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Oil surveillance: Group berates critics, says merit was criterion for awarding contract

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Conference of Civil Society Groups For Good Governance (CSGGG) has countered the sustained smear campaign against Nigerian National Petroleum Company Limited (NNPC Limited) over rehabilitation as well as surveillance contracts.

The group was reacting to allegations that contracts for the rehabilitation of pipelines across the country were awarded to a “northern oil cabal”

Addressing a press conference in Abuja on Sunday, the President of the group Comrade Domnic Ogakwu indicated that peddling gross misinformation and unsubstantiated allegations on oil pipeline rehabilitation as well as surveillance contracts has now been adopted as a weapon of choice in the hands of the unpatriotic elements. 

Comrade Ogaku enumerated the giant strides of the NNPC limited and called on Nigerians to support the astute leadership of Mele Kyari in the face of unpatriotic and misleading distractions by saboteurs of President Bola Tinubu’s adminiatration.

He said merit was considered in the award of contract, “It is obvious to all well-meaning Nigerians that  some wolves are expending  a lot of negative energies to discredit the Group Chief Executive Officer of the NNPC Limited, Mallam Mele Kyari, in order to push him out of office and have unfettered access to seize and manipulate state resources to their personal advantage. 

“The recent attempts are not new and amount to red herring when there is absolutely no need or iota of facts about the allegations.

“The claim of “quietly awarding the control of Nigeria’s pipelines to a Northern oil cabal” is not only fallacious, figment of the writers and their sponsors’ imagination but cowardly, and begs the question.

According to him, to award such a contract requires tender notices in form of advertisements which were made public for qualified companies to bid. 

“The process for the contracts awards, as has been the case since Mallam Kyari assumed office, remains rigorous in line with industry norms. 

“Each bidding company has been subjected to a competitive tender selection process as guided by the Bureau of Public Procurement (BPP), Infrastructure Concession Regulatory Commission and a transaction advisor. 

“These regulatory institutions had to also work with the Nigeria Extractive Industry Transparency Initiative (NEITI) and the Ministry of Justice in the project development and evaluation exercise.

“So, it stands against reasoning that after such a rigorous process, anything untoward will be suggested by any rational mind.

He listed the winning companies which prove the allegations otherwise as obtained from findings to include,

LOT 1: Oilserve Ltd, Chu Kong Steel Pipe Group Company Ltd, Saudi Crown Oilserve.

LOT 2: MacReady Oil and Gas Services, COBRA Instalicios S.A, Control Y Montajes Industriales & International De Pipelines, Iron Products Industries Ltd, Batelitwin Global Services Ltd, Bauen Empresa Constructora SAU, Sanderton Energy Ltd, The Spanish National Association of Manufacturers.

LOT 3: A A Rano, Zakhem Construction Nigeria, Bablinks Resources Ltd, VAE Controls S.R.O.

LOT 4: MRS Oil and Gas, CPPE Nigeria Ltd,” it added.

“Furthermore, we are not unmindful that some individuals are double bent on creating mountains out of nothing over the award of pipeline surveillance contracts to qualified and performing entities and not them.

“Pipeline surveillance is not a tea party as recent events have shown. Therefore, being an –ex-militant is not enough qualification to be awarded such a critical task. “The priority of NNPC Limited is to ensure a safe and secure oil infrastructure and functional pipeline corridor to sustainably deliver national production targets. 

“There is nothing personal to Mele Kyari and management NNPC Limited, rather than what is possible and best for the country.

“Since his appointment in 2021 by former President Muhammadu Buhari as GCEO of the NNPC Limited, the successor company to the NNPC, Mallam Kyari has been guided by his Roadmap to Global Excellence” anchored on the principles of Transparency, Accountability and Performance Excellence (TAPE).

“In about this period, Nigeria’s oil production has seen significant improvement through the curbing of waves of mindless theft of Nigeria’s oil by criminal elements. 

“This initiative has seen many seizures of tankers laden with illegal crude and the discovery of a four-kilometer illegal oil connection line from Forcados Terminal into the sea which had been in operation for nine years. “Nigerians will not be wrong to believe that beneficiaries of this heinous economic crime will fight back in anyway their influence can afford as their pockets gets dry.

“Today, our country is witnessing spike in oil production to over 1.8 million barrels per day, in addition to regaining our national position as the largest crude oil producer in Africa, ahead of Algeria’s 1.021mb/d and Angola’s 1.088mb/d.

“It remains on record that in 2022, NNPC Limited under the astute leadership of Mele Kyari has for two-consecutive years recorded a profit. 

“Nigerians have seen NNPC making profit for the first time in 44 years. Growing from N287 billion in 2020 to N674.1 billion in the 2021 financial period. The figure represented an increase of N387 billion or 134.8 per cent when compared to the previous profit recorded in 2020.”

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Oil and gas

IPMAN querries NNPCL’s higher price regime for Dangote petrol against imported ones

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The Independent Petroleum Marketers Association of Nigeria (IPMAN) has querried the rational behind the Nigerian National Petroleum Company Limited (NNPCL) projections that make the price of petrol lifted from the Dangote Refinery higher than imported ones.
IPMAN’s National Welfare Officer, John Kekeocha spoke on Channels Television’s, the Morning Brief breakfast programme.
“If NNPC can sell Dangote products higher than the imported products, then it doesn’t make sense.
“What is the celebration we are having all these while then?” he querried.
Recall that the NNPCL started loading the first batch of petrol from the Dangote Refinery on Sunday.

The NNPCL had stated that it got the petrol at N898 per litre from the private refinery.
Meanwhile NNPCL retail outlets in Lagos have been selling petrol for around N855 before lifting petrol from the Dangote Refinery on Sunday.

However, a litre of Dangote petrol now sell for N950 per litre in Lagos and N1,019 in Borno.

The association urged NNPCL to ensure the product is not sold at a higher price than imported fuel.

IPMAN argued that such a disparity would be counterproductive to the nation’s drive for energy self-sufficiency and could negatively impact consumers and marketers alike.

According to IPMAN the pricing strategy for locally refined petrol should reflect the advantages of domestic production, offering Nigerians a more affordable option.

The association emphasized that maintaining competitive pricing is crucial for the success of the Dangote Refinery and for fostering a sustainable fuel market in the country.

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Oil and gas

Dangote Refinery slams claims by NNPCL that it is selling petrol at N898 per liter

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The Dangote Refinery has described as misleading, claims by the Nigerian National Petroleum Company Limited (NNPCL) that it sells petrol at N898 per litre.

The refinery spokesman, Anthony Chiejina insisted that the NNPC’s claim is mischievous with the intent to undermind the refinery’s achievement in addressing energy insufficiency.

Chiejina urged Nigerians to disregard the statement and await an official announcement on pricing from the Technical Sub-Committee on Naira-based crude sales to local refineries, appointed by President Bola Ahmed Tinubu.

The denial is coming amid speculations of a higher price for petrol from the Dangote refinery, with marketers warning of difficulties in purchasing the commodity without government intervention.
Chejina said, “Our attention has been drawn to a statement attributed to NNPCL spokesperson, Mr. Olufemi Soneye, that we sell our PMS at N898 per litre to the NNPCL.

“This statement is both misleading and mischievous, deliberately aimed at undermining the milestone achievement recorded today, September 15, 2024, towards addressing energy insufficiency and insecurity, which has bedeviled the economy in the past 50 years.

“We urge Nigerians to disregard this malicious statement and await a formal announcement on the pricing, by the Technical Sub-Committee on Naira-based crude sales to local refineries, appointed by His Excellency, President Bola Ahmed Tinubu

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Oil and gas

NNPCL claims to pay N898/Litre for Petrol at Dangote Refinery

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The Nigerian National Petroleum Company Limited (NNPCL) has claimed that it is buying petrol from the Dangote Refinery at N898 per litre, signaling the start of operations at Africa’s largest oil refinery.
The first batch of petrol loading commenced on Sunday, with NNPCL trucks seen at the refinery in Ibeju-Lekki, Lagos.

This move follows a recent announcement by the Presidential Committee on the Sale of Crude Oil and Refined Products, outlining agreements for crude oil supply and refined product distribution in Naira.

The trucks, belonging to the Nigerian National Petroleum Corporation Limited, were seen in videos posted on the X handle of the Dangote Group.
“First set of trucks set for loading of PMS at the Dangote Petroleum Refinery,” the post read.

On Saturday, the NNPCL stated that hundreds of trucks would be deployed to the refinery today (Sunday) for PMS loading.
The NNPC stated, “In preparation for the Dangote Refinery’s scheduled petrol loading on Sunday, 15th September 2024, NNPC Ltd has been mobilising trucks to the refinery’s fuel loading gantry in Ibeju-Lekki. As of Saturday afternoon, NNPC Ltd had deployed over 100 trucks, with hundreds more en route.”

He said, “We successfully loaded PMS at the Dangote Refinery today.
“The claim that we purchased it at N760 per litre is incorrect.

“For this initial loading, the price from the refinery was N898 per litre.”

This comes two days after the Presidential Committee on the Sale of crude oil and Refined Product announced that loading of the first batch of petrol from the Dangote Refinery will commence on September 15.

A member of the committee and Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, disclosed this in Abuja on Friday.

Briefing journalists, the FIRS boss said that from October 1, the Nigerian National Petroleum Company Limited (NNPCL) will commence the supply of about 385kbpd of crude oil to the Dangote Refinery to be paid for in Naira.

“I am glad to announce that all agreements have been completed and loading of the first batch of PMS from the Dangote Refinery will commence on Sunday 15th September,” Adedeji stated.

He explained that Dangote Refinery will in return supply PMS and diesel of equivalent value to the domestic market to be paid for in Naira.

Other deliberations reached by the committee include the sale of Diesel in Naira by the Dangote Refinery to any interested off-taker while PMS will only be sold to NNPC.

“From 1 October, NNPC will commence the supply of about 385kbpd of crude oil to the Dangote Refinery to be paid for in Naira.

“In return, the Dangote Refinery will supply PMS and diesel of equivalent value to the domestic market to be paid for in Naira.

“Diesel will be sold in Naira by the Dangote Refinery to any interested off-taker. PMS will only be sold to NNPC, NNPC will then sell to various marketers for now. All associated regulatory costs will also be paid for in Naira.”

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