Energy

Nigerian Petroleum Minister Timipre Sylva to Lead Nigerian Delegation to African Energy Week in Cape Town

Published

3 years ago

June 28, 2021

Minister of State for Petrolum Sylva - Investors King

The African Energy Chamber (AEC) is honored to confirm the attendance of Nigeria’s Minister of State for Petroleum H.E. Chief Timipre Sylva at African Energy Week (AEW) 2021. H.E. Minister Sylva will lead a Nigerian delegation that includes executives from the Nigerian National Petroleum Corporation (NNPC) and the Department of Petroleum Resources (DPR) to AEW 2021, taking place on November 9-12 in Cape Town, South Africa. The participation of sub-Saharan Africa’s largest oil-producing economy speaks to the caliber and magnitude of the event, and follows a series of VIP confirmations in the past week alone.

Since his appointment in August 2019, H.E. Minister Sylva has played a pivotal role in not only facilitating investments into the Nigerian oil and gas sector, but also positioning natural gas at the forefront of the country’s energy agenda. Most recently, the Federal Government launched its ‘Decade of Gas’ initiative, under the theme ‘Towards a gas-powered economy by 2030,’ in conjunction with its National Gas Expansion Program, aimed at bolstering gas development for domestic use and industrialization.

Nigeria’s ‘Decade of Gas’ initiative succeeds the 2020 ‘Year of Gas’ declaration, which launched a range of projects, including the $2.8 billion, 614Km Ajaokuta-Kaduna-Kano (AKK) pipeline connecting the eastern, western, and northern regions of the country, as well as the construction of $10 billion Nigeria LNG Train 7.

The Federal Government has also reaffirmed its stance on funding for gas and fossil fuel projects in Nigeria and has highlighted that funding for these crucial projects should be sustained during the global transition to net-zero emissions.

Under H.E. Minister Sylva’s leadership, Nigeria is poised to exploit the country’s enormous gas resource potential – which ranks among the 10 largest worldwide and is estimated to be in excess of 600 trillion cubic feet (tcf).

Meanwhile, Nigeria’s Petroleum Industry Bill (PIB) is set to be passed by in July. This important legislation seeks to ensure an increased level of transparency and accountability in the sector and overhaul the Nigerian oil industry, while offering new fiscal incentives to investors and while restructuring the way energy projects in Africa’s largest crude producer are operated and funded.

“Nigeria intends to advocate for an Africa-centric approach to the clean energy transition – one that is able to meet our developmental goals and eliminate energy poverty, while achieving substantial reductions in global carbon emissions,” said NJ Ayuk, Executive Chairman, the AEC. “The monetization of gas resources – of which Nigeria holds 600 trillion cubic feet – will be a critical instrument for diversifying our national economies, generating regional income, boosting electrification rates and curbing gas flaring practices. AEW 2021 is a key platform to exchange best practices on transitional strategies, as well as showcase the contributions that Nigeria has made – and has yet to make – to a more sustainable future.”

Moreover, the government expects additional marginal field production to begin next year, following its second marginal field bid round which was hosted by the DPR in 2020, whereby 591 companies applied to win 57 oil fields located onshore and offshore. The new activity is expected to generate revenue of $600 million.

“Minister Sylva has been a long-time champion of Nigerian energy development, and there can be no discussion of Africa’s energy future without the presence of its leading economic and energy powerhouse. From advancing the Petroleum Industry Bill to its final stages, to successfully launching Nigeria’s first marginal fields bid round in nearly two decades, Minister Sylva has been resolute in his efforts to revitalize the oil and gas industry and unwavering in his support of a pro-African energy narrative,” continued Ayuk.

With key topics including making energy poverty history before 2030 and the future of the African oil and gas industry – the four-day AEW 2021 event will define and promote the African energy agenda through a series of elite networking events, innovative exhibitions, and one-on-one deal-making.

Since its launch two weeks ago, AEW 2021 has gained confirmation of attendance from an impressive line-up of government officials, top executives and industry leaders across the African energy value chain, including two of the top oil producers on the continent – as it pioneers a reputation for promoting Africa as the destination for African-focused events and elevating African voices within the energy transition.

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Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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Energy

FG Unveils N122 Billion Boost for Six Indigenous Gas Companies

Published

11 hours ago

October 3, 2024

Bassey Marshall

The Federal Government has unveiled six indigenous gas companies eligible for the N122 billion equity participation program under the Midstream Downstream Gas Infrastructure Fund (MDGIF).

According to the Minister of State for Petroleum Resources (Gas), Mr. Ekperikpe Ekpo, the six companies—Asiko Energy Holdings Limited (AEHL), FEMADEC Energy Limited, Ibile Oil and Gas Corporation (IOGC), Nsik Oil and Gas Limited, Rolling Energy Limited, and Topline Limited—have undergone rigorous screening.

Ekpo made the announcement during the signing ceremony of the MDGIF and Promoters Agreement held in Abuja.

He revealed that the investment reflects the government’s commitment to energy security, economic growth, and the development of the country’s gas infrastructure.

Ekpo described the signing as a significant step in the country’s energy sector.

He said, “Today marks a significant step forward in Nigeria’s gas revolution. I am pleased to announce the Federal Government’s approval of N122 billion for six indigenous companies through the Midstream and Downstream Gas Infrastructure Fund (MDGIF). This groundbreaking investment demonstrates our unwavering commitment to energy security, economic growth, and the development of Nigeria’s gas infrastructure.”

“Today is a significant milestone as we formally enter into agreements with six business entities that have been screened to obtain government equity participation under the MDGIF.”

Ekpo assured that the N122 billion will not be the last as the MDGIF is screening another batch of beneficiaries.

He urged the benefiting investors, who are the first to sign agreements for the projects since the enactment of the Petroleum Industry Act (PIA), to live up to expectations.

He encouraged companies that did not make the first list not to lose hope.

The minister said, “For those who did not make the first six, we will have a second batch. Go home and put your records in order, and of course, this is the first since the passing of the PIA in 2021. This is the first signing, and we expect you to live up to expectations.”

Energy

Nigerians Tackle Minister of Power Over Claim of 20-Hour Electricity Supply

Published

3 days ago

September 30, 2024

Ugwoke Ogbodo

Many Nigerians have expressed shock and critisised the Minister of Power, Bayo Adelabu, harshly for claiming that over 40 percent of the country’s population is now enjoying up to 20 hours of electricity supply per day.

But his critics disagreed, saying the country still experience power outages and inconsistent supply at their deteriorating levels.

Reacting to Adelabu’s announcement, a resident of Lagos State, Kiwon Adesanya, said the minister’s statement is a far cry from the reality that citizens experience daily.

He said the people would only count themselves lucky if they get 8 hours of electricity in a good week, noting that “The constant power cuts are disrupting our lives and businesses.”

Echoing similar sentiments in other parts of the country, some residents of Ibadan, Oyo State capital said many businesses have collapsed due to poor power supply.

One of the affected residents, Doyin Ekundayo, a small business owner, expressed frustration with the government’s lack of transparency and accountability.

Ekundayon said it is disheartening to hear the minister claim such progress when the nation is still struggling with the same old problems.

While the government has made significant strides in recent years to improve electricity infrastructure, many Nigerians argue that the challenges facing the power sector are more complex than simply increasing generation capacity.

Factors such as transmission losses, inadequate distribution networks, and corruption have contributed to the ongoing power crisis.

Critics of the minister’s claim have called for more data-driven evidence to support his assertion.

They argue that anecdotal evidence from individual consumers is not sufficient to paint a comprehensive picture of the country’s electricity situation.

As the debate over the minister’s claim intensifies, Nigerians are demanding concrete solutions to the power crisis.

They are calling on the government to prioritize investments in renewable energy, improve grid infrastructure, and address corruption within the power sector.

Energy

Power Generation Reaches New Heights as 40% of Nigerians Enjoy Over 20 Hours of Electricity

Published

3 days ago

September 30, 2024

Bassey Marshall

The Minister of Power, Adebayo Adelabu, has said the major achievement of the ministry under his administration is the increase in power generation to over 5,500 megawatts.

The minister, who spoke during a review of the ministry’s activities in the last one year, said more than 40% of Nigerians are now enjoying at least 20 hours of power supply.

Adelabu described the power supply before his resumption as epileptic, adding that Nigerians were unable to enjoy more than 15 hours of power supply per day.

He said, “Upon resumption, we had an installed generation capacity of 13,000 megawatts, but we were only producing, transmitting, and distributing about 4,000 megawatts of power to the entire country.

“This was quite low and unacceptable given our population and level of economic activities. Therefore, we were determined to improve the situation.

“At that time, there was an epileptic supply. Almost all customers, both residential and commercial, could not be guaranteed 12-15 hours of supply.

Additionally, the adoption of renewable energy was skeletal in terms of solar or wind sources of energy.

“Between then and now, which is about a year, there has been significant improvement. Today, our installed capacity is over 14,000 megawatts of power due to the addition of the newly commissioned Zungeru hydroelectric power plant and improved capacity of some of the existing power plants.

“Moreover, the major achievement is the fact that today we generate over 5,500 megawatts of power, we transmit and distribute it, and over 40% of customers today enjoy over 20 hours of regular power supply across the nation. You can see that there is a significant improvement between when we came in and now, which we intend to improve further.”

Furthermore, Minister Adelabu highlighted some challenges faced by the ministry, particularly the issue of the meter gap in the country.

He revealed that out of 13 million customers, over 7 million are without meters.

The minister emphasised the need to address this issue.

However, he revealed that with President Tinubu’s Presidential Metering Initiative, the issue of the meter gap will be addressed.

Adelabu added, “There is the issue of the meter gap that we have. We all know that out of almost 13 million customers that we have in the industry, over 7 million customers are still without meters and are on estimated billing. We said this is not the way to go.

“We must correct this, which is why President Bola Ahmed Tinubu set up the Presidential Metering Initiative, which has the mandate of installing over 10 million meters within the next five years, at least 2 million meters every year. We are making progress on this. The funds are being provided, and we will soon go into the acquisition of these meters. This would reduce the meter gap.”