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

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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

OPEC+ Retains Output at 30.9mbpd

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Nigeria’s crude oil production averaged 1.238m bpd in June – OPEC

In a confirmation of expectations that more policy adjustments will not occur until 2027, OPEC+ oil-producing countries have voted to keep December production targets steady.

The OPEC+ alliance, yesterday, agreed in principle to keep its combined December oil output targets unchanged at 30.9 million barrels per day (bpd), with Saudi Arabia’s individual target held at 10.5 million bpd.

The resolution was passed at a virtual meeting attended by seven core OPEC+ members- Saudi Arabia, Russia, Iraq, Kuwait, Algeria, Kazakhstan and Oman.

This is as the group continues to struggle with export disruptions from the Middle East crisis, while Gulf members have been boosting exports that have been disrupted for months by the conflict, most are still pumping well below their targets.

OPEC+ comprises the Organisation of the Petroleum Exporting Countries (OPEC) and allies including Russia. Only the seven members — plus the United Arab Emirates (UAE) until it quit OPEC in May — have been involved in monthly output decisions in recent years.

READ ALSO: Gas Infrastructure Fund Sets Terms for Indigenous Access to Funding

All members of the 21-country group are due to meet on November 29, when it will decide 2027 quotas.

“Today’s decision was the easy one,” said Jorge Leon, an analyst at Rystad. “The much more important test comes at the November 29 ministerial meeting, when OPEC+ will decide its 2027 production framework.”

Oil prices jumped more than two per cent on Friday, with Brent crude settling at almost $118 a barrel, the highest since April, as traders braced for a potential escalation in the Iran war after the US midterm elections.

“OPEC+ faces an extremely difficult call for 2027,” Leon added. “The group has to plan around huge uncertainty over the US-Iran war, the pace of recovery through the Strait of Hormuz, and the size of the surplus that could emerge once disrupted barrels return.”

The seven members have been boosting output targets for much of 2026 and in September completed the phased rollback of a 1.65 million-barrel-per-day supply cut first agreed in 2023. At earlier meetings, they kept the targets steady for October and November.

OPEC+ still has one more layer ⁠of production cuts of about two million bpd covering most members through the end of 2026.

The group needs to complete a review of members’ production capacity during the fourth quarter before setting the 2027 baselines that will determine future quotas ⁠and shape plans to unwind those cuts, sources have said.

The Iran war has disrupted projects to expand capacity across the Middle East, throwing estimates of future production potential into uncertainty, Reuters reported in October. As a result, the review is now expected to be completed by mid-November.

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U.S. to Tweak LNG Safety Rules for Foreign Markets

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With a view to accelerating infrastructure development and reducing operating costs, the U.S. Department of Transportation is contemplating a new set of safety regulations for liquefied natural gas facilities.

This is coming as American exporters prepare for another major expansion in global natural gas markets.

It was gathered that the proposal, issued by the Pipeline and Hazardous Materials Safety Administration (PHMSA), would modernize federal LNG safety requirements by incorporating standards developed by the National Fire Protection Association.

READ ALSO: Investors Embrace DPRP IPO Globally, 120 Countries, 54 African Nations

The changes are to address facility location, engineering, construction, operations, and maintenance, with greater flexibility to adopt newer technologies.

Transportation Secretary, Sean Duffy estimates that the updated framework could save LNG operators approximately $100 million annually while maintaining safety protections. The projected savings are an agency estimate, and the proposal has not yet become a final regulation.

The initiative comes as the United States strengthens its position as the world’s largest LNG exporter. American export capacity is expected to increase by approximately 100 million metric tons annually by the end of the decade, supported by projects already under development and additional planned investments.

Global LNG demand has also become more sensitive to geopolitical disruptions. Interruptions to Middle Eastern gas shipments associated with the conflict involving Iran have encouraged international buyers to evaluate alternative suppliers and diversify long-term procurement arrangements.

U.S. LNG developers have responded with additional investment commitments. Projects representing more than 50 million metric tons of annual capacity have reached final investment decisions since the beginning of 2025.

Major exporters, including Cheniere Energy and Venture Global, are pursuing additional development opportunities as federal policy places greater emphasis on expanding domestic energy infrastructure.

However, regulatory modernization does not eliminate the financial or operational challenges associated with LNG construction.

Developers must still secure the Federal Energy Regulatory Commission (FERC) approvals, complete environmental reviews, arrange financing, and address potential legal challenges. Pipeline connections, specialized equipment availability, construction costs, and long-term customer contracts also influence project schedules.

Delfin LNG, which is developing a floating export facility, illustrates the importance of infrastructure safety approvals. Its associated pipeline has not received publicly confirmed PHMSA clearance to resume operations following an explosion earlier this year.

Separately, FERC has proposed a streamlined authorization framework for certain modifications and expansions at existing LNG facilities, including activities that could qualify for automatic approval or shortened review periods.

For energy investors, the combined regulatory initiatives could improve development visibility and reduce some costs, although their financial impact will depend on final requirements and individual project circumstances.

Additional LNG export capacity could support demand for U.S. natural gas production, particularly from major producing regions connected to Gulf Coast terminals.

Midstream operators, engineering companies, compression equipment manufacturers, and construction contractors could also benefit from continued infrastructure investment.

At the same time, greater export demand may increase domestic natural gas price sensitivity to international markets, creating different implications for producers, utilities, and industrial consumers.

Investors will be monitoring the final PHMSA regulations, FERC permitting developments, LNG project financing decisions, and the pace at which proposed export capacity enters commercial service.

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Energy

NALPGAM Preaches Innovation, Safety to LPG Operators

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GAS: New Temile/Hyundai LPG Vessel to bring down high cost of cooking gas in Nigeria-NCDMB

The Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) has urged operators in Nigeria’s liquefied petroleum gas (LPG) industry to strengthen safety standards, improve regulatory compliance and adopt digital technologies to reduce operational losses and drive business growth.

The association said improved operational practices would help protect investments, enhance efficiency, build consumer confidence and support the sustainable expansion of C.

The call followed its 2026 webinar, themed “Downstream LPG Operational Excellence and Compliance,” which brought together industry operators, regulators and other stakeholders to discuss safety risks, market volatility, operational inefficiencies and regulatory requirements in the downstream LPG sector.

Speaking at the event, NALPGAM National President, Edu Inyang, said the industry’s long-term growth would depend on more than increased consumption and supply volumes, stressing the need to embed safety and operational efficiency in everyday business practices.

“The future of Nigeria’s LPG industry cannot be achieved by increasing volumes alone. We must grow safely, responsibly, efficiently and sustainably. Safety is not an occasional campaign; it must become a continuous industry culture,” he said.

READ ALSO: Tinubu Promises to Boost Local Production with NNPC Refineries

A major outcome of the webinar was a proposal for a NALPGAM Standard of Operational Excellence, anchored on four principles: safe and well-maintained facilities, competent and adequately trained operators, regulatory-compliant processes, and consumer protection.

Participants urged operators to integrate safety into routine operations, strengthen preventive maintenance and comply with licensing and incident-reporting requirements.

They also called for an end to unsafe practices, including unauthorised propane blending and illegal decanting, warning that such activities could expose businesses and consumers to avoidable risks.

Inyang said compliance should be viewed as a means of strengthening business performance rather than merely fulfilling regulatory obligations.

“Compliance is not merely a regulatory burden; it is a business advantage. Well-managed LPG operations reduce accidents, improve efficiency, protect investments and strengthen public confidence in our industry,” he said.

The webinar also highlighted the role of digital technologies in improving operational efficiency and accountability across the LPG value chain.

Participants identified smart filling systems, automated tank gauges, load cells, flow meters and vehicle-tracking systems as practical tools for monitoring product movements, reducing losses and improving inventory management.

Wider adoption of these technologies, they said, could help operators strengthen operational controls, minimise discrepancies and improve the reliability of LPG distribution.

The discussions come as Nigeria seeks to expand LPG consumption to approximately five million tonnes annually by 2030, a target that will require increased investment, stronger distribution networks and wider consumer access.

Stakeholders called for greater industry participation in the Decade of Gas LPG penetration programme, alongside stronger collaboration to expand access, improve cylinder traceability and promote certified local manufacturing.

The NALPGAM also urged regulators and programme coordinators to involve its members more actively in implementing LPG penetration and cylinder recirculation initiatives.

According to the association, its members’ nationwide presence and proximity to consumers could help improve the reach and effectiveness of programmes designed to increase LPG adoption.

Reiterating the association’s position, Inyang said the industry must establish clear operational standards that protect consumers while supporting efficient and sustainable business practices.

“Our aspiration is clear: every LPG facility must be safe and properly maintained, every operator competent and adequately trained, every process compliant, and every customer protected. This is the standard of operational excellence we must collectively pursue,” he said.

The NALPGAM reaffirmed its commitment to working with government agencies, regulators and industry stakeholders to develop a safer, more efficient and competitive LPG market.

The association maintained that embedding safety, strengthening compliance and deploying appropriate technologies would be critical to improving operational performance and supporting the long-term growth of Nigeria’s LPG industry.

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