Filling Stations: NNPC Ltd Assuages Job-loss Worries
Public concerns that the introduction of smart and self-service filling stations would lead to job losses in the downstream petroleum sector have been dismissed by the Nigerian National Petroleum Company Limited (NNPC Ltd).
According to the state oil major, the deployment of automated stations was part of efforts to improve efficiency and customer experience. It added that the technology would create new opportunities rather than simply eliminate existing jobs.
The NNPC Ltd also disclosed plans to transform about 900 of its existing retail outlets across the country into modern energy hubs, as it adapts its retail business to changing consumer needs and developments in the downstream sector.
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The disclosures were made in Abuja, during the commissioning of a 24-hour smart, self-service filling station at the headquarters of the Nigeria Immigration Service (NIS).
The Executive Director, Retail Operations and Mobility, NNPC Retail Limited, Shettima Kukawa, said the new model was designed to provide customers with faster, more convenient and technology-driven services.
Kukawa added that the transformation of the company’s retail outlets was not about simply replacing workers with machines, but about creating a modern retail environment capable of providing more services to customers.
He explained that the smart station allows motorists to purchase fuel through the NNPC fuel app, fund their digital wallets and dispense the exact quantity of fuel they have paid for using a self-service code.
The station has a storage capacity of 180,000 litres of Premium Motor Spirit (PMS) and 45,000 litres of Automotive Gas Oil (AGO), with 16 PMS pumps and two AGO pumps.
It also has a six-point electric vehicle (EV) charging facility and is primarily powered by a solar system with more than 200kWh capacity.
Managing Director, NNPC Retail Limited, Hubb Stokman, said the downstream industry was undergoing significant changes following fuel deregulation and the commencement of operations at the Dangote Refinery.
Stokman said consumers were also demanding more services at filling stations, pointing out that the traditional fuel-only model was no longer sufficient to meet their expectations.
“Today shows that the downstream industry is changing after the fuel deregulation and also the start-up of the Dangote Refinery. Our industry is rapidly changing, and I think that more than ever, we need to meet the needs of the Nigerian consumer and their wishes.
“They want to see more services, like a fast food restaurant, convenience shop, maybe a coffee shop, banks. They would like to have a lounge or car wash. All these things that you will see here,” he said.
Also speaking, the Executive Vice President, Downstream, NNPC Limited, Dr Mumuni Dagazau, said the company was moving beyond the traditional concept of a filling station by integrating technology and alternative energy solutions into its retail network.
He said the development represented the type of modern retail infrastructure that should be replicated across the country, stressing that Nigerians deserved improved quality and service.
“Our objective at NNPC is not simply to provide fuel, it is to provide reliable energy solutions and a better retail experience supported by technology and innovation.
“We deserve these sort of stations throughout this country. We need to move away from where we have been and deliver this sort of quality and the service to our people in the community,” Dagazau said.
On his part, the Comptroller-General of Nigeria Immigration Service, Kemi Nandap, commended NNPC Limited for integrating EV charging with conventional fuelling.
Represented by Saidu Daura, the Deputy Comptroller-General, Nandap said the development aligned with global trends in energy transition, climate action and smart mobility, describing it as a practical step towards a cleaner, more sustainable and technology-driven economy.
She said the shift to technologies such as electric mobility could create opportunities for investment, employment, skills transfer and industrial growth.
“Today’s commissioning goes beyond the opening of a service station. It is a statement of confidence in Nigeria’s future and a contribution to building a resilient, green, and technologically advanced nation,” she said.
Nandap called for stronger collaboration between government institutions, the private sector and other stakeholders to promote sustainable development and national progress.
The station operates round-the-clock and includes automated services designed to reduce waiting time and give motorists greater control over their transactions.
Energy
Isa Chairs World Energy Council Nigeria
Abdulrazaq Isa, co-founder of Waltersmith Petroman Oil Limited, has emerged as the chairman of the governing board of the Nigerian Member Committee of the World Energy Council (WEC).
The Board, inaugurated in Abuja on 7 August, is made up of nine members with a diversity of backgrounds, drawn from policy, academia, energy institutions and private enterprise.
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The Board membership consists, Dr Ainojie Alex Irune, 45-year-old, Managing Director of Oando Energy Resources and an Executive Director of Oando PLC. Bala Wunti, formerly Chief HSE Officer at NNPC Limited, serves as the committee’s chief executive, alongside Professor Wumi Iledare, Dr Mustapha Abdullahi, Mrs Aisha Farida Katagum, Dr Emmanuel Okon, Dr Victor Ekpenyong and Dr Imamuddeen Talba.
Irune’s inclusion is notable not primarily as an indication of generational change, but rather as a reflection of the extensive industry transformation evident within his comparatively early career. In many respects, his professional trajectory exemplifies the broader developments that have characterised the Nigerian energy industry over the past decade.






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