Connect with us

Company News

Solewant Group Invests $200m to Meet Africa’s Standard Steel Pipe Needs

Published

on

Solewant - Investors King

Original engineering equipment manufacturer/oil and gas services provider, Solewant Group, said it has spent over $50 million and currently investing additional $150 million, cumulating to over $200 million investments, in the expansion of its automated Longitudinal Submerged Arc-Welding (LSAW) pipe milling plant.

The Group Chief Executive Officer of Solewant Group, Mr. Solomon Ewanehi, said the investments were to enable the company consolidate and provide standard steel pipes needed in the African oil and gas and water sectors.

Ewanehi, disclosed this when a team from the ministry of water resources paid an inspection visited to the company’s facilities at Alode, Eleme-Onne, in Rivers State.

Facilities inspected at the Solewant Group Industrial Area included the company’s Pipe and metals fabrication centre, state-of-the-art laboratory, fabrication and coating yard of over 139,000 square meters, multi-layer pipe coating plant and concrete weight coating factory.

Ewanehi noted that Nigeria has over the years suffered from inadequate local capacity in the water, oil and gas industry, particularly in the areas of in-country value addition and production of tubular goods.

To address the gap, Ewanehi, said the company set up her Industrial Area to drive local content and provide direct impetus to the existing water, oil and gas laws and regulations that support local content development.

He added that Solewant Industrial Area would also provide a strong African presence, as Nigeria is at the forefront of the West African development where major oil, gas and water facilities were being installed.

He said their journey to manufacturing was an example of value creation that started in 2004, when the federal government met with some stakeholders in Abuja to examine progress made by indigenous industries.
This, he said, led to the development of the company’s Industrial Area.

“The purpose of this pipe and metals centre is to provide employment to the youth and training of engineers in pipes/pipe coating application services, encouraging local content, technology transfer, to save time of project delivery and minimize cost of projects and efficient pipes/metals coating solution to project owners,” he said.

Ewanehi identified environment and patronage as major challenges, pointing out that their company was not looking at challenges, because they were natural.

The GCEO said he was more excited that Nigerian Content Development and Monitoring Board (NCDMB) has certified Solewant as original equipment manufacturers of coating pipes in the country, saying “so if you need such products and solution, you must come to Solewant facility.”

In his remarks, after the tour of the company’s facilities, the leader of the delegation from the ministry, Mr. Oyok Nsa, who spoke on behalf of the Minister of Water Resources, Adamu Suleiman, described the products manufactured by Solewant Group as of high quality and unprecedented in Nigeria.

According to Nsa, “it is more gratifying to see a hundred percent Nigerian company manufacture such products in-country, and as such, Solewant needs to be encouraged and supported.”

He said the ministry was concerned with the prevalence of material failures in water supply infrastructure in Nigeria, occasioned by the use of sub-standard uPVC/HDPE Pipes, casing, screens and fittings.

He revealed that the ministry was planning to standardizing and regulating the materials to be used in construction of water supply infrastructures in the sector.

Commending Solewant Group further, Nsa said, “What we have seen here today is unprecedented. The water treatment plant and other pipe production and coating facilities are of high quality and meet International standard.

“Solewant has proved that they can manufacture high quality tanks and pipes that can convey safe water to the public. We are impressed, so we are going to make our report to the Honourable Minister of Water Resources when we get back.”

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

Continue Reading
Comments

Company News

Axxela Limited Raises N16.4bn in Oversubscribed Bond Issuance

Published

on

Bonds- Investors King

Axxela Limited, a leading sub-Saharan African gas and power company, has successfully completed its N15 billion Series 1 Bond Issuance.

The company raised N16.4 billion due to oversubscription and investor confidence in the company’s financial strength and strategic direction.

Bolaji Osunsanya, Axxela’s Chief Executive Officer, expressed his satisfaction with the outcome, highlighting the bond’s oversubscription of 109%.

Despite challenging economic conditions marked by rising interest rates and limited market liquidity, Axxela’s bond offering attracted strong interest from a diverse group of investors, including pension fund administrators, asset managers, and high-net-worth individuals.

Osunsanya explained that the proceeds from the bond issuance would play a crucial role in funding the company’s long-term capital expenditures, managing its weighted average cost of capital, and diversifying its funding sources.

The funds will support the completion of ongoing gas pipeline projects across Nigeria, aligning with the company’s commitment to enhancing energy infrastructure and contributing to the country’s energy transition agenda.

Stanbic IBTC Capital, serving as the lead issuing house alongside seven joint issuing houses, played a pivotal role in facilitating the transaction, with Stanbic IBTC Bank acting as the transaction bank.

The successful bond issuance reflects Axxela’s strategic positioning as a key player in the region’s energy sector and its ability to leverage strong investor confidence to drive growth and innovation in the industry.

As Axxela continues to expand its presence and strengthen its operations, the oversubscribed bond issuance serves as a testament to the company’s resilience and its commitment to delivering value to shareholders and stakeholders alike.

Continue Reading

Company News

Dangote Refinery Continues Price Slashing: Diesel Now at ₦940/Litre, Aviation Fuel at ₦980/Litre

Published

on

Dangote Refinery

Dangote Petroleum Refinery has once again sent ripples through Nigeria’s fuel market by further reducing the prices of diesel and aviation fuel.

In a bid to alleviate economic hardships faced by Nigerians, the refinery has lowered the price of diesel to ₦940 per litre and aviation fuel to ₦980 per litre.

This latest move comes on the heels of the refinery’s recent price reduction to ₦1,000 per litre for diesel, which was celebrated across the country.

The decision to slash prices further underscores Dangote Refinery’s commitment to providing affordable fuel to consumers.

Anthony Chiejina, the Head of Communication at Dangote Petroleum Refinery, announced the development.

He revealed that the new prices are part of a strategic partnership with MRS Oil and Gas stations to ensure accessibility and affordability of fuel across all major locations, including Lagos and Maiduguri.

The refinery’s management expressed optimism that the price reduction would significantly ease the financial burden on consumers, particularly amid rising inflation and energy costs.

They also hinted at extending the partnership to other major oil marketers to ensure uniform pricing and prevent retail buyers from purchasing fuel at exorbitant prices.

This marks the third major reduction in diesel prices in less than three weeks, signaling Dangote Refinery’s proactive approach to addressing economic challenges.

The move has garnered praise from various quarters, with Nigerian President Bola Tinubu commending the refinery for its efforts to support the economy.

Industry experts, including Ajayi Kadiri, the Director General of the Manufacturers Association of Nigeria, lauded the refinery’s initiative, highlighting its potential to stimulate economic activities across critical sectors such as industrial operations, transportation, logistics, and agriculture.

Continue Reading

Company News

MicroStrategy Rally Crushes Short Sellers, Wiping Out $1.92 Billion

Published

on

MicroStrategy- Investors King

Short sellers betting against MicroStrategy found themselves facing significant losses as the company’s rally wiped out $1.92 billion since March.

This development comes amidst a rally that has seen MicroStrategy’s stock outperform bitcoin, causing a considerable hit to those who had taken a bearish stance on the tech firm.

According to data from S3 Partners, short sellers have been on the losing end since March, as MicroStrategy’s stock surged, highlighting the impact of the rally on those betting against the company’s success.

This loss underscores the challenges faced by short sellers in a market where certain stocks experience rapid and unexpected price increases.

The rally in MicroStrategy’s stock is attributed to several factors, including the approval of several spot bitcoin exchange-traded funds (ETFs) by the Securities and Exchange Commission (SEC) earlier in the year.

This move by the SEC brought bitcoin, a once-nascent asset class, closer to the mainstream and fueled investor interest in companies like MicroStrategy, known for their significant holdings of the cryptocurrency.

MicroStrategy, which held nearly 190,000 bitcoin on its balance sheet as of the end of 2023, has indicated its intention to continue increasing its exposure to the digital currency.

The company’s decision to sell convertible debt to raise money for additional bitcoin purchases further bolstered investor confidence and contributed to the stock’s rally.

Analysts at BTIG noted that the premium for MicroStrategy’s stock reflects investors’ desire to gain exposure to bitcoin indirectly, especially those who may not have the means to invest directly in the cryptocurrency or ETFs.

The company’s ability to raise capital for bitcoin purchases is seen as a positive sign for shareholders, adding to the optimism surrounding its stock.

However, despite the recent rally and optimism surrounding MicroStrategy, the crypto industry as a whole continues to be heavily shorted.

Short interest in nine of the most-watched companies in the crypto space remains high, standing at 16.73% of the total number of outstanding shares, more than three times the average in the United States.

Moreover, concerns persist regarding the SEC’s stance on cryptocurrencies, with some experts suggesting that the approval of spot bitcoin ETFs may not necessarily indicate a broader acceptance of other similar products, such as spot ethereum ETFs.

Continue Reading
Advertisement




Advertisement
Advertisement
Advertisement

Trending