The execution of Train 7 project of the Nigerian Liquefied Natural Gas (NLNG)will create jobs for our teeming youth, netting up to 12,000 direct jobs at the construction phase and the associated skills acquisition through technology transfer”.
, Speaking at the ongoing 3rd Nigeria International Petroleum Summit (NIPS), on Monday in Abuja, Managing Director of NLNG, Mr Tony Attah revealed that Nigerian vendors are to handle 55 per cent of all procurement for the projecxt. He maintained that “Riding on the back of a robust Nigerian Content plan endorsed by the Nigerian Content Development Monitoring Board (NCDMB), 55 per cent of the Engineering activities for Train 7 will be carried out in-country
“Fifty-five per cent of all procurement for execution of the project will be undertaken by Nigerian vendors.
“100 per cent of the installations and construction will happen in Nigeria and the entire project will attract huge Foreign Direct Investment to the Nigerian economy,” he said.
The event is titled: “Widening the integration circle: Technology, Knowledge, sustainability partnership.’’
Represented by the General Manager Production, Mr Adeleye Falade, Attah listed other benefits of train 7 to include the emergence of upstream and other associated projects that would bolster the economy.
“With conversations like the ones we are having here at NIPS, there is no doubt that we can all build synergies that should propel Nigeria LNG to sustain its winning streak and support the emergence of new LNG suppliers in the country and the continent at large.
“Our motivation to build and operate Train 7 is heightened by the proven success recorded by Nigeria LNG in the past 20 years of operation,’’ he said.
On hazards, he said that at the current state the company had significantly reduced the environmental hazards arising from gas flaring.
“To date, the company has converted about 191.5bcm (billion standard cubic metres) or 6.8cf (trillion cubic feet) of Associated Gas (AG) to Liquefied Natural Gas (LNG) and Natural Gas Liquids (NGLs),’’ he said.
“The addition of Train 7 to our current six-train plant will add another eight million metric tons of LNG to the current sustained 22 million metric tons production capacity of our plant.
“ln the past 20 years, Nigeria LNG has resiliently maintained top rating as a significant player and the 5th major supplier of global LNG with the export of over 4,500 LNG cargoes delivered safely worldwide: a feat that has reduced gas flaring by Upstream Companies from over 60 per cent.
“This is an enviable position for an African country to achieve in the face of our evolving technological advancement on cleaner energy,” he declared
The Board of Directors of SEPLAT has revealed the retirement of Mr. Michel Hochard as a Non-Executive Director of the Company. and resignation from his role as the Chief Executive officer of Maurel & Prom (“M&P”) while announcing the appointment of Mr. Olivier de Langavant as the new Chief Executive Officer of M&P, .and Non-Executive Director of the Company effective January 28, 2020.
The announcement is in accordance with Rule 4 of the Nigerian Stock Exchange Amended Listing Rules and Rule 9.6.11 of the UKLA Listing Rules.
Mr. Langavant now replaces Mr. Hochard as a nominee of M&P on the Board of the Company.
Mr. Hochard who was appointed to the Board of SEPLAT in 2009 as a nominee and the Chief Executive Officer of M&P is believed to have served meritoriously before his retirement..
Mr. Langavant who is presently the Chief Executive Officer of M&P holds an Engineering degree from the National School of Mines of Paris. He has served in various capacities within the Total Group which include: Senior Vice President, Operations in the Netherlands; Deputy Managing Director, Total E&P Angola; Managing Director, Total E&P Myanmar; Managing Director, Total E&P Angola; Senior Vice President, Finance, Economics & Information Systems of Total’s (E&P) branch; and Senior Vice President E&P Strategy, Business Development and R&D.
The SEPLAT Board of Directors is indeed privileged to have him on board and look forward to his immense contribution towards the continued success of the Board and Company.
Seplat Petroleum Development Company Plc, an indigenous oil and gas firm says it will acquire more assets in the exploration and production space as well ensure organic growth.
Chief Executive Officer of the company, Mr. Austin Avuru revealed this at the Nigerian Association of Petroleum Explorationists (NAPE) January Technical/Business Meeting on Mergers, Acquisitions and Divestments in E&P Business held in Lagos on Wednesday, said the development is sequel to the completion of its Eland Oil and Gas Plc’s acquisition deal on December 17, 2019.
He explained that one of Seplat’s key mandate is to leverage opportunities in the oil and gas industry through acquisition of more oil and gas assets.
According to Avuru : “We are delighted to successfully complete the acquisition of Eland, which further enhances Seplat’s footprint in Nigeria and provides opportunities for enhanced scale, diversification and growth. We welcome our new colleagues and Nigerian partners as we look forward to working together in this exciting phase of our development.”
Addressing stakeholders at the NAPE meeting, he said Seplat had positioned itself as an early mover through the acquisition of a 45% operated interest in OMLs 4, 38 and 41 from Shell, Total and Agip in 2010; thus, becoming the first Nigerian independent to acquire a package of oil and gas blocks directly from the Major International Oil Companies (IOCs) as part of a disposal process.
Following this landmark deal in 2010, Seplat further grew its portfolio through the acquisition of a 40% interest in the OPL 283 marginal field area from Pillar Oil. In 2015 acquired further interests in OML 53 and OML 55 from Chevron Nigeria Limited.
Seplat grew production at OMLs 4, 38 & 41 from 14,000bopd as at acquisition to a peak rate of over 84,000bopd.
Avuru explained: “The Company has demonstrated its ability to work its assets and produce its reserves despite external negative factors such as downtime and losses.
“Seplat also began to invest in its gas business in 2010 in response to the Nigerian Government’s initiatives to improve the debilitating impact of poor power generation and supply in the country by opening the Domestic Supply Obligation pricing to market forces.
“We are strategically positioned to access Nigeria’s main demand centers with current well stock delivering around 300MMscfd (Gross).”
Meanwhile the Guest Speaker at the meeting, Mr. Mascot Ogunjemiyo, who highlighted the various merger and acquisition cases in the Nigerian oil and gas industry, said mergers, acquisitions and divestments in the industry were capable of promoting efficiency and further drive growth.
Seplat Petroleum Development Company Plc one of the, leading Nigerian independent oil and gas company listed both on the Nigerian Stock Exchange and London Stock Exchange, recently won the Petroleum Technology Association of Nigeria’s (PETAN) 2019 Local Content Operator Award, the Frontier Energy Independent Player in Africa (Leopard) Award and the Capital Market Correspondents Association of Nigeria (CAMCAN) Most Profitable Company in Oil/Gas on the Nigerian Stock Exchange (NSE) Award for the year.
The PETAN award was presented to the Company at the PETAN Oil Industry Achievement Award dinner held in Lagos. The Award Ceremony had in attendance leading Nigerian oil services companies, international oil companies (IOCs) and their senior executives, policy makers in government and top political leaders, the media, amongst others.
The Operations Director, Seplat Petroleum, Mr. Effiong Okon, who received the award on behalf of the Company, commended the organisers for the recognition and pledged the Company’s strict adherence to global best practices and effective stakeholder engagement.
Also, at the Geological Society in London, Frontier Energy presented Seplat with the “Leopard” Award as the Independent Player in Africa of the Year, which is part of the Big Five Board Awards 2019 ceremony. As part of the rationale for the award, Frontier Energy noted that 2019 has been a year demonstrating the strength of the company, led by top-class CEO, Mr. Austin Avuru.
Frontier Energy noted that in a climate of fluctuating prices, Seplat has been able to improve the quality of its balance sheet, make new acquisitions and the ongoing development of the Assa North and Ohaji South (ANOH) gas field is a highlight. Other finalists included Eland Oil & Gas, Lekoil, Far Limited, Chariot Oil & Gas and Africa Energy Corporation. Awarded since 1997 and with over 100 recipients to date, the Big Five Board Awards honour excellence in Africa’s oil and gas game.
In the same vein, the CAMCAN Nigerian Capital Market Performance Awards was aimed at recognising companies that recorded significant feats on the platform of the Nigerian stock Exchange for 2018 was also bestowed on Seplat.
The company also won the Best Indigenous Exhibitor Award at the just concluded 37th Nigerian Association of Petroleum Explorationists (NAPE)’s Annual International Conference and Exhibition held in Lagos.
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Seplat Petroleum Development Company Plc, leading Nigerian independent oil and gas company listed both on the Nigerian Stock Exchange and London Stock Exchange, emerged the overall winner of the 2019 Pearl Awards, clinching four awards, which is designed to celebrate excellence and its leadership in the Nigerian capital market.
The company also won the Best Indigenous Exhibitor award at the just concluded 37th Nigerian Association of Petroleum Explorationists (NAPE)’s Annual International Conference and Exhibition held in Lagos.
At the PEARL Awards which was attended by regulators, leaders and key stakeholders in the capital market, Seplat achieved the feat of emerging the “PEARL” back-to-back (2018 and 2019), which was a notable feat.
The award was presented to the Seplat’s management by the Chairman of the Board of the Securities and Exchange Commission, (SEC), Mr. Olufemi Lijadu, and Ms Mary Uduk, the Acting Director-General of SEC, supported by Dr Farouk Umar, Chairman of the PEARL Awards Board.
Apart from winning the overall PEARL Awards for 2019, SEPLAT also clinched three (3) other awards: Sectoral Awards for the Oil and Gas Segment, Highest Net Ratio Award; and its Chief Executive Officer, Mr. Austin avuru emerging as the CEO of the Year.
Dr. Umar, the Chairman of the Board of Pearl Awards, in his address, pointed out that the awards was an avenue for encouraging development of the capital market, and praised the Federal Government for supporting the market.
The President of Pearl Awards, Mr. Tayo Orekoya, speaking on the theme of the 2019 edition: “Celebrating Sustainable Leadership & Resilience” said the event was recognising leaders who represent beacons of hope for the capital market.
Orekoya said that on the threshold of a quarter of a century celebrations, PEARL awards has recognised and rewarded over 85 quoted Nigerian companies for outstanding operational and stock performance with eighteen (18) emerging as the overall highest awards winners of the stock market at different times.
He said: “The PEARL Awards remains the only awards in Nigeria that rewards outstanding performance of quoted companies in the Nigerian capital market based on verifiable facts and figures.
The Acting Director-General of the Securities and Exchange Commission, Ms Uduk commended the PEARL Awards team for its legacy of driving excellence and competitiveness in the capital market.
She assured stakeholders of the continued support of the Apex regulator for efforts towards rewarding hardwork, dedication, ingenuity and excellence in the capital market.
Mr. Lijadu, Chairman of the Board of SEC Nigeria, commended Seplat for its strict adherence to good corporate governance ethos, while thanking PEARL Award for evolving for over two decades and remaining consistent in its drive to support the growth of the capital market.
The management of Seplat thanked the organisers of PEARL Awards and NAPE for the recognition and expressed the company’s commitment to global best practices in the oil and gas sector.
Seplat Petroleum Development Company PLC (“SEPLAT”) has announced that her pioneer Managing Director and later CEO, Mr. Austin Avuru will be retiring in July 2020 after 10 years of leading the company.
In these 10 years, Mr. Avuru led the development of a strong organization, the deployment of agile systems, processes and stakeholder relationships that allowed the organization to grow rapidly from a gross production of 22,700boepd as at December 2010 to peaks of 111,368boepd gross production as at December 2018 through major drilling campaigns and major new Oil and Gas plants development.
The acquisition of 45% of OML 53, post Company’s IPO of 2014, created an opportunity in partnership with NNPC, to spawn a mid-stream subsidiary, ANOH Gas Processing Company Ltd currently progressing what will ultimately be a 300MMscf/d of Gas, 22,500bdp of condensate and 1,200boepd of LPG processing Company. All these could not have been achieved without Mr. Avuru’s leadership skills, personal dedication and hard work, at the head of the Company.
The Board of SEPLAT is grateful to Mr. Avuru for these accomplishments and is looking forward to his continued service at the Board level.
Looking forward, Seplat plans to position itself for a next phase growth ambition which would see the expansion of its footprint in terms of energy business activities, a plan to pursue offshore assets as well as opportunity driven entry into different geographies. The Company believes that such a corporate transition would require a different kind of organizational structure, people skills set and mentality to compete well in the expanded space. In view of this, Seplat will be reviewing its current organizational and systems structure.
To lead the Company in her latest aspirations, the Board has selected Mr. Roger Brown as the successor to Mr. Avuru as CEO, when Mr. Avuru steps down on 31 July 2020. The Board also decided that the CEO designate will lead the restructuring during the Transition period between now and final exit date of Mr. Avuru on 31 July 2020.
Mr. Brown joined SEPLAT in 2013 as the CFO and played a key role in the successful dual listing of the Company in 2014. Similarly, since joining the Company, he has played significant roles in various asset acquisitions by the Company.
Mr. Brown brings to the CEO role, a deep knowledge of the Company in his 6 years as the CFO and a member of the Board. He has strong financial, commercial and M&A experience as well as proven people skills which will be an asset as the Company embarks on the next phase of its growth plan.
Prior to joining SEPLAT, Mr. Brown was an advisor to the Company since 2010 while he was the Managing Director and head of EMEA Oil and Gas at Standard Bank Group. During his time at the bank, he was instrumental in providing advice and deploying capital across the African continent in the Oil & Gas, Power & Infrastructure and the renewable energy sectors.
While we thank Mr. Avuru for a meritorious service, we welcome Mr. Brown and wish him every success in his upcoming new role.
By Andy Nssien
Respite may soon come the way of commuters at the Ijegun-Egba axis of Lagos State following a move by the Nigerian National Petroleum Corporation (NNPC) to partner with the Lagos State Government, depot owners and petroleum tanker drivers to address infrastructural challenges that have perennially hampered products evacuation from the area.
This was disclosed by the Group Managing Director of the corporation, Mallam Mele Kyari, during separate visits to tank farms at the Ijegun-Egba corridor as well as the Lagos State Government House in Ikeja, Lagos,
He said as an enabler organisation to the Nigerian economy which also guarantees national energy security, the NNPC would continue to partner with stakeholders such as the Lagos Government, to sustain the current seamless supply and distribution of products nationwide, going into the Yuletide period.
“As a responsible corporate citizen, NNPC and its partners in the Downstream have made adequate preparations and our plan is robust and we foresee a very hitch-free Christmas full of products, well into the new year’’, Kyari assured.
While addressing tank farms operators at the Ijegun-Egba area, Kyari lauded their initiative to pull resources together to fix the Ijegun Road leading to the tank farms to ease movement of trucks in the area.
Mallam Kyari said although it was a palliative arrangement, the NNPC and its stakeholders would put heads together to provide a permanent solution to the problems.
Reacting to the GMD’s visit, Governor Babajide Sanwolu expressed his support to NNPC and its stakeholders’ initiative to tackle the infrastructure challenges not only at the Ijegun-Egba, but the entire state, adding that his administration would leave no stone unturned in tackling the challenges.
“This is the first time all the stakeholders are coming together to have a long-term view of the situation. We will do everything that is required to ensure that everything goes well on that entire corridor,” Governor Sanwolu assured.
Also speaking, Chairman, House Committee on Petroleum (Downstream), Hon. Abdullahi Mahmud Gaya, expressed the National Assembly’s support to the initiative.
At the palace of the Oba of Lagos, His Royal Majesty Oba Rilwan Akiolu I, called on International Oil Companies (IOCs) operating in the Country to do more Corporate Social Responsibility (CSR) activities in their areas of operations.
Other stakeholders on the GMD’s entourage were the National President of the National Union of Petroleum and Natural Gas Workers (NUPENG), Comrade Williams Akporeha and the Chairman, Petroleum Tanker Drivers (PTD) Unit of NUPENG, Comrade Salimon Oladiti.
Total Nigeria Plc will optimise the vast potential of its solar business in Nigeria to drive its growth and sustain improved returns to shareholders.
At the annual general meeting yesterday in Lagos, Chairman, Total Nigeria Plc, Stanislas Mittelman, said the company will use solar power to power its 60 stations in order to ensure stability of import, logistics optimisation and maximisation of its solar business.
He said the company has signed a 15-year power purchase agreement with a manufacturing company in Ogun State to provide 999k wp solar hybrid solution.
According to him, with a combined capacity of 1MW and production of more than 1 gigawatt hour of clean electricity, the company recognises the potential of solar, hence its programme of powering its stations which have been equipped with solar to supply electricity.
“We remain a brand of reference and leading energy solutions provider and we are confident that the company will continue to grow and even though the working capital reduced this year, we still remain conscious of our role in the Nigerian economy with the support of our stakeholders and shareholders and we expect to consolidate on our past achievements and deliver value to our shareholders as we are well positioned to overcome the challenges of the business environment in 2019,” Mittelman said.
Shareholders commended the performance of the company while unanimously approving distribution of N4.75 billion or N14 per share as final cash dividend for the 2018 business year. It had earlier paid N1.02 or N3 as interim dividend, bringing total dividend for the 2018 business year to N5.77 billion or N17 per share.
Key extracts of the audited report and accounts for the year ended December 31, 2018 showed that turnover increased from N288 billion in 2017 to N307 billion in 2018. Profit before tax rose to N12.09 billion as against N11.79 billion in 2017. Profit after tax dipped slightly to N7.96 billion in 2018 compared with N8.01 billion in 2017.
Founder, Independent Shareholders Association of Nigeria (ISAN), Sunny Nwosu, commended the company for its improved performance.
President, Pragmatic Shareholders Association of Nigeria (PSAN), Bisi Bakare noted that while there was room for improvement in the company’s performance, the payment of dividend resonated with the investors friendly policy of the company.
The Nigerian National Petroleum Corporation (NNPC) has warned stakeholders in the downstream oil sector not to do anything that could undermine the seamless supply and distribution of petroleum products that currently prevails across the country.
The Group Managing Director, NNPC, Dr. Maikanti Baru, who made this plea at the launching of Petroleum Products Pipeline Marketing Company (PPPMC) Business Automation with SAP Modules and Web-Based Customer Express in Abuja yesterday said Nigerians must not be subjected to any form of stress in products supply and distribution.
PPMC is a downstream subsidiary of the NNPC.
Referring to the recent incident that occurred in Calabar Depot which led to the disruption of products loading and the consequent hiccup in products supply in Cross River State for three days before normalcy was restored, Baru appealed to stakeholders, especially the Independent Petroleum Marketers Association of Nigeria (IPMAN), and the Petroleum Tanker Drivers (PTD) to resolve their differences in the interest of the citizens of this country.
The NNPC, in a statement, quoted Baru as saying: “We have stability in fuel supply, the citizens should not be punished by unions who are supposed to make life better and comfortable for their members.”