Category: News

Oil price crash: Nigeria needs emergency measures — SEC

Acting Director-General of the Securities and Exchange Commission, SEC, Ms Mary Uduk, yesterday, disclosed that emergency measures needed to be put in place by the country to insulate the Nigerian economy against expected shocks caused by the falling crude oil prices and increasing spread of coronavirus.

Addressing newsmen in Abuja, on its forthcoming International conference on Nigeria’s Commodities Market, Uduk, stated that with the current state of things, Nigeria’s 2020 budget is already seriously threatened.

She maintained that the Nigerian capital market was not totally insulated from the global shocks, noting that the commission would continue to monitor developments in the global market to ensure that the effect on the Nigerian capital market was minimal.

According to her, the declining crude oil price if not properly managed, would affect Nigeria’s foreign exchange-earning ability and the capacity of the country to service its debts.

She called for a multi-sectoral approach towards addressing the challenges to ensure that the country does not plunge into another round of recession.

Uduk, however, commended efforts spearheaded by the Central Bank of Nigeria, CBN, noting that the apex bank needed to be supported by stakeholders across all sectors of the Nigerian economy in order to achieve meaningful results.More in Home

She said: “In CBN right now, the government has convened a conference that is looking at how this thing is affecting the economy of Nigeria. The budget 2020 is already seriously threatened because the country’s crude oil benchmark was at $57 per barrel, but as of last night when I was looking at a report on a news network, I saw that oil price had gone down to $31 per barrel. That is how bad it is.

“The government has to sit down and calibrate and look at what are the steps that are to be taken in order to avoid a recession if we are not already even there. And you know that will affect our ability to earn foreign exchange which is predicated on doing a lot of things. We have to service our debts and all of that.

“It does not just have to be one sector it has to be a concerted effort, all of our needs to sit down and say what can we do and right now as we speak it is been done in CBN.”

Uduk further stated that the forthcoming International conference on Nigeria’s commodities market was another platform for critical stakeholders to brainstorm on issues bothering on diversification of the Nigerian economy and the roles agriculture would play in insulating the Nigerian economy from the shocks in the global economy.

She commended the Federal Government’s efforts at diversifying the Nigerian economy and moving the country away from overreliance on one commodity, adding that agriculture remained an important part of that plan holding the potential of delivering on the country’s food security needs, providing jobs and increasing our foreign exchange earnings.

“The International Conference on Nigeria’s Commodities Market 2020 will gather relevant stakeholders in the commodities ecosystem to consider the most pertinent issues in growing the ecosystem in Nigeria, with the end goal of creating an enabling environment for the deployment of innovative solutions that improve processes, products, productivity, and the partnerships available in the market as well as enable investors to access various investment opportunities across the value chain,” the SEC boss noted.

Vanguard

Nigeria Plans Budget Review After Covid-19 Hits Oil Prices

(Bloomberg) — Nigeria may have to adjust its budget this year after fears of coronavirus pandemic dragged the price of crude under the target set in its 2020 spending plan.

“The current crude oil price of $53 a barrel is below the budget benchmark. So what we are doing is studying the situation. We are committed to doing a midterm review,” Zainab Ahmed, Nigeria’s Minister of Finance told reporters in Abuja, the nation’s capital.

Nigerian President Muhammadu Buhari signed the country’s 10.6 trillion naira ($29 billion) spending plan into law this year based on an crude price projection of $57 a barrel and targeted oil earnings of 2.64 trillion naira. Brent crude prices are down about 22% this year.

Africa’s largest oil producer relies on earnings from the black commodity for about 50% to 60% of its income and more than 90% of its export revenues.

The International Monetary Fund slashed the West African nation’s economic growth projection to 2% from 2.5% because of a decline in oil prices.

“We are not taking any measures now until we have a reasonable period within which we make a review and then we may need to do an adjustment to the budget through working together with the National Assembly,” she said.

(Adds projected oil earnings to third paragraph)

source:investing.com

Reps summon 14 CEOs of International Oil Companies

The House of Representatives on Tuesday summoned Managing Directors/Chief Executive Officers of 14 major oil companies operating in Nigeria in the bid to avert breakdown of law and order in the oil-producing communities in Delta, Abia, Imo, Bayelsa, Rivers among others.

Chairman, House Committee on Treaties, Protocols and Agreements, Hon. Nicholas Ossai issued the directive at the investigative hearing into various petitions initiated by the oil companies held at the instance of Joint Committee on Treaties, Protocols & Agreements and Petroleum Resources (Upstream).

They are Managing Directors of South Atlantic Petroleum Nigeria Limited, Shoreline Petroleum Limited, Conoil Nigeria Limited and Energy Nigeria Limited, Niger Delta Company, MD Western, Orion Oil, Lee Engineering Limited, Aiteo, NSPDC, New Cross Oil, Sterling Oil Global Limited, Ran Ocean Oil, Eroton and Seplat Oil.

While frowning at the failure of the concerned authorities to honour the invitations sent by the Committee, Hon. Ossai observed that: “They have disrespected the House of Representatives by not appearing even last week and this week. And this Committee will not fail to deal with the issue squarely.”

The petitioners led by traditional rulers drawn from the affected communities solicited for the Committee’s intervention on the alleged flagrant disregard for the Memorandum of Understanding MOUs signed by the IOCS and host communities.More in Home

The community leaders also accused that both past and present Managing Directors and top managers of the major IOCs including Shell Petroleum Development Company (SPDC), Nigeria Agip Oil Company (NAOC), Chevron Nigeria Limited CNL and Exxon-Mobil Nigeria Limited and other IOCs of fraud in the implementation of MoUs, adding that they had shown disregard for honouring agreements.

At the hearing, representatives of Okiama and Fierebagha communities of Bayelsa State, Mr Ogiri Samuel, and those of Ohaji and Ugwuta communities of Imo State, Mr Isidore Nwabali, said that no form of community development project including roads, potable water and healthcare services had been implemented by these IOCs in their areas.

However, representative and General Manager, Public Affairs of the Nigeria Ship Oil Company NAOC, Callista Azuogu, has refuted the allegations by the oil host communities saying that it had entered into and implemented 115 MOUs in those areas.

Speaking on behalf of 12 communities known as Etche 2 cluster in Rivers State, Mr Okere, alleged that SPDC has been operating in the community since the 1950s with no projects on the ground for the benefits of the people.

He said that the company imposed the Global Memorandum of Understanding, GMoU it signed with them, lamenting that they defaulted in many areas of its provisions.

“They prepared and lord it on the community. If you refuse, they rather shut down the clusters. We need to apply to get this document.

“For a cluster of 9 with 69 oil communities, N110 million is shared amongst the communities, when you put all these, you know what is accruable is minimal,” he said.

On his part, Hon. Isdor Nwabagbara who spoke on behalf of Ohaji Egbema and Uguta in Imo State argued that SPDC refused to sign an MoU with them.

“I am shocked to hear that there is anything called MoU, since Shell came in 1973, no single project has done by Shell in Ohaji,” he said.

While expressing concern over the development, Hon. Ossai stressed the need for all the oil companies operating in the region to engage the communities with the view to engender peace in the area.

While speaking on the plight of the people of Okioma community from Southern Ijaw Local Government, Pastor Igiri Samuel accused Agip of failing developmental project despite signing an agreement with the community.

He said: “The last MoU was signed in 2009. No other projects. Only intervention projects, an extension of light. In term of employment, it is zero. From 1989 till date, nobody has been employed.”

On his part, Chief Isaiah Young Dede from Nembe Kingdom of Bayelsa State also decried the action of AGIP.

“There are 123 oil wells located in our area. Agip only signed one document and has not been implemented it,” he said.

Speaking earlier, Agip’s General Manager, Public Affairs explained that the company enjoyed a cordial relationship with its host communities.

He said: “We have 300 host communities both transit and host. They have access to power: in Imo Bayelsa, Delta.

“We supply power from our flow stations free of charge to the communities. They have access to water. We ensure that we live together. Before now, we had no fence because we believe that communities cannot attack us.

“On the areas of employment and empowerment, most of our projects are done by the communities, most of our employees are from the Niger Delta,” he informed the Committee.

While giving the position of Chevron, the company represented the General Manager, Policy, Government/Public Affairs, Mr Esimaje Brikin stated that they involved the communities through the GMoU to determine their needs, the communities said there were issues of unemployment and funding.

He, however, noted that the oil company had an opportunity for an internship but did not extend it to host communities, adding that there were also denied supply even tissue papers.

While reacting to the position of Exxon Mobil, Elder Jones Mkpa, who spoke on behalf of Okorutit village in Ibeno Local Government Area of Akwa Ibom threatened that: “Our youths will block the road and the organization will call in soldiers. There are no community projects and there is agitation every time by the youths. No peace in the community.”

However, there was a mild protest by the host community during the presentation of the Managing Director of Total Exploration Oil Company, Mr Energia Leslie, who explained that the Company always carried their host communities along in the implementation of its agreement.

In a swift reaction to his presentation, representatives of Eleogu community alleged that the oil company refused to implement the proposed scholarship scheme stipulated in the agreement.

While ruling, Hon. Ossai directed management team of 14 oil companies to appear before the Committee next week Tuesday to give details of the agreement they have with their host communities.

source: trubuneonline

NIPCO MD explains why CNG investment in Nigeria is low

Inappropriate pricing, paucity of infrastructure and non-existence of a regulating agency are partly responsible for investment deficit challenging the Nigeria’s Compressed Natural Gas (CNG) industry.

Sanjay Teotia, Managing Director, NIPCO Gas limited, who declared this during a media tour of some of NIPCO’s facilities in parts of Benin City, the Edo State capital, noted that the development of CNG, which is also being used to fuel vehicles for profitability and environmental friendliness is also being hampered by lack of accessibility to land.

He expressed regret that with the enormous gas reserves in the country, the potentials in the sector have not being fully utilised to the benefit of Nigerians.

Nigeria, Teotia said, would continue to miss the gains of the deposit of such gas reserves if the challenges were not resolved.

He, however, commended the Federal Government’s National Gas Expansion Programme Committee, which was recently inaugurated by the Minister of State for Petroleum Resources, Chief Timpre Silva, and Chaired by Engineer Mohammed Ibrahim to steer the gas sector for optimal performance.

The setting up of the committee, the Nipco Gas Ltd MD said, was very apt and a clear indication of the genuine resolve of the present administration resolve to tackle challenges that bedevil the sector and to pave the way for better utilisation of the nation’s massive gas resources in the overall interest of stakeholders .

According to him, the company, which got its license to operate in 2007, have seven gas stations in Benin alone, with other stations in Lagos and Delta States adding that NIPCO has laid 51km gas pipeline in Benin to distribute CNG to the seven stations in the city.

He said: “Currently, we have converted no fewer than 5000 vehicles from PMS/Diesel to CNG, and now distribute the product to few eatery in the city. We have the capacity to dispense 500 Standard Cubic Meter (SCM) and also dispense to no fewer than 20,000 vehicles here.

“The sector has the potential to provide numerous job opportunities and create a lot of economy potentials for the country once the government provides the necessary frame work to enhance its growth.

“For once, these must be appropriate pricing of gas to allow for affordability and the issue of land must be addressed as well. States government can encourage investment in the sector by giving land at a reduced rate,” he said.

Some of the motorist who spoke with newsmen during the tour expressed delight on the over 40% saving they make using gas as auto fuel compared to using white petrol

They, however, appealed to the company to replicate the establishment of more CNG across the city and neighbouring states to improve access to the product.

Source: Independent via EMR

Firm seeks to reduce Nigeria’s oil production cost

The Group Managing Director, BRADE Group, Ese Avanoma, has lamented the high cost of crude oil production in Nigeria.

Avanoma said his company would bring in new technologies in a bid to reduce the cost of producing a barrel of oil in the country.

He also advised the Federal Government to review some of the policies in oil and gas industry so as to enhance the ease of doing business.

“The oil industry has undergone major reviews in the past few years; cost is one of the major drivers. We will bring in new technologies and adapt them to the Nigeria environment to see how they can reduce the cost of producing a barrel of oil here,” he was quoted in a statement as saying on the sidelines of the Nigeria International Petroleum Summit in Abuja.

Avanoma said local content needed to be further strengthened and supported, adding that other policies in the industry should be looked at and reviewed to boost the ease of doing business.

He said the government should work towards reducing the red tape in the industry which he said had increased.

According to him, BRADE Group has six subsidiaries operating across Nigeria, Ghana and Uganda.

“We are into drilling and completion of oil and gas wells, heavy equipment to service the oil industry, manufacture of chemicals and new technology adaptation in Nigeria,” he said.

Copyright PUNCH.

Falling crude price, COVID 19, threaten Nigeria’s N10.59tr budget, ECA

Following the continued slide of the price of crude oil in the international market, the country’s ability to implement this year’s budget of N10.59 trillion may be in jeopardy.

For instance, in the last two months, Brent crude oil has fallen from $67 to $51 per barrel, a development that experts say portends danger to oil producing countries. If this continues, it is feared that the country, which relies on revenue from crude oil to sustain her economy, will be badly hit.

To further shut hopes of a possible rise in crude oil price is the outbreak of Coronavirus in China, a development that has resulted in the closure of several factories in the Asian country. This is also said to have affected the demand for crude oil by China.

The Managing Director, PowerCam Nigeria Limited, Mr. Biodun Ogunleye, in a chat with The Nation, warned that if the price of crude oil continued  to fall globally, then the backlash would fall heavily on Nigeria.

He said: “Given the fact that Nigeria is heavily dependent on crude oil for sustenance, coupled with the fact the country has benchmarked its 2020 budget of N10.59 trillion at $57 per barrel, what I can say is that Nigeria is in trouble.”

Ogunleye said the effect of the price fall was being felt in the economy as the country’s Excess Crude Account (ECA) dropped by $253 million in the last two months. ‘’The prices of crude oil are falling globally, coupled with the fact that they are having reverberating effects on Nigeria’s excess crude account. This implies that the country has no choice, than to hope for an increase in the prices of crude oil in the next few weeks, if it wants to grow its economy well,” he added.

The ECA was created as a buffer zone by the administration of former President Oluusegun Obasanjo, to support the economy, in case of  a crisis.

Similarly, a Director, Centre for Energy Studies, University of Port Harcourt, Prof Wunmi Iledare, said the Nigeria cannot be isolated from happenings in the global economy, adding that what the country is witnesssing is a reflection of activities in the global scene.

He urged the government to diversify its economy, adding that the idea would help in providing the country with multiple sources of income.

SOURCE: The Nation

WAPCO set to resume gas supply from Nigeria to Ghana, others

The West African Gas Pipeline Company Limited (WAPCo) has disclosed that it would be resuming natural gas supply from Nigeria to its customers in the Republic of Benin, Togo, and Ghana.

WAPCo, which is the operator of the West African Gas Pipeline was built for the sole purpose of supplying natural gas to these countries.

The disclosure by WAPCo was made in a statement that announced the successful completion of the cleaning and inspection of its 20 offshore pipelines from Badagry in Nigeria to Takoradi in Ghana.

According to the statement, the internal inspection of the 569 km offshore pipeline was completed on Sunday, February 23, 2020, almost one month ahead of the scheduled completion date of March 20, 2020.

“Following the successful cleaning and inspection of the offshore pipeline, WAPCo is resuming the transportation of gas to its customers in Benin, Togo, and Ghana.

“In Ghana, WAPCo is currently transporting natural gas to its Takoradi Regulating and Metering Station only. Gas transportation to its Tema Regulating and Metering Station will commence after the completion of ongoing expansion works under the Takoradi to Tema Interconnection Project expected to be operational in March 2020,” the statement read.

WAPCo also showed appreciation towards its stakeholders, thanking them for the support during the cleaning and inspection exercise that allowed it to safely and efficiently execute the work plan ahead of schedule.

The company said with this completion, it is better positioned to offer reliable and improved service to its customers in Ghana, Togo, and Benin in their effort to provide greater access to affordable and reliable power for economic growth.

“With the completion of the pipeline cleaning and inspection exercise, WAPCo is better positioned to offer reliable and improved service to its customers in Ghana, Togo, and Benin in their effort to provide greater access to affordable and reliable power for economic growth,” it said.

According to the statement, the Ghana Ministry of Energy, Nigeria Ministry of Petroleum Resources, Benin Ministry of Energy Water and Mines, Togo Ministry of Mines and Energy, the Volta River Authority, Nigerian National Petroleum Corporation, and Chevron Nigeria Limited, among others, played significant roles in ensuring the success of the exercise.

Source: VON

27-02-2020

AGO

[/vc_column_text][/vc_column][/vc_row]

PORT HARCOURT DEPOTDEPOT PRICE
AVIDOR PH/NIPCO₦ 197.0
SHORELINK ₦ 190.0
BULK STRATEGIC PH₦ 197.0
TULCAN/TSL₦ 190.0
MASTERS₦ 192.0
LIQUID BULK₦ 194.5
STOCKGAP
NIPCO/SIGMUND₦ 190.0
BULK STRATEGIC/NIPCO
BULK STRATEGIC/TULCAN₦ 190.0
CONOIL₦ 205.0
DOZZY
CALABAR DEPOTDEPOT PRICE
NORTHWEST
AMMASCO₦ 192.0
MAINLAND
SAMON PET₦ 188.0
FYNEFIELD₦ 188.0
ALKANES
YSG (YOUNG SHALL GROW)
BLOKKS
HYDE
AZMAN/NIPCO₦ 188.0
UGO HANNAH
WARRI DEPOTDEPOT PRICE
RAINOIL OGHARA₦ 190.0
NEPAL OIL & GAS / NNPC
PRUDENT OGHARA₦190.0
MATRIX₦190.0
CYBERNETICS
TAURUS₦188.0
OPTIMA₦188.0
PINNACLE
AYM SHAFA₦ 190.0
LAGOS DEPOTDEPOT PRICE
AFRICA TERMINALS₦ 178.5
IBACHEM₦ 181.0
IBETO₦ 179.0
INT. OIL₦ 178.5
LEIGHTEN PET
ETERNA
FOLAWIYO₦ 181.0
OBAT₦ 183.5
CHIPET
RAHAMANIYYA
A Z
NIPCO₦ 180.0
AITEO₦ 180.0
AIPEC₦ 179.0
SAHARA
EMADEB ENERGY₦ 177.0
A.A RANO
WOSBAB₦ 190.0
MAO₦ 179.0
GULF TREASURE
SWIFT
RAIN OIL₦ 177.0
MENJ₦ 180.5
TECHNO OIL
FATGBEMS
FIRST ROYAL
ASCON₦ 180.5
TTime₦ 192.0

DPK

PORT HARCOURT DEPOTDEPOT PRICE
AVIDOR PH
SHORELINK
BULK STRATEGIC PH
TSL
MASTERS
LIQUID BULK
STOCKGAP
CALABAR DEPOTDEPOT PRICE
NORTHWEST ₦ 215.0
AMASCO
MAINLAND / PPMC
SAMON PET
FYNEFIELD
ALKANES
YSG (YOUNG SHALL GROW)
BLOKKS
WARRI DEPOTDEPOT PRICE
RAINOIL OGHARA
NEPAL OIL & GAS / NNPC
PRUDENT OGHARA
MATRIX₦ 200.0
A.Y. Shafa
LAGOS DEPOTDEPOT PRICE
AFRICA TERMINALS₦ 200.5
IBACHEM
IBETO
INT. OIL & GAS
LEIGHTEN PET₦ 200.5
ETERNA
FOLAWIYO
OBAT
D-JONES
RAHAMANIYYA
SAHARA
NIPCO
AITEO
AIPEC
STAR SNERGY
EMADEB ENERGY₦ 200.5
A.A RANO
WOSBAB
MOBIL
ASCON₦ 200.5
CHIPET
BOND₦ 200.5
RAIN OIL₦ 200.0
MENJ
INDEX₦203.5
MRS

ATK

PORT HARCOURT DEPOTDEPOT PRICE
AVIDOR PH
SHORELINK
BULK STRATEGIC PH
TSL
MASTERS
LIQUID BULK
STOCKGAP
CALABAR DEPOTDEPOT PRICE
NORTHWEST
AMASCO
MAINLAND / PPMC
SAMON PET
FYNEFIELD
ALKANES
YSG (YOUNG SHALL GROW)
BLOKKS
WARRI DEPOTDEPOT PRICE
RAINOIL OGHARA
NEPAL OIL & GAS / NNPC
PRUDENT OGHARA₦ 215.0
MATRIX₦ 200.0
LAGOS DEPOTDEPOT PRICE
AFRICA TERMINALS₦ 198.5
IBACHEM
IBETO
INT. OIL & GAS
LEIGHTEN PET₦ 198.5
ETERNA₦ 198.5
FOLAWIYO
OBAT
D-JONES
RAHAMANIYYA₦ 198.0
INDEX₦ 200.0
NIPCO
AITEO
ASCON₦ 198.5
STAR SNERGY
EMADEB ENERGY₦ 198.0
A.A RANO
WOSBAB
MAO
CHIPET
BOND₦ 198.2
FORTE OIL
RAINOIL
MRS₦ 199.0
MOBIL₦ 196.0

PMS

PORT HARCOURT DEPOTDEPOT PRICE
AVIDOR PH
SHORELINK
BULK STRATEGIC PH
TSL₦ 133.5
MASTERS₦ 133.2
LIQUID BULK₦133.5
STOCKGAP₦133.5
PETROSTAR₦133.4
CALABAR DEPOTDEPOT PRICE
NORTHWEST ₦ 134.0
AMASCO
MAINLAND / PPMC₦133.4
SAMON PET
FYNEFIELD₦ 134.0
ALKANES
YSG (YOUNG SHALL GROW)
BLOKKS ₦133.4
UGOHANNA
HYDE
DOZZY₦ 133.4
WARRI DEPOTDEPOT PRICE
RAINOIL OGHARA₦133.0
KEONAMEX₦133.0
PRUDENT OGHARA₦133.10
MATRIX₦133.10
AYM SHAFA₦ 133.1
PINNACLE/PPMC₦ 133.0
LAGOS DEPOTDEPOT PRICE
AFRICA TERMINALS
IBACHEM
IBETO
INT. OIL & GAS₦133.5
LEIGHTEN PET
ETERNA₦133.2
FOLAWIYO₦133.3
SWIFT₦132.4
D-JONES
FIRST ROYAL₦ 132.5
GULF TREASURE₦133.0
NIPCO₦132.5
AITEO
AIPEC₦132.2
STAR SNERGY₦132.0
EMADEB ENERGY₦132.5
A.A RANO₦132.3
WOSBAB₦132.3
MAO
CHIPET
FORTE OIL₦ 133.7
RAIN OIL₦132.0
MENJ₦133.2
FATGBEMS₦132.2
SAHARA
INDEX
BOVAS₦132.2

LPG

PORT HARCOURT DEPOTDEPOT PRICE
STOCKGAPN 3,950,000
GREENVILLE
CALABAR DEPOTDEPOT PRICE
DOZZYN 4,000,000
WARRI DEPOTDEPOT PRICE
PRUDENTN 3,850,000
MATRIXN 3,900,000
RAINOIL
LAGOS DEPOTDEPOT PRICE
NIPCON 3,750,000
NAVGASN 3,800,000
NNPC
PPMCN 3,800,000

AMCON takes over oil firm due to N29 billion debt

Hon. Justice C.J. Aneke of the Federal High Court Lagos Division has granted an injunction against Cedar Oil & Gas Exploration and Production Limited on the application of Asset Management Corporation of Nigeria (AMCON), mandating the agency to take over the assets of the firm over indebtedness of ₦29billion.

In compliance with the court order, AMCON has formally and successfully taken possession of all the assets of Cedar Oil & Gas Exploration and Production Limited promoted by Olajide Omokore and others as ordered by the Court through Godwin Nwekoyo, the Receiver/Manager who also received protective orders from the court.

The assets, which are now under AMCON include: Block A, No. 46 Gerrard Road, Ikoyi Lagos State, comprising of 26 flats; Plot 1236, River Niger Street, off River Benue Street, Maitama, Federal Capital Territory, Abuja; as well as Marion Apartment, Block 8, No. 4 & 5, Onikoyi Estate, Banana Island, Lagos State, consisting of 43 units of apartments. AMCON is also in possession of No. 33A, Cooper Road, Ikoyi, Lagos State; No. 8, Gerrard Road, Ikoyi, Lagos State as well as Manson Apartments, No. 6, Gerrard Road, Lagos State comprising of 60 units of three-bedroom apartments.

According to AMCON, Justice Aneke gave the orders following the failure of Cedar Oil & Gas Exploration and Production Limited as well as its directors, Olajide Omokore; Alhaji Isiaka Mohammed, Joseph Bazuaye, Engr. Silas Ode and others to pay AMCON their admitted sum of over ₦15billion out of the total outstanding indebtedness of ₦29billion owed to the recovery agency of the federal republic of Nigeria.

Head, Corporate Communications, AMCON, Jude Nwauzor, confirmed the takeover. Nwauzor, said AMCON pursuant to its mandate just obeyed another court order as a responsible organization with due respect for the laws of the land. He said, “We saw it coming because the said debt is long overdue. You can see how these top AMCON obligors are taking all Nigerians for a ride. Even when they admitted repaying over ₦15billion owed AMCON, they still did not honour their own agreement, which they did not make under duress.

“I want you to understand that before we get to this stage with any obligor, we must have patiently tried to resolve the matter without going to court. Anytime we end up taking over assets such as in the case of Cedar Oil & Gas Exploration and Production Limited as well as its directors, Mr Olajide Omokore and others, it means all efforts by AMCON to get the obligor to amicably repay the indebtedness have proved abortive.

If you have exhausted all avenues of peaceful resolution, there is no other option available to the Corporation than to commence enforcement action against the firm and Mr Olajide Omokore the promoter of Cedar Oil & Gas Exploration and Production Limited as well as the other directors as ordered by the Court and as provided under Section 49-52 of the AMCON Act.”

It would be recalled that Mr. Ahmed Kuru, Managing Director/Chief Executive Officer of AMCON reiterated the fact that the Corporation would continue to sustain its high tempo of recoveries, by strategically focusing more on enforcements especially since AMCON’s top obligors have resorted to hiding under all manner of technicalities of the law to delay the repayment of their debt to the detriment of the Nigerian economy.

source: The Guardian

Nigeria’s oil production fully compliant with OPEC quota – Ministry

Nigeria, which has pumped above its OPEC quota for months to the ire of other members, brought down its crude oil production in November to fully comply with its cap, the country’s oil ministry said Sunday.

OPEC earlier this summer quietly reset Nigeria’s quota to 1.77 million b/d, up from 1.69 million b/d previously, which it had not met since March.

“Nigeria’s compliance level has witnessed tremendous progress, month by month, since last August, resulting in 100% compliance in November 2019,” the ministry said in a statement.

Nigeria, Africa’s largest producer, has been under pressure by Saudi Arabia and other OPEC members to improve its compliance to help speed the bloc’s market rebalancing efforts. OPEC and 10 non-OPEC allies are in the midst of a 1.2 million b/d production cut agreement.

Nigerian oil minister Timipre Sylva held a teleconference with Saudi counterpart Prince Abdulaziz bin Salman, who also co-chairs the OPEC/non-OPEC monitoring committee tasked with assessing member compliance with their agreed cuts, the ministry said.

Sylva, who also serves on the committee, had pledged in September that his country would meet its commitment within three months.

Nigeria in October self-reported to OPEC a production figure of 1.78 million b/d, though the six independent secondary sources, including S&P Global Platts, used by OPEC to track member output estimated it at 1.81 million b/d.

In June, the country self-reported its highest output in years, at 1.96 million b/d, as production from its new Egina field ramped up.

Nigerian officials have previously said Egina barrels should be counted not as crude but as condensate, which is not subject to OPEC limits.

The OPEC+ coalition is scheduled to meet Thursday and Friday in Vienna to review its production cut agreement, which runs through March.

Source: Platts