Business News
OML 119: NNPC records 14 bids for development of oil well
A total of 14 companies have made an opening bid for the development and financing of Oil Mining Lease 119 (OML 119), according to the NNPC.
A total of 14 companies have made an opening bid for the development and financing of Oil Mining Lease 119 (OML 119), according to the Nigerian National Petroleum Corporation (NNPC).
The Details: Group Managing Director of the Corporation, Mele Kyari stressed that the oil field was very important to the NNPC. He made this declaration at an official ceremony dedicated to the opening of bids for the Funding and Technical Services Entity (FTSE).
[READ MORE: Saudi Aramco, NNPC to collaborate to revamp dilapidated Nigerian refineries]
Why this matters: Kyari explained that the oil field was in line with the Federal Government’s plans to increase the production of crude oil and natural gas, expand its reserves and monetize its natural gas deposits.
The Selection Process: Chief Operating Officer, Corporate Services, Faruk Sa’id assured all stakeholders present of a free and fair selection process for the potential FTSE. He added that the right company would be chosen based on stipulated laws and national interest.
Abdulhamid Aliyu, who serves as the Group General Manager, Supply Chain Management also insisted that the process would be just and fair.
What you should know: OML 119 is located in the southeastern Niger Delta, approximately 50 kilometres offshore. The two producing fields on the block, Okpoho and Okono, were discovered by the Nigerian Petroleum Development Company (NPDC) in 1978 and 1983 respectively. Despite encouraging well results, the fields’ development did not start until 2001, when Agip Energy and Natural Resources (AENR) signed a modified service contract with NPDC.
In 2017, the House of Representatives Committee on Oil and Gas vowed to issue a warrant of arrest on managing directors of 10 oil firms, should they fail to appear before the committee to account for the unremitted $250 million to the Federal Government’s purse.
The oil firms included: Aiteo Energy, Neconde Energy, Frontier Energy and seven indigenous oil companies for allegedly not showing interest to remit the fund.
[READ ALSO: NNPC restates commitment to drive positive change]
The committee, headed by Hon Jerigbe Agom, also accused the Managing Director of Nigerian Petroleum Development Company (NPDC), of failure to remit $10 million accrued debt in line with the agreement it reached with the Department of Petroleum Resources, DPR.
The Managing Director was invited by the committee to explain why the Operating Mining Lease 119 (OML 119) was producing 5,000 barrels in spite of its capacity to deliver beyond.
Business
Update: Fuel scarcity looms as NUPENG directs Tanker drivers to withdraw services in Lagos
This was disclosed in a press statement by NUPENG on Friday, August 7, 2020.
The scarcity of petroleum products appears to be looming in Lagos as the leadership of Nigerian Union of Petroleum and Natural Gas Workers (NUPENG) has directed its members to withdraw its services in Lagos with effect from Monday, August 10, 2020.
This is due to the failure of government authorities to address the various issues that have been causing serious pains and harrowing experience on the petroleum tanker drivers in the state for several months now.
This was disclosed in a press statement by NUPENG on Friday, August 7, 2020.
NUPENG in its statement revealed that the entire rank and file members of the Union are deeply pained and frustrated by the so many challenges being consistently faced by Petroleum Tanker Drivers in Lagos State.
They said that they are left with no other option but to direct its members to withdraw their services in Lagos State until the State Government and other relevant Stakeholders address these critical. challenges.
The statement from NUPENG reads, ‘’The National Leadership of Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has directed the withdrawal of services of Petroleum Tanker Drivers from Lagos State with effect from Monday, 10th August 2020 following the failure of various authorities in the State to address three major issues that have severely caused pains and harrowing experiences on the hapless Petroleum Tanker Drivers in the State for several months now.’’
‘’The entire rank and file members of the Union are deeply pained, frustrated and agonized by the barrage of these challenges being consistently faced by Petroleum Tanker Drivers in Lagos State and are left with no other option but to direct the withdrawal of their services in Lagos State until Lagos State Government and other relevant Stakeholders address these critical challenges.’’
The Union reiterated that It is sad and disheartening to note that they had made several appeals and reports to Lagos State Government and the Presidential Task Force for the decongestion of Apapa on these challenges but all to no avail.
They said that they cannot afford to fold their arms while their members are being consistently and continually extorted, intimidated, harassed and victimized by different groups and segments in Lagos.
NUPENG LEADERSHIP DIRECTS WITHDRAWAL OF SERVICES BY PETROLEUM TANKER DRIVERS IN LAGOS STATE WITH EFFECT FROM MONDAY, AUGUST 10, 2020
Read more:https://t.co/TV5sFoBOcO@followlasg#Lagos pic.twitter.com/tAuOpsMc3a— NIGERIA UNION OF PETROLEUM AND NATURAL GAS WORKERS (@officialNUPENG9) August 7, 2020
Business
President Buhari signs amended Companies Allied Matters bill
The President’s action on the document repealed and replaced the extant Companies and Allied Matters Act, 1990.
President Muhammadu Buhari has assented to the Companies and Allied Matters Bill 2020, which was recently passed by the National Assembly.
This was disclosed in a statement signed by a media aide of President Buhari, Femi Adesina and shared by the Personal Assistant to the President, Bashir Ahmad, via his Twitter handle.
According to the statement, the President’s action on the document repealed and replaced the extant Companies and Allied Matters Act, 1990, and introduced several corporate legal innovations geared toward enhancing ease of doing business in the country.
After 30 years; President @MBuhari today, assented to the Companies and Allied Matters Bill, 2020 recently passed by the National Assembly. pic.twitter.com/8yZNqeqNPV
— Bashir Ahmad (@BashirAhmaad) August 7, 2020
Key innovations in the new Act:
* Filing fee reductions and other reforms to make it easier and cheaper for small and medium-sized enterprises to register and reform their businesses in Nigeria;
* Allowing corporate promoters of companies to establish private companies with a single member or shareholder, and creating limited liability partnerships and limited partnerships to give investors and business people alternative forms of carrying out their business in an efficient and flexible way;
* Innovating processes and procedures to ease the operations of companies, such as introducing Statements of Compliance; replacing “authorised share capital” with minimum share capital to reduce costs of incorporating companies; and providing for electronic filing, electronic share transfers, e-meetings as well as remote general meetings for private companies in response to the disruptions to close contact physical meetings due to the COVID-19 pandemic;
* Requiring the disclosure of persons with significant control of companies in a register of beneficial owners to enhance corporate accountability and transparency; and
* Enhancing the minority shareholder protection and engagement; introducing enhanced business rescue reforms for insolvent companies; and permitting the merger of Incorporated Trustees for associations that share similar aims and objectives.
Energy
NNPC signs agreement with CNOOC, SAPETRO to end OML 130 disputes
The agreement is expected to help resolve disputes stemming from Oil Mining Lease (OML).
The Nigerian National Petroleum Corporation (NNPC), said it has signed a Head of terms (HoT) agreement with China National Offshore Oil Corporation(CNOOC) and an indigenous oil production firm —South Atlantic Petroleum (SAPETRO).
A statement that was issued by the state-owned oil company via Twitter, yesterday, noted that this is part of the efforts that have been undertaken towards resolving all the disputes stemming from Oil Mining Lease (OML) 130 Production Sharing Contract.
READ ALSO: NNPC spends N535.9 billion on subsidy, FAAC in Q1 2020
📸 NEWS:
Today,@NNPCgroup signed a Head of Terms (HoT)with its partners CNOOC & SAPETRO,signifying a major milestone towards the resolution of all disputes related to Oil Mining Lease (OML)130 Production Sharing Contract.OML 130 consists of producing fields such as Akpo & Egina pic.twitter.com/VnLga9qmm9
— NNPC Group (@NNPCgroup) August 6, 2020
Nairametrics understands that the agreement, which is temporary, could also be instrumental towards resolving similar disputes between the NNPC and other oil companies. The NNPC had previously accused some of these oil firms of under-declaring crude exports for three years between 2011 and 2013.
READ ALSO: NNPC cultivates 2,675 hectares of cassava for Ethanol production
Specifically, the NNPC alleged that the likes of Shell, Total, Chevron, and Eni under-reported crude oil exports in their oil fields to the tune of 57 million barrels. The NNPC even sought repayments valued at $12.7 billion from the oil companies, according to a suit filed before the Federal High Court in Lagos. The companies denied the accusations.
The new agreement is now expected to help resolve such disputes. Even the NNPC’s Group Managing Director, Mele Kyari. was quoted to have said the agreement is “a major milestone toward the resolution of all disputes.”
GTBANK, GUINNESS, OKOMUOIL trigger bulls, as ASI gains 0.19%
Update: Fuel scarcity looms as NUPENG directs Tanker drivers to withdraw services in Lagos
President Buhari signs amended Companies Allied Matters bill
NNPC signs agreement with CNOOC, SAPETRO to end OML 130 disputes
Daily Parallel Market exchange rate – ₦486/$1
List of Dividends announced so far in 2020 (August)
COVID-19 Update in Nigeria
Daily Parallel Market exchange rate – ₦486/$1
Nigeria’s top 10 agricultural exports hit N289.3 billion, as Sesamum seeds, Cocoa top list
Debt Management Office resumes FGN savings bond offer on August 10
