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Official Africa Oil Week 2017 Recap

Africa Oil Week 2017 featuring ministers from South Africa, Nigeria, Ghana, Mali, Côte d’Ivoire, Namibia, Equatorial Guinea and U.S. Secretary of Energy Rick Perry, along with independent oil companies including, Tullow Oil, ExxonMobil, Shell, Total, Eni Spa and Sasol.


Nigeria lost N101bn worth of Oil, IEA forecast rise in demand

The Organization of Petroleum Exporting Countries, OPEC said Nigeria’s crude oil production went down by 2.3 million barrels in July 2022, in comparison to the country’s production in the preceding months, OPEC’s data had shown.

OPEC had in its latest Monthly Oil Market Report for August 2022 stated that crude oil production figures based on direct communication, indicated that Nigeria’s output dropped by an average of 74,000 barrels per day in July.

By implication, the country lost about 2.3 million barrels of crude oil within the 31 days in the month of July when the average cost of Brent crude, the global benchmark for oil during the period under review was selling for $105.12 a barrel.

It also means that by this loss 2.3 million barrels, Nigeria’s revenue from oil sales fell by about $241.1m or N101.13bn (at the official exchange rate of N419.37/$) in the same month under review.

Data from OPEC showed that Nigeria’s oil production in June 2022 was 1.158 million barrels per day, and dropping eventually to 1.084 million barrels per day in July.

It was also reported that in May, the country produced 1.024 million barrels per day, OPEC data also showed, as stakeholders of the industry continue to point fingers at the activities of sea pirates and oil thieves as key factors responsible for the poor production output, and this is also as Nigeria continues to run behind schedule in meeting its OPEC production obligation.

The CEO, Centre for the Promotion of Private Enterprise, Dr. Muda Yusuf, also blames insecurity as one of the key factors. Pointing out that investor indifference has resulted from the country’s growing insecurity, and government’s inability to match words with actions.

“Investors in the oil and gas sector continue to lament the challenges posed by insecurity, oil theft, unstable policies, and inappropriate fiscal regimes.

“The downstream sector has continued to be weighed down by the pricing regimes and the regulatory environments which have continued to dim the growth prospects in the sector”, Muda Yusuf said.

Meanwhile crude oil prices dipped in July, as against their costs in June, with crude in OPEC Reference Basket dropping by $9.17 or 7.8 percent month-on-month in July to average $108.55 per barrel.

“Oil futures prices have remained highly volatile in July, amid a sharp drop in liquidity. The ICE Brent front month declined $12.38 or 10.5 percent in July to average $105.12 per barrel, and NYMEX WTI also witnessed a decline by $14.96 or 13.1 percent to average $99.38/barrel”, report revealed.

In its August Oil Market Report OMR, the International Energy Agency, IEA also raised its estimates for 2022 global demand growth by 380,000 b/d, to 2.1 million b/d, as soaring oil use for power generation and gas-to-oil switching are boosting demand. Gains mask relative weakness in other sectors, and a slowdown in growth to less than 100,000 b/d by fourth-quarter 2022 from 5.1 million b/d at the start of the year. World oil demand is now forecast at 99.7 million b/d in 2022 and 101.8 million b/d in 2023, reports industry journals.

“At the same time, natural gas and electricity prices have soared to new records, incentivizing gas-to-oil switching in some countries. With several regions experiencing blazing heatwaves, the latest data confirm increased oil burn in power generation, especially in Europe and the Middle East but also across Asia. Fuel switching is also taking place in European industry, including refining. In this report, we have revised our forecast for world oil demand higher for the remainder of the year”, IEA was quoted as saying.

World oil supply hit a post-pandemic high of 100.5 million b/d in July as maintenance wound down in the North Sea, Canada, and Kazakhstan. OPEC+ ramped up total oil production by 530,000 b/d in line with higher targets and non-OPEC+ rose by 870,000 b/d. World oil supply is set to rise by a further 1 million b/d by year-end.

In this report, EIA revised up its forecast for Russian oil output but lowered the outlook for North America. By July, Russian oil production was only 310,000 b/d below pre-war levels while total oil exports were down just 580,000 b/d. The EU embargo on Russian crude and product imports that comes into full effect in February 2023 is expected to result in further declines, as some 1 million b/d of products and 1.3 million b/d of crude would have to find new homes.

Russian oil exports fell by 115,000 b/d in July to 7.4 million b/d, from about 8 million b/d at the start of the year, the report noted. Crude and oil product flows to the US, UK, EU, Japan, and Korea have slumped by nearly 2.2 million b/d since the outbreak of the war, two-thirds of which have been rerouted to other markets, including India, China, Turkey, and others, IEA said. Export revenues fell from $21 billion in June to $19 billion in July, on both reduced volumes and lower oil prices.

Refinery throughputs rose by 1.1 million b/d in July and are set for a further 350,000 b/d gain this month, when runs will reach their highest level since January 2020. The increase was above refined product demand, driving cracks and refinery margins sharply below the all-time highs seen in June, the report said. Global refinery runs are now on track to rise by 2.6 million b/d in 2022 and 1.3 million b/d next year, reports have shown.



“Africa will decide its energy future” – Obasanjo

Former President of the Federal Republic of Nigeria, Chief Olusegun Obasanjo has reiterated the need for African countries to chart their own course toward achieving energy transition agenda rather than yield to the pressure of what he called “unrealistic ideals” of the global North for an exclusively renewables-driven economy.

He said that Africa must take charge of its own energy destiny by using its rich resource assets for the benefit of its own people especially at this time of global oil and gas crisis, triggered by the Russian-Ukrainian war.

“Like the rest of the world, Africa must follow energy policies that promote socioeconomic development and sustainable hydrocarbon use”, he said.

“Africa is the lowest producer of greenhouse-gas emissions and needs to lift nearly half-a-billion citizens out of poverty.

“Responsible management of our hydrocarbons and investment in our economies is necessary to ensure a just energy transition and sustainable growth for our people”, Obasanjo said.

The situation provides a wider business space for Africa as the European Union continues to seek new market opportunities elsewhere as Russia threatens to cut gas supply to Europe by up to 90% by the end of 2022, an announcement which has reportedly triggered so much anxiety within the Union.

For the Union, Africa serves as one of the potential new sources of energy to replace this supply distortion, with an estimated 61 billion barrels of oil equivalent being discovered in the region over the past 10 years.

The call for Africa to assert its energy sovereignty is also coming ahead of the Africa Oil Week conference in South Africa, where energy companies, investors and governments are expected to meet to negotiate deals toward shaping the continent’s future.

Meanwhile, the African Petroleum Producers’ Organization, APPO has earlier called on member countries and other global institutions to use petroleum as a catalyst for energy security, sustainable development and economic diversification in Africa through collaboration and partnerships.

Both also called for accelerated dialogue on the sustainable development of hydrocarbons, stressing the role of Africa as a supplier of global energy needs.

“There has been much talk at forums such as the World Economic Forum in Davos about a just energy transition.

“However, we must not allow Africa to be dictated for. The discussions at AOW will be pivotal in charting a new energy course for Africa. We will decide what is best for us”, Chief Obasanjo said.

Adding his voice Paul Sinclair, VP of Energy and Director of Government Relations for AOW, said Africa was committed to a just and equitable transition to renewables.

“Critics make the mistake of thinking that Africa has abandoned renewable energy strategies. That is not the case.

“The energy transition is exactly that, a transition that is part of Africa’s goal to reach net zero. However, oil and gas are required for the foreseeable future”, Paul said.

Adding that Obasanjo’s comments must be seen against the socio-economic challenges many African economies face.

“Creating an African oil industry that benefits Africa’s people needs strong policy and regulation”, says Obasanjo.

“During my time in government, we launched oil-and-gas policy reforms that helped to build a modern oil and gas hub. There were many learnings that we can apply across the wider region. I look forward to discussing these opportunities for Africa.”

According to the United Nations an estimated half-a-billion Africans live below the poverty line, presenting Africa as being responsible for only about 3.8% of global CO2 emissions.

Meanwhile African countries have argued the need for the developed West to allow them tap into their own natural resources through low-carbon management strategies while developing renewable energy sources at the same time.


NAEC: Actors to widen discussions on key energy sector issues

The world is undergoing the most critical moments in its history, triggered by a number of factors, encapsulated in the current geopolitical shifts and uncertainties in the global energy market, concerns for energy security and market stability, rising inflation and supply chain challenges, investor pressure for returns, balancing poverty alleviation and economic growth concerns with climate change objectives, governments’ inability to prioritize (with reference to Nigeria) its energy and economic policy actions, a combination which has also given rise to more critical economic challenges and sociopolitical bottlenecks.

Since the beginning of 2022, a couple of oil and gas events have been held in Nigeria with focus on the country’s Petroleum Industry Act, PIA whose passage was trailed with mixed feelings, the declaration of 2020 to 2030 as a decade of gas in Nigeria (even as the price of cooking gas in the country continues to stretch beyond the reach of the ordinary Nigerian), and the place of Nigeria, and indeed the Sub-Saharan Africa in the ongoing worldwide campaign aimed at charting the right course toward achieving the global energy transition agenda. This conversation is thus continuing at the Association of Energy Correspondents of Nigeria, NAEC annual international energy feast taking place at Eko Hotels Lagos on August 25th 2022.

Consistent with NAEC’s tradition, and in line with the global struggle for net-zero gas emission reduction anticipated by 2050 through the ongoing energy transition programmes, NAEC’s Conference Committee was able to articulate contents for discussion to fall within the boundaries of the ongoing global discourse, toward finding a common ground to achieving the global emissions reduction target while emphasizing the critical role crude oil exploration and production will play in the actualization of the entire transition agenda particularly in Africa.

Group Chief Executive Officer of the Nigeria National Petroleum Company Limited, Mele Kyari, Minister of State for Petroleum Resources, Timipre Sylva, Chief Executive Officer, Nigeria Upstream Regulatory Commission, Mr Gbenga Komolafe, Executive Secretary, Nigerian Content Development and Monitoring Board, NCDMB, Engineer Wabote, International Oil Companies Chief Executives, Local Independents, Nigeria’s Power Sector Officials have all been confirmed to participate at the all exhaustive hydrocarbon and energy transition event with the theme, “Energy Transition: Shaping the Future of Nigeria’s Energy Industry, An Appraisal of PIA, Evolving Benefits and Challenges.”

Olu Philips, NAEC’s Chairman speaks of the event as one industry assembly that has always reflected presence and participation of a cross section of industry stakeholders, policy makers, analysts and the academia, providing platforms for exhaustive discussions, and in most cases, solutions.

The spotlight will pivot around the phrase “Decade of Gas”, its full import, and how the Nigerian Liquefied Natural Gas, NLNG is pushing to transform the economy through aggressive gas monetization and utilization.


What is unique about ADIPEC 2022?

  • Geopolitical shifts and uncertainties pervade the air
  • Concerns over energy security cum market stability
  • Rising inflation and supply chain challenges
  • Innovations, commitments as sine qua non to achieving net-zero emissions
  • Rising investor pressure for returns
  • Managing rising oil industry disequilibrium
  • Balancing poverty alleviation/economic growth concerns with climate change objectives, and
  • Managing short term realities

Call it a cacophony, or see it as bi-polar, and or multi-polar ideological contradictions, however, one thing is certain – the world is undergoing the most critical period in its economic, social and political history, triggered by uncertainties within the global energy space which has not excluded oil and gas as critical sources of socioeconomic and infrastructure development.

Dr Umar Farouk Ibrahim, the Secretary of the African Petroleum Producers Organization, APPO has always argued that Africa needs to explore for oil to be able to pull sufficient financial resource to address its numerous challenges which include poverty, lack of access to electricity, as well as other socioeconomic and infrastructure concerns. These he also said were necessary to pursue global action on emissions reduction through energy transition objectives across the globe where Africa is a key stakeholder.

“For Africa as a continent must choose between energy for sustainability with its huge energy needs on its own terms to address the significant development challenges staring her at the face at the moment, or lose out in the entire global economic cum political affairs because she wanted to be seen as one of the “most responsible” continents championing energy transition and climate change ever known.

“While African countries have a duty to meet their Paris Climate Agreement commitments, and move the region towards renewable energy, Africa should also do this on its own terms thereby charting a transition course that prioritizes uplifting the living conditions of its hundreds of millions of people in the rural areas currently living in abject energy poverty, with no access to electricity and cooking gas.

“There is a growing consensus across the continent that we cannot make much progress in our quest to eradicate or effectively alleviate poverty without access to affordable and reliable energy source. And renewable energy, at least for the foreseeable future, is neither affordable nor reliable. Until renewable energies become affordable and reliable, it is safer for Africa to rely on fossil fuels to change the living conditions of its people just like today’s developed countries did for over one hundred and fifty years until they weaned their countries from energy dependent economic activities,” Dr Ibrahim said.

ADIPEC 2022 will seek to address all these and many more, which will not exclude the geopolitics of the present time, which also involves understanding the energy industry challenges and the way it is navigating through the inevitable change. This is with more conversations around the rising inflation and supply chain pressures, slow economic recovery, growing concern regarding energy security and market stability, governments’ restlessness in seeking alternative supplies, and managing short term realities – all of which are on a global scale, but providing ample opportunities in the midst of the challenges.

Strategic panel discourse to focus more on the new business and energy portfolio model – managing geopolitical uncertainty and the strategic transition, and at a time when fossil fuels are required to meet growing demand and market stability. What innovations are necessary to future proof operations, meeting rising investor pressure for returns, and of course, the growing expectation from the society to reach commitments to a net-zero world. Why international oil companies are busy shifting strategies – all these and many more have been built into the first strategic panel session.

“Beyond the Energy Shock: The New Map of Energy, Climate, and the Clash of Nations” will further paint the right pictures, as well as seek solutions to the global market upheaval at the moment, brought about by the “fractured” oil and natural gas markets, what relationship best defines the industry, as well as understanding the “mental maps” of how the world thinks about the future – the initial amnesia about energy security which also triggered “a painful reassessment of investment priorities and the dynamics of the energy transition.

Next is about how to draw a balance between poverty alleviation and economic growth on one side, and climate objectives on the other. A new alarm meanwhile had been reported, arising from global concerns about the inadequacy of copper and other minerals that constitute the new supply chains for meeting net-zero emissions target, all these matters have been assigned to industry professionals for proper attention.

ADIPEC 2022 has already confirmed the participation of policy makers across government circles, energy leaders and industry eggheads for an unparalleled opportunity to share insights on the latest trends affecting the global energy ecosystem including geopolitical shifts, the evolving global economy, energy supply and next generation energy solutions.

With the return of the Conference of Parties, COP to the Middle East by way of COP27 and COP28, ADIPEC is positioned to advance the industry’s ambitions in relation to climate change, the energy transition and net-zero energy systems along with the business and operating model changes required to support them. Recognizing accompanying talent agendas, innovation ambitions and a commitment to authentic leadership are equally critical in ensuring success as the energy market pivots more quickly than ever before.

Again, the energy markets are undergoing significant challenges accompanied by geopolitical shifts affecting economic growth and energy security, redefining the energy world as we know it. Amidst the global turmoil, we have seen an elevated focus on climate change, sustainability, and the reassessment of investment priorities in global energy markets. In particular, COP26 has highlighted the progress and actions needed to meet climate change ambitions and to define the industry’s future. Leaders, organizations and businesses are now expected to have clearly articulated strategies and commitments on sustainability, climate change and decarburization. New technologies, strategic investments, low-carbon solutions, and government policies are setting the pace for change, creating a new energy ecosystem designed to facilitate differentiated, impactful results. This is all that ADIPEC 2022 is about, with nothing less expected.


EU-Nigeria’s gas trade deal has huge potentials – Consultant

When the European Union and the German Federal Ministry for Economic Cooperation and Development, BMZ, alongside the Deutsche Ceseilschaft fur Internationale Zusammenarbeit, GIZ GmbH made the offer to help financially toward strengthening and realizing Nigeria’s renewable and energy transition objectives, not many Nigerians would have known the motive behind the subterranean move – a potential gas trade deal rather than a mere philanthropic gesture was in the offing.

ENERGIZE, referred to as a career fair for the clean energy sector, with the objective of churning out skilled manpower from among the youths who would be deployed to further the course of the energy transition agenda in Nigeria, and initiated through the Renewable Energy and Energy Efficiency Associations, REEEA, and the Nigerian Energy Support Programme, NESP, signaled the first step of this ambitious gas trade deal between both countries now in the public domain. The Union has already voted in millions of euros for the project that would also facilitate the use of EVs and motorbikes for the purpose of carbon emission reduction. All the stakeholders saw it as a welcome development.

“For me, it is a very healthy development. Nigeria’s gas trade space needs to be broadened, it’s been concentrated around the Asian markets for a long time, and it’s not so good for the country, if you ask me. Europe is an added advantage and likely to be a better deal, in terms of market expansion, and in terms of reward; it’s going to be a win-win situation. With China for instance, I don’t know whether I would have called it the carrot and stick affair or so, but what I know is that some other trade channels are critical at this time of severe energy crisis worldwide, for competitiveness and for economic and financial gains. I do not mean to infer that it would be bird of roses, for the global oil and gas market does not tolerate indolence, and has no space for sentiments. What I will not argue at the moment is the fact that Nigeria is in a dire financial need, a situation which is likely to affect its power of proper and better negotiation, for a beggar, like they would say, has no choice, this is all I can say”, says Engineer Enayomo, Chairman and CEO SykesEnergy, a tank farm design and construction firm in Nigeria.

And with the aim of encouraging the active participation of the Nigerian-African woman in the ongoing discussion on renewable and energy transition, the Federal Foreign Office, through the German-Nigerian Hydrocarbon Office, with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) also initiated, and are funding as well, another landmark programme for women, christened “Africa Women for Energy Transition”, an initiative toward helping the Nigerian and African woman see the huge opportunities provided by the ongoing global energy transition programmes, key into it and gain from it.

Speaking about REPowerEU, which is one of the European Union, EU strategies to eliminate dependence on Russian gas, during one of the African Women for Energy Transition inaugural meetings in Lagos, Osobase, Head of Commercials, Tenaris Nigeria said the situation presented a veritable opportunity for Nigeria and indeed Africa, adding that the continent must buy the ideas of Europe through identifying a clear value chain where players and operators find a level playing ground.

For the EU, it was not just a premeditated move, it was also timely, Oilprice had just reported their energy crisis as exceedingly unexplainable, in its April 5 2022 online report which Energy Window International Correspondent had equally captured as follows: “Germany is preparing for gas rationing. France’s power grid operator is asking consumers to use less electricity. In the UK, protests are breaking out over the electricity price hike that plunged millions of households into what one local think tank called fuel stress. Europe has a serious energy problem.”

Neither did Peter and Dan, both at Wood Mackenzie’s power and renewable energy desk allay any fears of some better days ahead as they maintained that “high gas prices are the big factor, though far from the only one. Gas-fired generators provide Europe’s marginal power supply: power prices move up and down with gas prices. Gas pipeline imports from Russia are 55% down year-on-year and that’s sent gas and power prices through the roof.

“But there are numerous other challenges in the power sector that are also pushing prices up: high coal and carbon prices, low hydro availability, low river levels in Germany putting coal deliveries at risk and reduced availability across the ageing French nuclear fleet. Europe’s current heat wave has boosted electricity demand for cooling, limited the availability of cooling water for thermal plants and cut the efficiency of system infrastructure” they averred.

The aftermath of the Russian-Ukrainian war was not only colossal, it was also a warning signal across the global energy community of the potential danger of total reliance by a country on another for its energy needs. It has also signaled the urgent need for a rethink, among countries, on energy conservation. “I hope that countries would now begin to put stringent measures to address all forms of energy wastages, in all its ramifications; the war and its results should serve as an eye opener”, says a UK based energy consultant.

As part of the conservative measure, the European Union officials were reported to have already initiated discussion aimed at revising its original plans for cutting natural gas use by 15% by next spring after several EU member states expressed concerns about the target for reduction, a draft document was reported to have shown.

The European Commission had recently unveiled measures for gas conservation in the face of risks of further reduction or a shutoff of Russian gas deliveries, asking member states to reduce gas consumption by 15% until the spring.

According to report, the Commission proposed a new legislative tool and a European Gas Demand Reduction Plan, setting a target for all member states to reduce gas consumption by 15% between August 1, 2022, and March 31, 2023, a new regulation which allows the Commission the possibility to declare, after consulting Member States, a ‘Union Alert’ on the security of supply, imposing a mandatory gas demand reduction on all Member States. However, countries like Spain, Portugal, Greece and France were said to have shown disapproval with the plan, as several other governments have asked for more flexibility in gas cuts, taking into account each member State’s specific needs and ability to contribute to the consumption cuts, positions which could also jettisoned as the gas cut could be made mandatory if three EU member states request it, under the Commission’s current plan, says the report.

“National specificities must be taken into account while setting up mandatory reduction targets” and “increasing flexibility in designing reduction measures,” the draft document quotes EU member States as maintaining.

Nigeria holds 187 tcf of proven gas reserves as of 2017, ranking 9th in the world and accounting for about 3% of the world’s total natural gas reserves of 6,923 tcf, with proven reserves equivalent 306.3 times its annual consumption.

However, while still struggling to effectively utilize the current 206 trillion standard cubic feet tcf of natural gas reserves, standing at about 206 trillion standard cubic feet, authorities says gas reserves will increase to 230 trillion cubic feet by 2030, with the former DPR assuring to assist the government achieve this ambition.

The Minister of State for Petroleum, Timipre Sylva, in another twist said government under Mohammadu Buhari was already working to grow the country’s gas reserve from the 206 trillion cubic feet of gas to 600 TCF. He was reported to have given the assurance at the 23rd World Petroleum Congress in Houston, Texas, U.S.

Lilian Ekene Fidelis

EWI 26/07/2022




TotalEnergies kickstart production at Ikike Field

TotalEnergies, one of Nigeria’s oldest business partners has announced kick-off of oil production at its Ikike field on OML99, said to have been launched a few months before Covid-19, and located 20 kilometers off the coast, at a depth of about 20 meters. The platform is tied back to the existing Amenam offshore facilities through a 14 kilometer multiphase pipeline and is expected to hit peak production of 50,000 barrels of oil equivalent by the end of 2022, designed to serve as low cost and low emission project, the company said in a press statement.

The Ikike project is not only designed to minimize green gas emissions estimated at less than 4kg CO2e/bor thereby contribute toward reducing the average carbon intensity of the company’s upstream portfolio, it will also help leverage existing facilities to keep costs low. In addition, 95% of hours were worked locally: the jacket as well as the topside modules were entirely built and integrated by local contractors.

Henri-Max Ndong-Nzue, Senior Vice President Africa, Exploration and Production at TotalEnergies said:

“TotalEnergies is pleased to start production at Ikike, which was launched a few months before the covid pandemic, and whose success owes a lot to the full mobilization of the teams. By tapping discoveries close to existing facilities, this project fits the Company’s strategy of focusing on low-cost and low-emission oil projects.”

TotalEnergies is the operator (40%) in partnership with the Nigerian National Petroleum Corporation (NNPC, 60%).


ADIPEC to unveil strategies for achieving net-zero by 2050

Mele Koyo Kyari, Group Chief Executive Officer, CEO, Nigeria National Petroleum Corporation, NNPC Limited was quoted to have, in his characteristic urbanity, commented of ADIPEC 2021: “ADIPEC 2021” he said, “has brought to the table all key players to realize that we all need to work together to make sure we are achieving net-zero by 2050.”

Baker Hughes Chairman and CEO, Lorenzo Simonelli was also quoted to have said as follows: “It’s refreshing to be back at ADIPEC 2021 in Abu Dhabi and reconnect with the industry.”

Claudio Descalzi, CEO Eni, in the same vein, had this to say: “ADIPEC is one of the most important forums for the energy industry where government officials, national and international energy companies and contractors are engaging in discussing the challenges of the energy sector” and so on.

ADIPEC, rated as the world’s most influential gathering of the century for energy industry professionals, usually hosted by the Abu Dhabi National Oil Company, ADNOC, will be assembling legends of the industry to deliberate on ways of accelerating the ongoing energy transition agenda. They are also to simplify methodologies aimed at unlocking the real value of a decarbonised future, showcase ground-breaking technologies, explore actionable strategies and solutions to the challenges and opportunities created by complex global energy market dynamics.

Taking place from 31 October to 3 November, ADIPEC 2022 will be the leading venue for the energy industry to debate, deliberate and address key issues on the trilemma of security of supply, affordability, and sustainability.

Strategically taking place ahead of COP27, ADIPEC 2022 will be the convening platform for policy makers, energy CEOs and industry professionals to address the critical factors influencing the energy ecosystem’s transformation and its role as a key enabler of the global economy.

The gathering will also provide both strategic and technical insights with over 1,200 global policy makers, energy industry eggheads, professionals across the length and breadth of the industry worldwide, geared towards discussing and understanding key trends shaping the future of energy; breaking down all challenges and perhaps opportunities around energy transition. Other areas for deliberation include, analyzing the role of geopolitical factors, laying bare new finance and partnership frameworks, as well as the latest technical developments.

In his welcome address, the Technical Programme Chairman and Senior VP, Development Function, ADNOC Mohamed Marzouqi, expressed delight at the brilliance and swiftness that followed abstracts submission by various authors who he said submitted abstracts that were not less than 4, 148 for the great intellectual feast under ADIPEC 2022 Technical Session.  “It was record-breaking and testifies to the unparalleled position of ADIPEC as a globally recognized gathering for oil, gas and energy engineers worldwide, reaching new heights in the quest to unlock greater value through technical expertise.

“Providing unprecedented access to the latest industry knowledge, the ADIPEC Technical Conference will facilitate 135 sessions across four days to exchange valuable expertise and explore practical solutions to the complex challenges of a transitioning energy sector.

“Featuring innovative approaches coupled with technical knowledge from industry experts.

“The technical presentations and valuable discussions during these sessions will lay the foundation for developing new strategies and sustainable practices to ultimately work towards a common goal of meeting the global energy demands”, he said.


Oil exploration is imperative in Africa’s energy transition struggle – Dr. Farouk

The Secretary-General of the African Petroleum Producers’ Organization (APPO), Dr Omar Farouk Ibrahim has restated the urgent need for Africa as a continent to draw a balance between pursuit for sustainability with its huge energy needs on its own terms to address the significant development challenges staring her at the face at the moment or lose out in the entire global economic cum political affairs because she wanted to be seen as the “most responsible” continent champions of energy transition and climate have ever known.

While maintaining that African countries have a duty to meet their Paris Climate Agreement commitments, and move the region towards renewable energy, said Africa should also do this on its own terms thereby charting a transition course that prioritizes uplifting the living conditions of its hundreds of millions of people in the rural areas currently living in abject energy poverty, with no access to electricity and cooking gas. Dr Ibrahim was speaking in the build-up to Africa Oil Week, AOW, one of Africa’s annual oil and gas feasts taking place in Cape Town South Africa from October 3th until 7th.He was expected to set the ball rolling at the premium event where he is also expected to reiterate how critical it is for Africa to advocate for its right to use its own natural resources for the foreseeable future.

“There is a growing consensus across the continent that we cannot make much progress in our quest to eradicate or effectively alleviate poverty without access to affordable and reliable energy source. And renewable energy, at least for the foreseeable future, is neither affordable nor reliable. Until renewable energies become affordable and reliable, it is safer for Africa to rely on fossil fuels to change the living conditions of its people just like today’s developed countries did for over one hundred and fifty years until they weaned their countries from energy dependent economic activities,” Dr Ibrahim said.

“Gone are the years when Africa’s priorities are determined outside the African continent’, he said.’

Africa’s energy resources, says Dr Farouk, have remained untapped – both in terms of renewables and fossil fuels, stressing therefore that it was the continent’s right to unlock these vast reserves for the benefit of its people, as well as for the world at large. Adding that as an emerging region, Africa does not have the luxury of leaving its energy assets “stranded” – particularly when around half a billion of its people still live below the poverty line of $1.90 per person per day. Insisting that since mid-century was the deadline developed countries have set themselves to achieving carbon neutrality, Africa should also build its own financial base in pursuit of the global agenda using what it has.

Afterall, “Africa is only responsible for around 3.8% of global greenhouse-gas emissions” says Dr Ibrahim. “We are moving towards renewables, but it would be something of an injustice for Africa to be compelled to abandon our natural resources because the developed world has spent more than a century polluting the planet.”

He said African producers should be allowed to responsibly develop their energy assets for economic development and job creation in their own economies.

“The conversation needn’t be polarized”, says Dr Ibrahim. “We agree that every nation must determine its own optimal energy mix in the run-up to 2050. Africa’s producers are not ignorant of global climate pressures, but we all believe that the upstream can be developed for the good of Africa without compromising the environment. The technology exists. And even if it does not exist, all that is required is the commitment to develop it. But those with the technology have no interest to make fossil fuels environmentally friendly.”

Dr Ibrahim said APPO which was established in 1987, was working to create a policy environment that supports producers by attracting responsible upstream investment. “It should be a win-win solution” he said.

“We are all working towards carbon neutrality, but until then, we need an affordable and reliable energy supply. Renewables are not yet supplying the full energy demands of any nation on earth – hydrocarbons will need to meet those needs”, he said.

“Who will meet those needs for the African people?” Why should it not be any of the APPO Member Countries?  Why should we call a halt to promising offshore exploration off Namibia, Mozambique (or any parts of Africa when hydrocarbons are still required to drive Africa’s development” queried while emphasizing that Africa was a region of enormous opportunities, which must be exploited for the good of Africans and for the world at large.

“We are really excited about Africa’s energy future,” he said. “We stand united as an industry, ready to embrace the opportunities that it brings.”


African Women to play critical role in Energy Transition – Panelists


By Naomi Ukandu Amarachi


“I want to demonstrate to women that, if I can do it, they can too. In my experience, I noticed that women often feel that they are not cut out for the energy or engineering sectors. I am here to prove them wrong.” These were captured as the words of Glory Chinyere Oguegbu, founder and CEO of the Renewable Energy Technology Training Institute, RETTTI and the RETTI Virtual University which recently launched, as reported, the Africa Energy Fellowship for Young Energy Leaders, urging the African woman to key into the global energy industry transition agenda.

With the aim of encouraging the active participation of the Nigerian woman in the ongoing discussion on renewable and energy transition, the Federal Foreign Office, through the German-Nigerian Hydrocarbon Office, with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) as the executioner, and the Women in Green Hydrogen Network and African Energy Chamber as partners, said it would fund the project towards building managerial skills and promoting entrepreneurship among Nigerian and African women in energy transition to the letter. This was disclosed during a “Networking Brunch” on African Women for Energy Transition held recently at Sheraton Hotels Lagos, which also saw a great number of Nigerian and African women, as well as EU financiers and promoters in attendance.

While emphasizing the need for active participation in the ongoing energy transition programmes, the forum referred to the International Renewable Energy Agency’s IRENA very strong belief in women and their participatory role in energy transition as a pathway towards transformation of the global energy sector, from conventional fossil fuels epoch to low carbon fuels by the second half of the century. Adding that green hydrogen which requires renewable energy would prompt African countries in the emerging global hydrogen market especially to Europe in the near future. Noting that for the transition to be successful, reports indicate that over 18 million jobs must not only be created, but that inclusion and sustainability must also be ensured and enhanced. It also noted that over 50 per cent of the global population are females, but only about 32 per cent of this number work in the renewable energy sector, data provided by the Women in Green Hydrogen showed.

Besides being identified as the best fuels of the future for economic security and stability for the fossil fuels exporting countries, it has the capacity to also serve as fossil fuels for the exporting countries pathway to achieving decarbonization toward meeting net-zero targets. The forum maintained that Energy Transition presents a unique opportunity for women to be at the forefront of decision and development of low carbon energy sources like green hydrogen towards the net zero emission targets, while opening up opportunities and businesses for women across the energy sector in Africa.

In her keynote address at the event, Dr Rita OKOROAFOR, a former principal reservoir engineer and currently at Stanford University, introduced the hydrogen processes and emphasized that “diversity improves the bottom line…for there’s no just transition where we do not include the voice of women”, she said, urging the African woman to take hold of opportunities in the academia, while understanding the business and commercial activities inherent in the ongoing global energy transition.  The event was graced by two all women panel; the first session addressed the energy security and Nigeria preparedness for it.

Grace ORIFE, CEO Adelaar Energy shared insights on commercial impact of the acclaimed Decade of Gas and necessary financing for the energy transition.

Orife reiterated Nigeria’s huge gas potential as catalyst for the country’s power sector stability, providing electricity to the citizens and creating access for Liquefied Petroleum Gas, LPG domestic use, which also poses as stabilizer in other sectors in the energy security value chain.

According to her, gas encourages access to power and opportunities to achieving Nigeria’s vision of leveraging itself through effective gas usage and monetization, as the years until 2030 had been declared as “Decade of Gas” by the Minister of State for Petroleum Resources Timipre Sylva.

Rosario OSOBASE, Head – Commercial, Tenaris Nigeria navigated the terrain to offer explanations around the complexities of exporting, and how Nigeria can identify the global strengths.

While emphasizing the dangers associated with climate change and global warming, Osobase said the Russian/Ukrainian war has further exacerbated the global economic hardship and distorted the energy transition agenda, while pushing Inflation to its crescendo thereby setting the stage for an impending global food crisis whose negative effects may not have been known or experienced for the first time in global history. Also adding that green hydrogen was a sine qua non to achieving net zero emission. She said: “There must be clear regulatory frame work for sustainability of energy with visionary leaders especially in Africa.”

Speaking about REPowerEU which is a plan by EU to eliminate dependence on Russian gas, Osobase said the situation presents a veritable opportunity for Africa, adding that the continent must buy the ideas of Europe through identifying a clear value chain where players and operators find level playing ground. Noting that hydrogen should be enhanced since it has been useful in large industrial spaces.

While urging African leaders to rise to the occasion through proper policy enunciations and good governance structure said the continent could recreate its own history to prove to the world its potentials in terms of industrialization and commercialization. Urging that Africa looked forward like the Middle East and Asia for other sources of energy.

The Head – German-Nigerian Hydrogen Office; Gina Lagunes also simplified why and how it was an adequate time for Nigeria as a fossil fuel exporting country to explore green hydrogen in a sustainable manner ahead of global energy security.

“Why exploring hydrogen in future, the demand for fossil fuel will be reduced by 2050.

“Therefore, Nigeria should diversify to hydrogen for cleaner energy, Green hydrogen is the last mile to the journey”, she said.

Lagunes disclosed that by 2050, green hydrogen would cover up to 12 per cent worldwide because it is going to be the main component, “and countries would be looking for means of supply.”

The session was moderated by Sharon KABURUK, Advisor, Capacity Development & Private Sector Collaboration at the Nigerian Energy Support Programme (NESP) – a technical assistance programme co-founded by the European Union and the German Federal Ministry for Economic Cooperation and Development, BWC and implemented by GIZ in collaboration with the Federal Ministry of Power.

About the necessity to create jobs ahead of the energy transition, the second session addressed the businesses and opportunities. On the panel, Sandra Chukwudozie, CEO Salpha Energy, who also was recently announced as Forbes Africa 30Under-30 trailblazers for 2022, described her work as a mission towards ending energy poverty.

Chukwudozie stated further that Salpha Energy has been able to provide energy to the people in the rural areas where alternative energy compliant appliances are used with payments for them made on instalment, and by which means according to her, Salpha Energy has been able to bridge the gap on energy issues in the rural communities.

“The vision of Salpha Energy is to provide solar power across the value chain which includes agriculture and industries. Introducing solar energy projects to community leaders and working along with non-governmental organizations to meet the aspirations of the people and avert energy poverty.”

Jumoke Fajemirokun Esq, ENR Advisory member, also represented at the panel, explained how she has handled complex commercial transactions within the energy, mining and infrastructure sectors. Adding that for hydrogen project to be funded in Nigeria, there must be viable regulatory framework identifying the value chain and existing contract to ensure that the sector is bankable.

The last panelist was Jocelyn Nwaokenneya, CEO Ladol, who also reflected on the logistic, cargo and freight transportation, as well as other diverse prospects for Nigeria to widen its borders. The panel was moderated by Zafira Suleman, Advisor, Enabling Environment for RE and EE investment at NESP.

The inaugural Networking Brunch welcomed a diverse range of representatives in the renewable energy sector including women of various business categories who also shared their insights on the energy transition and its challenges and opportunities, while the goodwill message was shared by Ruchi Soni, Programme Manager at SEforALL who also leads the initiative on Results-based Financing and Universal Energy Facility.








MOMAN calls for calm as global oil trading alters plans

As the world groans under severe energy distortions and economic dislocations, the Major Oil Marketers Association of Nigeria, MOMAN has called for calm and understanding among
Nigerians as the country who is also a member of the global oil cartel – the Organization of
Petroleum Exporting Countries, OPEC battle its way out of the fuel crisis debacle facing both producing and none oil producing countries at the moment.
In a press statement issued on Wednesday, the Group’s Chairman Olumide Adeosun said all the stakeholders in the Nigerian petroleum industry, which include NNPC, PPMC, NARTO and of course MOMAN were working round the clock to ensure petroleum products availability and pricing were normalized to reduce the level of hardship in the country.
While assuring Nigerians of its commitments at ensuring that activities of petroleum products smugglers which pose serious threats to products availability were curtailed said MOMAN had already prevailed on the Authorities to work out strategies to return the refineries to full operation. Adding that MOMAN was concerned at the current supply framework that has not provided any guarantee for steady and consistent supplies to the country, exacerbated further by the “current state of Government’s finances” and unpredictable international supply shortages.
Taking all these and many more other factors into consideration had therefore recommended that, single supply strategy should be reviewed. It also considered critical the urgent need of setting up, to be done by the Federal Ministry of Petroleum Resources, a taskforce whose focus will only center around increasing diesel supply through accelerated initiatives to increase local modular capacity. Above all these which it considered crucial to tackle supply and distribution challenges, were emphasis for what it called “gradual price deregulation with targeted palliatives”, defined as good transport network and agricultural subsidies, to the public, besides phased rehabilitation of existing NNPC refineries.
Ghana at the moment is facing a looming fuel shortage as the central bank rations dollars after oil prices surged following Russia’s invasion of Ukraine.
It was reported that the monthly fuel import bill for the West African country jumped to $450 million in May, from $250 million in January, with the central bank only offering about $100 million a month at its foreign exchange auctions, with licensed bulk distributors finding it difficult to plug the shortfall in the black market, people were reported to have said on the grounds of anonymity.
According to the report, Ghana’s Central Bank was reluctant to spend limited dollars importing fuel, on the excuse of trying to boost its foreign exchange holdings, people were reported to have said. Its reserves at the end of April was reported to have stood at $8.34 billion, down from $9.7 billion at the end of last year, the central bank said.

The country’s weak currency which now goes 22% against one US dollar is not helping, the
report said, adding that this year, the currency has made one of the worst outings among
African currencies tracked by Bloomberg, with the country’s inflation rate jumped to 27.6% in May, the highest level in more than 18 years, as food and transport costs surged.
Oil prices climbed as financial markets recovered from the recent week’s rout, with traders
confident that tight supplies were likely to sustain higher prices even with the contraction of the global economy.