TheNewsGuru

Tag: OPEC

  • Crude oil production: Angola, Libya maintain lead over Nigeria

    Crude oil production: Angola, Libya maintain lead over Nigeria

    Angola and Libya have for the second consecutive month maintained their lead over Nigeria as Africa’s highest crude oil producers, according to a report by the Organisation of the Petroleum Exporting Countries (OPEC).

    OPEC made this known in its Oil Market Report for October. According to the report, Nigeria’s crude oil production in September averaged 1.087 million barrels per day.

    The report said the figure showed an increase of about 30,000mb/d when compared to the 1.057mb/d produced averagely in August.

    However, like the preceding month, the report said Angola remained Africa’s highest crude oil producer for the month under review with an average production of 1.184mb/d.

    It said Libya’s crude oil production also averaged 1.152mb/d in September.

    “According to secondary sources, total OPEC-13 crude oil production averaged 29.77 mb/d in September, higher by 146,000 barrels per day month-on-month.

    “Crude oil output increased mainly in Saudi Arabia, Nigeria, Libya and the UAE, while production in Iraq, Venezuela and IR Iran declined,” the report said.

    The report said the latest data suggested that inflation accelerated to 20.5 per cent year-on-year (y-o-y) in August from 19.6 per cent y-oy in July.

    It said the recent rate had been fuelled by domestic and international constraints on supply chains, a weakening naira as well as higher energy and transportation prices.

    “Moreover, floods in the northern part of the country, which have weighed significantly on the grain harvest, could lead to even higher prices.

    “However, considering the broad money-supply growth of 21 per cent y-o-y in August, there is a significant monetary component behind the inflationary spiral.

    “In response, the Central Bank of Nigeria (CBN) recently hiked the policy rate for the third time this year by 150 basis points, to 15.5 per cent, adding up to a cumulative 400 bps.

    “The CBN also increased the minimum Cash Reserve Ratio (CRR) by 500 bps, to 32.5 per cent, from 27.5 per cent previously, but kept the liquidity ratio unchanged at 30 per cent.

    “For the time being, the Stanbic IBTC Bank Nigeria Purchasing Manger’s Index increased to 53.7 in September 2022 from 52.3 in the previous month,” the report said.

    It said this was a reflection of a stable improvement in overall business conditions as sentiment remained positive, supported by the outlook for the fossil fuel market.

  • U.S. to “re-evaluate” relationship with Saudi Arabia over financial support for Russia- Biden

    U.S. to “re-evaluate” relationship with Saudi Arabia over financial support for Russia- Biden

    United States President, Joe Biden, Tuesday, revealed that America needs to “re-evaluate” its relationship with Saudi Arabia, especially in light of the decision by the OPEC+ oil cartel to cut production following the latter’s financial support for Russia after its invasion of Ukraine.

    According to the White House: “I think the president’s been very clear that this is a relationship that we need to continue to re-evaluate, that we need to be willing to revisit,” White House spokesman John Kirby said in an interview with CNN. “And certainly in light of the OPEC decision, I think that’s where he is.”

    Sen. Bob Menendez, the New Jersey Democrat who chairs the Senate Foreign Relations Committee, on Monday called on the U.S. to “immediately freeze all aspects of our cooperation with Saudi Arabia, including any arms sales and security cooperation beyond what is absolutely necessary to defend U.S. personnel and interests.”

    Menendez cited Saudi Arabia’s financial support for Russia after its invasion of Ukraine.

    His get-tough-on-Saudi-Arabia stance seems to be gaining traction with other Senate Democrats as the administration eyes conversations with Congress about the U.S. relationship with Saudi Arabia.

    On Tuesday, during a brief meeting meant to tee-up consideration of the National Defense Authorization Act next month, Senate Armed Services Chairman Jack Reed, a Rhode Island Democrat, told reporters that he is “very supportive of Menendez” and his efforts to end arm sales and security cooperation with Saudi Arabia.

    “I think we should look carefully at everything we’re sending them,” Reed said. “Because their inability to cooperate with the West and their willingness to cooperate with Russia is very disturbing.”

    Last week, Democratic Sen. Dick Durbin of Illinois, who chairs the Senate Judiciary Committee, called on the Senate to pass a bill that would allow the Justice Department to sue oil cartel members for antitrust violations, including, he said, “price fixing by OPEC” and its partners.

    Sen. Angus King, a Vermont independent who caucuses with Democrats, said he agrees with proposals to cease sending arms to Saudi Arabia.

    “Why should we? If they don’t have any ore concern for international security and stability of the world economy, why should we be helping them?” King said.

    Biden would be willing to start conversations with Congress “right away,” Kirby said.

    The move by OPEC+ could send oil prices higher, which in turn, could raise prices at the gas pump in the United States. Higher gas prices could hurt Biden and Democrats politically heading into this fall’s midterm elections.

    Biden traveled to Saudi Arabia in June to, in part, push the kingdom’s leaders to increase production.

    After OPEC+ announced the production cut last week, Biden’s top economic adviser, Brian Deese, told reporters the White House would “be assessing and consulting closely with Congress around a range of issues on the back end of this.”

    Deese, the director of the White House National Economic Council, declined to say whether the Biden administration thought the U.S. should continue to provide weapons and other military assistance to Saudi Arabia if the Gulf nation was not willing to keep the price of gas in the U.S. lower.

  • OPEC+ cuts oil production to support sagging oil prices

    OPEC+ cuts oil production to support sagging oil prices

    The Organization of the Petroleum Exporting Countries (OPEC) and Non-OPEC Participating Countries have decided to cut oil production by 2 million barrels per day.

    TheNewsGuru.com (TNG) reports that the decision was reached at the 45th meeting of the Joint Ministerial Monitoring Committee (JMMC) of OPEC+.

    The meeting was also the 33rd OPEC and Non-OPEC Ministerial Meeting, which took place in person for the first time after the COVID-19 pandemic at the OPEC Secretariat in Vienna, Austria on Wednesday.

    According to OPEC+, the decision to cut oil production by 2 million barrels per day was reached in light of the uncertainty surrounding the global economic and oil market outlooks, and the need to enhance the long-term guidance for the oil market.

    According to a communique issued at the end of the meeting, the cut in oil production is effective November 2022 for OPEC and Non-OPEC Participating Countries, reiterating the critical importance of adhering to full conformity.

  • Nigeria overtaken by Libya, Angola in oil production – OPEC

    Nigeria overtaken by Libya, Angola in oil production – OPEC

    The Organisation of Petroleum Exporting Countries (OPEC) has noted that two  oil-producing African countries Angola and Libya have overtaken Nigeria in oil production. Nigeria’s oil capacity has drastically dropped to 972,000 barrels per day in August 2022.

    This revelation was made known by OPEC in its September 2022 report, confirming the figures released by Upstream Petroleum Regulatory Commission.

    Nigeria’s crude oil production slumped below one million barrels per day in August 2022, the lowest ever in several years.

    A survey in the Upstream Petroleum sector shows that the country’s oil production dropped below one million barrels per day to 972,394 bpd, the lowest in many years.

    It stated that figures from the NUPRC indicated that the country’s oil production dropped from 1,083,899 bpd in July to 972,394 bpd in August.

    Confirming this in its September 2022 oil sector report released on Tuesday, OPEC stated that the drop in Nigeria’s oil production made Angola and Libya to overtake Nigeria in oil output.

    The report stated that Angola was Africa’s highest crude oil producer for the month under review with an average production of 1.187mb/d.

    It said Libya’s crude oil production averaged also 1.123mb/d for August.

    “According to secondary sources, total OPEC-13 crude oil production averaged 29.65 mb/d in August, higher by 618,000 month-on-month,” it stated.

    The report further revealed that production of oil in Angola, Saudi Arabia increased in the month in review whilst production in Nigeria has drastically reduced due to some factors in the country.

     

  • We will soon reveal ‘big men’ behind crude oil theft – Garba Shehu

    We will soon reveal ‘big men’ behind crude oil theft – Garba Shehu

    Malam Garba Shehu, Senior Special Assistant to President Muhammadu Buhari on Media and Publicity has said the federal government would soon reveal the identities of important personalities behind crude oil theft in the country.

    Shehu said that as part of efforts to rid the country’s economy from sabotage of greedy few, security operatives had raided locations where illegal oil bunkering thrive.

    Speaking on Trust TV’s Politics Today, Shehu hinted that there might be cases of some law enforcement agents engaging in the illegal act, but said that new measures were being taken to put a stop to it.

    “Oil theft is being tackled. The big problem we have in this country is that we ought to see more commitment from communities in assisting law enforcement agents. In some cases, where some actors in the law enforcement are complicit, it becomes bad,” he said.

    He added that it was embarrassing for Nigeria not to meet up with the quota given to it by the Organisation of Petroleum Exporting Countries (OPEC).

    “We used to fight the OPEC for more quotas; now, they have given us and we are not able to meet up. This is embarrassing. Security agencies are fully involved in stopping this act.

    “I am hopeful that in the next few days, the office of the National Security Adviser will be presenting to the country, big men who are promoters of this kind of business as they are being caught and illegal refineries are being bombed out.

    “The Nigerian National Petroleum Company (NNPC) Limited is also installing a monitoring capacity to detect or advise immediately when sabotage of oil pipelines happen,” he said.

  • Atiku mourns Barkindo, says he was a worthy ambassador of Nigeria

    Atiku mourns Barkindo, says he was a worthy ambassador of Nigeria

    The Peoples Democratic Party (PDP) Presidential Candidate, Atiku Abubakar, on Wednesday mourned Muhammad Barkindo, outgoing Secretary-General, Organisation of Petroleum Exporting Countries (OPEC).

    Abubakar on his Twitter handle on Wednesday said he was saddened by the passing away of the former Group Managing Director, Nigerian National Petroleum Company (NNPC), who died in Nigeria on Tuesday at the age of 63 years.

    Abubakar described Barkindo as “a worthy ambassador of Nigeria, who left indelible marks in his service to the nation and OPEC.

    “He was indeed a worthy ambassador of Nigeria.

    “He died in active service, having delivered a speech at the ongoing Nigerian Oil and Gas Conference in Abuja and held a meeting with President Muhammadu Buhari hours before his passing away.

    “He was my very good friend, and he will be surely missed.”

    Abubakar condoled with the family and friends of Barkindo, management and staff of NNPC and OPEC.

    He prayed that Allah forgives his sins and grants him Aljannah Firdaus.

  • Nigerian petroleum industry holds night of tributes for Barkindo

    Nigerian petroleum industry holds night of tributes for Barkindo

    The Nigerian petroleum industry on Wednesday in Abuja held a night of tributes for the departed Dr Mohammed Barkindo, the Secretary-General of the Organisation of the Petroleum Exporting Countries (OPEC).

    TheNewsGuru.com (TNG) reports that Barkindo passed on in Abuja on Tuesday at the age of 63 and was buried on Wednesday in Yola, Adamawa State, in accordance with Islamic rites.

    Speaking at the ceremony which coincided with the 2022 Nigeria Oil and Gas (NOG) Award, Mr Mele Kyari, the Group Managing Director, Nigerian National Petroleum Company Ltd., said Barkindo’s demise was a shock to the industry.

    Represented by Mr Adetunji Adeyemi, the Group Executive Director, Downstream, NNPC, Kyari prayed God to grant the family the fortitude to bear the loss.

    Mr Mike Sangster, the Managing Director, TotalEnergies EP Nigeria Ltd., said the loss was for the family, the country Nigeria, the oil and gas industry and the world at large.

    Sangster who was represented by Mr Charles Ebereonwu, the Country Communications Manager, TotalEnergies Nigeria, described Barkindo as a humble and hardworking man who made enormous contributions to the oil and gas industry.

    “All we can do is to pray for the family for the fortitude to bear the loss and the Almighty God to grant his soul eternal rest,” he said.

    Also, Mr Rick Kennedy, the Chairman, Oil Producers Trade Section (OPTS), described Barkindo as a true giant of the industry.

    Kennedy said the contributions of the departed global energy leader could not be overemphasised, adding that his death was a huge loss to the sector.

    On his part, Mr Osagie Okunbor, the Country Chair, Shell Companies in Nigeria, said Barkindo was an iconic figure in the oil and gas industry whose death came as a very rude shock to stakeholders.

    Okunbor said OPEC was able to overcome multiple crisis due to his outstanding leadership, adding that he made Nigeria and Nigerians proud on the global stage.

    In his tribute, Mr Simbi Wabote, the Executive Secretary, Nigerian Content Development and Monitoring Board, said Barkindo was a role model and someone worthy to be admired.

    “He was the icon of our time. His death is a great loss to Nigeria. God knows best. When our time is up, there is nothing we can do.

    “He has played his part and we can only continue from where he stopped,” Wabote said.

  • President Buhari pays tribute to Barkindo

    President Buhari pays tribute to Barkindo

    President Muhammadu Buhari has paid tribute to the late Secretary-General of the Organisation of Petroleum Exporting Countries (OPEC), Alhaji Mohammed Sanusi Barkindo.

    TheNewsGuru.com (TNG) reports President Buhari described the death of Barkindo, who visited him at the State House in Abuja hours before he died, as sad.

    In a statement released by Femi Adesina, Special Adviser to the President, Media & Publicity, Buhari prayed God almighty to grant repose to the soul of the departed and comfort to all who mourn.

    The President as well conveyed his deepest condolences to the Barkindo family, his colleagues at OPEC, as well as the government and people of Adamawa State.

    The statement reads: “The President pays tribute to the remarkable gentleman and enormous national asset, who from his youthful days worked meritoriously in the service of the nation in various national and international capacities, and never stopped being a beacon of light to the country he loved until his last breath.

    “The President affirms that Barkindo’s undeniable brilliance and legacies as a dedicated public servant will remain a reference point in the oil and gas industry, international development and the environment sector.

    “The President recalls that his profound decency and mien greatly endeared him to Nigerians and other nationals who came in direct contact with him as a young Principal Administrative Officer with the Nigeria Mining Corporation; Special Assistant to the Minister of Mines, Power and Steel as well as Minister of Petroleum Resources; and later in his 24 years of service in the Nigerian National Petroleum Corporation; Nigerian Delegate to OPEC Ministerial Conferences; Nigeria’s Governor for OPEC; and leader of Nigeria’s technical delegations to the climate change negotiations since inception in 1991 that produced the United Nations Framework Convention on Climate Change (UNFCCC) and the Kyoto Protocol to the UNFCCC.

    “The President salutes Barkindo’s leadership at OPEC, including during very turbulent times in 2016 and 2020, noting that the Declaration of Cooperation birthed under his watch helped strengthen and consolidate OPEC/non-OPEC cooperation and dialogue.

    “President Buhari conveys his deepest condolences to Barkindo family, colleagues at OPEC, as well as the government and people of Adamawa State.

    “He prays God almighty to grant repose to the soul of the departed and comfort to all who mourn”.

  • BREAKING: Buhari reshuffles cabinet, newly-designated ministers assigned portfolios

    BREAKING: Buhari reshuffles cabinet, newly-designated ministers assigned portfolios

    President Muhammadu Buhari has reshuffled his cabinet and assigned portfolios to newly-designated ministers, with eleven (11) ministerial positions affected by the cabinet reshuffle.

    TheNewsGuru.com (TNG) reports President Buhari assigned portfolios to the seven newly appointed ministers on Wednesday, charging them to serve the nation diligently and to maintain unalloyed loyalty to the country and office of the President.

    The President also announced the reassignment of portfolios in his cabinet, saying the new redeployment is aimed at reinvigorating certain sectors where the government desires to accomplish improved results.

    Speaking at the swearing-in ceremony, which preceded the virtual Federal Executive Council (FEC) meeting, the President said as his administration is now on the home-stretch of its second term, more work still needs to be done in diverse areas of the economy and national life.

    The newly appointed ministers and their portfolios are: Ikechukwu Ikoh, Minister of State, Science and Technology; Umana Umana, Minister of Niger Delta Affairs; Udi Odum , Minister of State, Environment; Ademola Adegoroye, Minister of State, Transport; Umar Ibrahim El-Yakub, Minister of State, Works and Housing; Goodluck Opiah, Minister of State, Education and Nkama Ekumankama, Minister of State, Health.

    The following ministers were re-assigned: Senator Adeleke Mamora, Minister of Science and Technology (formerly Minister of State, Health); Mu’azu Jaji Sambo, Minister of Transportation (formerly Minister of State, Works and Housing); Sharon Ikeazor, Minister of State, Niger Delta (formerly Minister of State, Environment) and Sen. Gbemisola Saraki, Minister of State, Mines and Steel Development (formerly Minister of State, Transportation).

    President Buhari urged the newest members of his cabinet to consult and collaborate with older cabinet colleagues and focus on driving key programmes already initiated by this administration.

    He also warned all members of the cabinet against corrupt practices, reiterating that public officers must be above board and those caught in corrupt practices would face the full wrath of the law.

    “I begin this address by welcoming on board, all newly sworn-in members of the Federal Executive Council. I also congratulate you because the process that you all passed through to reach this stage has been rigorous and meticulous.

    “The appointment of these new Ministers is in line with the provisions of the 1999 Constitution of the Federal Republic of Nigeria which prescribes that the Federal Executive Council shall be made up of members from every state of the Federation.

    “I therefore urge you to consider your emergence out of millions of equally qualified Nigerians within the purview of selection from your State, as a call to duty which imposes the obligation to serve the nation diligently and presents to you the unique opportunity to work hard in service to the Government and the country.

    “At the valedictory session for six former Ministers that departed to pursue other political careers, I promised that their replacement shall be a matter of priority so that the business of governance would not experience delays or setbacks.

    “This administration has been in the saddle since 2015 and is now on the home-stretch of its second term, as the nation prepares for the 2023 general elections. All through, it has vigorously pursued the three main electoral objectives namely: Securing the nation; Diversifying & growing the economy as well as fighting corruption.

    “You are all coming on-board at this time with new energy, ideas, experiences and vigour, to join the existing team so that the implementation of policies, programs and projects associated with these electoral objectives would be escalated and accelerated.

    “There is still so much to be done for our country in the areas of infrastructure development, energy, access to finance, access to justice, technology and innovation, trade, agriculture, education and security. The list is inexhaustible,’’ he said.

    President Buhari urged the newly appointed ministers to be conscious that time is of the essence as they assume office.

    “As I assign you portfolios, therefore, I expect you to carefully study your sectors, take wise counsel, reach out to key stakeholders, consult and collaborate with older cabinet colleagues and focus on driving key programs already initiated by this administration. Above all, be loyal to your President and your country”.

    Underscoring the need for the old and new members of his Cabinet to work with common objectives of leaving indelible legacies for Nigerians and ending strongly with verifiable accomplishments, the President warned:

    You must resist bad counsel, resist temptation and be circumspect in your utterances and conduct. You must totally eschew corruption and be above board because if caught there will be no sacred cows,’’ he said.

    The President told the newly appointed ministers to await further communication on their appropriate Ministerial Mandates from the Secretary to the Government of the Federation.

    Prior to the commencement of the FEC meeting and swearing-in ceremony, the Council observed a minute of silence in honour of the Secretary-General of Organisation of the Petroleum Exporting Countries (OPEC), Mohammed Barkindo, who died on Tuesday in Abuja.

  • OPEC Secretary General, Barkindo dies 3 weeks to end of tenure

    OPEC Secretary General, Barkindo dies 3 weeks to end of tenure

    The Secretary General of the Organisation of Petroleum Exporting Countries (OPEC), Muhammad Sanusi Barkindo is dead.

    TheNewsGuru.com (TNG) reports Barkindo died on Tuesday at about 11 pm, hours after meeting with President Muhammadu Buhari in Abuja.

    His death was announced in the early hours of Wednesday by the Group Managing Director (GMD) of Nigerian National Petroleum Company (NNPC) Limited, Mele Kyari.

    “We lost our esteemed Dr Muhammad Sanusi Barkindo. He died at about 11 pm yesterday 5th July 2022.

    Certainly a great loss to his immediate family, the NNPC, our country Nigeria, the OPEC and the global energy community. Burial arrangements will be announced shortly,” Kyari tweeted.

    TNG reports President Buhari had on Tuesday received Barkindo at the State House in Abuja, where the president described him as a worthy ambassador of the country.

    Buhari had said posterity will remember Barkindo kindly for making the nation and himself proud during his six years of meritorious service at the helm of affairs as the 4th OPEC Secretary-General from Nigeria.

    Barkindo’s tenure as OPEC Secretary General comes to an end on July 31.