Excess Crude Account falls by $253m in one month

FG, states, LGs share N647.353bn as January revenue   The balance in Excess Crude Account (ECA), the special account for extra oil revenue above budgeted oil benchmark, had fallen to $71.814 million as against January 15, 2020 figure of $324.968 million. The depletion is coming as the three tiers of government, comprising federal, states and 774 local government councils, yesterday shared a total of N647.353 billion as their allocation from the federation purse for the month of January. The amount was approved by Federation Account Allocation Committee (FAAC) at its…

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‘How local content underscored Nigeria’s crude cost’s cut’

The Federal Government will deepen the implementation of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act as it is an effective strategy for lowering Nigeria’s high crude oil production cost, Minister of State for Petroleum Resources, Chief Timpre Sylva, has said. The minister, according to a statement, stated this at the conclusion of his first working visit to NCDMB’s head office in Yenagoa, Bayelsa State, its new 17-storey headquarters building and other project sites. Emphasising that government’s primary target in the sector is to significantly reduce the unit…

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Crude theft: FG blocks IOCs’ drone surveillance investment

The Federal Government has rejected an investment proposal by some international oil companies (IOCs) to deploy drones for surveillance in a bid to end crude theft and pipeline vandalism rocking the country. The rejection, New Telegraph gathered exclusively at the weekend, was conveyed by the military hierarchy over its belief that the move, if allowed, could breach national security. The move to deploy drones was made by IOCs that have over the years lost millions of dollars to vandalism. “Unfortunately, the IOCs will have to look beyond the drone option,”…

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Stolen crude: How Navy impounded 130 vessels

  The Nigerian Navy has given details of how it impounded over 130 vessels, some of which were laden with stolen crude and petroleum products. Chief of Naval Staff, Vice Admiral Ibok Ibas, who, said this in a statement, while playing host to the Group Managing Director of the Nigerian National Petroleum Corporation, Mele Kyari, at the naval headquarters in the Abuja. The naval chief also stated the Navy was currently working at integrating its system with those of other maritime operators such as the Nigerian Ports Authority and Nigerian…

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Buyers worsen Nigeria’s crude sale woes

N6.97trn 2019 budget threatened   The 2019 budget is facing fresh threat as more buyers shunned Nigeria’s crude grades in a move that worsened sales woes for Africa’s biggest crude exporter. Nigeria depends largely on crude proceeds to service over 80 per cent of her budget. A loading schedule for April crude sighted by this newspaper showed that the country might need to downgrade expectations from crude revenues to avert impending budget deficit. Nigeria is estimating revenue of N6.97 trillion and an expenditure of N8.83 trillion is estimated for 2019.…

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Criticisms trail FG’s crude lifting deals

●Contracts’ term elongated ahead of 2019 polls     Reproach has greeted the Federal Government’s decision to extend crude lifting contracts for 10 trading firms ahead of 2019 general elections, New Telegraph has learnt. The extension, seen as a detour from 12 months crude lifting for products swap contracts usually sign by government, has raised dust among stakeholders who believed that statutory tender process for the deal could have been violated. Nigerian National Petroleum Corporation (NNPC), it would be recalled, extended, on behalf of government, the Direct Sale Direct Purchase…

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Indonesia eases Nigeria’s crude sale meltdown, mops up 1.55m barrels

  Indonesian refiner, Pertamina, last weekend lightened the crude sale melt down rocking Nigeria at the global market, as it mopped up 1.55m barrels of crude grades from the country. This came hours after the United States (U.S) took over India market from Nigeria, selling 6 million barrels of crude for November-January delivery. Nigeria, Africa’s biggest crude exporter, depends largely on proceeds from crude oil sale to service over 85 per cent of its budget. The country, however, suffered a still-heavy overhang of unsold cargoes, a loading schedule showed. This…

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Nigeria’s crude faces glut as 25 cargoes scamper for buyers

More cargoes risk deferment   Glut, last weekend, rocked crude oil from Nigeria as 25 cargo-loads of the commodity in June loading programme scampered for buyers, New Telegraph has learnt. This came just as Bonny Light, one of the major grades from the country, remained under force majeure while a pipeline, which exports Forcados was still shut down. Despite this new round of disruption to Nigerian crude exports, about 25 cargoes of June-loading Nigerian crude schedule sighted by this newspaper showed, were still available at the global market looking for…

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Nigeria: A crude swap contract in disarray

The cumulative production of Nigeria’s refineries again fell to zero at a time daily fuel consumption rose to 55 million litres, putting the Direct Sale and Direct Purchase (DSDP) contracts between Nigerian National Petroleum Corporation (NNPC) and refiners abroad under pressure. Adeola Yusuf reports     The consumption of premium motor spirit (PMS) also known as petrol has risen from 35 million to a record 55 million litres daily, subjecting the DSDP also known as crude swap contracts, into 20 million litres deficit. The data obtained from NNPC by New…

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$16bn Egina projects raise Nigeria’s crude fortunes

The $16 billion Egina project will amplify fortunes by Nigeria from crude oil, Managing Director of Total, Mr. Nicolas Teraz, has said. He disclosed this in a chart with New Telegraph on the sideline of the ceremony to mark the arrival of Eginia FPSO in Lagos. The Total Upstream Nigeria Limited, TUPNI, and her partners had earlier took delivery of Egina floating production storage offloading, FPSO, from South Korea. Teraz said that Egina is the the deepest offshore development carried out so far in Nigeria, adding that Nigeria’s Local Content…

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