Blog

Nigeria @56: stakeholders paint gloomy future for Nigeria’s oil, gas sector – analysis

By Yunus Yusuf

NAN-HE-5

Energy

Lagos, Oct. 2, 2016 (NAN) Nigeria faces dire prospects in the oil and gas sector if the current challenges in the sector are not urgently addressed.

Some stakeholders in the sector expressed this concern, saying that current challenges in the sector might frustrate the achievement of major production targets in future.

They listed the challenges to include vandalism of oil facilities in the Niger Delta which has affected oil production and falling crude oil prices in the international market.

The stakeholders expressed these concerns in separate interviews with the News Agency of Nigeria (NAN) in Lagos on the occasion of Nigeria’s 56th independence anniversary.

They said that effects of these challenges on the economy were already manifesting.

The Nigerian National Petroleum Corporation (NNPC) reported that Nigeria lost N51.388 billion to oil pipeline vandalism in the last four months.

The report said that the country would record more of such losses if the current spate of pipeline bombings by militant groups in the Niger Delta region was not addressed

The NNPC monthly financial and operations report for April 2016 reported that the NNPC  spent N33.994 billion on pipeline repairs and management during the period.

The report said also that as a result of the vandalism, N10.335 billion worth of crude oil was lost, while petroleum products losses between January and April 2016 stood at N7.059 billion.

The Minister of State for Petroleum Resources, Dr Ibe Kachikwu, said that following the spate of attacks on oil and gas assets, Nigeria’s output of crude oil had declined to 1.4 million barrels per day from 2.2 million.

Mr Dolapo Oni, the Head of Energy Research at EcoBank, said that oil prices would continue to slide in future with some rather extreme scenarios to under 40 dollars per barrel.

Oni said that if the crude oil prices declined further, many oil and gas companies in Nigeria would face difficulties with meeting repayment obligations to banks.

He said that currently there were cost efficiency problems in the oil and gas industry and the development could make it impossible for government and other stakeholders to reposition the sector effectively.

The oil expert said that one of the challenges facing the sector was the noticeable delay in the contracting processes and this challenge also included funding and security problems.

He frowned at the situation where priority attention was given to oil to the detriment of gas production.

Oni advised that efforts should be made to tackle Nigeria’s dependence on oil to the detriment of gas when the country had about 184 trillion cubic feet of proven natural gas reserves.

Mr Samuel David, the Chairman of Divoc Energy, advised that Nigeria should continue to diversify its resource base and stop its heavy reliance on crude oil revenue.

David said that diversification required strong leadership, good policies and the political will as well as money.

“So ironically, income from oil is required to diversify Nigeria’s economy to fill the infrastructure gap, to provide power and to create and grow other industries that are holding the country back.”

He said that the industry had witnessed dwindling fortunes, especially since 2015, when oil industry workers and facilities came under incessant and direct attacks by the militants in the Niger Delta.

David said that the dwindling fortunes of the oil sector was already affecting other sectors.

“The rapid devaluation of the naira can be attributed in part to lower oil prices which have wiped out billions of naira in Nigeria’s fledgling indigenous oil and gas companies.”

A former PENGASSAN Public Relations Officer, Mr Oluwaseyi Gambo, said that the ongoing insecurity in the Niger Delta had forced many multi-national international oil companies to commence divestment in oil blocks and marginal fields.

Gambo said that many of these assets were Nigerian onshore assets that had been plagued by industrial-scale oil theft, insecurity and spillages.

The former PENGASSAN spokesman said the security challenges should be resolved to assure investors that the environment was safe for investment.

The Chairman, Board of Trustee, IPMAN, Alhaji Abdulkadir Aminu, also said that in spite of the relatively large volume of crude oil reserves, Nigeria’s oil production was being hampered by instability and supply disruptions.

Aminu said that the non-passage of the Petroleum Industry Bill (PIB), which had been pending before the National Assembly since 2009, was also a major concern to stakeholders.

The PIB has suffered a number of setbacks; the delays have been on account of diverse interests scrutinising its provisions.

“At a point in time, the last administration promised to pass the bill before the end its regime, but was not able to do so,” he said.

Aminu said that the country was still facing serious issue of gas flaring in spite of  long standing  laws against gas flaring.

He said that the shifting of deadlines to end the practice had made the the activity to continue with serious health consequences to the people living nearby.

The Nigerian government has been working to end gas flaring for several years, but the deadline to implement the policy has been repeatedly postponed.

According to the International Energy Administration (IEA), the instability in the Niger Delta has resulted in significant amounts of shut-in production at onshore and shallow offshore fields, forcing companies to frequently declare force majeure on oil shipments.

Security concerns have led some oil services firms to pull out of the country and oil workers’ unions to threaten strikes over security issues.

Experts agree that now is the time for Nigeria to stop its dependence on crude oil revenue and stop paying lip service to the diversification of its revenue sources. (NAN)
YO/TA
Edited/controlled by Tajudeen Atitebi

====

NAN-H-36

Traders

By Tukur Muntari

Kano, Oct. 2, 2016 (NAN) The National Harmonised Traders Union of Nigeria has expressed confidence in the ability of President Muhammadu Buhari to save the country from the present economic hardships.

This is contained in a communique issued at the end of the meeting of the union in Kano signed by its President, Alhaji Bature Abdulaziz, and made available to newsmen on Sunday.

The traders also expressed confidence that President Buhari would fulfill the promises he made to Nigerians to move the country forward.

“We now have full confidence more than ever before, in the Buhari Government’s sincerity to salvage the nation in the nearest future.

“We understand the difficulties Nigerians are going through in this time of recession.

“But we are confident that in the near future, the storm will be over to make each and every citizen happy.

“Why we are optimistic that Nigeria will soon get out of its difficulties is because efforts made on security and power by the President have since become a source of pride for the nation.

“We congratulate the President and the Nigeria security agents, especially our gallant soldiers, for restoring hope of a secure nation for us.

“We also salute the courage of some governors who in spite of the economic recession, are able to pay salaries every month,” the statement said.

The union, therefore, urged President Buhari not to relent in his determination to sanitise the country.

“We are a strong union representing all the traders and market unions in Nigeria.

“ We are ready to sacrifice for our country by giving you all the necessary support for you to succeed,’’the statement added. (NAN).

MTM/AMM/AMY

Edited by Abiemwense Moru and Abdullahi Yusuf

Kwara Govt. to remodel, renovate 30 secondary schools
NAN-H-35
Remodeling
By Usman Aliyu
Ilorin, Oct 2, 2016 (NAN) Gov. Abdulfatah Ahmed of Kwara on Sunday said the State Government would soon embark on renovation and remodeling of 30 Secondary Schools across the state.

Ahmed made the announcement in Ilorin in his message at the 1438 Hijra celebration, which commemorated the beginning of the new Islamic Year.

The governor who spoke through Alhaji Musa Yeketi, the state Commissioner for Education and Human Capital Development, also said the state government would embark on palliative programmes that would benefit traders, artisans and civil servants in the state.

According to him, the Infrastructure Fund popularly called IF-K, which was launched by the state government last week, would serve as window to fund critical projects since a plan to raise N20 billion bond did not yield the desired result.

“This innovation will begin to manifest soon.

“Construction of an underpass at Geri-Alimi has been launched and this will be the third one in the country,” he said.

The governor also said that an asphalt plant that would take care of the deplorable state of the roads in the state had been installed.

He said mobile workshops had been put up for Entrepreneurship training of students in Secondary Schools across the state.

Also in his message, the Emir of Ilorin, Alhaji Ibrahim Sulu-Gambari, said he was delighted by the atmosphere of peace in the state, which he said, was a departure from last year’s experience.

The Chief Imam of Ilorin, Sheik Mohammed Bashir Salihu, had earlier led the gathering in a special prayer for the nation.

The News Agency of Nigeria (NAN) reports that over 70 Islamic and conventional schools participated in a March Past to celebrate the day. (NAN)
AUO/AMY

Edited by Abdullahi Yusuf

NAN-H-8
Partnership
Shuaibu Tatu/ Yusuf Awalu
Birinin Kebbi, Oct.2,2016(NAN) The Saudi Arabian Authorities on Sunday expressed readiness to partner Kebbi state government to boost economic activities in the state.

The Saudi Arabian Ambassador to Nigeria, Sheikh Abdulmajid Muhammad announced this in Birnin Kebbi when he paid a courtesy visit on Gov. Atiku Bagudu of Kebbi.

Muhammad said Kebbi state was blessed with abundant human and natural resources, especially mineral deposits and fertile land for agriculture.

He said with support and cooperation of both countries, a significant economic milestone would be achieved.

The ambassador commended the state government especially in respect of the  just concluded 2016 Hajj exercise, stressing that “your pilgrims demonstrated exemplary character.’’
Earlier, the governor of Kebbi State,  Atiku Bagudu, expressed happiness with the visit, saying that the State was in dire need of investors who would invest in agriculture.

Bagudu, who described Kebbi State as a land of peace and opportunity, promised that his administration would cooperate with Saudi Arabia  to benefit from the comparative advantage of both nations.

He added that the state remained the cradle of Islamic civilisation due to the historic position of the Sokoto Caliphate.

The governor said the famous Jihadist, Abdullahi Fodio, was a younger brother of Usman Ibn Fodio, who established Gwandu emirate and propagated Islam.(NAN)
SZT/BKD/ADA

Edited by Deji Abdulwahab

NAN-H-7

Police

Lafia, Oct.2,2016 (NAN) Gov. Tanko Al-makura of Nasarawa State has commiserated with police authority over the death of the Deputy Commissioner of Police in charge of Operations in the state, Mr Usman Sabo-Longlong.

 In a condolence message signed on his behalf by his Special Assistant, Media, Tukur Ahmed, the governor described the death of the officer as ‘tragic’.

“The death of the late DCP, Operations, is a great loss, not only to the police family, but the people of the state and the country in general.

“Late police officer was a vibrant, committed and dedicated man, who has contributed immensely in ensuring the security and peaceful development of the state.

“The deceased also sacrificed all his time in ensuring adequate protection of lives and property of people of the state”, Al-makura said.

The governor prayed God to grant every member of Sabo-Longlong’s family and the entire Police Force, the fortitude to bear the pains of his demise.

A statement signed in Lafia on Sunday by the Nasarawa Police Command’s Public Relations Officer, DSP Idirisu John-Kennedy, indicated that Sabo-Longlong, 56, died on Oct 1. At about 7p.m. at the University of Jos Teaching Hospital, following a brief illness.
The statement quoted John-Kennedy as saying that “until his death, Sabo-Longlong was DCP in charge of Department of Operations, Nasarawa State police commands headquarter, Lafia.’’

John-Kenndy said that the deceased, an indigene of Sokoto State, joined the service of the police on Sept.1, 1982, and had served in various places.

He added that the late police officer had been buried in accordance with Islamic injunction in Lafia, Nasarawa state. (NAN)

BAB/ADA/ASH

Edited by Deji Abdulwahab

NAN- H-6
Foreigners
Maiduguri, Oct. 2, 2016(NAN) The Nigerian Army says it plans to hand over six foreigners who were arrested in the course of its anti terrorism war, to the Nigeria Immigration Service, for deportation.

Brig.-Gen. Victor Ezugwu, the General Officer Commanding (GOC) 7 division of the Nigerian Army, stated this while speaking with newsmen in Maiduguri on Sunday.

Ezugwu said that the foreigners were among suspects arrested at various raids in Boko Haram terrorists camps, but were cleared of affiliation with the group.

He said that the suspects had been found to have entered the country illegally.

“We handed over 348 cleared detainees to the Borno State Government on Saturday

” Some other suspects were not released because they had committed crimes that are civil in nature, as such, will be handed over to relevant security agencies for further action.
” Among this category are six foreigners who illegally entered Nigeria.

“They consist of four Cameroonians, one Chadian and one Jamaican; these foreigners will be handed over to the Nigeria Immigration Service for deportation” , he said

The News Agency of Nigeria (NAN) recalls that the Nigerian Army had on Saturday, handed over 348 cleared detainees to Gov. Kashim Shettima as part of its efforts to ensure justice and fairness to individuals arrested in the ongoing anti terrorism war. (NAN)
ABI/ASH

NAN-H-32
Kumuyi
By Ehigimetor Igbauba
Benin, Oct. 2, 2016 (NAN)  The General Superintendent, Deeper Life Bible Church, Williams Kumuyi, has urged Nigerians to look at the brighter side of the country as it celebrates its 56th independence anniversary.

Kumuyi made the call when he spoke to journalists at the Benin Airport on his way to Delta State for a Church programme on Sunday.

The cleric also urged the Federal Government to look elsewhere for oil for the country’s economic growth.

He said there was hope for the country with the pace of democratic development.

He carpeted the recent upsurge in several cases of men of God indulging in undignifying activities and lifestyle.

On the nation’s 56th independence anniversary, he said “I would say to start with, we need to thank God in everything, that we got independence that political leaders fought for independence and we got that independence 56 years ago.

“I think it is commendable and from that time till this time maybe we are not where we should be but we are not where we used to be and we thank God that democracy is taking root and we are making progress.

“There are things to look into for us to become better society but we are thanking God for what has happened already.”

On economic recession, the renowned man of God said “the government is not just folding its arms, the government is doing something.

“We should become proactive, we should stop looking at the negative side and complaining what has not been done and move forward.

“Look at our economy and look at the diversification moves so that we are not just depending on oil alone which everybody is realising now.

“We need to go into agriculture into tourism and other things that will generate resources and funds for the country.”

He lamented the activities of some men of God who indulge in cases of defilement.

He said that “of-course, everybody is disturbed by the development; we see in some places but all the same, even unbelievers condemn
such issues as rape and corruption.

“Every intelligent person opposes that; we should see how to help the people out of that kind of behaviour.”

When asked to assess President Muhammadu Buhari’s anti-corruption campaign, he said “sometimes in school we allow students to finish their exams before we assess them.

“Sometimes when you assess midway, you don’t get the right assessment so I think I like to still observe more to see where we are going so when we get there, we will be able to assess properly.”  (NAN)
ESI/HA
=======
(Edited by Hadiza Mohammed-Aliyu)

NAN-H-31
Nigeria
Lagos, Oct. 2, 2016 (NAN) The Vice President, Prof. Yemi Osinbajo, on Sunday, declared that the country had moved forward as it turned 56 years and would continue to move forward.

He made the declaration in a speech at the service of the Olive Tree Parish of the Redeemed Christian Church of God, Lagos.

He asked the congregation if they knew that God made a promise to the nation which was that the nation would be great and made the same promise to them as individuals.

According to him, a lot of people are confused and asking if the promise will ever come true.

He said “this country has gone forward and it is going to keep moving forward.”

Osinbajo recalled that while he was praying recently, the Lord reminded him of something he asked him to do on the eve of the 2015 Presidential election.

He said that God asked him to take the communion because he was crossing over and when he did (take the communion) He took him through the journey from Egypt to the Promised Land.

He said God reminded him of what happened in that journey.

He added that the first thing that happened was that God himself said if he took the children of Israel through the path where the Philistines lived, they would be afraid and would be asked to return to Egypt.

He said that God rather took the people through the Red Sea.

He explained that by the time they were about crossing the sea, there was a fight back from where they were coming from as Pharoah chased them and wanted to bring them back.

He said the incident got Moses confused as he did not know what to do as God never told him there would be a Red Sea, a difficulty, in the journey.

The vice president added that if God was with us, no one would be against us.

“The reason why I, Yemi Osinbajo, without asking for a position, was given the Vice Presidency of this nation is because God’s hand is in this business.

“And so, I am completely confident that despite where we are today, it is the dawn of a new beginning.

“It has begun to show and surely there is a very bright light at the end of the tunnel.”

He noted that “God knows that this country has a plan and purpose in Africa and in the world; the lan and purpose will never diminish or be cut short.”

Osinbajo said that the role of Christians as spiritual people was not to grumble, adding that Christians had been trained to be steadfast in times of difficulty.

He recalled the injunction he gave to the parish in the past about having a role to play in making the country great.

He said the vision of the Church and that of the country were tied together, stressing that every citizen of the country would eat of the good of the nation.

He advised the congregation to always seek righteousness in order to obtain God’s blessings.

He also urged them to be confident in spite of the trial times “as God is going to do incredible things in this country.”

He thanked the leadership of the Church for the excellent way they shepherded the flock, noting that the parish would grow from
strength to strength.

The News Agency of Nigeria (NAN) reports that a popular gospel artiste, Don Moen, was a guest at the service and he rendered songs of hope and praise for Nigeria and the Almighty.

According to Moen the challenges in the economy will strengthen the nation.

He said that “unless we go through these challenging times, we won’t be able to appreciate what God will do.”

The vice president also attended the fellowship rally of the House of Freedom Church, TBS, Lagos and spoke on “One Nation, No
Shaking.”

He said the country would remain indivisible and would attain greatness with the support of every citizen. (NAN)
DCU/HA
========
(Edited by Hadiza Mohammed-Aliyu)

NAN-H-30
Election
BY Moses Omorogieva
Lagos, Oct. 2, 2016 (NAN) Pastor Peters Omoragbon, the National Conscience Party (NCP) candidate in the Sept. 28
Edo governorship election said that the flaws committed during the election were not strong enough to cancel the exercise.

He said this in an interview with the News Agency of Nigeria (NAN) in Lagos on Sunday.

Omoragbon said the Edo election was one of the best conducted so far in the country.

He added that those calling for its cancellation were doing so in bad faith.

He noted that “the Sept. 28 Edo governorship election is one of the best done so far in Nigeria. The exercise was devoid of killings and fighting.

“We have witnessed other elections, including common local government election in some states where people were killed or kidnapped. No single soul was lost in the Edo election and I think that was great.

“During campaigns and election, I and my supporters did not receive any threat from other party members.

“There were some flaws though, but not strong enough to cancel the election. I give INEC 96 per cent for performance. Those calling for cancellation are doing so because they lost.

“If APC had lost the election, they will cry fowl also and call for cancellation. I and my supporters were on ground, the election was free and fair.”

Omoragbon then congratulated the Governor-elect, Mr Godwin Obaseki, and urged him to form an all inclusive government with the best
Edolites from all groups.

The NCP candidate advised Obaseki against the winner takes all syndrome, stressing that he was elected by Edo people and not his political party.

“Obaseki has won the election, he should carry out all his campaign promises. His victory is for Edo people.”

He added that the Edo election came in as a role model for other states and urged losers to join hands in building the state.

“Any aggrieved person should go to court. Election to serve the people should not be a do or die affair.

“Political party in power should encourage their members in authority to give dividends of democracy to the electorate.”

Corroborating Omoragbon on the election in a separate interview, the National Chairman of NCP, Malam Yunusa Tanko, said the party was satisfied with the conduct of the election.

Tanko said they were happy as the exercise was crises-free, stressing that the party had accepted the result of the election.

“There was orderliness in Edo governorship election. For us in NCP, we are satisfied with the outcome of the election.

“I commend INEC for a job well done. I give them 85 per cent for their performance. I know they can improve on this in other elections
coming up.”

The NCP chairman also congratulated Obaseki for the victory and urged him to improve on the lives of Edo people by avoiding anti-people
policies. (NAN)
MIO/HA
=======
(Edited by Hadiza Mohammed-Aliyu)

NAN-H-28
Attitude
By Temitope Salami
Sagamu (Ogun State), Oct. 2, 2016 (NAN) Nigeria’s Pioneer Professor of Medicine, Prof. Theophilus Ogunlesi, has urged Nigerians to adopt
productive and positive attitude to national issues as the country celebrate 56th Independence Anniversary.

Ogunlesi made the call in an interview with the News Agency of Nigeria (NAN) on Sunday in Sagamu, Ogun.

He said that in spite of current challenges, Nigeria still had numerous untapped potential to be exploited, adding that the country had the wherewithal to still be considered among the best African countries.

He also urged Nigerians to maintain positive outlook toward the nation’s economic situation, saying “everyone must contribute his or her quota to the development of the nation.

“We must embrace agriculture in its entirety, not only to put food on our tables but also to overcome the current economic recession.

“Nigerians at this point should increasingly patronise locally-made products and focus more on exportation for the nation’s currency to
surge in value.”

Ogunlesi also advised government at all levels to continue to ensure that the dividends of democracy got to every part of the country through the provision of amenities.

While congratulating Nigerians on the independence anniversary, he said Nigerians should expect better days ahead and support the President Muhammadu Buhari-led administration to turn around the country’s fortune.

Similarly, the Associate Bishop of Remo Anglican Diocese, Ven. David Fadugba, had described Nigeria as a country full of hope, saying Nigerians must continue to pray for improvement in the nation’s economy.

Fadugba urged Nigerians, irrespective of their religious or political affiliation, to support the change mantra of the present administration so as to fast-track development.

He said political leaders must allow the fear of God to guide them in their decision-making and to release themselves totally to selfless service.

He, however, implored government to initiate more employment opportunities to youths to reverse the spate of crime, saying “an idle hand will always be the devil’s workshop.”

The cleric advised youths to shun vices and look for ways to develop themselves. (NAN)
TDS/HA
=======
(Edited by Hadiza Mohammed-Aliyu)