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Fashola Inaugurates 330KV Power Switching Station in Akwa Ibom

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Minister of Power, Works and Housing, Mr Babatunde Fashola
  • Fashola Inaugurates 330KV Power Switching Station in Akwa Ibom

Minister of Power, Works and Housing, Babatunde Fashola, on Monday, inaugurated a 330KV power switching station in Ikot Ekpene in Akwa Ibom.

The minister, at Ikot Inyang village in Ikot Ekpene Local Government Area of Akwa Ibom, said that the switch on of the station would boost electricity supply in the country.

He said that the station was expected to evacuate electricity from power plants in Alaoji, Afam, Calabar and Ikot Abasi and route same to Ugwuaji in Enugu up to Jos.

Fashola said that the development would solve the problem of stranded power as the generating plants would have their power evacuated for use.

The minister added that the project was bedevilled with challenges but for the intervention of the National Assembly, which resolved the contending issues for the completion of the project.

The Managing Director of Niger Delta Power Holding Company (NDPHC), Mr Chiedu Ugbo, who was at the inauguration, said contract for the project was awarded in 2006.

Ugbo said that the project was delayed due to challenges and lauded the stakeholders for the commitment toward completing the project.

He noted that the new management of NDPHC was committed to ensuring improved power generation, saying that the switching of the station on would mark the end of epileptic power supply.

He expressed gratitude to Gov. Udom Emmanuel of Akwa Ibom and his predecessor, Sen. Godswill Akpabio and the host community for providing conducive environment for the completion of the project.

In her speech, Princess Maryam Akanmode, the contractor handling the project, said the 330 KV station had 12 inter-connectivity lines to evacuate power from the four plants to the national grid.

Akanmode, who is the Managing Director of Carlark International Limited, lauded the Federal Government and stakeholders for assisting in the completion of the project.

The Akwa Ibom Governor, Mr Udom Emmanuel, said the event marked significant turning point in the march toward new dawn in both power infrastructural renaissance and industrial revolution.

Represented by his Deputy, Mr Moses Ekpo , the governor said that the Ibom Power Plant had approval for upgrade to 685 megawatts from the Nigerian Electricity Regulatory Commission.

He said that the state was generating 191 megawatts from the Power Plant in Ikot Abasi Local Government Area of the state.

Emmanuel disclosed that the state government had equally partnered a private investor for the take-off of the N90 billion Uquo Gas Plant at Esit Eket.

He said that gas plant was projected to supply 131 million standard cubic feet of gas per day to the National Independent Power Plant (NIPP) in Calabar, as well as the Ibom Power Plant.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.

Crude Oil

Brent Crude Oil Approaches $70 Per Barrel on Friday

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Crude oil

Nigerian Oil Approaches $70 Per Barrel Following OPEC+ Production Cuts Extension

Brent crude oil, against which Nigerian oil is priced, rose to $69 on Friday at 3:55 pm Nigerian time.

Oil price jumped after OPEC and allies, known as OPEC plus, agreed to role-over crude oil production cuts to further reduce global oil supplies and artificially sustain oil price in a move experts said could stoke inflationary pressure.

Brent crude oil rose from $63.86 per barrel on Wednesday to $69 per barrel on Friday as energy investors became more optimistic about the oil outlook.

While certain experts are worried that U.S crude oil production will eventually hurt OPEC strategy once the economy fully opens, few experts are saying production in the world’s largest economy won’t hit pre-pandemic highs.

According to Vicki Hollub, the CEO of Occidental, U.S oil production may not return to pre-pandemic levels given a shift in corporates’ value.

“I do believe that most companies have committed to value growth, rather than production growth,” she said during a CNBC Evolve conversation with Brian Sullivan. “And so I do believe that that’s going to be part of the reason that oil production in the United States does not get back to 13 million barrels a day.”

Hollub believes corporate organisations will focus on optimizing present operations and facilities, rather than seeking growth at all costs. She, however, noted that oil prices rebounded faster than expected, largely due to China, India and United States’ growing consumption.

The recovery looks more V-shaped than we had originally thought it would be,” she said. Occidental previous projection had oil production recovering to pre-pandemic levels by the middle of 2022. The CEO Now believes demand will return by the end of this year or the first few months of 2022.

I do believe we’re headed for a much healthier supply and demand environment” she said.

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Crude Oil

Oil Jumps to $67.70 as OPEC+ Extends Production Cuts

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opec

Oil Jumps to $67.70 as OPEC+ Extends Production Cuts

Brent crude oil, against which Nigerian oil is priced, rose to $67.70 per barrel on Thursday following the decision of OPEC and allies, known as OPEC+, to extend production cuts.

OPEC and allies are presently debating whether to restore as much as 1.5 million barrels per day of crude oil in April, according to people with the knowledge of the meeting.

Experts have said OPEC+ continuous production cuts could increase global inflationary pressure with the rising price of could oil. However, Saudi Energy Minister Prince Abdulaziz bin Salman said “I don’t think it will overheat.”

Last year “we suffered alone, we as OPEC+” and now “it’s about being vigilant and being careful,” he said.

Saudi minister added that the additional 1 million barrel-a-day voluntary production cut the kingdom introduced in February was now open-ended. Meaning, OPEC+ will be withholding 7 million barrels a day or 7 percent of global demand from the market– even as fuel consumption recovers in many nations.

Experts have started predicting $75 a barrel by April.

“We expect oil prices to rise toward $70 to $75 a barrel during April,” said Ann-Louise Hittle, vice president of macro oils at consultant Wood Mackenzie Ltd. “The risk is these higher prices will dampen the tentative global recovery. But the Saudi energy minister is adamant OPEC+ must watch for concrete signs of a demand rise before he moves on production.”

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Gold

Gold Hits Eight-Month Low as Global Optimism Grows Amid Rising Demand for Bitcoin

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Gold Struggles Ahead of Economic Recovery as Bitcoin, New Gold, Surges

Global haven asset, gold, declined to the lowest in more than eight months on Tuesday as signs of global economic recovery became glaring with rising bond yields.

The price of the precious metal declined to $1,718 per ounce during London trading on Thursday, down from $2,072 it traded in August as more investors continue to cut down on their holdings of the metal.

The previous metal usually performs poorly with rising yields on other assets like bonds, especially given the fact that gold does not provide streams of interest payments. Investors have been jumping on US bonds ahead of President Joe Biden’s $1.9 trillion coronavirus stimulus package, expected to stoke stronger US price growth.

We see the rising bond yields as a sign of economic optimism, which has also prompted gold investors to sell some of their positions,” said Carsten Menke of Julius Baer.

Another analyst from Commerzbank, Carsten Fritsch, said that “gold’s reputation appears to have been tarnished considerably by the heavy losses of recent weeks, as evidenced by the ongoing outflows from gold ETFs”.

Experts at Investors King believed the growing demand for Bitcoin, now called the new gold, and other cryptocurrencies in recent months by institutional investors is hurting gold attractiveness.

In a recent report, analysts at Citigroup have started projecting mainstream acceptance for the unregulated dominant cryptocurrency, Bitcoin.

The price of Bitcoin has rallied by 60 percent to $52,000 this year alone. While Ethereum has risen by over 660 percent in 2021.

 

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