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NCDMB’s Investment Portfolio for Projects Hits $332M

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The Nigerian Content Development and Monitoring Board (NCDMB) has announced that it has invested $332 million to attract project developments valued at $3.7 billion under its commercial ventures partnership program.

Its Executive Secretary, Simbi Wabote, made this known at the virtual bi-yearly Nigerian Oil & Gas Opportunity Fair (NOGOF).

According to him, the partnership of the Board has been quite productive, especially in terms of value addition. For instance, the Board’s partnership with Brass Fertiliser has led to the development of a 10,000MT/day Methanol Plant and 500MMscfd gas processing plant at Odiama in Brass.

The Board is also in partnership with Rungas Group for the manufacturing of 1.2 million composite LPG cylinders yearly in Bayelsa and Lagos states; the same partnership exists between the NCDMB and Butane Energy to deepen LPG utilization in the North through the roll-out of LPG bottling plants and depots in Kano, Kaduna, Katsina, Bauchi, Nassarawa, Zamfara, Niger, Plateau, Gombe, Jigawa states and Abuja.

Wabote said some of the Board’s partnerships would be completed and inaugurated within the next two years, notably modular refineries in Edo and Bayelsa states.

“We shall complete and commission composite LPG cylinder manufacturing plants with a combined capacity of 1.2million cylinders per annum. We shall commission three other projects dedicated to gas processing, LPG bottling, and production of base oil. We shall also commission and commence operations from our industrial parks at Odukpani and Emeyal-1 and we shall commercialise at least one R&D project and close skills gaps in under-water welding and any other core skill required in the industry,” he said.

He continued, “We have widened the options for accessing our intervention funds by increasing the size of our intervention funds from $200 million to $350 million, increasing the number of products from 5 to 7, and also increasing the number of managing banks from 1 to 2.

“We have committed a total of USD332 million to attract project developments valued at $3.7billion under our commercial ventures partnership program.

“The Federal Government is also implementing the N2.3trillion Economic Sustainability Plan managed by the Office of the Vice President for public works, housing program, Solar Home Systems, agriculture, healthcare, and social investment.

“There is no gainsaying that the desired level of opportunities cannot be harnessed by Nigerian companies without the domiciliation of critical infrastructure such as roads, power, trunklines, railways. The railways and the train stations, the Second Niger Bridge, the AKK Pipeline, and other infrastructure projects provide unique opportunities for investments and businesses to thrive.

“There are opportunities in areas of manufacturing, logistics, security, facilities management, training, catering services, occupational health services, and many others.”

Some of the other partnerships undertaken by the Board include the 5,000 barrels per day Waltersmith Modular Refinery at Ibigwe, Imo State and NEDO Gas Processing Company in Kwale, Delta State, for the establishment of 80 million standard cubic feet per day (MMscfd) gas processing plant and a 300MMscfd Kwale Gas Gathering hub.

Other investments include the development of 5,000 metric tons LPG Storage and loading terminal facility by Triansel Gas Limited in Koko, Delta State and construction of Energy Park, inclusive of a modular refinery, power plant and 40MMscfd gas processing facility at Egbokor, Edo State by Duport Midstream.

Wabote is convinced that the roll-out of new policies and enactment of laws would open a new vista of opportunities for investors. He said the declaration of a “Decade of Gas” by President Muhammadu Buhari, the impending passage of the Petroleum Industry Bill, the amendment of the NOGICD Act, the ratification of the AfCFTA agreement and the recently approved and gazetted Ministerial Regulations were some of the policy and regulatory-driven opportunities in the coming years.

Similarly, the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, expressed the corporation’s readiness to partner potential investors towards value creation and a fair share of Return on Investment (RoI) in the exploration of frontier basins, development of upstream gas fields and financing of greenfield/brownfield additional production on de-risked assets. He assured of the opportunities that abound in gas and power infrastructure development, like expanding gas pipeline networks, development of gas-based industries as well as the Integrated Power Plants (IPP).

Other areas of opportunities, he noted, include the rehabilitation of refineries; construction of greenfield condensate refineries, as well as in the downstream sector, especially in LPG and CNG plants across the country, pipelines and storage tank construction as well as developing shipping capacity.

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Peter Obi Advocates for Full Government Backing of Dangote’s $21bn Refinery Project

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Peter G. Obi

Peter Obi, a prominent Nigerian politician and public figure, has called for unwavering support for the Dangote Refinery amid recent conflicts between Dangote Industries and government agencies.

In a passionate appeal, Obi said the current disputes extend beyond political and personal differences, touching upon the broader interests of Nigeria’s economy and its future prosperity.

In his statement on X.com, Obi highlighted the refinery’s immense potential to drive economic growth and create employment opportunities.

With an estimated annual revenue potential of approximately $21 billion and the capacity to generate over 100,000 jobs, the Dangote Refinery represents a cornerstone of Nigeria’s industrial advancement and economic stabilization.

“The recent challenges faced by Dangote Industries should not overshadow the vital role this enterprise plays in our national economy,” Obi asserted.

“Alhaji Dangote’s contributions are monumental, and it is essential that we rally behind his ventures, particularly the refinery, which is set to make a significant impact on our fuel crisis and foreign exchange earnings.”

The refinery, with its strategic importance, stands as a beacon of hope for Nigeria’s fuel supply and overall economic development.

It is poised to address long-standing issues in the energy sector, provide substantial revenue streams, and enhance the country’s economic resilience. Given these benefits, Obi stressed that any actions hindering the refinery’s operation would be counterproductive.

Obi also commended Alhaji Dangote for his remarkable achievements across various sectors, including cement, sugar, salt, fertilizer, infrastructure, and more.

“Alhaji Dangote embodies patriotism and commitment to Nigeria’s growth. His extensive industrial activities are not only a testament to his entrepreneurial spirit but also a vital contribution to Nigeria’s economic landscape,” he added.

Despite the challenging business environment, Dangote’s diversified industrial investments demonstrate a commitment to Nigeria’s industrialization and job creation.

Obi urged the Federal Government and its agencies to offer full support to Dangote Industries, recognizing the broader economic benefits and the positive impact on national welfare.

“The success of Dangote Industries is intrinsically linked to the success of Nigeria and Africa as a whole. We cannot afford to let such a crucial enterprise falter,” Obi warned. “Every sensible and patriotic government should view enterprises like Dangote Industries as national treasures that deserve robust support and protection.”

Obi’s appeal underscores the critical need for collaboration between the government and private sector leaders to ensure the successful operation of key projects like the Dangote Refinery.

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Dangote Accuses NNPC and Oil Traders of Secret Operations in Malta

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Aliko Dangote, chairman of Dangote Industries Limited, has leveled serious allegations against personnel from the Nigerian National Petroleum Company (NNPC) Limited and certain oil traders.

Speaking at a session with the House of Representatives, Dangote claimed that these parties have established a blending plant in Malta, raising concerns about the integrity of Nigeria’s fuel supply.

Dangote described the blending plant as lacking refining capability, instead focusing on mixing re-refined oil with additives to produce lubricants.

“Some of the terminals, some of the NNPC people, and some traders have opened a blending plant somewhere off Malta,” he stated.

He emphasized that these activities are well-known within industry circles.

Addressing the drop in diesel prices, Dangote argued that locally produced diesel, with sulfur content levels of 650 to 700 parts per million (ppm), is superior to imported variants.

He linked numerous vehicle issues to what he described as “substandard” imported fuel.

He called for the House of Representatives to set up an independent committee to investigate fuel quality at filling stations.

“I urge you to take samples from filling stations and compare them with our production line to inform Nigerians accurately,” Dangote insisted.

The accusations come amid an ongoing dispute between the Dangote Refinery and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

Farouk Ahmed, NMDPRA’s chief executive, had previously claimed that local refineries, including Dangote’s, were producing inferior products compared to imports.

Also, the House of Representatives has initiated a probe into allegations that international oil companies are undermining the Dangote Refinery’s operations.

In response to the escalating tensions, Heineken Lokpobiri, the Minister of State for Petroleum Resources, intervened by meeting with key stakeholders including Dangote, Ahmed, and other top officials from the Nigerian petroleum regulatory bodies.

The discussions aimed to address claims of monopoly against Dangote, which he has strongly denied, and to ensure that all parties operate transparently and fairly.

This development highlights the complex dynamics within Nigeria’s oil industry. The allegations and subsequent investigations could impact market stability and investor confidence.

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Africa’s Richest Man, Aliko Dangote Ready to Sell Refinery to Nigerian Government

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Dangote refinery

Aliko Dangote, Africa’s wealthiest entrepreneur, has announced his willingness to sell his multibillion-dollar oil refinery to Nigeria’s state-owned energy company, NNPC Limited.

This decision comes amid a growing dispute with key partners and regulatory authorities.

The $19 billion refinery, which began operations last year, is a significant development for Nigeria, aiming to reduce the country’s reliance on imported fuel.

However, challenges in sourcing crude and ongoing disputes have hindered its full potential.

Dangote expressed frustration over allegations of monopolistic practices, stating that these accusations are unfounded.

“If they want to label me a monopolist, I am ready to let NNPC take over. It’s in the best interest of the country,” he said in a recent interview.

The refinery has faced difficulties with supply agreements, particularly with international crude producers demanding high premiums.

NNPC, initially a supportive partner, has delivered only a fraction of the crude needed since last year. This has forced Dangote to seek alternative suppliers from countries like Brazil and the US.

Despite the challenges, Dangote remains committed to contributing to Nigeria’s economy. “I’ve always believed in investing at home.

This refinery can resolve our fuel crisis,” he stated, urging other wealthy Nigerians to invest domestically rather than abroad.

Recently, the Nigerian Midstream and Downstream Petroleum Regulatory Authority accused Dangote’s refinery of producing substandard diesel.

In response, Dangote invited regulators and lawmakers to verify the quality of his products, which he claims surpass imported alternatives in purity.

Amidst these challenges, Dangote has halted plans to enter Nigeria’s steel industry, citing concerns over monopoly accusations.

“We need to focus on what’s best for the economy,” he explained, emphasizing the importance of fair competition and innovation.

As Nigeria navigates these complex issues, the potential sale of Dangote’s refinery to NNPC could reshape the nation’s energy landscape and secure its energy independence.

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