Connect with us

News

FG threatens to withdraw dormant oil blocks licences

Published

on

ADVERTISEMENT
Zoom Ad
ADVERTISEMENT
Zoom Ad

The Minister of State Petroleum Resources (Oil), Senator Heineken Lokpobiri, threatened to withdraw oil blocks from owners that have failed to develop them.

This is against the backdrop of the Federal Government calling on international oil companies operating in Nigeria to ramp up investment in the country’s oil and gas sector, emphasising that the current administration has provided every necessary incentive to ensure seamless and profitable operations.

With the Federal Government setting a production target of 2.06 million barrels per day in 2025, Lokpobiri said the government will begin implementing the “drill or drop” provisions of the Petroleum Industry Act in line with the drive to boost oil production.

As of February 2025, oil production was reported at 1.67 million barrels per day by the Nigerian Upstream Petroleum Regulatory Commission.

Advertisement

A statement by the media aide to the minister, Nneamaka Okafor, on Tuesday said Senator Lokpobiri gave the warning to revoke licenses at a Cross Industry Group meeting held in Florence, Italy, organised by IOCs operating in Nigeria.

The meeting focused on challenges, expectations, and strategies to enhance the sector’s contributions to domestic energy needs and regional expansion across Sub-Saharan Africa.

According to the minister, “We cannot continue to have assets sitting idle for 20 to 30 years without development. If you are not utilising an asset and it remains underdeveloped for decades, it neither adds value to your books nor to us as a country.

“We encourage industry players to explore collaborative measures such as shared resources for contiguous assets, farm-outs, and the release of underutilised assets to operators ready to invest in production. Otherwise, like any responsible government, we will take back these assets and allocate them to those willing to go to work.”

Advertisement

The minister also urged operators to consider farm-out agreements where assets are close to existing infrastructure, rather than incurring high costs on new floating production storage and offloading units.

The minister urged the operators to ramp up investment in the oil and gas industry.

He explained that while IOCs have pointed to engineering, procurement, and construction contractors as a challenge, EPCs will only commit when they see strong investment decisions from industry players.

He said, “The government has done its part by providing the requisite and investment-friendly fiscal policies, including the president’s executive order incentivising deepwater investments. Now, the ball is in the court of the IOCs and other operators to make strategic investment decisions that will drive increased production and sustainability in the sector.”

Advertisement

He emphasised the need for IOCs to support local refining efforts, noting that more refineries are coming upstream and will require a steady supply of crude oil.

To make this easy and possible, he stressed that ramping up production will enable Nigeria to meet both local and international obligations.

Also speaking at the meeting, the Chairman of the Oil Producers Trade Section, OPTS, Mr Osagie Osunbor, commended the Minister for his direct engagement with industry players and for the Federal Government’s continued efforts in advancing the sector.

“We appreciate the government’s commitment to creating a conducive environment for investment. The minister’s engagement has provided critical insights and has also challenged us as industry players to step up efforts to increase production,” he stated.

Advertisement

Meanwhile, a Bloomberg report has indicated that Nigeria made the biggest oil production cut among members of the Organisation of the Petroleum Exporting Countries in March, reducing output by 50,000 barrels per day.

It said the country cut to maintain an average of 1.5 million barrels per day, in line with its OPEC quota, as the cartel urged tightened quotas among its members.

According to a Bloomberg survey, OPEC reduced overall production by 110,000 barrels per day in March.

It added that Iraq followed with the second-largest reduction after Nigeria, cutting output by 40,000 barrels per day to 4.15 million barrels. Despite this, Iraq maintained above its agreed limit of 4 million barrels per day.

Advertisement

However, the United Arab Emirates increased production by 30,000 barrels per day, further exceeding its quota.

Meanwhile, OPEC+—led by Saudi Arabia and Russia—has expressed readiness to gradually restore production and increase supplies to stabilise global oil prices.

The group is expected to add roughly 138,000 barrels per day this month as part of a phased increase running through late 2026.

The report noted that the cut in Nigeria’s production follows delays in loading Bonny Light crude due to the recent explosion at the Trans-Niger Pipeline.

Advertisement

The pipeline, which is a critical infrastructure for Nigeria’s crude exports, has frequently faced operational disruptions, affecting the country’s ability to meet production targets.

Continue Reading
Advertisement
Click to comment

Warning: Undefined variable $user_ID in /home/naijuinz/public_html/wp-content/themes/zox-news/comments.php on line 49

You must be logged in to post a comment Login

Leave a Reply

News

ISWAP commanders reportedly clash, many feared dead

Published

on

ADVERTISEMENT
Zoom Ad
ADVERTISEMENT
Zoom Ad

Some Islamic State West Africa Province, ISWAP, fighters in the Timbuktu Triangle, have reportedly been killed after rival commanders turned their weapons on each other over a disagreement on a planned attack.

A counter-terrorism expert, Zagazola Makama disclosed this in a post on X.

Zagazola said the clash occurred after a heated dispute between senior field commanders over the conduct of an operation that had been scheduled for the previous night.

He revealed that one of the commanders, identified simply as Abu Ali, reportedly refused to allow fighters under his control to participate in the planned attack.

Advertisement

Ali’s decision was said to have angered another senior commander, who accused him of deliberately frustrating the operation and questioned his loyalty to the group.

According to Zagazola, the dispute was not an isolated disagreement but the culmination of weeks of rising tension among commanders over operational decisions, dwindling resources and the management of logistics inside the enclave.

It was gathered that the refusal to approve the planned attack merely exposed deeper grievances that had been building within the organisation, with rival commanders increasingly competing for influence, manpower and control of supplies.

The Timbuktu Triangle has for years remained one of ISWAP’s principal operational bases, serving as a sanctuary for commanders, training camps and logistics hubs from where attacks are coordinated across parts of the Lake Chad Basin.

Advertisement
Continue Reading

News

NSCDC Intercepts 45,000L Of Suspected Illegal Ethanol, Nabs Three In Akwa Ibom

Published

on

ADVERTISEMENT
Zoom Ad
ADVERTISEMENT
Zoom Ad

The Nigeria Security and Civil Defence Corps (NSCDC), Akwa Ibom State Command, has arrested three suspects and impounded a tanker loaded with 45,000 litres of ethanol suspected to have been illegally acquired.

The State Commandant, Mrs. Geraldine Abetianbe, disclosed this while briefing journalists in Uyo.

She said the arrest and seizure were carried out on Tuesday at about 1:00 p.m. by operatives of the command acting on credible intelligence at Ikot Umo Essien, along Aba Road, in Essien Udim Local Government Area.
‎”On June 23, at about 1300hrs, our operatives acting on credible intelligence intercepted a petroleum tanker at Ikot Umo Essien, along Aba Road, in Essien Udim Local Government Area of Akwa Ibom State.

“The tanker, with a capacity of 45,000 litres, was laden with a product suspected to be ethanol acquired illegally.

Advertisement

“Three suspects were arrested at the scene in connection with the act,” Abetianbe said.

The commandant explained that the arrest of the suspects and seizure of the tanker were based on reasonable suspicion of the illegal acquisition and transportation of petroleum products in the state.

She said the suspects presented a waybill during interrogation, but the document immediately raised suspicion due to several discrepancies. She added that further investigations and inquiries to verify the authenticity of the declared point of loading yielded negative results.

“This confirmed our suspicion that the product was not sourced through legitimate channels.
“Through synergy, mutual respect, and timely information sharing, we recorded this success,” she said.

Advertisement

Abetianbe warned criminals against engaging in the illegal trade of petroleum products, describing such activities as not only criminal but also a form of economic sabotage that deprives the government of revenue, endangers lives through adulteration and explosions, and undermines national security.

She vowed that the NSCDC, as the lead agency responsible for the protection of critical national assets and infrastructure, would not relent in carrying out its mandate.

“We shall continue to go after vandals, illegal bunkerers, product adulterators, and all those who engage in diversion and illegal transportation of petroleum products,” she said.

Advertisement
Continue Reading

News

Tension as ISIS releases video of top military grade weapons captured in Niger

Published

on

ADVERTISEMENT
Zoom Ad
ADVERTISEMENT
Zoom Ad

 

A video allegedly released by the Islamic State, ISIS, following an attack on a Nigerien military base in Inates has surfaced online, allegedly showing a cache of military-grade weapons seized during the raid.

In a sighted video which has circulated on social media, appears to show heavy weapons, including artillery rockets, machine guns and anti-aircraft guns, reportedly captured from the military installation.

The footage was shared on Sunday by Bakatsine, a journalist known for reporting on conflict and insecurity in Nigeria’s North-West region.

Advertisement

The authenticity of the video and the exact quantity of weapons displayed have not been independently verified.

Bakatsine said that the development has raised fresh concerns over the growing capabilities of terrorist groups operating across the Sahel, where jihadist organisations have intensified attacks against military targets in recent years.

Security analysts have repeatedly warned that weapons captured during such attacks can significantly strengthen insurgent groups and fuel further instability across the region.

According to the report, although there is no evidence that the weapons shown in the video have been moved into Nigeria, experts have long warned that the porous border between Niger and northern Nigeria allows the movement of fighters, weapons and logistics.

Advertisement

Bakatsine warned that terrorist groups operating across the Sahel and the Lake Chad Basin are also known to maintain operational and logistical links, increasing concerns about the potential regional impact of such seizures.

The attack on the Inates military base underscores the persistent security challenges facing countries in the Sahel, including Niger, Mali and Burkina Faso, where extremist groups continue to target military installations.

The incident has renewed calls for stronger intelligence gathering, improved border security and closer regional cooperation to prevent terrorist groups from acquiring additional military hardware.

Advertisement
Continue Reading

Trending

Copyright © 2024 Naija Blitz News