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Seplat Energy Reaffirms Responsible Operations, Backs NGX’s Net-Zero Drive

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Seplat Energy Plc has reiterated that oil and gas will continue to play a critical role in Nigeria’s energy mix, while stressing the need for operators to conduct their activities responsibly, efficiently, and sustainably.

This position was articulated by Mr. Okechukwu Mba, Director, Gas & New Energy, Seplat Energy Plc, who represented the Company’s Chief Executive Officer, Mr. Roger Brown, at a high-level climate roundtable organised by the Nigerian Exchange Group (NGX Group) in partnership with DEG, Germany’s development finance institution, and Africa Foresight Group (AFG) in Lagos.

Speaking at the event, Mr. Mba noted that the real issue facing Nigeria’s energy sector is not whether oil and gas should exist, but how operators manage their responsibilities to the environment, society, and the economy.

“Oil and gas will remain an important part of Nigeria’s energy mix for some time to come. The right conversation is not whether oil and gas should exist, but how operators conduct themselves responsibly,” he said.

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He emphasised that responsible operations must be driven by concrete actions, including improved efficiency, reduced emissions, and credible offsetting strategies.

At Seplat Energy, Mr. Mba explained, this commitment is already being translated into measurable outcomes. He disclosed that the company had launched a comprehensive programme several years ago to end routine gas flaring across all its onshore operations, adding that by the end of last year, all the projects required to achieve this milestone had been delivered and were currently at the commissioning stage.

“Very soon, we will be able to clearly state that routine flaring has ended in our onshore operations. This is an important milestone that speaks to our stewardship of the environment, while remaining focused on delivering energy to the nation,” he said.

He further highlighted Seplat Energy’s deployment of technology to enhance operational efficiency, including real-time monitoring of emissions across pipelines, valves, plants, and other critical infrastructure, supported by a robust asset integrity programme designed to identify and eliminate emissions.

Beyond operational measures, Mr. Mba said the company is also implementing nature-based solutions to offset emissions. In one of its host communities in Edo State, Seplat Energy has launched an afforestation programme committing to plant millions of trees over a five-year period, with the first phase already completed.

He also pointed to the company’s investments in gas and LPG infrastructure as part of efforts to reduce emissions beyond its direct operations. According to him, expanding access to LPG helps reduce reliance on firewood, charcoal, and other biomass fuels, particularly in communities outside major cities.

Following Seplat Energy’s offshore acquisition, he noted that LPG that was previously exported has now been redirected to the domestic market, significantly improving availability, affordability, and overall market quality.

Mr. Mba also underscored the urgent need for financing to support Nigeria’s energy transition, particularly gas and gas-to-power projects, noting that while only about five gigawatts of electricity currently come from the national grid, a much larger share of power is self-generated through petrol and diesel generators that produce significantly higher emissions.

“If we replace these inefficient power sources with gas-powered energy, we can achieve substantial decarbonisation. But without adequate financing, these projects cannot be implemented, and the benefits will not be realised,” he said.

The event marked the launch of the NGX Net-Zero Programme (N-Zero), an initiative designed to support listed companies in defining net-zero pathways, improving climate-related disclosures, and aligning with global investor expectations. The programme is expected to unlock between $2.5 billion and $3.1 billion in climate-linked capital for Nigerian companies.

Speaking at the launch, Dr. Umaru Kwairanga, Group Chairman of NGX Group, said Africa’s capital markets must take a leading role in driving climate action and sustainable growth, adding that the NGX Net-Zero Programme would help companies move from climate ambition to measurable action.

Also presenting the investment case, Mr. Temi Popoola, Group Managing Director of NGX Group, noted that climate risk has become a critical factor in valuation and capital allocation globally, while Ms. Monika Beck, a member of the Management Board of DEG, said the partnership aligns with DEG’s strategy of mobilising private capital to accelerate climate action while delivering measurable development impact.

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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.

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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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Energy

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.

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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.

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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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