Energy Worth

By Energy Worth Nigeria’s oil and gas industry wednesday recorded another milestone as the $3.3 billion Floating Production Storage Offloading (FPSO) unit for the 200,000 barrels per day capacity Egina Deepwater oilfield arrived the country from South Korea. The Egina oilfield, which is being developed at the cost of $16 billion, would come on stream at the end of 2018. The FPSO, which was built for Total Upstream Nigeria Limited, (TUPNI) by Samsung Heavy Industries (SHI), sailed away from the quay side at Samsung Yard in Geoje, South Korea, on October 31, 2017, on its voyage to Nigeria. The Nigerian National Petroleum Corporation (NNPC), Total Upstream Nigeria Limited, (TUPNI) and other partners in the Egina project – CNOOC, SAPETRO and PETROBRAS, welcomed the FPSO, which berthed at the newly built 500-metre FPSO integration quayside at the Samsung Yard (SHI-MCI Yard), at the LADOL Free Zone in Lagos. Speaking during the arrival ceremony, the Managing Director of Total E & P, Mr. ...

*NNPC GMD, Dr Maikanti Baru, during the inauguration of the board. The Nigerian Petroleum Development Company (NPDC), one of the upstream subsidiaries of the Nigerian National Petroleum Corporation (NNPC), will increase its daily crude oil production to 500,000 barrels per day before 2022. This target was announced by the Group Managing Director of the NNPC, Dr. Maikanti Baru, during the inauguration of the board of directors of the company in Abuja. Addressing the members, the GMD who also doubles as Chairman of the board charged them to grow the company’s assets and ensure that the 500,000 barrels per day crude oil production target is met by 2022”. He disclosed that the company was currently supplying 50 per cent of the West African Gas Pipeline system gas, adding that it was the in thing to have more gas assets, while commending the company for leaving up to expectations. Dr. Baru directed that NPDC’s Memorandum of Understanding (MOUs) with host communities should be tied to the av...

*The impounded truck arrested by NSCDC officials enroute Benin Republic on Tuesday. The Nigerian National Petroleum Corporation (NNPC) Group Managing Director, Dr. Maikanti Baru, has commended the Niger State Command of the Nigerian Security and Civil Defence Corps (NSCDC) on the eight trucks its men apprehended in Mokwa, Niger State on Tuesday. The trucks had a combined capacity of 469,000 litres and were set on cross-border diversion to the Republic of Benin through Babana, a boarder town of about 700 kilometres from Minna. Dr. Baru said the arrest of the trucks had vindicated NNPC’s position that the hiccups in supply and distribution of Premium Motor Spirit, otherwise called petrol, had been largely triggered and sustained by the unwholesome practices of some downstream stakeholders who hoard, divert, smuggle across borders and sell products above recommended prices of  N 145 per litre. The GMD urged Nigerians to remain vigilant to report unusual activities of unscrupulous indi...

Oil prices on Thursday hit their highest since December, 2014, pushed up after U.S. crude inventories posted a 10th straight week of declines  and as the dollar continued to weaken. Oil prices rallied to three-year high, boosted by a r ecord 10th straight weekly decline in U.S. crude i nventories. International benchmark Brent futures were nudging 71  dollars per barrel Both crude benchmarks are up by  almost 60 per cent since the middle of last year. U.S. West Texas Intermediate (WTI) crude futures  climbed to 66.22 dollars per barrel in early trading,  also the highest level since early December, 2014. Price support has also been coming from supply r estrictions led by a group of producers around the  Organisation of the Petroleum Exporting Countries ( OPEC) and Russia, which started last year and are  set to last throughout 2018. “The Saudi’s and Russians continue to work together  to talk the oil market higher and last night, the  countri...

The Nigerian National Petroleum Corporation, NNPC posted a total crude oil and gas export sale of $239.10Million in the month of November, 2017.   Details of the transactions contained in the recently released November 2017 edition of the Monthly NNPC Operations and Financial Report also indicated that the figure is 25.68 percent lower than the previous month performance.  The breakdown also showed that Crude oil export sales contributed $113.97 Million (or 47.7%) of the dollar transactions compared with $227.83 Million contribution in the previous month.  Also the export Gas sales amounted to $125.13 Million during the period.  A broader analysis of Crude Oil & Gas transactions from November 2016 – November 2017, however indicated that Crude Oil & Gas worth  $ 3.73 Billion was exported.   Under US Dollar Payments to Joint Venture Cost Recovery & Federation Account, a total export receipt of $201.11 Million was recorded in November 2017 as ...

*Group Managing Director, Nigerian National Petroleum Corporation (NNPC), Dr Maikanti Baru. Nigeria’s daily petrol consumption has gone up to 55 million litres from the 35 million litres that it used to be because according to the Nigerian National Petroleum Corporation (NNPC), a syndicate of cross-border smugglers are now taking advantage of the current scarcity experienced in the country. The NNPC in a statement from its Group General Manager, Public Affairs, Mr. Ndu Ughamadu, on Wednesday, in Abuja also explained that at the moment, its crude oil for product swap programme – the Direct Sales Direct Purchases (DSDP)- was under pressure and unable to satisfy this increased petrol consumption because it is originally programmed to meet the 35 million litres daily consumption level and not the new 55 million litres. The statement quoted NNPC’s Group Managing Director, Dr. Maikanti Baru, to have said these at a session with the Joint National Assembly Committee on Petroleum Downstream, w...

Savannah Petroleum Plc  has announced that for purposes of facilitating its proposed acquisition of certain of the Nigerian oil and gas assets of Seven Energy it has commenced, subject to the terms and conditions set forth in a confidential offer memorandum and consent solicitation statement dated today (the “ Solicitation Memorandum ”), an offer to exchange any and all outstanding $318,228,108 aggregate principal amount of 10.25 per cent. Senior Secured Notes due 2021 (the “ Notes ”) issued by the Company for a combination of a cash consideration and shares of Savannah, as specified in the Solicitation Memorandum (the “ Offer ”). Savannah is also soliciting consents (the “ Consent Solicitation ”, and together with the Offer, the “ Offer and Consent Solicitation ”) from holders of the Notes, upon the terms and conditions set forth in the Solicitation Memorandum, to adopt certain proposed amendments to the indenture under which the Notes were issued (the “ Indenture ”) that would, i...