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Category Oil & Gas

  • Mar, Fri, 2020
Oil & Gas

New fuel price: Filling stations in Lagos record partial compliance

Fuel
By Solomon Asowata
Lagos, March 20, 2020 (NAN) Filling stations across Lagos State have started effecting the new N125 per litre pump price regime for Premium Motor Spirit (PMS) which was approved by President Muhammadu Buhari on March 18.
A News Agency of Nigeria (NAN) correspondent who monitored the situation on Friday morning at Ikeja, Fadeyi, Abule Egba, Onipan,  Surulere, Ebute Metta and Yaba areas observed that some major oil marketers were selling at the new price.
Also, all Nigerian National Petroleum Corporation (NNPC) retail outlets visited had adjusted their meters from N143 to N125 in line with the directive given by the management.
However, some independent marketers were still dispensing at N145, particularly those located in the outskirts of the state.
Mr Chinedu Okoronkwo, President, Independent Petroleum Marketers Association of Nigeria (IPMAN), told NAN that all the filling stations would adopt the new price in due course.
“This is going to come naturally because they cannot afford to lose their customers if they continue to sell at N145.
“Some of the marketers just took product before the reduction so it came as a shock, but hopefully, we will find a way to deal with the situation, ” he said.
A motorist,  Mr Wale Adebiyi,  told NAN that motorists would rather look for the stations that had adopted the new price to fuel their vehicles than buy at N145.
“There is no scarcity of fuel, so I can drive and look for where I can get it for N125.
” I commend the government for the reduction because it will reduce the amount I spend on fuel, ” he said.
NAN  reports that Mr Mele Kyari, Group Managing Director, NNPC,  had in  a statement on Wednesday said the new price of PMS would begin from March 19.

“In compliance with the directives of the Minister of State for Petroleum Resources on PMS pricing, the Corporation has reviewed its Ex-coastal, Ex-depot and NNPC Retail pump prices accordingly.

“Effective March 19, NNPC Ex-Coastal price for PMS has been reviewed downwards from N117.6/litre to N99.44/litre while Ex-Depot price is reduced from N133.28/litre to N113.28/litre.

“These reductions will therefore translate to N125/litre retail pump price,” he said.(NAN)

ASO/SOA

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Editing by Oluwole Sogunle

  • Mar, Thu, 2020
Oil & Gas

NPDC empowers OML 65, NOGA host communities with 7 transformers, 300 freezers in Delta

NPDC empowers OML 65, NOGA host communities with 7 transformers, 300 freezers in Delta

By Nefishetu Yakubu
Warri (Delta), March 19, 2020(NAN)The Nigerian Petroleum Development Company (NPDC), a subsidiary of NNPC, on Thursday empowered OML 65 and NOGA assets host communities with seven 500KVA and 300 KVA step down transformers in Delta.

Other items donated to the host communities are 300 solar powered deep freezers and 3,000 school chairs and desks.

The Managing Director of NPDC, Mansur Sambo, represented by the Deputy Manager, Community Relations Department (CRD), Noble Imabibo, presented the items to members of the communities.

Sambo said NPDC presented the items to OML 65 and NOGA communities to boost their economy as well as ameliorate the untold hardship facing the people of the communities.

He said the items would be shared among the seven communities in the Non Oil and Gas Asset (NOGA) and OML 65 assets host communities equally.

“The items will no doubt improve the presence of social amenities and life of the people.

“It is therefore pertinent to utilise the kind gesture to better your life and that of your families.

“NPDC is a friend to the communities where its operates, we are partners in progress and we share a common bond towards sustaining the existing mutual relationship.

“We shall continue to leverage on the peaceful coexistence and improve on our corporate social responsibilities to bring about development in our host communities,” he said.

According to Sambo, l advise you to eschew all forms of violence, radicalism and other actions capable of creating societal unrest.

Mr Misan Ogbegbe, President General of one of the benefitting communities, Okorofiangbe community in Warri South, thanked NPDC on behalf of the host communities for the gesture.

Ogbegbe urged NPDC to do more and called on other corporate organisations to take seriously their corporate social responsibilities to host communities. (NAN)
NY/JEO/DCU

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Edited by Janefrances Oraka/Donald Ugwu

  • Mar, Thu, 2020
Oil & Gas

PPPRA says new pricing regime for PMS covers entire March

 

PPPRA
BY Edith Ike-Eboh
Abuja, March 18, 2020 ( NAN)The Petroleum Products Pricing Regulatory Agency (PPPRA) has announced that the N125.00 per litre as the official pump price for Premium Motor Spirit (PMS) also known as petrol would cover entire March.

The Agency disclosed this in a statement signed by Mr Abdulkadir Saidu, the Executive Secretary, in Abuja, on Thursday.

“In exercising one of its key statutory mandates to determine the pricing policy of petroleum products as enshrined in the PPPRA Act No.8 of May 2003, the Agency hereby announces a new price regime of Premium Motor Spirit (PMS) and other Petroleum products as approved by the Government.

“Consequent on the new NNPC Ex-Coastal price and taking into consideration all existing approved margins on the PPPRA pricing template, the new pump price of PMS is N125.00 per litre, effective  March 19.

“This new price will guide PMS pricing in Nigeria for the rest of the month of March, 2020,” he said .

He added that going forward, PPPRA would continue to monitor trends in market fundamentals and announce a monthly Guiding/Expected Open Market price at the beginning of every month, effective April 1,  2020.

He added that the new price regime would emplace a more transparent pricing model, stimulate investment growth in the downstream sector and encourage resumption of products importation by Oil Marketing Companies (OMCs).

This, he noted, would translate to more job creation as many depots and facilities that were presently dormant would now become active.

‘ The directive of Government to the NNPC to reduce the Ex-Coastal price of PMS, despite the fact that the current stock of product was imported during the months of January and February, 2020 is highly commendable, although this action is not without costs to the Corporation.

“We believe that the recent efforts by the Government to develop an alternative Fuels market will come to fruition in the medium term while various initiatives are being undertaken to deepen the utilisation of LPG/CNG as autogas in Nigeria.

“The PPPRA wishes to assure all Nigerians of Government’s dedication to building a more vibrant and sustainable downstream sector,” he said.(NAN)

ENO/DCU

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Edited by Donald Ugwu

  • Mar, Thu, 2020
Oil & Gas

Former NNPC GMD, Baru lauds FG on new PMS price of N125 per litre

 

Leadership
Abuja, March 19, 2020 (NAN) Dr Maikanti Baru, Former Group Managing Director of the Nigerian National Petroleum Corporation (NNPC) has commended the Federal Government on the N125 pump price of Premium Motor Spirit as known as petrol.

He gave the commendation at the Leadership Newspapers conference and Award, in Abuja, on Sunday.

Baru bagged the Leadership Newspaper 2019 Chief Executive Officers (CEO) Award .

He said that government was making impact on the citizen through the new pump price of N125.

“Government is taking the right step, the only thing is that they have also indicated that they are introducing price modulation.

“It is positive for the economy and people because there is reduction in price but it is also what we in the industry will say that there is need for the prices to move with the parity,” he added.

He noted that the move by the NNPC to put the refineries in shape would help local production and level of reduction in price of transportation of crude.

“Generally, I will say what the government has done is generally appreciated because it has empathised with the citizens, ” he said

Commenting on the award, he said that it came as a surprise but remained grateful for recognition of hardworking.

“I must say that when I was called and told that I have won the editorial board’s nomination for the CEO 2019 aware after I have left office, I was shocked because the media and everybody forgets you once you are out of the office.

“So, for the Leadership Newspapers to go out of its way to recognise what we have done in NNPC after my leadership and conferring me with CEO award was good and I cherish it,” he said.

According to him, the award is setting a new paradigm for people to want to contribute whatever they cannot minding when they are leaving office.

He urged workers to continue to work hard and contribute to bring change and positive result.

The News Agency of Nigeria (NAN) reports that Baru received the award for the achievement of the mandate of expanding hydrocarbon explorations to the country’s inland basin under serious security challenge among others.

On the impact of Coronavirus in the global oil market, he said that it was a trying moment for the global market.

He said that the situation had called for people to appreciate the need for the call for diversification of the economy.

“We should go away from mono economy, depending on only oil,” he said

He noted that Nigerians might not fully understand the effect of the pandemic because the effect had not become epidemic in the country.

“Our suppliers are shutting down and because of it, we are going to have shortage and with low income coming from oil price dropping to N25 dollars per barrel these are low to cover production cost.

“This is very terrible situation, we should empathise with government,” he added.

He advised the reserves the country have should be used the best as they could to see the country pass through this.

Baru noted that government and Nigerians must understand that the nation was in a tough situation and stressed the need to brace to the challenge.

On the new pump price of petrol, he said that government was making impact on the citizen through the policy.

“Government is taking the right step; the only thing is that they have also indicated that they are introducing price modulation.

“It is positive for the economy and people because there is reduction in price but it is also what we in the industry will say that there is need for the prices to move with the parity,” he added.

He noted that the move by the NNPC to put the refineries in shape would help local production and level of reduction in price of transportation of crude.

“Generally, I will say what the government has done is generally appreciated because it has empathised with the citizens, ” he said.

In his comment, the Group managing Director of NNPC, Malam Mele Kyari said that corporation remained proud of Baru for his contributions to the growth of the corporation.

“We are proud of Baru, he remains a symbol of efficiency for the corporation,” he said.

The News Agency of Nigeria (NAN) reports that the Minister of State for Petroleum Resources, Chief Timipre Sylva also received the 2019 Leadership Best Politician Award of the year. (NAN)
ENO/MNA

Edited by Maureen Atuonwu

  • Mar, Thu, 2020
Oil & Gas

PPPRA to begin monthly price regime for petroleum products  on April 1

PPPRA

By Edith Ike-Eboh

Abuja, March 19, 2020(NAN) The Petroleum Products Pricing Regulatory  Agency (PPPRA), says it plans to begin monthly price modulation for petroleum products to reflect global market indices on April 1.

PPPRA Executive Secretary, Abdulkadir Saidu, disclosed this while briefing newsmen in Abuja, on Thursday.

A new pump price of N125.00 per litre was announced by the Federal Government on Wednesday for Premium Motor Spirit (PMS) also known as petrol.

“The approved price of N125 per litre comes into effect from today and we are going to apply it till the end of the month.

“Then, from  April 1,  PPPRA will be modulating a monthly price of petroleum products  based on the market fundamentals and what the new pricing regime is going to be doing.

“In addition, it is going to be looking at the actual market price,’’ he said.

He said that the agency was working out modalities for new pricing regime adding that new price of N125 per litre would run till the end of March.

He said that the agency would ensure that Nigerians benefited from what was happening at the global oil market.

“The prices are down, therefore, Nigerians should also enjoy this trend of downward in the market, we have looked at the cost of importing  product today.

” We have  made our own presentation and government has agreed that based on what we have presented , the price should be set at N125 per litre,’’ he said

On complain by marketers that they are at loss with the new price, he said that the agency would continue to engage all relevant stakeholders to ensure full compliance.

“We had series  of engagements with all the stakeholders,even before yesterday, we started engaging them and  apparently, before making the announcement, we engaged them.

“When there is price increase, everybody will jump and start selling at increased price, but when you start selling at a reduced price, everybody will start complaining.

“Currently, this is part of what we are discussing with the marketers. We are having meetings with every stakeholder in this regard and we are going to sort out,” he said.

According to him, the meeting will be holding soon and all the representatives of all the marketers will be there, particularly the umbrella bodies of MOMAN and DAPPMA.

“We are going to continue to engage them till we get the buy- in of everybody,’’ he said.

The News Agency of Nigeria (NAN) reports that a monitoring team of the Agency went on inspection of some filling stations in Abuja to ascertain the level of compliant.

NAN reports that while some marketers have complied, some were still selling at N145 per litre.

OANDO, NNPC retail station and AYM Ashafa filling Stations in Wuse Zone 5 visited by the group were already selling at N125 per liter but Eterna and Total around the same axis were selling at N145 per litre.

Some motorists who spoke to NAN commended government for the reduction in the price of the product.

Mr Omotosho Joshua at the AYM Ashafa filling station Wuye said he was happy with the development.

“ The move to reduce the price of the product is wonderful. I am very happy on government’s decision that will affect the lives of ordinary Nigerians.

“I believe that the price will come down more, Nigerians are really suffering,’’ he said.

Ms Agnes Jie another motorist, commended President Muhammadu  Buhari for the development.

“ I think the development is good, we need to see the president do more things that will benefit ordinary Nigerians,’’ she added. (NAN)

ENO/ JNEO/ABI

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Edited by Josephine Obute/Ali Baba-Inuwa

  • Mar, Thu, 2020
Oil & Gas

Pump Price: IPMAN seeks compensation for members over losses

IPMAN

By Abbas Bamalli

Kano, March. 19, 2020 (NAN) The Independent Petroleum Marketers Association of Nigeria (IPMAN) in Kano, on Thursday advocated for palliative measures to support marketers who might have incurred losses due to reduction of pump prices.

Alhaji Bashir Danmalam, IPMAN chairman in the state, told newsmen in Kano that the call was imperative to support its members who had stock of the products and could incur losses due to the down ward review of pump prices.

“We are happy with the development and the Federal Government should be commended for the gesture, however, government should consider the fact that many of our members with old stock will incur a huge loss. ”

“The measures would go a long way in reducing the loss the marketers might incur, since most of them have the old stock, which were supposed to be disposed at the old rate of N145 per litre in order to recover their money.

“Our members have already bought and loaded their vehicles with the product at the old prices from Lagos, Port Harcourt and Warri.”

“So by the time they reach their various destinations, they must sell the product at N125 per litre as against its old price of N145 per litre, a margin of N20 loss,” he said.

Danmalam expressed optimism that the Federal Government would come to their aid as it had promised to support private depot operators.

Also, the Chairman, Salbas Oil and Gas, Alhaji Saleh Baba said the company had so far incurred over N40 million losses to the introduction of pump price regime.

According to him, the company has stock of over two million litres of petrol before the new pump price regime, adding that it had adjusted to the approved pump price.

He said: “Despite the loss; we complied with the changes because it is a welcome development and for the benefits of Nigerians”.

Also commenting, the Chairman, RASMOH Oil, Alhaji Rabiu Saleh said the company recorded over N1 million losses since the implementation of the new pump price.

“We have over 45, 000 litres in stock; now with the development we have to adjust our pump prices in good faith.

“As a business and someone who believes in God, we expect gain or loss. We have complied with government directives,” he said. (NAN)

AABS/RSA

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Edited by Rabiu Sani Ali

  • Mar, Thu, 2020
Oil & Gas

IPMAN backs fuel price reduction, urges FG to deregulate market

IPMAN
By Solomon Asowata
Lagos, March 19, 2020 (NAN) The Independent Petroleum Marketers Association of Nigeria (IPMAN), on Thursday supported the reduction of the  pump price of Premium Motor Spirit from N145  to N125 per litre by the Federal Government.
IPMAN’s President, Mr Chinedu Okoronkwo, disclosed this in an interview with News Agency of Nigeria (NAN), in Lagos on Thursday.
Okoronkwo urged the government to deregulate the petroleum sector especially with the opportunity provided by the crash of global crude oil prices.
He said: “We welcome the reduction because it is what will bring relief to Nigerians who are facing economic challenges.
“Although some of our members have old stocks and some have ordered for products with the old price but we believe we must put the interest of the country first.
“We will still engage the government on what can be done to cushion the effect of the reduction on our businesses in terms of palliatives.”
On the need for deregulation of petroleum industry by the government, he said it was the right thing to do since the product was no longer being subsidised due to the low cost of landing.
“This is the time for government to deregulate PMS just like it was done with diesel and kerosene and let the market forces determines the price.
“Deregulation of PMS will enable more modular refineries to come on board so that we won’t need to refine our crude oil outside the country.
“Also, the government should give all necessary support to Dangote Refinery so that it can start production as soon as possible.
“Once we are able to meet our local consumption needs, the pressure on foreign exchange will reduce which will be good for our economy,” he said.
Meanwhile, a NAN correspondent who monitored filling stations in Ogba, Iyana-Ipaja, Abule Egba and Ikeja areas of Lagos observed that majority of them had yet to effect the new price regime.
Fuel attendants were seen selling the product at the stations at N145 per litre.
A station manager told NAN on the condition of anonymity that they had not received any directive to adjust their meters to the new price.
“We are aware that the government has directed that we should be selling at N125 but we have not been instructed by our boss to do so because what we have is old stock.
“Once that directive comes,  we will start selling at the new price,” he said.
A commercial bus driver who simply gave his name as Wasiu said he bought fuel at a filling station in Abule Egba at N145 per litre.
He said all the stations within that axis were still selling at the old price leaving motorists with no choice than to buy at that price.
NAN also reports that Mr Mele Kyari, Group Managing Director, Nigerian National Petroleum Corporation (NNPC), had in  a statement on March 18, said the new price of PMS would begin from March 19.

“In compliance with the directives of the Minister of State for Petroleum Resources on PMS pricing, the Corporation has reviewed its Ex-coastal, Ex-depot and NNPC Retail pump prices accordingly.

“Effective March 19, NNPC Ex-Coastal price for PMS has been reviewed downwards from N117.6/litre to N99.44/litre while Ex-Depot price is reduced from N133.28/litre to N113.28/litre.

“These reductions will, therefore, translate to N125/litre retail pump price,” he said.(NAN)

ASO/EOB/DCU

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Edited by Edith Bolokor/Donald Ugwu

  • Mar, Wed, 2020
Oil & Gas

Nigerians hail FG’s reduction of petrol price to N125 as marketers kick

Price
By Solomon Asowata
Lagos, March 18, 2020 (NAN) Mixed reactions on Wednesday trailed the reduction in the pump price of Premium Motor Spirit from N145  to N125 per litre by the Federal Government.
While some Nigerians lauded the reduction, petroleum marketers, however, faulted the government for not engaging stakeholders before announcing the new price regime.
The News Agency of Nigeria (NAN) reports that President Muhammadu Buhari had approved the reduction following the crash in the global crude oil prices.
Mr Adetokunbo Mumuni, Executive Director, Socio-Economic Rights and Accountability Project (SERAP), told NAN that the reduction would bring temporary relief to Nigerians who had been facing myriads of economic challenges.
Mumuni said: “SERAP welcomes the reduction in the price of fuel but we think more can still be done to lessen the pains of our people.
“We all know what Nigerians are facing today due to the harsh situation of the country and we believe government needs to do more to bring succour to the people.”
Mr Wilson Opuwei,  an oil and gas expert, said the government should be commended for the reduction having successfully subsidised fuel when prices were high at the international market.
Opuwei, who is the Chief Executive Officer of Dateline Energy Services Limited, however, said that the government ought to have carried the marketers along before arriving at the decision.
“This kind of reduction comes as a shock to marketers who have already ordered for products but hopefully the government will pay the differentials.
” Also, the marketers should adjust their prices because this is a patriotic decision taken in the overall interest of Nigerians,” he said.
However,  a top marketer who spoke to NAN on condition of anonymity, said the government was not being fair to marketers.
“They have failed to pay marketers subsidy and then this unilateral reduction of price without consultation is not acceptable.
” What happens to all the stock that has been sold to marketers at a higher price? Will government pay the cash difference now?
“Government should be engaging marketers to plan for deregulation and not to set arbitrary prices,” he said.
NAN also reports that the Nigerian National Petroleum Corporation (NNPC)’s official twitter handle said that the new N125 per litre pump price of the Premium Motor Spirit (PMS) petrol, will begin from March 19, 2020.

“In compliance with the directives of the Honourable Minister of State for Petroleum Resources on PMS pricing, the Corporation has reviewed its Ex-coastal, Ex-depot and NNPC Retail pump prices accordingly.

“Effective March 19, 2020, NNPC Ex-Coastal price for PMS has been reviewed downwards from N117.6/litre to N99.44/litre while Ex-Depot price is reduced from N133.28/litre to N113.28/litre.

“These reductions will therefore translate to N125/litre retail pump price,” it said.(NAN)

ASO/VIV/WOJ
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Editing by Vivian Ihechu/Wale Ojetimi
===========================
  • Mar, Wed, 2020
Oil & Gas

Pump price for PMS now N125 per litre-NNPC

– NNPC
BY Edith Ike-Eboh
Abuja, March 18,2020(NAN) The Nigerian National Petroleum Corporation (NNPC) says that the new  N125 pump price of the Premium Motor Spirit (PMS) also known as petrol will take effect from March 19.
NNPC disclosed this on its official twittet handle in Abuja, on Wednesday.

“In compliance with the directives of the Honourable Minister of State for Petroleum Resources on PMS pricing, the Corporation has reviewed its Ex-coastal, Ex-depot and NNPC Retail pump prices accordingly.

“Effective March 19, 2020, NNPC Ex-Coastal price for PMS has been reviewed downwards from N117.6/litre to N99.44/litre while Ex-Depot price is reduced from N133.28/litre to N113.28/litre.

“These reductions will therefore translate to N125/litre retail pump price, it said.(NAN)
ENO/ABI

  • Mar, Wed, 2020
Oil & Gas

FG directs NNPC to reduce pump price of PMS

PMS

BY Edith Ike-Eboh
Abuja, March 18,2020 (NAN) The Federal Government has directed the Nigerian National Petroleum Corporation (NNPC) to reduce the pump price of the Premium Motor Spirit (PMS) also known as petrol to reflect the global oil price changes.

Minister of State for Petroleum Resources, Chief Timipre Sylva disclosed this in a statement in Abuja, on Wednesday.

“The drop in crude oil price has lowered the expected open market price of imported petrol below the official pump price of N145 per litre.

“Therefore, Mr President has approved that Nigerians should benefit from the reduction in the price of PMS which is a direct effect of the crash in global crude oil prices.

“In view of this situation, based on the price modulation template approved in 2015, the federal government is directing the NNPC to reduce the Ex-Coastal and Ex-Depot prices of PMS to reflect current market realities,” he said .

He added the Petroleum Products Pricing Regulatory Agency (PPPRA) shall subsequently issue a monthly guide to NNPC and marketers on the appropriate pricing regime.

“The Agency is further directed to modulate pricing in accordance with prevailing market dynamics and respond appropriately to any further oil market development.

“It is believed that this measure will have  effect on the economy, provide relief to Nigerians and will provide a framework for sustainable supply of PMS to our country,” he added .

He noted that Ministry of Petroleum Resources would continue to encourage the use of Compressed Natural Gas to complement PMS utilisation as transportation fuel.(NAN)
ENO/ABI

Edited by Ali Baba-Inuwa