Energy

OPEC Secretary General Says Africa Needs to Combat Energy Poverty As a Priority

Published

3 years ago

August 24, 2021

H.E. Mohammed Barkindo, Secretary General of the Organization of Petroleum Exporting Countries (OPEC) has urged African oil-producing countries to continue developing their energy sector activities and reassured that OPEC will continue to serve as a viable partner and “assist [them] in whatever way possible.”

Speaking during a meeting at the Republic of the Congo’s National Oil Company, Société nationale des pétroles du Congo (SNPC), as part of a historic three day OPEC and African Energy Chamber delegation to the country on Monday, he highlighted the role of oil and gas in the development of Africa’s energy industry, as well as global energy security. H.E. Barkindo further pointed out that while improvements in renewable energy technologies have been made, the oil and gas industry remains the primary road out of widespread energy and economic deprivation.

“OPEC categorially rejects the narrative that the energy transition is from hydrocarbons to renewables,” said H.E. Barkindo, adding that “all sources of energy are required today in order to meet the challenges of climate change and the future demand for energy.”

Given that the global population is said to increase by 1.7 billion people by 2045 with the majority coming from Africa, it remains crucial that countries like the Congo strengthen their energy industries to respond efficiently to current and future challenges. Congo’s efforts to boost its oil and gas sector, as well as SNCP’s activities have been praised by the Secretary General.

ECP is live covering AEC’s and OPEC’s historic visit to the Republic of Congo as it launches it’s own initiatives to promote the country’s energy sector.

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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

Nigeria Partners with ECOWAS and Morocco to Launch $26B African Gas Pipeline

Published

5 hours ago

November 5, 2024

Bassey Marshall

The Nigerian government, in partnership with the Economic Community of West African States (ECOWAS), Morocco, and Mauritania, has announced plans to advance the $26 billion African Atlantic Gas Pipeline project to drive economic growth across Africa.

This development was revealed on Monday, November 5, by Mele Kyari, Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), at the ECOWAS Inter-Ministerial Meeting on the Nigeria-Morocco Gas Pipeline Project.

Speaking at the meeting, which was attended by ECOWAS Ministers of Hydrocarbons and Energy as well as representatives from Morocco and Mauritania, Kyari stated that, once completed, the project will connect 13 African countries.

Represented by Olalekan Ogunleye, NNPC’s Executive Vice President for Gas Power & New Energy, Kyari said this will be Africa’s largest pipeline project.

Ogunleye confirmed that progress has been made with the front-end engineering design completed, the phase two study finalized, and work ongoing for environmental and social impact assessments as well as land acquisition and resettlement.

He emphasized NNPC’s readiness to execute the project: “Today, we come together to make significant progress in the African Atlantic gas pipeline project, which is a transformative initiative connecting at least 13 African nations in shared prosperity and development. These achievements underscore our capability to deliver this landmark project, supported by strong regional collaboration.”

Ekperikpe Ekpo, Minister of State for Petroleum Resources (Gas), described the project as a game-changer for the regional economy, stating, “We stand at a critical juncture where these agreements can reshape our energy landscape, strengthen our economies, and uplift our people.”

He also highlighted that the project will increase Africa’s presence in the global gas market, noting that “the agreements demonstrate a strong commitment to advancing hydrocarbon and energy trade across ECOWAS, enhancing access to natural gas in West Africa, and expanding Africa’s global footprint in the gas market.”

Energy

Dangote’s Allegation of Refinery Boycott By Marketers False, Says IPMAN President

Published

6 days ago

October 30, 2024

Ugwoke Ogbodo

The President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Abubakar Garima, has expressed shock over business mogul, Aliko Dangote’s allegation that marketers were boycotting his refinery.

Dangote, the owner of a $20bn refinery had claimed that oil marketers in Nigeria have been avoiding his refinery for imported petrol.

He had lamented that such a move would impact negatively on the country’s economy and would discourage local investment.

Responding, however, IPMAN President said the allegations were false.

According to Garima, while speaking on a live telephone programme monitored by Investors King on Wednesday, IPMAN members are not importing petrol.

On the contrary, he disclosed that oil members can’t load petrol from the Dangote Refinery in Lagos despite having paid ₦40billion to the Nigerian National Petroleum Company Limited (NNPCL).

He said rather than get Dangote petrol through the NNPCL, the private refinery should register independent petrol marketers directly for smooth loading of the product.

The IPMAN boss noted that if Dangote could be able to sell the product to oil marketers directly, they can buy the product.

He expressed frustration in the fact that marketers had to pay before they pick, adding that “Presently, we have ₦40bn under the NNPCL custody but we cannot source the product.”

Garima explained how some marketers that NNPCL sent to load in Dangote refinery stayed with their trucks for four days, and they cannot load.

Energy

Ghana to Source Fuel from Dangote Refinery in 2025

Published

6 days ago

October 30, 2024

Yetunde Olugbenga

As part of efforts to reduce the cost of Premium Motor Spirit (PMS), commonly known as petrol, Nigeria’s neighbouring country Ghana has expressed readiness to start buying from Dangote Refinery in the first quarter of 2025.

Chairman of the National Petroleum Authority Ghana, Mustapha Abdul-Hamid announced this at the Oil Trading and Logistics (OTL) Africa Downstream Oil Conference held in Lagos, Nigeria.

Abdul-Hamid categorically said that Ghana will purchase fuel from Nigeria once the Dangote refinery begins operation fully.

According to him, the projected 650,000bpd daily production is too much for Nigerians to consume. Hence, Ghana could benefit from the surplus production, allowing both countries to collaborate more closely in the energy sector.

Currently, importing petrol from Rotterdam has made fuel prices relatively high in Ghana due to unfavorable exchange rates.

“If the refinery reaches its 650,000 bpd capacity, all that volume cannot be consumed by Nigeria alone, so instead of us importing as we currently do from Rotterdam, it will be much easier for us to import from Nigeria, which I believe will help bring down our prices,” Abdul-Hamid stated.

By sourcing petrol from Nigeria, Ghana hopes to mitigate logistic costs and benefit from a more favourable pricing structure.

Ghana buys $400 million worth of petrol from Europe monthly, which over the years has impacted the commodity pricing in the West African country.

Abdul-Hamid further said the volatility of the Ghanaian cedi against foreign currencies led to increased costs for fuel.

Additionally, buying from a neighboring country would reduce the exchange rate impact on petrol prices, significantly lower fuel costs, and reduce the prices of other goods.

“The reduction in freight expenses would help bring down the prices of various goods, positively impacting Ghana’s broader economy,” he concluded.