Connect with us

Business

NMDPRA Expresses Pleasure with Indigenous Energy Firms

Published

on

Subsidy Removal: NMDPRA Assures Smooth Fuel Supply

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has expressed satisfaction with the investment strides of Nigerian indigenous oil and gas firms in the energy sector.

The Chief Executive Officer of NMDPRA, Saidu Mohammed, spoke during his three-day tour of facilities in the midstream oil and gas sector in Port Harcourt, Rivers State, at the weekend.

Speaking during his team’s facility tour at the Aradel Holdings Plc, Mohammed expressed satisfaction with the company, identifying the midstream market as where the growth of the nation’s economy lies to propel industrialisation.

He thanked Aradel for its improved investment in the oil and gas sector, calling on other Nigerians, the private sector in particular, “to imitate what they have done and build on it.” He stated that Nigeria has enough market for petroleum products, gas as well as cleaner energy.

He said: “What we desire to see is more and more of this kind of assets and that’s what I keep on saying, that the midstream sector is where the growth of the Nigerian economy is; where we can propel all other sectors from the midstream.

“We need more and more refineries. Dangote refinery alone will not be, because our desire is not only for the Nigerian market which we are satisfied with today. We are also looking at the entire African continent and beyond, so that PMS can be sent to as far as America and Europe, not only Africa. But then we have to satisfy our local demand by the local players.

“And Aradel has demonstrated this; that is what we need. What we need is more and more of them to bring up not only the AGO and the fuel oil and the naphtha, but convert that one to another more valuable product such as LPG and gasoline.

“We have seen the expansion programme that they are doing. By the end of the year or turn of 2027, we will have PMS being loaded from here and that is incredible really in the right direction. Our aspiration really at the end of the day is to have the entire economy, the entire value chain of oil and gas being run by Nigerians. For us to do that, we need tremendous investment and those investments don’t come easy.”

ALSO READ: Ojulari Hails Chevron’s Discovery of New Oil Well

Mohammed reiterated that the midstream oil and gas sector needs between $30 billion and $50 billion investments for the country. “I said two days ago that the midstream sector alone will require about $30 billion to $50 billion investment. And those investments can only come from the private sector, not government anymore.

“So, as an authority, as a regulator, what we will do is to make sure that we lay down the desired enablers for them to operate and attract the investment that Nigeria needs. But, first of all, we have to improve what we do and the improvement can be seen here in a world-class facility being operated by Nigerians and that is the way to go.

Mohammed disclosed that the authority is working towards adequate supply of gas products in the country and at an affordable price.

“What we are trying to do is to make sure that ample supply is there. Ample supply as the basic economics says, the more supply you have, the lesser the price it becomes. And that’s where we are desiring to be.

“The desired goal is to make sure that we have ample supply of whatever commodity it is. Whether it is gas or gasoline at an affordable rate and maximised; that affordable rate can only come through competition. And that is what we want to do.

“You can see how we have demonstrated it on PMS. You can see how prices of PMS have gone from N1,000 to N800. And that is what competition brings. As long as we are not subsidising any segment of the business, we will get the desired goal”, Mohammed added.

Business

Adoption of AI Feature as NIPetGE Pays Courtesy Call at NNPC Ltd

Published

on

Enhanced adoption of artificial intelligence and other digital technologies to improve operations in Nigeria’s oil and gas industry is taking the centre stage in relevant circles.

The issue came up strongly when the President-elect of the Nigerian Institute of Petroleum and Gas Engineers NIPetGE, Prisca Kanebi, paid a courtesy call at the Nigerian National Petroleum Company Limited (NNPC Ltd), Abuja.

Biztellers reports that the Kanebi led delegation was received by the Group Chief Executive Officer of the NNPC Ltd, Bayo Ojulari, represented by the Executive Vice President, Gas, Power and New Energy, Olalekan Ogunleye.

According to a statement made available on Sunday, discussions at the meeting focused on the future of Nigeria’s hydrocarbon industry amid global energy transition concerns, technological changes and sustainability targets.

ALSO READ: NNPC Ltd, IOCs Raise Crude Supply to Local Refineries by 103% in 4 Months

The statement indicated that the NNPC Ltd acknowledged the role of NIPetGE in policy advocacy, technical development and innovation within the sector.

Speaking during the meeting, Kanebi highlighted recommendations from the institute’s recent conference, including the proposed establishment of a national centre for intelligent energy systems to support the deployment of artificial intelligence, the Internet of Things and robotics across the petroleum value chain.

She also commended the Federal Government’s decarbonisation efforts and reiterated the institute’s support for policies aimed at improving sustainability in the industry.

The institute also recommended the creation of a hydrocarbon-linked emissions trading system to allow Nigeria to take part in global carbon markets.

The institute also proposed fiscal incentives to support local manufacturing and service delivery in the oil and gas sector, as well as the expansion of the Energy Transition Plan to include measurable upstream decarbonisation targets backed by tax credits.

Other proposals included increased public-private partnerships in emission control infrastructure, carbon capture projects and hybrid renewable energy initiatives.

Both organisations also stressed the need for stronger collaboration between industry and academic institutions to improve professional capacity and align petroleum engineering practice in Nigeria with international standards.

The institute further disclosed that its bill seeking chartered status had passed second reading and was progressing towards a third hearing at the National Assembly.

It added that NNPC Ltd pledged support for future collaborations with the institute on initiatives aimed at improving efficiency and innovation in the energy sector.

Continue Reading

Business

FHC Orders NUPRC to Comply with PIA

Published

on

Continue Reading

Business

Local Firms Lead Revival of Idle Oil Wells – SPE

Published

on

Nigeria’s indigenous oil and gas companies are reopening dormant wells and ramping up production from assets acquired from international oil companies (IOCs) to boost crude oil output.

The Society of Petroleum Engineers (SPE), Nigeria Council, made the assertion through its Chairman, Francis Nwaochie, on the sideline of the Offshore Technology Conference (OTC) which ended at the weekend in Houston, Texas.
Nwaochie said indigenous operators were already taking advantage of opportunities created by disruptions in the global energy market to increase production from existing assets.

According to him, local firms that recently acquired onshore and shallow water assets from IOCs were aggressively reviving inactive wells and maximizing available infrastructure to raise output levels.

“What we are seeing now is that indigenous companies are reopening wells from the assets they acquired from the IOCs. Some of them have almost doubled production from those existing assets,”.

He explained that the renewed focus on dormant wells and existing facilities had become critical at a time the global oil market was facing supply shortages triggered by geopolitical tensions in the Middle East.

The SPE Nigeria Council Chairman noted that Africa, particularly Nigeria, was well positioned to benefit from the supply gap because of the continent’s relative stability compared to some other oil-producing regions.

“There is a huge opportunity for Africa right now. The focus is gradually shifting to Africa because of the volatile environment in many other producing regions.”

He stated that indigenous operators were leveraging digital technologies, financing opportunities and local expertise to improve production efficiency and optimise existing fields.

He added that stronger implementation of local content policies was also helping to create a more stable operating environment for oil and gas investments.

“Local content is very critical. Once communities and local companies clearly understand their roles and benefits, then you create peace across the industry. Business only thrives in peaceful environments.”

ALSO READ: Nigerian Navy Recovers Large Cache of Illegal Refined Petroleum Products

Nwaochie also stressed the need for Nigeria to move beyond crude oil production and begin developing indigenous technologies for the energy industry.

According to him, SPE Nigeria Council was actively supporting innovation and technology development among young Nigerian engineers and researchers.

He disclosed that the association was engaging the National Universities Commission(NUC) on reforms to engineering curricula in universities to better prepare graduates for the future of the energy industry.

“One of our major focuses in SPE is technology development. We should not only import machines and equipment, we must begin to develop our own technologies locally.”

Nwaochie revealed that SPE was already supporting local innovators working on technologies such as remotely operated underwater vehicles (ROVs), noting that indigenous technology development will strengthen Nigeria’s economy and deepen local participation in the oil and gas sector.

“We may not get everything right immediately but we must start somewhere. That is how countries that dominate the global energy industry built their capacities.”

Continue Reading

Copyright © 2022. Biztellers, powered by Alphaxristi.

0
Would love your thoughts, please comment.x
()
x