Connect with us

Economy

Nigeria’s Oil Exports Drop as Aiteo Shuts Pipeline

Published

on

markets energies crude oil
  • Nigeria’s Oil Exports Drop as Aiteo Shuts Pipeline

The nation’s crude oil export has suffered a setback following the shutdown of the Nembe Creek Trunk Line, one of the major crude oil transportation channels used for export.

The NCTL, which is 100 kilometres long and has a capacity of 150,000 barrels per day at Nembe Creek, evacuates crude to the Bonny Crude Oil Terminal.

Aiteo Eastern Exploration and Production Company, the operator of the trunk line, said on Sunday that a suspected explosion occurred on Saturday within the vicinity of Nembe Creek Well 7, behind Mile 1 Community in Bayelsa State, near the Nembe field logistics base.

The company said despite initial challenges, its operations team was able to access the well head area when the fire had completely died down in the early hours of Saturday.

It said, “Preliminary investigations confirm that there were no fatalities, human incidents or damage to community property. All the wells and facilities in the immediate vicinity have been inspected and secured. This incident did not occur at or involve any part of the NCTL or other pipelines.

“It is important to note that prior to this incident, all facilities have been shut down since February 28, 2019, due to NCTL outage. Accordingly, any account suggesting that this incident arose from or affected any pipeline is wholly inaccurate and misleading.”

Aiteo said full investigations to determine the cause of the fire was ongoing, adding “These investigations are being pursued with the utmost urgency and are being given the highest priority.

“We are continuing to work with all the relevant authorities to restore full functionality to all the relevant installations and affected areas. In the time being, we express our gratitude to all our stakeholders for your continuing support and understanding while urging calm and vigilance.”

The Associated Press reported on Saturday that more than 50 people were missing after a leaking oil pipeline exploded and caused a stampede in southern Nigeria.

It quoted the Nembe Chiefs Council spokesman, Chief Nengi James-Eriworio, as saying that the blast early Friday caused massive oil spillage in the Nembe Kingdom in Bayelsa State.

The Niger Delta is highly polluted. Nigerian oil companies usually assert that the majority of oil spills are caused by sabotage, theft and illegal refining.

The Organisation of Petroleum Exporting Countries and 10 non-OPEC countries agreed in December to cut oil production by 1.2 million bpd effective from January for an initial period of six months to help balance the market and support prices.

OPEC asked Nigeria to cut its crude oil production by 3.04 per cent to 1.685 million bpd (excluding condensates) for the first half of 2019.

The 2019 budget proposal, presented to the National Assembly on December 19 by President Muhammadu Buhari, was based on oil production of 2.3 million bpd (including condensates), with an oil benchmark price of $60 per barrel.

The nation’s crude oil production including condensate fell to 1.999 million barrels per day in January from 2.081 million bpd in December, according to the Ministry of Petroleum Resources.

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.

Economy

NNPC Supplies 1.44 Billion Litres of Petrol in January 2021

Published

on

Petrol Importation - investorsking.com

The Nigerian National Petroleum Corporation (NNPC) supplied a total of 1.44 billion litres of Premium Motor Spirit popularly known as petrol in January 2021.

The corporation disclosed in its latest Monthly Financial and Operations Report (MFOR) for the month of January.

NNPC said the 1.44 billion litres translate to 46.30 million litres per day.

Also, a total of 223.55Billion Cubic Feet (BCF) of natural gas was produced in the month of January 2021, translating to an average daily production of 7,220.22 Million Standard Cubic Feet per Day (mmscfd).

The 223.55BCF gas production figure also represents a 4.79% increase over output in December 2020.

Also, the daily average natural gas supply to gas power plants increased by 2.38 percent to 836mmscfd, equivalent to power generation of 3,415MW.

For the period of January 2020 to January 2021, a total of 2,973.01BCF of gas was produced representing an average daily production of 7,585.78 mmscfd during the period.

Period-to-date Production from Joint Ventures (JVs), Production Sharing Contracts (PSCs) and Nigerian Petroleum Development Company (NPDC) contributed about 65.20%, 19.97 percent and 14.83 percent respectively to the total national gas production.

Out of the total gas output in January 2021, a total of 149.24BCF of gas was commercialized consisting of 44.29BCF and 104.95BCF for the domestic and export markets respectively.

Continue Reading

Economy

NNPC Says Pipeline Vandalism Decrease by 37.21 Percent in January 2021

Published

on

Gas-Pipeline

The Nigerian National Petroleum Corporation (NNPC) said vandalisation of pipelines across the country reduced by 37.21 percent in the month of January 2021.

This was disclosed in the January 2021 edition of the NNPC Monthly Financial and Operations Report (MFOR).

The report noted that 27 pipeline points were vandalised in January 2021, down from 43 points posted in December 2020.

It also stated that the Mosimi Area accounted for 74 percent of the total vandalised points in Janauray while Kaduna Area and Port Harcourt accounted for the remaining 22 percent and 4 percent respectively.

NNPC said it will continue to engage local communities and other stakeholders to reduce and eventually eliminate the pipeline vandalism menace.

Continue Reading

Economy

Nigeria’s Food Inflation Hits 22.95 Percent in March 2021

Published

on

food storage

Food inflation in Africa’s largest economy Nigeria rose by 22.95 percent in March 2021, the latest report from the National Bureau of Statistics (NBS) has shown.

Food Index increased at a faster pace when compared to 21.70 percent filed in February 2021.

Increases were recorded in Bread and cereals, Potatoes, yam and other tubers, Meat, Vegetable, Fish, Oils and fats and fruits.

On a monthly basis, the food sub-index grew by 1.90 percent in March 2021. An increase of 0.01 percent points from 1.89 percent recorded in February 2021.

Analysing a more stable inflation trend, the twelve-month ended March 2021, showed the food index averaged 17.93 percent in the last twelve months, representing an increase of 0.68 percent when compared to 17.25 percent recorded in February 2021.

Insecurities amid wide foreign exchange rates and several other bottlenecks that impeded free inflow of imported goods were responsible for the surged in prices of goods and services in March, according to the report.

The Central Bank of Nigeria-led monetary policy committee had attributed the increase in prices to scarcity created by the intermittent clash between herdsmen and farmers across the nation.

However, other factors like unclear economic policies, increased in electricity tariffs, duties, subsidy removal and weak fiscal buffer to moderate the negative effect of COVID-19 on the economy continue to weigh and drag on new investment and expansion of local production despite the Federal Government aggressive call for improvement in domestic production.

Nigeria’s headline inflation rose by 18.17 percent year-on-year in the month under review.

Continue Reading

Trending