By Yemie Adeoye

NIGERIA’s President Bola Tinubu has announced that the protracted ExxonMobil-Seplat upstream oil divestment will be formally approved by the Minister of petroleum within a matter of days, just as he announced his government’s intention to expand the Compress natural Gas, CNG buses initiative.

The President who stated this during his Independence day nationwide broadcast stated that the move is in line with his administration’s commitment to free enterprise, free entry and free exit in investments which is the hallmark of his administration investment policy.

“Fellow compatriots, our administration is committed to free enterprise, free entry, and free exit in investments while maintaining the sanctity and efficacy of our regulatory processes. This principle guides the divestment transactions in our upstream petroleum sector, where we are committed to changing the fortune positively. As such, the ExxonMobil Seplat divestment will receive ministerial approval in a matter of days, having been concluded by the regulator, NUPRC, in line with the Petroleum Industry Act, PIA. This was done in the same manner as other qualified divestments approved in the sector.”

The President also seized the opportunity to plead with Nigerians to be patient with his administration’s reform policies. “As your President, I assure you that we are committed to finding sustainable solutions to alleviate the suffering of our citizens. Once again, I plead for your patience as the reforms we are implementing show positive signs, and we are beginning to see light at the end of the tunnel”.

“Our energy transition programme is on course. We are expanding the adoption of the Presidential Initiative on Compressed Natural Gas for mass transit with private sector players. The Federal Government is ready to assist the thirty-six States and FCT in acquiring CNG buses for cheaper public transportation.

Fellow Nigerians, while we are working to stabilise the economy and secure the country, we also seek to foster national unity and build social harmony and cohesion. Our economy can only thrive when there is peace”. he enthused.

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has projected a significant reduction in petrol prices once the Dangote Petroleum Refinery begins direct sales to oil marketers.

Speaking in an interview with Channels Television, IPMAN spokesperson Chinedu Ukadike said the association is in talks with the Dangote Refinery to secure direct lifting rights for Premium Motor Spirit (PMS), commonly known as petrol.

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This move comes after the federal government directed the refinery to sell exclusively to the Nigerian National Petroleum Company Limited (NNPC), with other marketers required to buy from the national oil firm.

He explained that bypassing middlemen by allowing marketers to source petrol directly from the refinery would cut unnecessary distribution costs, leading to lower prices at the pump for consumers.

Ukadike said, “We have written to Dangote, and he has responded positively, indicating readiness to discuss with us. We believe that these discussions will soon yield results, and whatever agreement we reach will be shared with Nigerians. We want to take our products directly to cut off all these unnecessary price hikes.”

Addressing public concerns about independent marketers being driven by profit, Ukadike reaffirmed IPMAN’s commitment to ensuring fair and affordable fuel prices for Nigerians.

He also expressed optimism that the collaboration with the Dangote Refinery, alongside the anticipated reopening of the Port Harcourt Refinery, would help resolve bureaucratic bottlenecks and stabilize petrol prices across the country.

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.