- The House of Representatives Ad-hoc Committee probing ₦17 billion in missing crude oil and gas revenues says it is ready to re-invite key agencies including the NNPC and the DPR to a resumed public hearing, following their “unconvincing” response at the initial stage of inquiry. About 76 organisations, including international oil companies, have pending queries relating to oil exports between 2011 and 2014. The chairman of the ad-hoc committee, Abdulrazak Namdas told Thisday newspaper that about 50 oil companies had so far provided unsatisfactory answers to the issues raised while others had shunned the hearing – pleading prejudice – which the committee had repeatedly overruled. Some of the agencies which have not appeared before the committee include NIMASA, Customs, the National Petroleum Investment Management Services, and the EFCC.
- The DPR says Nigeria, the ninth largest gas producing nation in the world, lost over $850 million to gas flaring in 2015. The Deputy Director, Head of Upstream, DPR, Pat Maseli, speaking at the 10th Annual sub-Saharan Africa Oil and Gas Conference in Houston, the development led to a loss of 3,500MW of potential electricity generation and about $400 million in carbon credit value emissions. Furthermore, 55 million Barrels of Oil Equivalent was lost and 25 million tonnes of carbon dioxide emitted over the period. Maseli said with almost eight billion cubic meters of gas flared annually according to satellite data, Nigeria ranked seventh in gas flaring in the world. “At the same time, approximately 75 million Nigerians lack access to electricity,” Maseli opined. She put the Domestic Gas Supply Obligation by companies in the country at 38.18 percent in 2016, while in 2017, it was 40 percent.
- Nigeria has the highest concentration of high growth companies in Africa, according to the inaugural ‘Companies To Inspire Africa’ report. ‘Companies To Inspire Africa’ report is a London Stock Exchange Group’s synopsis of some of the fastest growing and most dynamic privately held growth companies on the continent. The report carried out in partnership with PwC, Africa Development Bank Group and CDC Group named 59 Nigerian firms out of 343 companies from 42 African countries, representing 17 percent of the total number of firms in the report. Addressing capital market participants at the launch of the report in Lagos, the co-head of emerging markets strategy, LSEG, Ibukun Adebayo, said the 59 businesses from Nigeria showed a strong base and successful growth potential in the country and good prospects for further growth. According to him, strong growth potential of these Nigerian firms provides a vital platform for job creation and skill development in Nigeria. “Industry is the biggest sector to be represented in Nigeria, with 17 companies featuring on the list, closely followed by the consumer services, where 11 providers have been selected, demonstrating the success of Nigeria’s efforts to diversify its economy,” he added.
- Nigeria’s power grid collapsed again on April 26, 2017, the second time the system crashed last month. Figures from the Transmission Company of Nigeria showed that power generation dropped significantly last week from 3,222.5 megawatts on April 25 to 113.6MW the next day. The Punch reports that the most recent system collapse was due to frequency constraints on the grid. This, according to industry sources, is despite the increased gas supply to the power plants following relative stability in the Niger Delta. Data from the National Control Centre for the power sector indicated that outages on two power lines and a transmission station contributed to the most recent collapse of the grid. The national power grid witnessed the first collapse on April 9, a development that resulted in the drop in generation from over 3,000MW to just 108.7MW. The April 9 collapse was the first recorded in the second quarter of 2017. The newspaper says that the country’s electricity grid collapsed 10 times in the first quarter.
- Sales from Dangote Cement plants across Africa significantly impacted the company’s bottom line for the first quarter ended March 31, 2017, by 74 percent to ₦208.2 billion. The company’s CEO, Onne van der Weijde, speaking at the presentation of the company’s first quarter results at the NSE, said earnings per share for the quarter increased by 36.2 percent to ₦4.25. In his words, “Dangote Cement produced record financial results in the first three months of 2017. Despite lower group volumes, we delivered significantly higher revenues and EBITDA after realigning prices late in 2016. Our new pricing strategy meant every tonne worked harder for us in Nigeria, delivering 78.4 percent more EBITDA per tonne than the same quarter last year. Dangote Cement is Africa’s leading cement producer with nearly 46 million metric tonnes per annum capacity across the continent, 29.25 million metric tonnes of which is produced in Nigeria.