Business
OML 30 shutdown: Nigeria loses $20.8m in four days
The shutdown of OML30 flow stations in the Ughelli area of Delta State host communities over breach of agreements may have cost the country a total $20.8 million in four days.
The 112 communities, which are host to eight flow stations in the area, on Friday, November 06 shut down the facility and chased away its workers.
They accused operators of the flow stations, Heritage Energy Operational Services Limited (HEOSL), of “obligations failure and consistent display of gross indifference to the host communities.”
According to a report by the Nigerian Tribune, the flow stations produce not less than 80,000 barrels of crude oil per day, worth about $5.12 million.
The host communities, represented by their OML30 Cluster Management Committee/President Generals had, last Friday evening, invaded and shut down all oil explorations in the flow stations.
Speaking to journalists on Monday at the gate of Afiesere Flow Station, the OML30 host communities’ President Generals, led by their Chairman, Dr Harrison Patrick Oboghor, and Secretary, Mr Ibuje Joseph, said the HEOSL “has displayed gross indifference, and consistent failure of its obligations to host communities in all its ramifications.”
The host communities particularly accused HEOSL of failure to pay the GMOU fund for the last two years, despite the conducive environment in OML30 as well as a mediation by Delta State Government on May 18, 2020.
The host communities also accused HEOSL of a “total stoppage of scholarship award and payment to host communities since 2016,” resolving not to leave the premises “until all their demands are met by HEOSL.”
Their other demands are the refusal by the operators to carry out the agreed staff audit of its Edjeba and Lagos offices; its reneging in providing corporate social responsibility (CSR) projects in OML30 since it became an operator of the asset and the non-inclusion of indigenous personnel into management positions to reflect 70/30 as enshrined in the GMOU, among others.
Business
Iran-Israel war: Petrol nears N1,000/L, further hike imminent
Iran-Israel war: Petrol nears N1,000/L, further hike imminent
Filling stations across the country have adjusted the pump price of premium motor spirit (PMS), otherwise known as petrol, with a litre sold at almost N1,000 across the country.
This followed the recent increase in the price of crude oil on the global market, triggered by the escalating Israel-Iran hostilities, with marketing advising Nigerians to brace up for further increases unless there is a de-escalation of the current tension.
Newstrends reports that since the conflict started, there has been severe damage to critical oil infrastructure, triggering a sharp spike in global oil prices.
Spike in crude prices
As soon as the conflict started, Brent crude increased by 11.71% from $66.45 penultimate Monday to $74.23 after hitting an intraday high of $78.50, the highest since January 27.
Also over the penultimate weekend, U.S. West Texas Intermediate crude finished at $72.98 a barrel, up $4.94, or 7.62%.
Similarly, WTI jumped over 14% to its highest since January 21 at $77.62. WTI climbed 13% to its level a week ago.
Israel and Iranian hostilities have worsened volatilities in the oil and gas sector as investors are on the edge of price instability amidst fear of escalating Middle East conflict.
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As of yesterday (Sunday), crude prices have rallied above $77 per barrel, slipping from $79 over the weekend. There are fears of further increases following US President Donald Trump’s decision to strike three nuclear facilities in Iran, even as Iran has vowed retaliation.
Fear of further spike as Iran vows retaliation
Analysts say retaliation from Iran may increase crude prices further.
As the third-largest oil producer in the world, Iran accounts for over 24 percent of the oil in the Middle East and over 10 percent of the global oil.
In a worst case scenario, JP Morgan said it sees oil averaging $60 in 2026, but flagged $120–$130 per barrel as a potential range in the event of worst-case outcomes—namely, military conflict and a closure of the Strait of Hormuz, through which one-fifth of global oil flows.
JP Morgan noted that while such escalations could lead to meaningful supply disruption, particularly if Iran’s 2.1 million bpd of exports are cut off, its base case still assumes diplomacy holds.
While increasing prices of crude means more foreign exchange inflows for Nigeria, its flip side is the rise in the price of PMS at the domestic market, with analysts and marketers warning that Nigerians should brace up for more.
Speaking on the rising oil prices, Chief Executive Officer, Centre for the Promotion of Private Enterprises (CPPE), Dr. Muda Yusuf explained that while the surge in crude oil price would impact on foreign exchange earnings, oil being the biggest forex earner for the country, “Economies around the world [Nigeria inclusive] would witness a surge in the price of petrol, diesel, jet fuel, gas and related products in the near term. This would have far reaching implications for many economies and businesses.”
He said, “This would even be more impactful if output performance improves. Crude oil price has surged to $75 per barrel, which is about 15% higher than before the outbreak of the Israeli–Iran conflict.
“This development would also positively impact the country’s foreign reserves, ensure better forex liquidity and ultimately the stability of the naira exchange rate.”
Iran-Israel war: Petrol nears N1,000/L, further hike imminent
Daily Trust
Business
Bank of Agriculture gets FG’s N1.5trn
Bank of Agriculture gets FG’s N1.5trn
The Federal Government has recapitalized the Bank of Agriculture with N1.5 trillion as part of a broader strategy to enhance food security and support farmers across the country.
Additionally, more than N200 billion has been deployed toward agricultural initiatives, including the distribution of 2.15 million bags of fertilizer and the creation of a comprehensive farmer registry aimed at reaching over 42 million households.
This development was disclosed in a statement signed by Kamorudeen Yusuf, Personal Assistant on Special Duties to the President, on Sunday.
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The statement revealed that the Minister of Agriculture and Food Security, Senator Abubakar Kyari, made the announcement during a high-level meeting with officials from The Gambia’s Ministry of Agriculture in Abuja.
The minister reiterated Nigeria’s dedication to “sustainable mechanization, youth inclusion, and regional collaboration within ECOWAS.”
In response, The Gambia commended Nigeria’s strides in rice production and sought technical assistance to emulate the country’s success in that sector.
Also speaking, Nigeria’s Minister of State for Agriculture, Senator Aliyu Abdullahi, noted that the nation’s advancements in agriculture could serve as a blueprint for the continent. He stated, “Nigeria’s agricultural progress can serve as a guide for Africa in achieving food sovereignty.”
Bank of Agriculture gets FG’s N1.5trn
Business
Dangote refinery raises petrol ex-depot price to N880/litre
Dangote refinery raises petrol ex-depot price to N880/litre
Nigerians may soon pay more for Premium Motor Spirit (PMS) following a fresh hike in ex-depot prices by the Dangote Petroleum Refinery.
The refinery on Friday raised the rate to N880 per litre, up from N825, according to information obtained by Chronicle NG.
This N55 increase is expected to reverberate across the fuel supply chain, potentially pushing pump prices above N900/litre in some areas, particularly those distant from major depots.
The hike comes amid a global decline in crude oil prices. On Friday, Brent crude dropped by 3.02% to $76.47, WTI declined to $74.93, and Murban fell to $76.97. However, this price relief on the international market offers little benefit locally due to ongoing concerns about supply disruptions and exchange rate instability.
Dangote Group President Aliko Dangote attributed the price adjustment to operational costs and an increased reliance on imported crude oil. He disclosed that the refinery is now “increasingly” sourcing crude from the United States due to local shortages.
Reports show that the refinery is projected to import 17.65 million barrels of crude oil between April and July 2025, with 3.65 million barrels already received in the past two months. This development is taking place under the Federal Government’s naira-for-crude policy.
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Addressing the Technical Committee of the One-Stop Shop for the crude and refined products initiative, Dangote explained that the refinery continues to battle crude shortages, necessitating U.S. imports.
On Monday, Festus Osifo, President of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), criticised fuel marketers for inflating prices despite global crude oil price drops.
“If you go online and check the PLAT cost per cubic metre of PMS, convert that to litres and then to our Naira, you will see that with crude at around $60 per barrel, petrol should be retailing between N700 and N750 per litre,”
he said.
Osifo argued that Nigerians should benefit from lower fuel prices when crude prices fall.
“If Nigerians bear the brunt of higher fuel costs, they should be allowed to enjoy the benefit of low pricing.”
The increase now appears to affirm Osifo’s warning, with many depot owners and distributors bracing for new pricing benchmarks. Sources indicate that fuel marketers have been on hold since Tuesday when Dangote paused sales and withheld new PFIs, triggering speculative pricing hikes.
As supply resumes at the new rate, downstream players anticipate widespread adjustments to retail pump prices, raising renewed concern over affordability and inflationary pressure.
Dangote refinery raises petrol ex-depot price to N880/litre
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