Business

Russia-Ukraine War: Nigeria Ready to Step in as Alternative Gas Supplier to Europe, Says Sylva

Published

3 years ago

March 27, 2022

Minister of State for Petroleum Resources, Chief Timipre Sylva

Following the war between Russia and Ukraine, which is threatening the supply of gas to European countries by Russia, the Minister of State for Petroleum Resources, Mr Timipre Sylva, has revealed that Nigeria is ready to offer its services as an alternative gas supplier to Europe.
He urged the European Union (EU) to increase investments in gas and hydrocarbons in Nigeria to enable the country to meet the bloc’s energy needs.

This is coming as the Nigeria Extractive Industries Transparency Initiative (NEITI), has declared that the emergence of China as almost the sole destination for Nigeria’s solid minerals resources export poses a risk to the country’s economy.

NEITI advised the federal government to develop a business relationship with other countries to reduce over-dependence on China.
Sylva spoke when he received a delegation led by the EU Ambassador to Nigeria and ECOWAS, Samuela Isopi on a courtesy call to his office in Abuja.

The minister’s call comes on the heels of the festering war between Ukraine and Russia, which threatens gas supply to European countries.

Russia currently supplies about 30-40 per cent of the EU’s gas needs.
In a statement issued yesterday by his Senior Adviser – Media and Communications, Mr Horatius Egua, the minister said Nigeria was ready to step in as an alternative gas supplier to Europe, urging the EU to encourage its oil and gas companies such as Shell, Eni, and Total Energies to scale up investments in the Nigerian gas sector.

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“One of the things we warned against earlier was the speed with which EU was taking away investments in fossil fuels.

“We warned that the speed was faster than they were developing renewable energy. You can see now that what we were warning against is what is happening now,” the minister said.
He told the delegation that what stunted growth in the development of gas in Nigeria was the lack of fresh investments, and called for a change of attitude on the part of the EU if its requests to increase supplies to Europe would be realised.

According to the minister, one of the biggest challenges the sector has is a lack of investments.
“In the last 10 years, over $70 billion worth of investments came to Africa, but sadly less than $4 billion came to Nigeria.
“Surprisingly, we are the biggest in Africa. If we cannot attract investments to Nigeria, you know where we are heading.

“You have been our longtime friend. As of today, our gas reserve is one of the biggest in the world. We have a proven gas reserve of 206 tcf and if we focus on gas exploitation we can get up to 600 tcf.
“We are already building gas infrastructure such as the Ajaokuta-Kaduna-Kano (AKK) pipeline project, expected to take gas to Algeria, and the West Africa Gas Pipeline project designed to take gas to Morocco,” Sylva explained.
The minister further said that after the Russia-Ukrainian war, the EU must have a buffer or an alternative source of gas, and collaboration with Nigeria in that regard was paramount.

He reiterated Nigeria’s commitment to working with the EU to bridge the gap in terms of gas, adding that from the Russian-Ukranian crisis, it was evident that gas had been weaponised and unless it created an alternative, it would only get worse.

He reassured the EU diplomats of Nigeria’s readiness to be an alternative supplier of gas to the EU but urged its companies operating in the country to invest more here.
“We would like to be reliable partners to solve the energy problem in Europe and we can only achieve this by working together. It is only when investing in these areas is increased that Nigeria can meet that obligation,” Sylva said.

While emphasising the need for the transfer of technology in gas and renewable energy, he said Africa must be allowed to continue to exploit its hydrocarbon deposits to develop the continent.
In her response, Isopi urged Nigeria to take advantage of the opportunity offered by the present crisis in Europe to shore up gas supplies to Europe.

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Railway

Lagos Rail Mass Transit part of FG free train ride – NRC

Published

14 hours ago

December 21, 2024

Trends Admin

Lagos Rail Mass Transit part of FG free train ride – NRC

The Nigerian Railway Corporation (NRC) has disclosed that the Lagos Rail Mass Transit (LRMT) trains are included in the Federal Government’s free train ride initiative for the Christmas and New Year celebrations.

The LRMT, which currently includes the Phase 1 Blue Line Rail and the Phase 1 of the Red Line Rail, operates under the Lagos Metropolitan Area Transport Authority (LAMATA).

This announcement was made by Ben Iloanusi, the Acting Managing Director of the NRC, during an interview on NTA News TV on Friday, following the launch of the initiative earlier that day.

While Iloanusi stated that Phase 1 of both the Blue Line and Red Line Rail projects are part of the program, LAMATA has yet to confirm this inclusion.

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Iloanusi outlined the other routes benefiting from the scheme, which include the Lagos-Ibadan Train Service, Kaduna-Abuja Train Service, Warri-Itakpe Train Service, Port Harcourt-Aba Train Service, and the Bola Ahmed Tinubu Mass Transit in Lagos. Notably, little was previously known about the Bola Ahmed Tinubu Mass Transit service until this disclosure.

“Let me mention the routes where this free train service is happening. We have the Lagos-Ibadan Train Service, we have the Kaduna-Abuja Train Service, we have the Warri-Itakpe Train Service, we have the Lagos Rail Mass Transit trains, we have the Port Harcourt-Aba Train Service, and we have what we call the Bola Ahmed Tinubu Mass Transit, which is also in Lagos,” he stated.

Iloanusi provided operational updates, stating that passengers nationwide can access free tickets online or, for those unable to do so, at train stations where they will be profiled and validated.

He noted that passengers using NRC-managed services (excluding the Lagos Rail Mass Transit) should reserve tickets via the official website, www.nrc.gov.ng, with a valid ID required. He also advised travelers to plan, arrive on time, and bring valid identification.

Lagos Rail Mass Transit part of FG free train ride – NRC

Business

NNPC denies claim of Port Harcourt refinery shutdown

Published

14 hours ago

December 21, 2024

Trends Admin

Port Harcourt refinery

NNPC denies claim of Port Harcourt refinery shutdown

The Nigerian National Petroleum Company Limited (NNPCL) has denied claims in media reports that the newly refurbished Port Harcourt refinery has shut down.

The national oil company denied the claim in a press release issued by its Chief Corporate Communications Officer, Olufemi Soneye, on Saturday.

Soneye said the claim was false and urged Nigerians to disregard it. He stressed that the Port-Harcourt Refinery is fully operational.

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The statement read, “The attention of the Nigerian National Petroleum Company Limited (NNPC Ltd.) has been drawn to reports in a section of the media alleging that the Old Port Harcourt Refinery which was re-streamed two months ago has been shut down.

“We wish to clarify that such reports are totally false as the refinery is fully operational as verified a few days ago by former Group Managing Directors of NNPC.”

He noted that preparation for the day’s loading operation is currently ongoing, and added that claims of the shutdown are “figments of the imagination of those who want to create artificial scarcity and rip-off Nigerians.”

NNPC denies claim of Port Harcourt refinery shutdown

Business

CBN permits BDCs to buy up to $25,000 FX weekly from NFEM

Published

2 days ago

December 20, 2024

Trends Admin

CBN Governor, Olayemi Cardoso

CBN permits BDCs to buy up to $25,000 FX weekly from NFEM

The Central Bank of Nigeria (CBN) has granted Bureau de Change (BDC) operators temporary permission to purchase up to $25,000 weekly in foreign exchange (FX) from the Nigerian Foreign Exchange Market (NFEM).

This move, detailed in a circular dated December 19, 2024, is designed to meet seasonal retail demand for FX during the holiday period.

The circular was signed by T.G. Allu, on behalf of the Acting Director of the Trade and Exchange Department.

The arrangement will be in effect from December 19, 2024, to January 30, 2025.

Under the directive, BDCs may purchase FX from a single Authorized Dealer of their choice, provided they fully fund their accounts before accessing the market.

Transactions to occur at the prevailing NFEM rate

The transactions will occur at the prevailing NFEM rate, and BDCs are required to adhere to a maximum 1% spread when pricing FX for retail end-users.

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All transactions conducted under this scheme must be reported to the CBN’s Trade and Exchange Department.

The circular read in part:

“In order to meet expected seasonal demand for foreign exchange, the CBN is allowing a temporary access for all existing BDCs to the NFEM for the purchase of FX from Authorised Dealers, subject to a weekly cap of USD 25,000.00 (Twenty-five thousand dollars only).

This window will be open between December 19, 2024 to January 30, 2025.

“BDC operators can purchase FX under this arrangement from only one Authorized Dealer of their choice and will be required to fully fund their account before accessing the market at the prevailing NFEM rate. All transactions with BDCs should be reported to the Trade and Exchange department, and a maximum spread of 1% is allowed on the pricing offered by BDCs to retail end-users.”

The CBN assured the general public that PTA (Personal Travel Allowance) and BTA (Business Travel Allowance) remain available through banks for legitimate travel and business needs.”

These transactions are to be conducted at “market-determined exchange rates” within the NFEM framework.

This initiative reflects the CBN’s strategy to stabilize the FX market and manage seasonal surges in demand.