Glut threatens Nigeria’s 600,000 tons wheat production

…farmers face low RoI   Amid the prediction by the International Grains Council (IGC) that global wheat production is expected to fall this year, the first time in six years, there are indications that the fate of the country’s 600,000 tons of wheat production is in jeopardy as glut and low return of investment (RoI) trail wheat farmers’ productivity in Nigeria.   The intergovernmental group, in its first forecast for wheat output next season, pegged it at 742 million tons, a drop of 35 million tons year-on-year. Based on this…

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Infrastructure impeding 1.6m tons sugar production

Nigeria to spend N157.5bn on importation Despite the 30 per cent tax credit and zero per cent on machinery given to investors for the provision of critical infrastructure, the 10 sites earmarked for production of 160,000 tons of sugar each this year still lack capability to meet production target. In 2018, under the National Sugar Master Plan (NSMP), the sites are expected to produce a total of 1.6 million tons, but New Telegraph gathered that their total capacity would not be able to produce beyond 80,000 metric tons. Last year,…

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OML130: Total’s $16bn project mulls 10% oil production

Total Upstream Nigeria Limited has declared plan to add 200,000 barrels per day to Nigeria’s oil production; approximately 10 per cent of the country’s total oil production from its $16 billion Egina field project. The Egina field was discovered by Total Upstream Nigeria Limited (TUPNI) in partnership with Nigerian National Petroleum Corporation (NNPC), CNPC, CNOOC, SAPETRO and PETROBRAS, in 2003 within the Oil Mining Licence 130 (OML130), some 200 kilometres south of Port Harcourt, Nigeria. Stating that Egina is the largest investment project currently on-going in the oil and gas…

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Local oil firms walking a tight rope

Indigenous firms are the worst-hit by myriads of challenges bedeviling the oil and gas industry. ADEOLA YUSUF reports on how many of them are running into bankruptcy     Aiteo, an indigenous oil firm, made the headlines penultimate week; basking in the euphoria of its new status as the biggest Nigerian- owned oil firm in terms of production, hitherto known by many as the petroleum product trading firm, it announced the production of the largest share of the 313,602 barrels per day output from indigenous companies. The firm’s management cannot…

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FG shifts Forcados, Bonga’s re-opening date to June, July

The Federal Government has announced new dates for re-opening of two major oil and gas installations in Nigeria-Bonga Floating Production Storage and Offloading (FPSO) and Forcados line. Minister of State for Petroleum resources, Dr. Ibe Kachikwu, who said this in a report, stated that Forcados would reopen in June and Bonga in July. Shell, operator of Bonga, had earlier said that the facility would re-open by April. The shutdown of these facilities have impacted the crude production in Nigeria as over 225, 000 barrels of oil is shut-in on Bonga…

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NMRC, developers laud Nigeria’s House Price Index

The Nigerian Mortgage Refinance Company (NMRC) and developers of Lekki Gardens have thrown their weight behind the takeoff of Roland Igbinoba House Price Index (RI), the first in the country. Executive Director of NMRC, Mr.Kehinde Ogundimu, who represented his managing director, gave insight into the usefulness of a house price index in Lagos. He pointed out that absence of useful data had been a major challenge to government, home seekers and investors in the drive to make decision about housing market. He lauded President of Pison Housing Company, Mr Roland…

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$100m oilfield chemical investments at risk

The over $100 million investments in oilfield chemical sub-sector of Nigeria’s oil and gas industry is on the brink of collapse, New Telegraph has learnt. Investigations revealed that stakeholders in sub-sector are rising against this major threat to business exasperated by longerthan- necessary tendering cycle in Nigeria, which is six times longer than that of its rival oil producer in Africa, Angola. Former President, Nigerian Society of Chemical Engineers, Dr. John Erinne, has also confirmed this challenge. He told this newspaper on the side-line of Second National Oil and Gas…

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PDP to Buhari: Your scorecard is very poor

Oyegun: You’re talking nonsense   The People’s Democratic Party (PDP) has taken a critical assessment of the almost two-year-old All Progressives Congress (APC)-led Federal Government and returned a damning verdict: President Muhammadu Buhari has failed in every facet of the nation’s life. The party, which based its assessment on President Muhammadu Buhari’s Easter message to Nigerians, said Mr. President claimed achievements were insult to the intelligence of Nigerians who have been at the receiving end of his government’s mismanagement in the last two years. Spokesperson for the PDP National Caretaker…

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Slippery crude oil swap

The recent payment of over $202 million to the Nigerian National Petroleum Corporation (NNPC) downstream entities by Aiteo Energy Resources Limited for fraudulent deals under the scrapped crude oil swap arrangement has reaffirmed the need to fully unravel all transactions surrounding the controversial barter plan during the last administration. The amount includes Aiteo’s share of the $184 million total indebtedness by three companies on crude swap obligations and other downstream liabilities. Televaras Group of Companies has also pledged to make a tranche payment of $17.2 million while NNPC is still…

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‘Fleet mgt firms rake in N1.7bn yearly’

The management of Rosabon Financial Services has said that fleet management and other corporate lease solutions made on average return of about N1.7 billion annually from companies in the country. Head, Communication, Kehinde Ruth Onasoga, in a statement, said: “Recent statistics have shown that companies in Nigeria, on the average, spend at least N1.7 billion annually on fleet management and other corporate lease solutions just to be able to address their logistical challenges. “Even at that, combining daily business activities with fleet management operations is becoming an increasingly difficult task…

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