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Join the Nigerian Gas Association Study Groups 2023-2025

Executive Secretary, Nigeria Gas Association.

This is a call to join the 2023 – 2025 NGA Study Groups.

In the last 24 years since its establishment, the NGA has worked hard to promote the development of the Nigeria gas industry, but at no time has it been more imperative or critical for the Association to promote a way forward to making gas the energy source of the future for Nigeria as well as a pivot for the ramping up of economic activities than the present.

It is at this crucial time that we are calling on all Members to pool our collective talents in researching and uncovering the most viable mode of developing the nation’s vast and untapped gas resources for domestic utilization by joining one or more of the NGA Study Groups to chart a way forward, especially during Nigeria’s Decade of Gas.

The NGA currently has six (6) study groups as follows:

  1. SG1 – Network Code & Infrastructure
    2. SG2 – Gas to Power Value Chain
    3. SG3 – Legal, Regulatory & Policy Frameworks
    4. SG4 – Standards & HSE
    5. SG5 – Energy Transition
    6. SG6 – Diversity, Equality & Inclusion

Membership of one or more Study Group(s) is open to all Members of the NGA. We encourage individual members to indicate which Study Group(s) they wish to join and contribute to based on their area of expertise.

Involvement in these Study Group(s) will give Members enormous benefits including the opportunity to contribute to national development as the Association has the ears of the Federal Executive and Legislature to present relevant position papers that will form inputs to policy and legislation.

Participation in the Study Groups will engender self-development in members while giving them access to sharing knowledge with other Subject Matter Experts.

Finally it will also give Members exposure nationally and internationally as the Study Group reports will be shared with the NGA Stakeholders and the International Gas Union (IGU) which is the global umbrella body for national gas associations.

All nominations/applications must be received by December 31 2023.
All nominations should be made using the online nomination/application form here.

Alternatively, copy the URL below and paste in your browser to access the nomination/application form:
https://zfrmz.com/3dsgZ4pHP5CAyle782Sv

You can also access the form by scanning the QR code below using any smart mobile device.

Please note that the Titles and Terms of Reference for each Study Group are subject to Change without notice, as approved by the NGA Executive Council from time to time.

 

  • Assist NGA to drive studies, and advocacy with Government / Public / Private Stakeholders, for the completion, implementation and functionality of the Nigerian Gas Transportation Network Code.
  • Investigate, collate data and determine state of current gas transmission pipeline network in the country.
  • Investigate and forecast future gas transmission and distribution pipeline infrastructure requirements in the country.
  • Investigate / study to determine available & optimal technologies to enhance cost effective and efficient gas pipeline infrastructure projects in Nigeria.
  • Investigate / study / develop / propose effective strategies and technologies to minimise (or eliminate) pipeline vandalism in Nigeria.
  • Investigate and collate data of current road infrastructure for transportation and distribution of gas for domestic (household), commercial (SMEs) and vehicular fueling use in Nigeria. Identify challenges / gaps in existing road infrastructure and proffer solutions.
  • Determine number and state of existing trucks for road transportation of gas vis-à-vis minimum standard required for effectiveness, efficiency and safe. Investigate alternative modes of gas transportation for domestic and commercial purposes in Nigeria (e.g., ships, railcars, etc).
  • Develop generic model as a tool for the evaluation of pipeline and other gas infrastructure projects.

Investigate and propose commercial structure / funding options for optimal development of proposed future pipeline infrastructure.

  • Assist NGA create a beneficial relationship with the Nigeria Electricity (Power) Supply Industry. Establish collaboration between Gas Stakeholders and Power Stakeholders towards enhancing the Gas-to-Power Value Chain. Carry out joint industry studies / reviews with a view to proffering solutions to advance the Nigerian economy.
  • Investigate and collate data of current utilisation of gas for industrial and power generation purposes in Nigeria.
  • Investigate actual current supply versus demand of gas in the country for industrial and power generation purposes. Identify gaps, determine reasons for gaps and proffer solutions.
  • Investigate and forecast future demand / requirements for gas for industrial and power generation purposes in the country.
  • Carry out joint studies with relevant academic institutions and professional bodies in Nigeria to develop indigenous business and technological models to enhance cost effective gas production projects to meet future demand for industrial and power generation purposes in Nigeria.
  • Determine ways to make gas (NG, LNG, NGL, LPG, CNG, etc.) the preferred choice of fuel for industrial and power generation in Nigeria.
  • Develop generic model as a tool for the evaluation of gas-to-power value chain.
  • Investigate and propose commercial structures / funding options for optimal development of future gas projects for industrial and power generation.
  • Study current legal framework for gas contracts in Nigeria vis-à-vis global standards / best practices. Proffer solutions to close gaps if any.
  • Study / review current and/or proposed gas fiscal policies / legislation in Nigeria vis-à-vis global standards to determine its impact on investors and investments. Propose fiscal policies / legislations to create incentives for investors.
  • Investigate business and technological models that will reduce cost of investments in gas projects and operations (capital and operating costs).
  • Investigate (via joint studies) other ways to make the economics of gas investments in Nigeria attractive to investors.

  • Synergise with SON, NUPRC, NMDPRA and other relevant national and international bodies to develop and enforce relevant Standards and Codes for the Nigeria Gas Industry.
  • Develop HSE Guides for the Gas Value Chain in Nigeria (especially for the downstream).
  • Develop Technical (e.g., operational and maintenance) and Non-Technical (e.g., marketing and commercial) Guides for the Gas Value Chain in Nigeria to enhance best practice / safety.
  • Follow-up on gas Health, Safety and Environmental (HSE) incidences across the globe with a view to obtain and disseminate relevant lessons learnt to gas plants / facilities operators & regulators in Nigeria.
  • Investigate / carry out relevant joint studies (with academia, other professional bodies, etc) for optimal / indigenous technologies and business models to minimise HSE incidences in gas facilities in Nigeria.
  • Collate data of actual gas flared in the country and investigate Health, Safety & Environmental impacts on people and assets. Determine economic consequences / opportunity cost of these flared gases.

  • Assess the impact of global Energy Transition on the Nigerian Gas Value Chain.
  • Assess the input of Nigeria’s Energy Transition agenda on the Gas Industry Value Chain.
  • Identify relevant government and non-government organisations and authorities responsible for Energy Transition for collaboration and partnership.
  • Assess the merits of including hydrogen and other related energy gases within the advocacy interest of NGA.
  • Recommend NGA policy direction with respect to Energy Transition and net zero goals, both local and global.
  • Investigate the alignment and positioning of natural gas within low carbon Energy Transition frameworks.
  • Any other related task(s) that may be assigned by the Study Group Coordinating Chair and/or the NGA Council.

  • Investigate the current state of DEI in the energy industry, including an analysis of the representation of women in the workforce, leadership positions, and boardrooms, as well as the policies and practices that organisations have in place to promote DEI.
  • Assess the role of women in the industry, including participation of women in technical and non-technical roles, and the impact of funding and technology on women’s participation in the industry.
  • Identify and analyse relevant data and information on the current state of women inclusion and advancement in the gas industry value chain.
  • Assess the opportunities for women in gas industry value chain, including upstream, midstream, downstream and power with a specific focus on clean energy.
  • Access the industry’s gender inclusive policies and practices to promote equal opportunities for women in the Gas industry.
  • Identify financial platforms that provides financial support for women to finance for clean energy projects and businesses.
  • Identify the challenges faced by women in the industry and recommend strategies to overcome them.
  • Identify platforms for networking, mentorship, and career development for women in the gas industry value chain.
  • Help women to develop and build leadership skills and competencies required to grow within the Gas industry.
  • Any other related task(s) that may be assigned by the study group coordinating Chair and/or the NGA Council.

All nominations/applications must be received by December 31 2023.

Sincerely,
Taji Ogbe, PMP
Executive Secretary, Nigerian Gas Association
+234 802 339 8312
es@nigeriangasassociation.org.ng

 

 

 

 

 

Nigerian Gas Association RC 365,662
Secretariat:
Block 98, Plot 3A,
Mike Adegbite Avenue,
Lekki Phase 1, Lagos, Nigeria.
www.nigeriangasassociation.org.ng
info@nigeriangasassociation.org.ng


Partner Content/Billion Dollar Projects on Showcase Are A Huge Draw For SAIPEC 2024

A host of organisations from across the industry have confirmed their support and participation for the 8th Sub Saharan Africa International Petroleum Exhibition and Conference, hosted by the leading association in Africa, the Petroleum Technology Association of Nigeria (PETAN), 2024 taking place in Lagos this February.

Coleman Wires and Cables will be Gold Sponsor to the event as well as exhibiting as part of the international SAIPEC exhibition. It is joined by Calaya Engineering Services Limited as Silver Sponsor to the event as well as Bronze – GGI International Nigeria Limited, FloSmart Energy Services Limited, and Petrolog Group. We also welcome Associate Sponsors and exhibitors, First Marine and Engineering Services Limited and Geoplex.

They join a growing list of international leading industry players participating in the 2024 programme, all looking to be part of the vast array of projects showcased from heads of NOCs and governments across Sub Saharan Africa

Hosted with the strategic partnership of the Nigerian Content Development and Monitoring Board (NCDMB), SAIPEC is a multilateral platform showcasing Sub Saharan Africa’s energy potentials and project opportunities.

It plays a key role in charting the pathway to developing the continent’s untapped energy, oil, and gas resources, representing more than 20 NOCs, governments, and regulators, with over 6,000 attendees drawn from over 50 countries.

SAIPEC brings huge opportunities for engagement and collaborations and to identify the opportunities that will develop Africa’s oil, gas and energy industry.

Discover Sponsorship Opportunities
Align your brand with one of SAIPEC’s many unique experiences, services and exclusive hospitality offerings and underline your support for the industry and significance within its network.

From networking and VIP services to lunches and refreshments, the SAIPEC 2024 programme partnership options combine industry-wide recognition with a range of individual benefits. Click to view the highlights from SAIPEC 2023 to experience how your organisation can be positioned centre stage in front of Africa’s stakeholders.

Visit the special features sponsorship page to discover the most recent list of available packages on offer, or contact the team today to find out more information.

 

 

CONTACT US
Discover more about the complete 2024 programme, sponsorship and participation options or book your place on the 8th SAIPEC exhibition floor. Special rates are available for PETAN members

 


GE Vernova’s Hydro Power Business Commissions Four 175 MW Units for Nigeria’s Second Largest Hydropower Plant

PARTNER CONTENT

GE Vernova’s Hydro Power business has completed the commissioning of the 4 (four) 175 MW Francis hydropower turbines and generators at the Zungeru project in Nigeria, now in commercial operation.

The 700 MW Zungeru project is the second largest hydropower plant in Nigeria. It is ocated on the Kadina River in Niger State. The site will also help in controlling floods and support irrigation for the region.

GE Vernova was selected by the EPC (Engineering, Procurement, and Construction) company China National Electrical Equipment Corporation (CNEEC) to design, supply, supervise installation and commission the four hydropower units.

Brian Selby, Hydropower Asia Leader, GE Vernova, said the company is “happy to help take advantage of the country’s water reserves to meet its increasing demand for sustainable, reliable, and efficient power. This project will have a wide-reaching impact on the country’s energy landscape.”

The Zungeru project received investment support from Export-Import Bank (Exim Bank) of China.

According to the International Hydropower Association (IHA), the total exploitable potential of hydropower in Nigeria is estimated at over 14 GW and hydropower remains essential to help accelerate the energy transition.

GE Vernova has been collaborating with energy stakeholders to deploy innovative technologies tailored to respond to the needs of the Sub-Saharan Africa region since the 1950s. GE Vernova delivers across the entire energy ecosystem from generation to transmission and distribution and has been operating in Nigeria for almost 50 years.

 


Fuel for Thought: Liquefied Petroleum Gas

PARTNER CONTENT

By: Gorgui Ndoye

The past several years have shown that a range of fuel options for power generation is an important hedge against instability. Fuel flexibility is a hallmark of Capstone microturbines, which can run off a variety of sources, from natural gas and propane to methane, hydrogen, and more.

Today we’re spotlighting liquefied petroleum gas (LPG), a widely available fuel that is an excellent alternative to diesel and other expensive, “dirty” fuels. This primer explains the types of commercially available LPG and how they can integrate into Capstone microturbine systems.

What is LPG?

Using LPG in Microturbines

LPG is a mixture of propane (C3), butane (C4), and small quantities of various other hydrocarbons, such as propylene and butylene.

LPG is transferred and stored as a pressurized liquid; however, its boiling point is such that it evaporates easily under ambient temperature and pressure. The molecular composition of LPG determines the dew point, heating value, density, and many other properties, as well as the percentage of contaminants. These values determine whether a fuel can be used in an engine or turbine. For this reason, it is important to know the composition of the LPG before designing the fuel delivery system. Because the LPG composition can vary significantly between fuel types, Capstone enhanced the fuel capabilities of the C200 and C1000 series microturbines to use a variety of LPG.

The four most common commercially available types of LPG are Special Duty Propane (HD-5), Commercial Propane (HD-10), Propane-Butane Mixtures (PB Mix), and Commercial Butane. LPG can also be mixed with conditioned air to make an LPG/Air Mixture. The addition of air may alter the overall fuel properties to a more desirable level for operation. Capstone’s microturbines can run using HD-5, PB Mix, or LPG/Air Mixtures.

When comparing LPG to Natural Gas (NG), it’s important to note the heating value difference. NG has an average heating value of 1,000 Btu/scf. SD-5 is roughly 2,500 Btu/scf, and Commercial Butane is over 3,000 Btu/scf. Therefore, the heating value of LPG is 2.5 to 3 times greater than NG. So, LPG requires much lower volumetric flow rate to achieve the same engine output. LPG is also stored as a liquid, which compresses the fuel volume 250:1—without costly cryogenics required by LNG. These factors offer a small footprint for LPG compared to NG’s need for pipelines and large infrastructure, and LPG can be transported easily and stored in tanks, making it a good diesel replacement.

Using LPG in Microturbines

  1. Special Duty Propane

Special Duty, or HD-5, Propane is defined as greater than 90% propane and less than 5% propylene. This grade is ideal for all types of engines and turbines due to the burn’s cleanliness and the low level of contaminants relative to diesel.

All Capstone microturbines have a version that can operate using HD-5 Propane.

  1. Propane-Butane Mixtures.

Twenty-three Capstone C65 microturbines provide prime power to Southern California Edison’s Avalon site on Catalina Island

Propane-Butane Mixtures,  or PB Mix, have no standard specification for their compositions and can be a problem for gaseous fuel operation due to the low dew point of butane. The higher the concentration of butane, the lower the dew point falls, and the more heat tracing and insulation needed with the fuel delivery system. This causes a higher risk of fuel condensation, which may lead to engine problems. The LPG-capable C200 and C1000 series microturbines were designed with a versatile fuel system. This includes internal heat tracing and fuel line insulation, which reduce the risk of condensing vapor from heavier fuels. The goal of the heat tracing and insulation is to maintain the supplied inlet fuel temperature without needing to increase the fuel temperature or vaporize condensed liquids.

The LPG-capable C200 and C1000 microturbines are approved to operate using a Propane-Butane Mixture of up to 40% butane. This does not mean that PB Mixtures containing greater than 40% butane are disqualified. Capstone applies the same limitations towards propylene, limited to less than 5%, as well as all other contaminants listed in the Special Duty Propane specification.

  1. LPG/Air Mixtures

Certain LPG types that are not suitable for microturbines may be approved when mixed with air. Alternatively, the mixture may attempt to match the properties of a more standard fuel, such as NG. LPG/Air mixtures are not standard and may require complex fuel delivery systems. The approval of these fuel types depends on review of the fuel properties and composition. Detailed analysis would be needed to determine feasibility for use in microturbines.

  1. Real-World Application

In March 2023, a 600 kW, C600S, LPG-fueled system was commissioned at a remote food processing facility in Bamako, Mali. Like many land-locked countries, Mali relies on expensive, “dirty” fuels like diesel and heavy fuel oil, so this project was important in demonstrating the benefits of a system whose fuel is less expensive and more environmental.

The new system also improves reliability, which addresses issues of load shedding and blackouts the facility had previously experienced. Because the microturbines also require very little maintenance compared to other technologies like diesel generators, power availability and cost savings were also improved.

Twenty-three Capstone C65 microturbines provide prime power to Southern California Edison’s Avalon site on Catalina Island

“The Mali project is a model for other customers and power companies, showing the benefits of LPG as an alternative fuel,” said Gorgui Ndoye, business development director for Capstone Green Energy. “There is tremendous opportunity to use LPG in many regions around the globe, but it can play an especially important role in Africa as part of the continent’s energy transition.”

Better for Business and the Environment.

It’s difficult to underestimate the positive impact that added reliability and cost savings have on the bottom line. Often, the combination of LPG and microturbines offers significant upside—including cleaner fuel and lower emissions. What’s more, once a customer decides to go with Capstone, we can fast-track and deploy nearly anywhere within three months of order.

The world’s energy landscape won’t become more predictable. Smart power security decisions made today will set businesses up to confidently navigate the future. An LPG-fueled microturbine system could be the answer.

Contact:

rentals@CGRNenergy.com


Austin Avuru’s Books Back on Sale After Vacation of Court Orders

PARTNER CONTENT

Austin Avuru’s books are now available for purchase following the vacation of court orders issued by Nigeria’s Federal High courts in Abuja and Lagos.

The Abuja court issued the injunction in July 2022 following a motion exparte filed by Tochukwu Peter Tochukwu, Esq but moved by Nsikan Samuel Ekpeyong Esq with motion No. M/9442/2022 dated 26th Day of July 2002 at an Abuja High Court presided over by Justice SB Belgore.

The injunction was issued days to the scheduled public presentation of the books – My Entrepreneurship Journey and Politics, Economics and the Nigerian Petroleum Industry all by written by Austin Avuru – Founding CEO, Seplat Energy. The third book, Austin Avuru: A Safe Pair of Hands is a biography of the mercurial and methodical oil man written by the duo of Peju Akande and Toni Kan.

Avuru had informed his invited guests of the suspension of the event and sale of the books via an e-message personally signed by him: “this event has been suspended by an Abuja High Court Injunction. Our lawyers are at work and, when we are permitted, we shall re-assemble at a later date.”

The retirement party and book presentation event had been scheduled for the 4th of August, 2022 at the Eko Hotels and Suites Victoria Island.

The court order had, among other prayers, restrained “the defendants, their privies, assigns, agents and howsoever described from proceeding to temper with the res – by taking any step geared at releasing or public presentation of  the book titled  or any other book(s) or any other venue pending the hearing and determination of the motion on notice.”

With the vacation of both injunctions, the reading public and friends of the author can now purchase copies of the books – My Entrepreneurship Journey, A Safe Pair of Hands and Politics, Economics and the Nigerian Petroleum Industry – from leading bookshops like Jazzhole, Terra Kulture, Quintessence, Glendora, Roving Heights, Spine and Label, Patabah etc as well as via amazon.com.

The books provide incisive and unique insights into the Nigerian oil and gas industry with special emphasis on the emergence of indigenous oil and gas players as well as Avuru’s place in the mix as founding partner and pioneer CEO of Seplat Energy Plc, a Nigerian and African success story that is listed both on the Nigeria and London Stock Exchange.

Geologist and publisher, Toyin Akinosho described My Entrepreneurship Journey as “a narrative on how to build, grow and sustain an upstream oil company” and “a masterpiece of economic and business analysis,” while A Safe Pair of Hands has been described as telling “a compelling story of excellence, resilience, doggedness and that unique can-do Nigerian Spirit,” and a “must-read for anyone who believes in potential.”

The third book, Politics, Economics and the Nigerian Petroleum Industry, is made up of 74 essays written and published between 1991 and 2022, in which Austin Avuru, “oil man, corporate mandarin and public intellectual shows by the example of thriving companies he has founded, nurtured and built into successful enterprises that his theories for creating value and building generational and sustainable wealth are more than just talk but well thought-out processes anchored in cleared-eyed analysis.  In the book, Avuru provides clear insights that should guide policy and decision making at the highest levels.”

 


‘World’s Largest Electric Crane Now Being Built’

PARTNER CONTENT

Mammoet, the lifting equipment supplier, says it is investing in an additional 6,000Tonne capacity ring crane to serve growing energy markets

“The first parts of the new 6,000 Tonne ring crane will soon be delivered to Mammoet’s engineering nerve center in The Netherlands”, the company says in a release.

“In the months ahead, fabrication and production will continue as it is being readied for its very first project, with delivery scheduled in 2024. It becomes the world’s highest capacity land-based crane, and can be fully operated using electric power, allowing clients to execute projects in a sustainable way.

“The introduction of this 6,000 Tonne ring crane sets a new standard in worldwide heavy lifting capacity and allows customers to construct heavier and larger components than ever before. With its unrivaled outreach, hook height and lifting capacity, it offers a carbon-free lifting solution that others simply cannot match.

“The new ring crane, named SK6000, shares the same engineering DNA as its predecessor, the SK350. By employing similar design principles and lifting techniques, it provides customers with continuity and peace of mind. Much of the crane’s technology has been working successfully – and safely – on project sites around the globe for many years.

“Like earlier models, the SK6000 is containerized, enabling swift mobilization and on-site assembly, providing ultra-heavy lift capacity wherever it is needed. It has been designed with next generation offshore wind farms in mind and will serve all global energy markets where additional lifting capacity is needed – both onshore and at se

“As offshore wind components grow in scale and in weight, more lift capacity is needed. The SK6000 delivers this capacity and unlocks a major design constraint. Our latest innovation will enable customers to integrate higher and bigger turbines, and launch heavier foundations, be they fixed or floating.

 

“In the conventional energy sector, the SK6000 allows offshore and floating production projects to reduce integration time by building even larger topside modules. On land, it helps refineries to reduce downtime by removing and installing larger components with minimum disruption”.


Welltec A/S Acquires Autentik, a Specialist in Wireline Fishing

PARTNER CONTENT

Welltec A/S, the Denmark headquartered Completion and Intervention service provider, has acquired Autentik AS, a niche technology provider specializing in electric wireline fishing and intervention solutions. The acquisition is a strategic move by Welltec to expand its downhole well access capabilities and enhance its overall service offerings.

“Autentik has a proven track record of delivering innovative solutions to its clients across North America, Europe, Africa, and the Middle East, and its expertise – particularly in the downhole fishing domain – will greatly complement Welltec’s existing portfolio”, Welltec says in a release.

“With this acquisition, Welltec will be better positioned to serve its clients with the latest surface-controlled technology advancements and solutions”, the company explains.

The current portfolio of services under Autentik already integrates seamlessly with Welltec’s unique solutions – together with Welltec’s manufacturing capabilities, the acquisition will bring an accelerated technology shift in how to conduct well access operations, safely and efficiently.

“We are excited to welcome Autentik into the Welltec family,” says Tommy Eikeland, CCO Welltec. “There is a mutual admiration for innovation and understanding of risk-taking which, to a certain level, is required when developing new technology.  We have only respect for the work done to build the company from the ground up.  Together with their interventions expertise, this will add tremendous value and momentum to our organization and enhance our ability to provide our clients with cutting-edge solutions.  We have already performed several jobs together and the advantages we can bring are evident.  We look forward to working together to drive further growth and innovation in our industry.”


The Petroleum Club of Lagos Engages the Industry Regulator

PARTNER CONTENT

By Stephen Kolawole Balogun

Leading stakeholders in Nigeria’s  oil and gas sector met at the First Quarter 2023 Business Dinner of the Petroleum Club held at the Civic Centre, Ozumba Mbadiwe Avenue, Victoria Island, Lagos on Thursday 16th February, 2023.

The business dinner, sponsored by ND Western, deliberated upon major issues of concern in the oil patch. The evening was hosted by Sola Adepetun, a prominent oil and gas lawyer and Partner in ACAS Denton Law, who is also a member of the Club’s Board of Governors.

Komolafe engages in a banter with the Chairman of the Petroleum Club Austin Avuru far left, Abdurazaq Isa, Chair of the Independent Producers Group, second right and Tony Attah, fomer CEO Nigeria LNG Ltd

Austin Avuru, Chairman of the Petroleum Club, highlighted some of the industry’s major challenges in his welcome address. First, he argued that the blame on oil theft as a causative factor in Nigeria’s dwindling daily oil production was extremely exaggerated. Second, he called for a greater degree of transparency and better accounting techniques to assess the true extent of oil theft, “because the figures don’t quite add up”. He touched upon the need for better management, and administrative framework covering the industry as a whole. He also expressed concern at the ongoing exchange of batons and transition between oil majors exiting the upstream oil sector here in Nigeria and the indigenous companies taking over their assets, stressing that the whole process needed to be streamlined and made less complicated. Avuru expressed the hope that Nigeria would, by 2024, become engaged in crude oil refining at a significant daily level of capacity.

Immediately following the Chairman’s welcoming address, the Guest Speaker for the evening, Gbenga Komolafe, the Commission Chief Executive of Nigerian Upstream Petroleum Regulatory Commission (NUPRC) was introduced by the host to all members and guests present. After a brief citation of his credentials, Mr. Komolafe presented a paper titled: “Nigerian Upstream Petroleum Sector: Value Optimization Energy Transition and Regulatory Perspectives”. He subdivided his paper into the following areas of interest

Irewole John, of SAPETRO, makes a point during the Q&A

(1) Key regulatory areas

• Increasing Nigeria’s Oil and Gas Reserves and Production.
• Developing a transparent approach to hydrocarbon accounting.
• Attaining operational efficiency and effectiveness in our operations.
• Achieving peace and harmony in the host community environment.
• Reducing unit operating cost.
• Creating sanity and predictability.

• Reducing in carbon footprint and the attainment of net zero global emissions target.

(2) Oil and Gas Production Growth Potential

• Data collection and validation for shut-in wells

A very hearty exchange…Gbenga Komolafe, incumbent regulator, right, with Osten Olorunsola, former Director Department of Petroleum Resources

• Evaluating surface and sub-surface considerations for all shut-in strings
• Developing empirical criteria to identify shut-in wells that can come on stream in the short, mid and long term.
• Identifying and prioritising assets with the potential to increase recovery in the short, mid and long term.
• Engaging industry stakeholders to get their buy-in on this regulatory initiative
• Developing robust action/implementation steps
(3) Development Regulations

• Stakeholder engagement
Natural gas flare elimination regulations, upstream petroleum environment remediation fund regulations, upstream fee and rent regulations, upstream petroleum measurement regulations, significant discovery regulations

• Gazetting in process
Acreage management drilling & production regulations, Nigeria frontier exploration fund regulations, unitization regulations, upstream decommissioning and abandonment regulations, upstream petroleum environmental regulations, upstream petroleum safety regulations.

• Gazette
Host communities development regulations, domestic gas delivery obligation regulations, petroleum licensing round regulations, petroleum royalty regulations, conversion and renewal (License and Leases) regulations.

The regulator poses with the elders of the Petroleum club- Godswill Ihetu, far left, Funso Lawal second from left and Duimo Itsueli, far right

(4) Key initiatives

• Reactivation of shut-in wells.
• Creation of the Energy Transition/Carbon Monetisation Unit.
• System automation to minimize time for permits and processes approvals.
• Development of regulatory tools.
• Inland basins prospectivity studies.
• Need to set up a committee to conduct forensic audit of crude theft to enhance transparency of petroleum measurement and accounting.
• Cost monitoring and benchmarking.

(5) Investment opportunities in upstream sector in Nigeria with emphasis on

• Open acreages deep water ultra deep water open blocks

An attentive moment at the dinner-on the foreground, in blue suit, Osa Igiehon, Chief Executive Officer, , Heirs Oil & Gas

• Onshore and shallow water open blocks
• Third parties brown field development
• Gas development, infrastructure and transportation.

(6) Looking ahead to the future.

• The need to harmonize regulatory oversight with best practices.
• Continually ensuring government policies are industry and investment friendly.
• Sustaining strict adherence to transparency in hydrocarbon measurement and accounting.
• Prioritising energy security and increase participation of indigenous players.

• Institutionalization of decarbonisation/monetisation framework.
• Sustaining automation of work processes and technology adaptation in view of energy transition.

The NUPRC ‘Dream Team’ at the Petroleum Club Dinner-From left, Habib Nuhu, Executive Commissioner, Development and Production; Gbenga Komolafe, Commission CE; Kelechi Ofoegbu, Executive Commissioner, Economic Regulation & Strategic Planning and Paul Osu, Head of NUPRC’s Lagos Regional Office

After he finished delivering his paper, the NUPRC chief was engaged in a question and answer session. Wole Ogunsanya, Chief Executive Officer of Geoplex Drillteq, asked for the guest speaker to shed more light on the shifting wells procedure and how this could impact increased oil production. Effiong Okon, Executive Director of Operations at SeplatEnergy, called for the industry to become bolder and not shy away from engaging in large scale projects, while Yetunde Taiwo (Mrs) of First E&P based her question on the need for more emphasis on gas development and the overall benefits this could yield for the economy. There was a break for the attendees to have dinner after the Q&A. Upon resumption, the Petroleum Club went on to honour both Komolafe, the guest speaker, and Eberechukwu Orji,  Chief Executive Officer of ND Western who were generous sponsors of the evening. Thereafter, the events were drawn to a close.

The Petroleum Club is a non-political and non-profit making advocacy group comprising leaders in the Oil and Gas industry in Nigeria. The club’s principal mandate is to work with stakeholders in the Oil and Gas industry formulating policies and actions necessary for the growth and sustenance of the industry in Nigeria.

Stephen Kola-Balogun is the Principal Partner of Kola Balogun & Partners, Legal Practitioners and a member of the Advisory Board of the Centre for Law and Business.


Gbenga Komolafe, NUPRC’s CEO, to Speak at the Petroleum Club

PARTNER CONTENT

The Nigerian engineer Gbenga Komolafe, will be delivering the first of the four quarterly dinner lectures of the Petroleum Club of Lagos for 2023.

The chief executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) will be speaking to the theme Nigerian Upstream Sector: Dialetic of Value Optimisation, Energy Transition and Regulatory Perspectives.

The Petroleum Club, a 16-year-old private club where industry leaders and the technical elite interact, unwind and share ideas on issues concerning the sector, reached out to Mr. Komolafe to deliver the opening dinner lecture.

The event, scheduled for February 16, 2023 at the Civic Centre in Lagos, is “a special oil industry dinner”, declares Austin Avuru, Chairman of the Petroleum club. “We are inviting the entire industry to engage the regulator. We are looking towards a very interactive event”.

The enthusiasm for the meeting is mutual.

NUPRC, on its part, says that its Chief Executive, looks forward to “the opportunity to unveil the Commission’s comprehensive plans to reset and invigorate the industry”.

The NUPRC is a creation of the Petroleum Industry Act(PIA) which was passed in August 2021. The PIA vests enormous powers on the two regulatory agencies, of which NUPRC is one. It also creates a field in which the NNPC is no longer  the be all and end all of the industry, but a commercial player that is regulated by both NUPRC and the NMDPRA (Nigerian Midstream, Downstream Petroleum Regulatory Authority).   Mr Komolafe’s position, by the spirit of the act, is a very influential one.

Komolafe has a lot on his plate; he is running two bid rounds (one for deepwater asset, the other for natural gas flare sites); he is overseeing drafts of regulations that will govern sectors of the industry that NUPRC regulates, based in the Petroleum Industry Act. His NUPRC has just awarded licences to conclude the 2020-2022 marginal field round. He has taken over at a time when national crude oil output has agressively been heading south.

 


Petrofac Partners Mozambique to Develop an Elite Hydrocarbon Workforce

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Petrofac, the UK based engineering service provider for the oil industry, has formed a Joint Venture (JV) with Empresa Nacional de Hidrocarbonetos (ENH), the Mozambican state hydrocarbon firm, for the provision of training services.

Designed to support nationalisation goals across the country’s expanding energy industry, ENH’s stake in the JV has been determined at 51% and Petrofac’s at 49%. The partnership will provide training and competence management solutions for Mozambique’s domestic onshore and offshore developments, as the country continues its transformation from a natural resource producer to an energy and industrial giant, and the largest LNG producer in sub-Saharan Africa.

Mozambique has bought into the localization story in oil and gas industries around the continent, but as it has very few indigenous firms with any real capacity, the authorities are focusing more on workforce training, than contracts-for-localfirms.

On the website of the INP (Institute of Petroleum), Mozambique’s E&P regulatory agency, there are several stories tracking numbers of Mozambicans slated to work on both planned and ongoing gas monetization projects.

Petrofac, in a statement announcing the partnership, declares that it has “a 20-year track record of developing national workforces through the delivery of technical, regulatory, and academic training”.

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