Emmanuel Ochayi
President Bola Tinubu has given the green light for a new round of bidding to revitalize abandoned oil and gas fields in Nigeria.
This announcement, made by Minister of State for Petroleum Senator Heineken Lokpobiri, comes in the wake of the country’s efforts to reinvigorate its energy sector.
Join our WhatsApp ChannelAddressing the plan during a visit to Waltersmith Petroman Oil Limited’s modular refinery in Imo State, Lokpobiri stated, “Marginal fields would (henceforth) be prioritized in terms of their location to those who have modular refineries, so that they will be able to produce.”
This move arrives on the heels of recent efforts by the Nigeria Extractive Industries Transparency Initiative (NEITI) and the Oil Producers Trade Section (OPTS) to fortify transparency and accountability within the nation’s oil, gas, and solid minerals sectors.
The upcoming bid round follows the prior offering of 57 marginal oilfields in 2020, a process that concluded last year but faced challenges as many awardees struggled due to funding and regulatory issues.
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“The federal government’s policy reserves this exercise exclusively for Nigerian companies,” Lokpobiri emphasized, highlighting the intention to bolster local firms’ participation in the country’s energy sector.
He also commended Waltersmith Group and the Nigerian Content Development and Monitoring Board (NCDMB) for their support in enhancing domestic refining capacity.
“The quickest way to fix our energy challenge in the country should be through modular refineries,” he added, stressing their importance while larger refineries undergo rehabilitation.
Acknowledging the success of Waltersmith, Lokpobiri urged other licensed companies to emulate their proactive investments, cautioning that failure to develop allocated marginal fields might result in their reallocation.
“We are committed to supporting growth,” the minister assured, citing the government’s determination to aid ventures like Waltersmith. The NCDMB’s direct involvement in Waltersmith’s operations was praised for facilitating the refinery’s establishment and operations.
Meanwhile, Waltersmith Petroman Oil Limited’s President and CEO, Mr. Abdulrasaq Isa, outlined plans for substantial expansion, aiming to escalate the refinery’s capacity and petroleum production.
In a parallel move, NEITI and OPTS convened to reinforce measures for transparency and accountability in the extractive industries. NEITI’s Executive Secretary, Dr. Orji Ogbonnaya, highlighted the imperative of company engagement within the global Extractive Industries Transparency Initiative (EITI), emphasizing NEITI’s role as a facilitator rather than a punitive entity.
The NEITI-Companies Forum, a platform fostering dialogue between NEITI and operating companies, aims to bolster collaboration, ensuring compliance and mutual understanding between stakeholders.
“We are going to communicate very directly,” Ogbonnaya affirmed, emphasizing the need for enhanced company representation and participation.
OPTS Executive Director, Mr. Gwueke Ajaifia, reiterated the industry’s commitment to transparency and readiness to support NEITI’s initiatives, recognizing the role of transparency in countering corruption and mismanagement.
Emmanuel Ochayi is a journalist. He is a graduate of the University of Lagos, School of first choice and the nations pride. Emmanuel is keen on exploring writing angles in different areas, including Business, climate change, politics, Education, and others.
