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Nigeria Records Stable Oil Production Level of 2.3mbpd

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  • Nigeria Records Stable Oil Production Level of 2.3mbpd

The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru yesterday stated that the corporation as at June 2019 recorded 2.3 million barrels per day of crude oil production.

Baru also disclosed that the corporation attracted $3.6 billion and $3 billion in 2017 and 2018, respectively, adding that negotiations were currently ongoing to attract several billions of dollar worth of investments into the oil and gas sector.

He made the disclosure in Abuja while hosting the executive members of the Nigerian Union of Journalists (NUJ) led by its National President, Mr. Chris Isiguzo.

Baru, said: “We have been able to attract FDIs into the oil and gas industry and in 2017 alone we attracted about $3.6 billion; in 2018 we attracted about $3 billion. At the moment we are negotiating sums in the region of $7 billion as FDIs that will come into the oil and gas sector,” Baru said.

The GMD, NNPC, noted that since his coming into office in July 2016, “we are focused on increasing production of oil and gas and condensates. At some point, our national combined production of oil was about a million barrels. I am happy that at the end of 2018 we have moved on, averagely last year about 2.1 million barrels.”

“As I am speaking this morning, I look at our production figures, combine oil and condensates, we are pushing 2.3 million barrels per day. I think this stability and ability to push production has come as a consequence of several factors: our relationship internally, externally and of course with the media.”

“In the gas sector, we have a pushed at a lower level of about 450 million standard cubic feet per day to say that for the domestic alone, we are covering about 1.5billion cubic feet (bcf) that is 1,500 million standard cubic feet per day of gas.

“Internally, we have a flagship company, the Nigerian Petroleum Development Company (NPDC). This is 100 per cent NNPC operations; they have pushed their production and equity size from a lower figure of about 65,000 barrels per day in 2016 to over 166,000 per day equity. And overall production for NPDC, we are about to maintain it at close to 300,000 barrels per day. It’s quite a significant boost.”

“For NPDC, it has become the main supplier of gas to the power sector, supplying over 800 million standard cubic feet per day that is required to boost the production of power in this country. Currently the power that we enjoyed, as about 80 per cent input from gas driven tarmac power plant.

“In terms of products supply, which is really true, we knew the crisis we were in when we came in 2016. There’s a challenge; we have to put in a new scheme, which we properly called DSDP (Direct Sales Direct Purchase), essentially to directly sell crude oil and use the cash to directly purchase petroleum products.

While soliciting the firm soliciting the firm support and cooperation of the NUJ, the NNPC boss said the national oil company was working assiduously to meet the goals of the Economic Recovery and Growth Plan (ERGP), which is government’s policy vehicle to move to the economy to the next level.

“We will work hard to meet the ERGP goals. And we are focused on increasing oil and gas production and condensate.

“On the DSDP, approach to crude sales and products import, Nigeria saved N1.2 billion in one year using that template. Our transparency fetched us $.3.6 billion worth of foreign direct investment in 2017. In 2018, it was $3 billion, while in 2019, we have recorded $7 billion so far.”

While urging the media to help it in the fight against illegal refineries and products diversion, he said, “we have to remind the illegal refiners that they’re doing more harm. The crude is cooked poorly, spills in the waters, kills aqua life, causes acidic rain and impoverishes the people.

“It constitutes grave health hazard. Look at the spot all over Port Harcourt. It’s from the activities of the illegal refineries.

“We also have to warn the crooks involved in product diversion/smuggling to stop it because it’s bleeding our economy. “Some do it with 50-litre jerry cans via motorcycles. Within few shuttles, a truck is drained and these smugglers use the porous borders. Petrol is N390 per litre in Cameroon, in Chad it is N350/litre.”

Speaking further, Baru revealed that in Ghana, a litre of Nigerian oil is sold at N310.

“If 10 million litres is taken outside Nigeria, it is N2 billion that has bled out of our economy.

“These criminals and those colluding with them must be exposed. It’s not our job to secure borders but to ensure energy security, which we shall always do,” Baru stated.

Responding, Isiguzo said the visit was to congratulate Baru on the honour bestowed on him at the World Press Freedom Day Awards.

Isiguzo also urged the NNPC to look into the plight of host communities with a view to guaranteeing uninterrupted crude production.

He further appealed to security agencies and traditional rulers of host communities to protect oil installations in the interest of the country.

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

India, Spain, the Netherlands, USA, Nigeria’s Major Export Markets -NBS

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India, Spain and the Netherland top Nigeria’s export markets in the final quarter of 2020, according to the latest data from the National Bureau of Statistics (NBS).

The Commodity Price Indices and Terms of Trade Q4 2020 report showed that the United States and China trailed the three.

However, the NBS revealed Nigeria exports mainly crude oil and natural gas during the period under review.

It, “The major export and import market of Nigeria in Q4 2020 were India, Spain, the Netherlands, United States and China.

“The major export to these countries were crude petroleum and natural gas. The major imports from the countries were motor spirits, used vehicles, motorcycles and antibiotics.”

The bureau stated that the all-commodity group import index increased by 0.13 per cent between October and December 2020.

This was driven mainly by an increase in the prices of base metals and articles of base metals (one per cent), boilers, machinery and appliances; parts thereof (1.03 per cent), and products of the chemical and allied industries (0.75 per cent),” it stated.

The NBS, however, noted that the index was negatively affected by animal and vegetable fats and oils and other cleavage products.

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Economy

Onyeama: Qatar To Invest $5bn In Nigeria’s Economy

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The oil-rich state of Qatar is to invest a total of $5 billion in Nigeria’s economy, the Foreign Affairs Minister, Godfrey Onyeama, has disclosed.

Onyeama, who spoke Sunday at a send forth dinner in honour of Nigeria’s Ambassador-designate to the State of Qatar, who is also the outgoing Director of Protocol (DOP) at the State House, Ambassador Yakubu Ahmed, also stated that recent career ambassadorial appointments made by the gederal government was based on merit, experience and professionalism.

The minister further said there had been discussions with Qatar on partnership with Nigeria’s Sovereign Wealth Fund (SWF), for significant investments in the region of $5 billion in the Nigerian economy.

According to him, ‘‘Qatar is a weighty and strategic country and very strategic in that part of the world and we are putting our best feet forward to advance the interest of our country economically and in other areas.”

He recalled that President Muhammadu Buhari had visited the State of Qatar in 2016 and the Emir of Qatar, Tamim Bin Hammad Al-Thani, reciprocated with a State visit in 2019.

Onyeama also explained that only trusted hands with a track record of diligence, experience and professionalism in the Foreign Service were recently appointed career ambassadors by the federal government.

The minister said the appointment of Ahmed and other career ambassadors were predicated on posting dedicated and keen Foreign Service practitioners to serve as image makers of the country.

He said: ‘‘Ambassador Yakubu Ahmed is a dedicated professional with a penchant for rigour and detail. He is very capable and one of the best in the Ministry of Foreign Affairs. He is personable, affable, extremely friendly, dispassionate and objective.

‘‘He is going to head a very important mission, a very important country, reckoned to be one of the richest countries in the world, per capita, and there’s a lot we will be doing with the State of Qatar.”

Also speaking, the Deputy Chief of Staff, Adeola Rahman Ipaye, described the honoree as a ‘‘perfect gentleman, very even-natured and always well turned out’’.

Ipaye said he had no doubt that the newly appointed ambassador would serve the country well in Qatar, adding that: ‘‘We are further encouraged that when he completes this assignment, he would return to serve Nigeria in a higher capacity.’’

In his remarks, the Permanent Secretary, State House, Tijjani Umar, while congratulating the outgoing DOP on his appointment, lauded Ahmed for excellent service to the State House and the nation.

‘‘He served this institution and the nation with the deepest sense of responsibility and it is very important that we establish a tradition where the system appreciates those who have served it well and those who will continue to serve it well,’’ he said.

Umar urged the new envoy to keep very fond memories of his time at the Presidential Villa, assuring him of the prayers and goodwill of all the staff.

Responding, Ahmed thanked President Buhari for the great honour and privilege of making him his principal representative in Doha, Qatar.

The Ambassador-designate pledged to deplore his energy and skill to the promotion of the existing cordial relationship between Nigeria and Qatar, particularly in the areas of economic, political, cultural and consular affairs as well as other key areas.

Ahmed, who joined Nigeria’s Foreign Service in 1993, said during his years in public service he had learnt that ‘‘patriotism, selfless service, diligence, determination and perseverance will always result in the achievement of the desired objective’’.

According to him, these virtues would be his ‘‘watchword’’ in the pursuit of Nigeria’s foreign policy objectives and the attainment of national interests.

The Ambassador-designate singled out for appreciation the Chief of Staff to the President, Prof. Ibrahim Gambari, and the state Chief of Protocol, Ambassador Lawal Kazaure, saying he had learnt a lot working under their mentorship.

He expressed gratitude to the Minister of Foreign Affairs and the Permanent Secretary, State House for giving him the opportunity of a memorable work experience in the State House.

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Economy

France, Nigeria to Build New Partnership

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France is currently aiming at building a new partnership with Nigeria, with the dispatching of its Minister in charge of Foreign Trade and Attractiveness, Franck Riester, to Nigeria.

Riester, who was expected at the time of filing this report on Monday, is scheduled to visit Nigeria from 12-14 April, 2021.

A statement from the French Embassy in Nigeria said: “Franck Riester is visiting Nigeria from 12 to 14 April, a visit that follows up on the priorities set by French President Emmanuel Macron during his official visit to Nigeria in July 2018 and his desire to build a new partnership between Africa and France.

“As the largest economy in Africa and the economic engine of West Africa, Nigeria is indeed a major partner for France, the first in sub-Saharan Africa with bilateral trade amounting to a total of 4.5 billion USD in 2019 (2.3 billion USD in 2020, due to the Covid-19 pandemic).”

It disclosed that the minister will have several official meetings in Abuja and Lagos, in order to underline the importance of the bilateral economic relationship and to prepare the summit on the financing of African economies in Paris on 18 May.

It revealed that the objective of the mission is also to further strengthen the links between the French and Nigerian private sectors, and “in this regard, the minister will have in-depth discussions with the main Nigerian economic actors to strengthen bilateral cooperation and investments, both in Nigeria and in France, particularly in the logistics sector”.

It said while in the country, the minister would meet with young Nigerian entrepreneurs in the cultural and creative industries sector, to discuss the major role of their country in African creativity and the development of the African entrepreneurial ecosystem, with the support of France.

It further said: “The minister will also open the ‘Choose Africa’ conference, a €3.5 billion initiative by President Emmanuel Macron dedicated to supporting the development of start-ups and SMEs in Africa to enable the continent to benefit fully from the opportunities of the digital revolution.”

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