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U.S. Stock Futures Edge Lower

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NEW YORK — U.S. stock futures edged lower, pulling back from the sharp gains seen at the end of last week, as investors digested recent signs of lackluster economic growth.

European markets erased early gains to trade little changed, with some downbeat industrial production data weighing on sentiment.About 90 minutes ahead of the open, Dow Jones Industrial Average futures slipped 27 points, or 0.2%, to 15712. Last week, the Dow rose 354 points over the last two sessions, the biggest two-day gain in four months, to erase Monday’s 326-point tumble and snap a two-week losing streak.

S&P 500 index futures eased four points, or 0.2%, to 1790 and Nasdaq 100 futures gave up two points, or 0.1%, to 3556. Changes in stock futures don’t always accurately predict stock moves after the opening bell.

Despite last week’s turnaround, the Dow is still down 4.7% on the year and the S&P 500 is 2.8% below its record high seen Jan. 15. Investors have been grappling with concerns over slowing economic growth at a time when the Federal Reserve is paring back on stimulus measures, along with worries about recent turbulence in emerging markets. Data on Friday seemed to add to those concerns, as U.S. employment growth data was weaker-than-expected for a second-straight month.

Joel Johnson, founder of JohnsonBrunetti Retirement & Investment Specialists, which oversees $300 million, said the market could remain volatile over the coming weeks as uncertainty over the economy and Federal Reserve policy hang over investors’ minds, but he recommends investors not to overreact to short-term market weakness.“We’re telling our clients, pullbacks can be expected, stay the course and don’t expect what you saw last year,” Mr. Johnson said, as the S&P 500 soared 30% in 2013. “Expect a little volatility. But overall, the economy will be in a better spot and the markets will be modestly higher this year.”

There were no major economic data scheduled for release on Monday. But later in the week, investors will be focusing on new Fed Chairwoman Janet Yellen’s testimony to Congress on Tuesday and Wednesday, jobless claims and retail sales on Thursday and industrial production and consumer sentiment on Friday.

In other markets, the yield on the 10-year Treasury note inched higher to 2.679% from 2.675% late Friday.

Crude oil futures lost 0.4% to $99.47 a barrel, after settling Friday at a new high for the year, while gold futures gained 0.7% to $1,272.50 an ounce. The dollar lost some ground against the euro and the yen.

In Europe, the Stoxx Europe 600 was down less than 0.1% and was in danger of snapping a three-session winning streak. Industrial production in France declined more than expected in December, while production in Italy surprisingly fell on the month.German’s DAX 30 index gave up less than 0.1%, the U.K.’s FTSE 100 edged up less than 0.1% and France’s CAC 40 ticked up 0.1%.

Emerging-market currencies were mostly lower against the dollar, but remained well above their weakest levels hit during the recent selloff, having recovered some losses last week. The Turkish lira, South African rand, and Hungarian forint all fell against the dollar.

Asian markets were mostly higher as strength seen last week in the U.S. market carried over. China’s Shanghai Composite rallied 2% to close at a five-week high and Japan’s Nikkei Stock Average ran up 1.8%.

In corporate news, Hasbro slid 1% in premarket trading after the toymaker reported fourth-quarter earnings that missed analyst estimates, amid weakness in its boys’ category.

Yelp rallied 8.9% after The Wall Street Journal reported that Yahoo will incorporate Yelp’s listings and reviews of local businesses into search results. Yahoo’s stock advanced 1.7%.

– WALLSTREET JOURNAL

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

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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.

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FHC Orders NUPRC to Comply with PIA

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Local Firms Lead Revival of Idle Oil Wells – SPE

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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.”

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