Energy Worth

By Oke Peter Oil prices rose on Friday as investors bet that efforts to cut a global glut are working and that the demand outlook is improving. U.S. crude was down 8 cents at 51.48 dollars a barrel after earlier rising slightly. Still the contract is heading for a fourth consecutively weekly gain. Global benchmark Brent crude  was 57.54 dollars a barrel of around 20 per cent, this performance is Brent’s best since June 2016. Earlier in the week on Monday Brent rose to 65 dollars. The price gains, most of them in the last two-and-a-half weeks, have come as traders anticipated renewed demand from U.S. refiners that were resuming operations after shutdowns due to Hurricane Harvey. Major world oil producers outside the United States have also indicated they will stick to output cuts to limit supply. They are getting support from Turkey’s threats to cut off a pipeline from the Kurdish region of Iraq after a referendum where Kurds voted overwhelmingly in favour of independence. Sou

By Oke Peter The Organisation of Petroleum Exporting Countries (OPEC) has announced that it will launch the 2017 World Oil Outlook (WOO). The event will be held at the OPEC Secretariat, on Tuesday, 7 November 2017 at 14:30pm. OPEC’s Secretary General, Mohammad Sanusi Barkindo, and senior members of management will present the key messages from the publication, which provides an in-depth review and analysis of the global oil industry, and offers a thorough assessment of various sensitivity cases related to the economy, and supply and demand trends in the medium and long-term. For the third year in a row, a comprehensive interactive version of the WOO will also be made available. The Secretary General, senior management and other OPEC staff will be available after the presentations to answer questions. First published in 2007, the WOO provides expert analysis of the many challenges and opportunities facing the global oil industry. It serves as an important reference tool, providing

By Oke Peter The Transmission Company of Nigeria (TCN), on Friday, announced total system collapse of electricity grid. It, however, stated that the restoration of the grid was at an advanced stage and explained that the total collapse was due to tripping of three generator units at the Egbin power generation station in Lagos. The daily report on the power sector that was made available to Energy Worth by the TCN, on Friday, revealed that the grid collapsed totally on Thursday, September 28, 2017, after the country generated 3,515 megawatts of electricity the preceding day. The TCN said, “A total system collapse was recorded on September 28, 2017 at 20:03hours. Reports obtained from stations and the sequence of events generated by the SCADA system indicated that the system collapse was triggered by the tripping of Egbin Units ST4, ST6 and ST5 at 20:03:15, 20:03:32 and 20:03:34, respectively. “By this incident, the Nigerian electric power grid lost generation completely before

By Oke Peter No fewer than two oil workers have been injured as fire gutted an oil field operated by Consolidated Oil Company in Bayelsa State. The inferno reportedly occurred in the early morning of Friday at an oil rig operated by the indigenous oil major at Akassa in Brass Local Government Area of the state. Energy Worth gathered that the fire was caused by an electrical fault, which some eyewitnesses claimed wreaked havoc on the facility. A security source, who craved anonymity, said, “The enormity of the fire hampered initial rescue efforts and it is expected in an oil and gas environment, but the emergency response systems were activated in the facility and the fire was put out. “However, two of the casualties who sustained injuries in the incident were rescued and have been stabilised and getting medical attention in an unnamed hospital. “The facility has been shut down and the area is calm now.” Another security source in the area confirmed the disaster and dismissed i

By Oke Peter Vice President of Research and Development,  Proton Onsite/ Nel Hydrogen, Kathy Ayers, will speak at the upcoming Refresh and Connect: An ECS Mentoring Session, between 1st and 5th October, 2017, at the 232nd ECS MEETING in National Harbor Maryland.  Nobel Prize winner and former US Secretary of Energy, Steve Chu, will be the guest lecturer, he will deliver a paper on “the role of electrochemistry in our transition to sustainable energy”. There will be a large PEM session with 350 papers covering PEM fuel cells and electrolyzers. Kathy Ayers is co-chair of the electrolysis subsection with Bryan Pivovar of NREL. Speakers for the plenary session include: Sunita Satyapal from the Department of Energy, Kurt Wellenkotter from General Motors and K. Amemiya from Toyota. Source : Proton Energ y Kathy Ayers,  Vice President of Research and Development,  Proton Onsite/ Nel Hydrogen,  

By Oke Peter An indigenous business concern, Proton Energy, has expressed determination to boost Nigeria’s power generation base with a 150MW plant located in Delta State. Delta State Governor, Dr Ifeanyi Okowa, on Thursday, performed the groundbreaking ceremony of the $250million gas-fired power generation plant in Ogoprode-Sapele in Sapele Local Government Area of the state. Speaking at the ceremony, the Executive Vice-President of Proton Energy Limited, Mr. Oti Ikomi, disclosed that the plant would begin operations in 2018 when most of the infrastructural, technical and electrical installations would have been completed. Ikomi also promised that the power plant would create at least 1000 jobs for people in the locality starting from the construction stages. He urged the relevant authorities to urgently consider a review of electricity tariff in the country as well as review the energy policies with a bias to energise the power sector in the country in the overall interest of

By Oke Peter The Minister of Power, Works and Housing, Mr. Babatunde Fashola, has said the Federal Government will consult Nigerians before going ahead to sell its 40 per cent stake in the electricity distribution companies. Fashola stated this in Lagos, on Thursday, at a policy dialogue on the power sector organised by the Lagos Chamber of Commerce and Industry (LCCI). The Federal Government had in November 2013 sold 60 per cent of its interest in the Discos to private investors during the privatisation of the successor generation and distribution companies carved out of the defunct Power Holding Company of Nigeria. Commenting on the level of debts in the sector, Fashola said Ministries, Departments and Agencies of government must pay their outstanding bills to reduce the debt profile of the Discos. He stated, “As the Federal Government, we have finished the verification of the debt claimed by the Discos; we now know the figure. So we are going to get council (Federal Executive

By Oke Peter The Nigerian National Petroleum Corporation (NNPC) has disclosed that the demand for the nation’s crude oil outstrips the current supply. Last year, Nigeria saw a resurgence of militant attacks in the Niger Delta that caused the nation’s oil production to plummet to a near 30-year low of 1.4 million barrels per day from about 2.2 million bpd. In a chat with newsmen recently, the Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, said: “As we speak now, the demand for Nigeria’s crude oil is over-subscribed. We have more buyers demanding for our crude oil than what we can supply to them." Ughamadu noted that The Netherlands, one of the European buyers of Nigerian crude, was at the corporation’s headquarters a few weeks ago in connection with petroleum resources. “They want to collaborate with the NNPC towards utilising petroleum products for the production of animal feeds. So, more innovations will come up towards utilising the raw materials

By Oke Peter The hope of Nigerians getting constant electricity supply may not become reality sooner, due to three major reasons. These issues are systemic and fundamental and it seems it has defied workable solution. First is the regulatory hitch, the supervisory organ in charge of the country’s power sector, Nigerian Electricity Regulatory (NERC) has not been effective in regulating the activities of the so-called investors, owners of Distribution Companies (Discos). Discos are not acting in accordance with the commission’s extant regulations. There is no remarkable feat in electricity supply apparently due to administrative bottleneck and political expediency. For instance, the tariff consumers are paying currently is far below what is expected of Discos on the NERC’s rules. The ministry in charge of the upgrade of transmission infrastructure may be for opinionated reasons, has refused to acknowledge the level of electricity problem in Nigeria. The ministry frequently claims th

By Oke Peter ExxonMobil has announced that it  has added 22,000 acres to its Permian Basin portfolio since May through a series of acquisitions and acreage trades. Located in the highly prolific, stacked oil pay zones of the Delaware and Midland Basins, the new acreage adds to the company’s existing 6 billion barrels of oil equivalent Permian Basin resource base. The recent transactions represent important additions to ExxonMobil's established core positions in the Delaware and Midland Basins. In February, ExxonMobil acquired 250,000 acres in the Delaware Basin from companies owned by the Bass family of Fort Worth. In the Midland Basin, the company has doubled its core operated acreage to more than 130,000 acres through multiple transactions over the last few years. ExxonMobil senior vice president, Jack Williams said: “We continue to build on our strong position in the Permian. Our leading presence in the Permian, from equity production through to Gulf Coast refining capacity,

By Oke Peter ExxonMobil has announced that it  has added 22,000 acres to its Permian Basin portfolio since May through a series of acquisitions and acreage trades. Located in the highly prolific, stacked oil pay zones of the Delaware and Midland Basins, the new acreage adds to the company’s existing 6 billion barrels of oil equivalent Permian Basin resource base. The recent transactions represent important additions to ExxonMobil's established core positions in the Delaware and Midland Basins. In February, ExxonMobil acquired 250,000 acres in the Delaware Basin from companies owned by the Bass family of Fort Worth. In the Midland Basin, the company has doubled its core operated acreage to more than 130,000 acres through multiple transactions over the last few years. ExxonMobil senior vice president, Jack Williams said: “We continue to build on our strong position in the Permian. Our leading presence in the Permian, from equity production through to Gulf Coast refining capacity,

By Oke Peter Statoil has unveiled plans to increase its investment in Nigeria with more than $10 billion, having set a goal to satisfy the country’s growing population’s demand for increased energy with natural gas. The move would further bring progress to the undeveloped Nnwa-Doro deep offshore field, raise more stakes in Agbami field and also investigate the potential of other oil and gas fields in the country. Indeed, Agbami field has an average daily equity production of 48,000 barrels of oil per day and total field reserves estimated at one billion barrels of oil equivalent, utilising one of the world’s largest floating production, storage and offloading vessels. Besides, the Nnwa-Doro deep offshore fields when fully developed could lead to billions of dollars of future development in Nigeria, improve access to energy and catalyse economic development. Speaking in Lagos on Monday at its 25th anniversary dinner celebration, the Executive Vice President, Development and Produ

Minister of Power, Works and Housing, Mr. Babatunde Fashola By Oke Peter The Minister of Power, Works, and Housing, Mr. Babatunde Fashola, has disclosed that China has set finance the construction of a project that would become Nigeria’s largest hydro power plant – the 3,050 megawatts (MW) Mambilla plant – through an export-import financing model. Fashola, who spoke on a national television on Monday, in Abuja, explained that Nigeria would shortly negotiate the terms of the financing framework with the Chinese. He said the government was awaiting the office of the Attorney General of the Federation (AGF) to proceed with its negotiations for the finance of the project which he said would cost $5.72 billion to build. “What we just did was to award the contract (Mambilla) for the first time in over four decades. The next phase is to go and negotiate the financing, as the Chinese have offered to fund it under an export-import financing arrangement where they will contribute 85 per c

The management of Petroleum Technology Development Fund (PTDF) on Tuesday, urged the oil and gas operators in Nigeria to collaborate more with public agencies with experience on research and development. The General Manager, Strategic Planning, Research and Documentation, Mr Jide Adebulehin, gave the advice in an interview with the News Agency of Nigeria (NAN) in Lagos. Adebulehin said that this became necessary against the backdrop of the ongoing Nigeria oil and gas Industry Research and Development (R and D) fair, organised by Nigerian Content Development and Monitoring Board (NCDMB). He said that it became imperative for oil and gas operators to involve public agencies with wide experience in research and development in the oil and gas industry such as PTDF and NCDMB. According to him, “my view is that R and D is the bedrock of any successful oil and gas country; you cannot grow if you do not have any robust research and development activities in the country. “That was what NCD

The Oil Trading and Logistics (OTL) Africa Downstream has announced that its 2017 Expo will hold from 22 - 25 October 2017, at the Oriental Hotel in Lagos. The Downstream Conference 2017 will offer over 2000 delegates, speakers, exhibitors and special guests opportunities for high-level networking, business match-making and learning.  The conference, traditionally sets agenda for engagement by parties in business, policy, industry and operations. Traversing a strong value-chain that includes refining, trading, shipping, storage, haulage, distribution, marketing, equipment manufacturing and supplies, regulation and associated professional services that have promoted trading and logistics in Africa.  

IDGTE members visit Clarke Energy’s Knowsley-based headquarters. By Oke Peter Clarke Energy’s Knowsley Headquarters recently hosted the Institution of Diesel and Gas Turbine Engineers   (IDGTE) advisory council/trustee board meeting on the 21st of September 2017. The IDGTE is a unique organisation with a history dating back to 1913 and is dedicated to ‘ serving the industry by encouraging the sharing of knowledge and advancing the design, development, manufacture, application, operation and maintenance of reciprocating internal combustion engines ‘. Clarke Energy is a leading international supplier of GE’s Jenbacher gas engines. As a Kohler company Clarke Energy’s sister organisations  Kohler Power  and Kohler SDMO provide a range of diesel engine solutions internationally. Hosting the event gas IDGTE board members an insight into Clarke Energy’s business, whilst touring the workshop, overhaul facility and cylinder head refurbishment line. Clarke Energy’s Adam Wray-Summerson del

By Oke Peter Public and private sector players in the Nigerian oil and gas industry have described the annual Global Nigeria Forum (GNF) as a model worthy of emulation by the country’s local content regulator. They spoke at the fourth edition of the forum held in Aberdeen, Scotland on September 9 with the theme: Enabling Competitive Local Content Through Sustainable Partnerships. The forum, a brainchild of Shell Nigeria Exploration and Production Company (SNEPCo), the deep-water arm of Shell companies in Nigeria, aims to strengthen local content in offshore exploration by opening the opportunity space to Nigerian professionals in Europe, particularly in the United Kingdom. In his keynote address, Executive Secretary, Nigeria Content Development and Monitoring Board (NCDMB), Mr. Simbi Wabote, described the annual event as a huge success. “I am happy to see growth in a partnership that has continued to build capacity without compromising standards.” Chairman of the Local Content C

Minister of Power, Works and Housing, Mr. Babatunde Fashola By Oke Peter The Minister of Power, Works and Housing, Mr. Babatunde Fashola, on Monday stated that the Federal Government would be open to welcome new and tangible offers that would lead to it divesting its 40 per cent shares in the 11 electricity distribution companies (Disco) in the country. Speaking on Arise News TV in Abuja, monitored by Energy Worth, Fashola said the government would look forward to having private investors bring before it good proposals that would convince it to divest part of its shares in the Discos. He also disclosed that negotiations for the finance of the 3050 megawatts (MW) Mambilla Hydro Power Project would soon kick in following the government’s award of the contract for the $5.72 billion project. He said: “Certainly, the government wants to see more investments in the sector, you would have heard from the president and from the vice president that our role really is to enable private se

By Oke Peter The Nigerian Petroleum Development Company (NPDC), a subsidiary of the Nigerian National Petroleum Corporation (NNPC), has said that it will grow its equity production from the current 180,000 barrels per day to 500,000 bpd by 2020. The Managing Director, NPDC, Mr Yusuf Matashi, who stated this in Benin, said the planned increase in the company’s equity production was due to the ongoing transformation in the corporation, according to a statement issued in Abuja, on Monday by the Group General Manager, Public Affairs, NNPC, Mr. Ndu Ughamadu. Matashi said having attained the position of the fifth largest oil exploration and production firm in the country, the NPDC was poised to efficiently manage its portfolios to achieve the new target. He stated, “The NPDC has 55 per cent equity in nine blocks of Oil Mining Lease 4, 26, 30, 34, 38, 40, 41, 42 and 55; non-equity operations in three blocks of selected NNPC Joint Venture fields; 60 per cent participatory interest in fou

By Oke Peter ExxonMobil  today announced an enhanced program to reduce methane emissions from its production and midstream facilities across the United States. The program, which builds on the company’s  longstanding commitment to emissions reduction , prioritizes actions at sites operated by subsidiary XTO Energy and includes efforts to develop and deploy new, more efficient technologies to detect and reduce facility emissions. “We are implementing an enhanced leak detection and repair program across our production and midstream sites to continually reduce methane emissions, and are also evaluating opportunities to upgrade facilities and improve efficiency at both current and future sites,” said XTO president Sara Ortwein. “Our comprehensive initiative is underscored by a technology research and testing effort, and includes personnel training, equipment phase out and facility design improvements.” The program includes a commitment to phase out high-bleed pneumatic devices over

By Oke Peter The 6th Annual Powering Africa: Nigeria Investment Summit, organized by UK-based company, EnergyNet Ltd will be held on the 4th – 6th October, 2017 at the Hilton Transcorp, Abuja.   As part of the official forum programme, DETAIL Commercial Solicitors will be hosting a seminar on the pre-forum day (Wednesday, 4th October 2017) from 3pm. to 4.30pm titled  'Developing and Financing Off-Grid Solutions in the Nigerian Power Sector' .    This workshop will look at the prospects of developing and financing off-grid solutions from mini-grids to commercial and industrial clusters to embedded generation projects given the recent regulatory changes and the funding challenges in the on-grid space. Particular focus will be paid to the legal and regulatory frameworks currently in place, project development considerations, financing and investor considerations, as well as incentivising local institutional investments Facilitators:  Abiodun Oyeledun , Senior Associate, D

By Oke Peter The world’s largest power generation event, POWER- GEN International has announced its 2017 edition of annual conference, the event holds between December 5-7, 2017, in Las Vegas, NV at the Las Vegas Convention Center Central Halls. POWER-GEN International is the industry leader in providing comprehensive coverage of the trends, technologies and issues facing the generation sector. The event represents an overarching look at the industry with key emphasis on new solutions and innovations for the future including renewable energy, nuclear, coal, gas sectors and topical coverage of  energy storage, digital powerplants and distributed energy resources (DER). In nearly 30 years, POWER-GEN International has grown to 20,000 attendees from 110 countries, 1,400+ exhibitors, and 200+ industry speakers. The exhibitors, displaying a wide variety of products and services, are from all sectors of the industry who benefit from the exposure to the numerous attendees The event y

By Oke Peter The Federal Government has promised that by the end of this year, it will start conducting deoxyribonucleic acid fingerprinting of the country’s crude oil in order to identify theft and apprehend criminals. The Minister of Science and Technology, Dr. Ogbonnaya Onu, made this known during the inauguration of an ultra-modern Bio-Resources Laboratory and Feed Mill Complex in Odi, Kolokuma/Opokuma Local Government Area of Bayelsa State. Onu assured Nigerians that with the facilities at the newly-opened laboratory, oil theft would soon become a thing of the past. He said the fingerprinting of the Nigerian crude oil would enable the country to track its crude oil anywhere when stolen and solve the problem of economic sabotage. The minister stated, “I feel very happy with this ultra-modern laboratory. For me, Nigeria is changing. With this capacity here now, we will be able to do many things. I just gave them instruction that by the end of this year, we should have fingerp

By Oke Peter The Executive Director of Sahara Group, Mr Tonye Cole, has said the industrialisation of Africa in the next decade must be owned and led by Africans with key support from the private sector as well as regional and multilateral organisations. Citing the need for a robust “digital infrastructure,” Cole advised African leaders to commit to having a digital highway that connects the various nations.  “It will form the basis upon which everything else will thrive. It will unleash jobs for our teeming youths, deliver education to the uttermost corners of the continent, connect farmers and entrepreneurs to the world, deliver healthcare to remote locations and inspire electrification projects across borders.” Cole, who is also co-funder of the leading African energy conglomerate, represented the private sector on a panel during a session on Africa at the just concluded 72nd United Nations General Assembly in New York. Themed: ‘Third Industrial Development Decade for Africa (ID

By Oke Peter Chevron U.S.A. Inc. has announced a contribution of $1 million from Chevron and the Chevron Global Community Fund to assist with efforts to recover from the damage done by Hurricane Irma. "Chevron makes every effort to support the communities where we operate, particularly in times of need," said Dale Walsh, president of Chevron Americas Products. "Our hearts go out to all those affected by this storm." The commitment includes a $600,000 donation to the American Red Cross from the Chevron Global Community Fund to support immediate relief efforts throughout the impacted regions. Another $400,000 is from Chevron’s Fuel Your School program, which would normally be made available based on fuel sales, going to  DonorsChoose.org  for local public school classroom projects in south Florida. In addition, the company will match any donations made to the relief efforts by its employees and retirees. Chevron has a large retail presence in Florida, Georgia

By Oke Peter The management of Ibadan Electricity Distribution Company (IBEDC) has apologized to its esteemed customers, over current power outage being experienced by Iludun, Kasmo, Fiwasaye, Oluode/Kolawole, Owode/Igbona, Surulere/Oke Ayo/Sabo, Atelewo/Plantation, Arikalamu, Akintokun, Ifesowapo, Ife Olu, Asoje, Mosadoluwa, Isokan and Kelebe communities in Osogbo and Ikirun under the Oluode 11KV and Ipetu Ile 11KV feeders, due to critical safety issues that have arisen on the power lines servicing these areas. This has led to several wire cuts and snaps which if unattended to can lead to electrocution of unsuspecting individuals, loss of lives and property. The company, being a customer-oriented organization, deliberately shut down the feeder supplying power to the affected areas after due consultation with the community leaders, without minding the revenue loss that would result from this to enable the company thoroughly and effectively carry out urgent repairs on the affected l

By Oke Peter Sokoto State governor, Alhaji Aminu Waziri Tambuwal, has appealed to the Management of the Nigerian National Petroleum Corporation (NNPC), to activate oil and gas exploration campaign in the Sokoto Inland Sedimentary Basin with a view to establishing the volume and value of hydrocarbon deposits there. Governor Tambuwal, who led a high powered Sokoto State delegation to the NNPC Towers in Abuja on Wednesday, enthused that based on existing exploration records, it is likely that renewed search for oil in the basin would yield some positive results in the nearest future. While commending the current administration for re-invigorating the quest for oil in the new frontiers,  Tambuwal noted that the successful search for hydrocarbon deposit in the basin would go a long way in increasing the nation’s oil reserve with the attendant value addition. “We are here more on an advocacy visit to your office, Mr. GMD, to kindly request for your intervention and attention for the of

By Oke Peter The Nigerian National Petroleum Corporation (NNPC) will accelerate local capacity development in all its operations within the nation’s Oil and Gas industry.  NNPC Group Managing Director, Dr. Maikanti Baru, disclosed this while delivering a keynote address during an occasion to mark the Egina Manifold Sail Away celebration in Port Harcourt recently.  In crude oil production, the manifold is the gathering point designed to permit the use of pump-down tools, provide for individual well tests, handle injection of chemicals for inhibition of corrosion as well as provide for artificial lift and control.  As a partner in the Egina Project, the NNPC in 2013, alongside four other companies (TUPNI, SAPETRO, Petrobras, and CNOOC), contracted the construction of the Subsea Production Systems (SPS) module for the project to FMC Technologies (FMC), which later sub-contracted the fabrication and load-out of six manifolds to a fully-indigenous local fabrication company, Aveon Offs

By Oke Peter In its resolve to proffer a workable solution to the persistent power problems in African nations in the 21st century, EnergyNet Limited has taken it upon itself to bear the responsibility of making positive impacts in the power sector by organising relevant summits across the world to draw stakeholders’ attention to the sector. These conferences are focused on the development of the sector in the area of gas, renewable energy and mini-grid as well as an avenue where reasonable business investment matters are discussed with major stakeholders in attendance; including regulatory bodies, foreign investors, corporate organisations, individuals and government representatives brainstorming on how to develop power sector in Africa and beyond. With over 23 years experience in coordinating a global portfolio of power and industrial sectors deliberations across various continent of Africa, Europe, the United State of America (USA) and China to facilitate investment summits and c