Oil
NNPC Resumes Pumping of Petroleum Products to Ibadan
…Calls for Concerted Efforts to Combat Pipeline Marauders
By Joseph BAMIDELE
IBADAN – Less than 24 hours after men suspected to be oil thieves ruptured the Mosimi –Ibadan fuel supply pipeline along the crucial System 2B oil Pipeline network leading to a massive inferno, the Management of the Nigerian National Petroleum Corporation, NNPC on Sunday announced that it has successfully resumed fuel supply operation to Ibadan and its environs after repair works on the damaged line.
Acting Group General Manager, Group Public Affairs Division of the NNPC, Tumini Green stated that a team of engineers and technologists from the NNPC and its downstream subsidiary, the Pipelines and Products Marketing Company, PPMC worked assiduously over the weekend to restore the line to normal operation.
The NNPC Spokes person stated that the Corporation was quick to respond because of its determination in ensuring that Nigerians do not undergo any form of scarcity in supply of petroleum products as a result of the activities of some unpatriotic citizens.
“At exactly 20.06 hrs on Saturday, the Mosimi –Ibadan line was re-streamed after repair works at the ruptured point. While we remain committed to our resolve in ensuring ulnimpeded distribution of petroleum products across the country despite the mounting odds, we call on members of the public to support the NNPC and the security agencies in this fight against oil thieves and pipeline hackers,’’ Tumini stated.
The NNPC called on Ibadan residents and the adjoining communities to refrain from panic buying or hoarding of petroleum products in anticipation of scarcity.
For something now the efforts of the NNPC in ensuring unimpeded distribution of products through its vast artery of pipelines have come under serious threat due to the activities of oil thieves especially in the System 2B pipeline network which accounts for a third of products supply in the country.
Over 774 ruptured points was recorded between August to October, 2012 along the System 2B artery .
The NNPC is currently working with the Engineering Corps of the Nigerian Army to clear the pipeline right of way from the Atlas -Cove in Lagos to the Ilorin Depot in Kwara State. The Corporation is also introducing the Horizontal Direct Drilling System, HDD to redirect the pipelines from the reach of vandals.
Oil
FG Introduces New Incentives To Revitalize Nigeria’s Oil & Gas Industry
In a strategic move to revitalize Nigeria’s oil and gas sector, the Federal Government has unveiled two key fiscal incentives aimed at attracting investment and enhancing energy security.
The announcement was made by Mr. Wale Edun, the Minister of Finance and Coordinating Minister of the Economy on Wednesday.
The first initiative, the Value Added Tax (VAT) Modification Order 2024, introduces critical exemptions for essential energy products and infrastructure, including Diesel, Feed Gas, Liquefied Petroleum Gas (LPG), Compressed Natural Gas (CNG), Electric Vehicles, Liquefied Natural Gas (LNG) infrastructure, and Clean Cooking Equipment.
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These exemptions are designed to reduce living costs for Nigerians, promote energy security, and accelerate the transition to cleaner energy alternatives.
The second initiative, the Notice of Tax Incentives for Deep Offshore Oil & Gas Production, offers new tax relief options for deep offshore exploration projects.
This measure aims to position Nigeria’s deep offshore basin as a premier destination for international oil and gas investments, boosting the country’s appeal to foreign investors.
These reforms are part of a broader set of policy initiatives, known as Policy Directives 40-42, endorsed by President Bola Ahmed Tinubu.
The directives reflect the administration’s commitment to fostering sustainable development in the energy sector and enhancing Nigeria’s competitive edge in the global oil and gas market.
Business
Tinubu set to approve ExxonMobil-Seplat oil deal, expands CNG bus initiative
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.
Oil
ExxonMobil To Invest $10bn In Nigeria’s Deep-Water Oil Operations
As part of the administration’s push to improve Ease of Doing Business (EoDB), Nigeria’s Vice President Kashim Shettima has expressed support for ExxonMobil’s plan to invest $10 billion in the country’s deep-water oil sector.
Speaking on Wednesday, September 25, 2024, during a meeting with ExxonMobil executives at the 79th United Nations General Assembly (UNGA) in New York, Shettima called the investment “a clear testament to the administration’s economic reforms and investor-friendly policies.”
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This announcement follows news that international maritime company DP World intends to develop a multibillion-dollar port project in Nigeria.
Stanley Nkwocha, Senior Special Assistant to the President on Media and Communications, shared the development in a statement on Wednesday. He quoted Shettima as saying: “ExxonMobil’s potential investment aligns with the vision of President Bola Ahmed Tinubu’s administration for a more investment-friendly Nigeria.
We are committed to fostering an environment that supports such transformative projects.”Shettima also discussed the administration’s broader efforts to improve the ease of doing business, highlighting the “Renewed Hope Agenda,” which aims to simplify bureaucratic processes, enhance transparency, and offer fiscal incentives to attract global investors.
“Our administration has taken bold steps to unify the exchange rate, remove fuel subsidies, and implement tax reforms. These measures, though challenging in the short term, are intended to create a stable and predictable business environment in the long term,” he added.
On the oil and gas sector, Shettima mentioned that the government is revising the fiscal framework for deep-water operations to attract investment while ensuring fair returns for the Nigerian people.