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4,904 Workers Recruited by Jonathan May Lose Jobs

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The jobs of 4,904 civil servants, who were recruited by the Federal Civil Service Commission in the last administration of President Goodluck Jonathan, are under threat as the Federal Character Commission has queried the exercise.

It was learnt on Monday that moves by the Federal Civil Service Commission to sack the workers had led to a crisis in the civil service.

No fewer than 247 of the affected workers had petitioned the Independent Corrupt Practices and other related offences Commission over a plan by the FCSC to sack them.

The Acting Executive Chairman of the Federal Character Commission, Dr. Shettima Abba, had queried the Chairman of the FCSC, Mrs. Joan Ayo, for alleged violation of the principle of federal character in the employment of the civil servants in a letter dated May 3, 2016.

He said the recruitment, which took place between 2013 and 2015, was characterised by a flagrant abuse of the Federal Character principle.

Abba alleged that the recruitment was tilted in favour of the South-South geopolitical zone against other parts of the country.

He pointed out that the South-South got 33.6 per cent of those employed as against the 26.2 per cent allotted to applicants from for the North-East, North-West and North-Central geopolitical zones.

He directed the civil service commission’s boss to ensure that the perceived inequality was addressed in the 2016 recruitment by the commission in accordance with the provisions of the Federal Character Commission.

Abba stated, “The Federal Character Commission has viewed and observed with concern the recruitment exercises undertaken by the Federal Civil Service between 2013 and 2015, which glaringly is lopsided and grossly abused the principle of Federal Character to which all institution have subscribed.

“The recruitment which recorded the engagement of about 4,904 workers, threw away all common sense and wisdom of national cohesion and integration by favouring some states to the detriment of others.

“We are worried that if this trend is allowed to continue, then some sections of the country may not only feel alienated but may feel insecure by the action of people in authority.

“It is inconceivable and a gross injustice for a geopolitical zone to be allocated 33.6 per cent of the total candidates recruited as against 26.2 per cent for three zones combined, North-East, North-West and North-Central.

“We further request without prejudice that all processes must involve the Federal Character Commission for advice and strict adherence to the principle of federal character as contained in our circular on guidelines and procedure for recruitment.”

Investigations revealed that the ICPC intervened in the matter following a protest by 247 of the workers whose jobs were allegedly declared irregular, null and void by the chairman of the FCSC.

A top source at the commission said the ICPC interrogated the chairman of the commission and other top officials to defend allegations that they violated the federal character principle in the last recruitment.

The ICPC had intervened following a staff audit by the FCSC in which it took a decision to sack the affected federal workers.

Consequently, agitated workers wrote the ICPC, alleging that the move to sack them was based on ethnic consideration and a plot to cover up fraud and irregularities in previous employments undertaken by the commission.

The workers showed documentary evidence of exchange of letters between the commission and the office of the Accountant General of the Federation in which the appointments were authenticated.

But the spokesperson for the FCSC, Dr. Abel Oruche, told one of our correspondents on the telephone that only those employed irregularly would be removed.

He also said he was not aware of the interrogation of the chairman or any other officer of the commission by the ICPC.

He stated, “I’m not aware that anybody was interrogated by the ICPC or whether the chairman was invited. Nobody interrogated the chairman of the FCSC, any commissioner or any official.”

Oruche explained that some people were employed without vacancies, adding that the staff audit was aimed at fishing out such people.

He stated, “The press statement we sent was not reactive, but to explain to people what we have done and what we are doing to avoid rumour or insinuations.

“It is an ongoing audit to make sure that all those people, who were employed irregularly without existing vacancies, are removed. We didn’t issue the statement because somebody called us.”

Also, in an electronic mail sent to one of our correspondents on Sunday, Oruche stated that the FCSC chairman had said the staff audit at the federal civil service had revealed some unauthorised appointments.

Such appointments, the chairman said, had been declared null and void.

According to him, the chairman explained that the staff audit was aimed at fishing out irregular appointees and delisting them from the Integrated Personnel Payroll Information System.

He stated, “The chairman maintained that this action is necessary because the appointments are not backed by any vacancy from the Office of the Head of the Civil Service of the Federation and as such, were not budgeted for.

Besides, they are in gross violation of the Federal Character principle.”

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Dangote Mega Refinery in Nigeria Seeks Millions of Barrels of US Crude Amid Output Challenges

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The Dangote Mega Refinery, situated near Lagos, Nigeria, is embarking on an ambitious plan to procure millions of barrels of US crude over the next year.

The refinery, established by Aliko Dangote, Africa’s wealthiest individual, has issued a term tender for the purchase of 2 million barrels a month of West Texas Intermediate Midland crude for a duration of 12 months, commencing in July.

This development revealed through a document obtained by Bloomberg, represents a shift in strategy for the refinery, which has opted for US oil imports due to constraints in the availability and reliability of Nigerian crude.

Elitsa Georgieva, Executive Director at Citac, an energy consultancy specializing in the African downstream sector, emphasized the allure of US crude for Dangote’s refinery.

Georgieva highlighted the challenges associated with sourcing Nigerian crude, including insufficient supply, unreliability, and sometimes unavailability.

In contrast, US WTI offers reliability, availability, and competitive pricing, making it an attractive option for Dangote.

Nigeria’s struggles to meet its OPEC+ quota and sustain its crude production capacity have been ongoing for at least a year.

Despite an estimated production capacity of 2.6 million barrels a day, the country only managed to pump about 1.45 million barrels a day of crude and liquids in April.

Factors contributing to this decline include crude theft, aging oil pipelines, low investment, and divestments by oil majors operating in Nigeria.

To address the challenge of local supply for the Dangote refinery, Nigeria’s upstream regulators have proposed new draft rules compelling oil producers to prioritize selling crude to domestic refineries.

This regulatory move aims to ensure sufficient local supply to support the operations of the 650,000 barrel-a-day Dangote refinery.

Operating at about half capacity presently, the Dangote refinery has capitalized on the opportunity to secure cheaper US oil imports to fulfill up to a third of its feedstock requirements.

Since the beginning of the year, the refinery has been receiving monthly shipments of about 2 million barrels of WTI Midland from the United States.

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Oil Prices Hold Steady as U.S. Demand Signals Strengthening

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Oil prices maintained a steady stance in the global market as signals of strengthening demand in the United States provided support amidst ongoing geopolitical tensions.

Brent crude oil, against which Nigerian oil is priced, holds at $82.79 per barrel, a marginal increase of 4 cents or 0.05%.

Similarly, U.S. West Texas Intermediate (WTI) crude saw a slight uptick of 4 cents to $78.67 per barrel.

The stability in oil prices came in the wake of favorable data indicating a potential surge in demand from the U.S. market.

An analysis by MUFG analysts Ehsan Khoman and Soojin Kim pointed to a broader risk-on sentiment spurred by signs of receding inflationary pressures in the U.S., suggesting the possibility of a more accommodative monetary policy by the Federal Reserve.

This prospect could alleviate the strength of the dollar and render oil more affordable for holders of other currencies, consequently bolstering demand.

Despite a brief dip on Wednesday, when Brent crude touched an intra-day low of $81.05 per barrel, the commodity rebounded, indicating underlying market resilience.

This bounce-back was attributed to a notable decline in U.S. crude oil inventories, gasoline, and distillates.

The Energy Information Administration (EIA) reported a reduction of 2.5 million barrels in crude inventories to 457 million barrels for the week ending May 10, surpassing analysts’ consensus forecast of 543,000 barrels.

John Evans, an analyst at PVM, underscored the significance of increased refinery activity, which contributed to the decline in inventories and hinted at heightened demand.

This development sparked a turnaround in price dynamics, with earlier losses being nullified by a surge in buying activity that wiped out all declines.

Moreover, U.S. consumer price data for April revealed a less-than-expected increase, aligning with market expectations of a potential interest rate cut by the Federal Reserve in September.

The prospect of monetary easing further buoyed market sentiment, contributing to the stability of oil prices.

However, amidst these market dynamics, geopolitical tensions persisted in the Middle East, particularly between Israel and Palestinian factions. Israeli military operations in Gaza remained ongoing, with ceasefire negotiations reaching a stalemate mediated by Qatar and Egypt.

The situation underscored the potential for geopolitical flare-ups to impact oil market sentiment.

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Shell’s Bonga Field Hits Record High Production of 138,000 Barrels per Day in 2023

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Shell Nigeria Exploration and Production Company Limited (SNEPCo) has achieved a significant milestone as its Bonga field, Nigeria’s first deep-water development, hit a record high production of 138,000 barrels per day in 2023.

This represents a substantial increase when compared to 101,000 barrels per day produced in the previous year.

The improvement in production is attributed to various factors, including the drilling of new wells, reservoir optimization, enhanced facility management, and overall asset management strategies.

Elohor Aiboni, Managing Director of SNEPCo, expressed pride in Bonga’s performance, stating that the increased production underscores the commitment of the company’s staff and its continuous efforts to enhance production processes and maintenance.

Aiboni also acknowledged the support of the Nigerian National Petroleum Company Limited and SNEPCo’s co-venture partners, including TotalEnergies Nigeria Limited, Nigerian Agip Exploration, and Esso Exploration and Production Nigeria Limited.

The Bonga field, which commenced production in November 2005, operates through the Bonga Floating Production Storage and Offloading (FPSO) vessel, with a capacity of 225,000 barrels per day.

Located 120 kilometers offshore, the FPSO has been a key contributor to Nigeria’s oil production since its inception.

Last year, the Bonga FPSO reached a significant milestone by exporting its 1-billionth barrel of oil, further cementing its position as a vital asset in Nigeria’s oil and gas sector.

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