Business
Edo Refinery Struggles with Crude Shortage, Calls for NNPC to Fulfill Supply Agreements
Published
5 months agoon
By
Ekwutos Blog
Edo Refinery has raised alarm over crude supply issues despite agreements with NNPC, operating below capacity due to persistent shortages.
The management of AIPCC Energy Limited, operators of the Edo Refinery and Petrochemicals Company Limited (ERPCL), on Sunday raised the alarm over the persistent lack of crude despite being a full functional 1,000 barrels per day stream crude oil refinery.
It said in spite of the disclosure by the Dangote Refinery on the refusal of the Nigerian National Petroleum Company Limited (NNPC) and the directive by President Bola Tinubu that the company should supply crude oil to Dangote Refinery and other Modular Refineries in the country in Naira denomination, the Edo Refinery was yet to get any from the relevant authorities.
Speaking to journalists in Benin-City at the weekend, the management of Edo Refinery situated at Ologbo in Ikpoba-Okha local government area of Edo State, said it was facing significant challenges due to persistent lack of crude oil supply.
Representative of the company, Segun Okeni, who spoke at the event, said the refinery, which requires 1,000 bpd stream crude can barely function at full installed capacity.
Okeni said though the company has had existing crude oil supply agreements with Seplat and ND Western since 2022, bureaucratic bottlenecks had prevented the refinery from accessing the much-needed resource.
He alleged that in 2021, ERPCL’s addressed a letter to the Group Chief Executive Officer of NNPC, Mele Kyari, after a series of meetings and constant communication with him did not hear much fruit.
“On August 18, 2021, our team led by our chairman, met with the NNPC GCEO and its top management team to discuss our intention to buy crude oil from NNPC and we immediately wrote seeking crude supply.
“In July 2022, the representatives of NNPC visited our facility for site inspection and to confirm the mechanical completion of the Edo refinery. In September 2022, we were invited for a commercial negotiation meeting with the NNPC head of terms, after which we sent a follow-up letter identifying the oil fields from which we can offtake crude oil.
“In March 2022, we also wrote to the Ministry of Petroleum Resources, informing it of our refinery status, future projects and our challenges of lack of crude oil supply to our refinery.
“We had also written and had a meeting with the NNPC Exploration and Production Limited (NEPL) between November 2022 and March 2023, indicating our severe need for crude oil supply from oil fields where NEPL has equity stakes,” he stated.
The ERPCL representative however, noted that despite the meetings, correspondences and communications with NNPC over the past three years on the issues of crude oil supply, nothing was done.
Besides, he identified other key issues encountered by the refinery as the inability of NNPC to assign any of the preferred fields to allocate crude to the company since it started having engagement with the management August 18, 2021.
He pointed out that even with the options given to allocate crude to the refinery from ND Western, First Hydrocarbon, and Seplat, nothing happened till date.
“ERPCL also has a Crude Oil Supply Agreement with ND Western to lift crude oil from the Ughelli Pumping Station (UPS) owned by NEPL and operated by Shoreline.
“We have held several meetings with Shoreline and Heritage Oil and indicated our readiness to make modifications needed to offtake crude oil from the UPS but no progress has been made till date,” the company added.
On the way forward, ERPCL said NNPC and other producers need to put loading infrastructure in place to allow for truck loading, decrying why Dangote would be getting 30,000 bpd because it opened up to the public, while smaller refineries are not being served which he likened to lack of respect for small people who can also grow the economy alongside the big players.
The representative of ERPCL therefore sought Kyari’s intervention as group GCEO of NNPC a d implement the Seplat-ERPCL agreement to enable Edo refinery to start lifting crude oil from Oil Mining License (OML).
Describing the past two years as frustrating for the establishment, he said: “If we local investors can’t get crude even as small as we are, how can foreign investors be encourage to invest in the country.
“The total daily demand of all modular refineries is not up to 2 per cent of the daily crude oil production. Our lifting from the pumping station, will even reduce pipe line losses,” he added.
Okeni argued that the advantage of loading from NNPC pumping stations to the expert terminal was that it costs less because the cost of pipeline export terminal charges and loss will be saved.
According to him, this will make the modular refineries more competitive than the offshore refineries who come to the export terminal to take the crude, thereby making cost savings to trickle down to Nigerian consumers.
“If the smallest refinery is not getting crude, it will discourage investors in that area” Okeni said, contending that because of lack of crude, OPAC Refinery operates less than 3 per cent of its installed capacity and Edo Refinery less than 10 per cent of installed capacity.
He noted that Nigeria loses millions of dollars following the inability of NNPC to supply modular refineries over the past three years which has a total installed capacity of less than 30,000bpd.
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Business
UK is SECOND most attractive country for investment according to CEOs
Published
2 hours agoon
January 22, 2025By
Ekwutos BlogBooming Britain is the world’s second-favourite place to place to invest – just behind the USA – according to a survey of global business leaders.
Around 14 per cent of the near-5,000 corporate bosses surveyed by PwC say they expect the UK to receive the most international investment in the next year.
The survey, published as the World Economic Forum gets underway in Davos, will be a boon to Chancellor Rachel Reeves after criticism of her Autumn Budget and higher-than-expected inflation.
Experts believe that the UK’s relative stability amid global economic uncertainty makes it a favourite for additional investment – and comes ahead of an expected cut in interest rates by the Bank of England amid rising wages.
Britain’s second-place ranking in the PwC CEO Survey is its best since the poll began 28 years ago, and is two places up from fourth last year.
It came second to the US (30 per cent) – and ahead of Germany, China and India (12, nine and seven per cent respectively).
The results suggest Britain is in a prime spot for an influx of investment as competing nations face growing economic crises.
Germany is in the midst of a years-long recession, while China is battling uncertainty after the EU slapped import tariffs on cars while Donald Trumpmulls over tough taxes for Chinese goods.
And 61 per cent of British CEOs say the country is in line for economic growth – up from just 39 per cent last year.
Experts speaking to MailOnline say there are a number of reasons Britain may attract investment from abroad, including in property, where prices are steady amid an ongoing housing shortage.
Jonathan Gordon, director of wealth at property investment firm IP Global, said: ‘In the context of property, the UK offers much needed stability to global investors.
‘This is not just applicable to London, but up and coming markets like Manchester and Birmingham have shown resilience in the face of global turmoil due to a constant flow of demand.’
Responding to the survey, the Chancellor said: ‘These latest results show global CEOs are backing Britain and the UK is one of the most attractive destinations for international investment.
‘And it’s this investment that will help drive economic growth and improve living standards across the UK.’
Marco Amitrano, senior partner at PwC UK, said: ‘Our CEO survey findings are a vote of confidence in the UK as a place for business and investment.
‘The UK’s relative stability at a time of instability should not be underestimated, nor should its strength in key sectors including technology.
‘However, there is no room for complacency.’
There are concerns the UK’s economy is stalling after official figures showed it grew just 0.1 per cent in November, and a run on UK Government bonds, known as gilts.
The survey data suggests more than half of UK CEOs plan to increase the size of their workforce this year – even as the Chancellor imposes hikes in national insurance and a cut in the threshold at which NI is paid from April.
Interest rates are set to be cut next month after wages rose 5.6 per cent in the three months to November, up from 5.2 per cent the previous three months.
But British bosses are also slightly less positive about the future of their own firms than they were before Labour came in – with confidence dropping from 61 per cent in 2024 to 57 per cent now.
David Belle, a broker and founder of Fink Money, has warned that the UK’s weak pound means investors may simply be using Britain to do business on the cheap before taking their money elsewhere.
‘With a weaker sterling and almost zero demand from UK citizens to own shares in UK companies, there is no bid keeping share prices higher like there is in the US, Canada and Australia,’ he told MailOnline.
‘So any foreign investor is going to see the UK as a place where they can buy assets cheap relative to future cash flows.
‘It’s a sleight of hand to hail this as a UK win. In reality, it’s the opposite.’
Rachel Reeves is travelling to the World Economic Forum in Davos this week, where she will urge company bosses to invest in the UK – likely boosted by the survey results and an upgrade of Britain’s forecasted growth by the IMF.
The international body believes Britain will see a 1.6 per cent expansion this year – slightly up from the 1.5 per cent it pencilled in last October.
‘The time to invest in Britain is now,’ she said in a statement.
She had last been seen gallivanting in China to secure £600million of investment – criticised as a meagre amount in a country with a nominal GDP of $18.5trillion –
But Ray Dalio, billionaire founder of hedge fund Bridgewater, told the Financial Times that the UK could be heading for a debt ‘death spiral’ in which it has to borrow more to cover its rising interest costs.
Business
Breaking News: Nigerian Youngest Billionaire, B-Lord, Pioneers Electric Taxi Revolution in Nigeria
Published
1 day agoon
January 21, 2025By
Ekwutos Blog
In a groundbreaking move for Nigeria’s transport and energy sectors, Nigeria’s youngest billionaire and business mogul, B-Lord, has launched an electric car taxi service, marking a significant step toward sustainable mobility in the country. The initiative is set to commence operations in Anambra State.
In an exclusive statement, B-Lord disclosed that over five containers filled with fully electric city cars are currently en route to Nigeria from China. The vehicles are expected to revolutionize public transport by providing an eco-friendly, cost-efficient, and modern alternative for commuters.
To support this venture, several charging station terminals are already under construction across Anambra State. These charging hubs aim to ensure a seamless experience for the upcoming fleet of electric vehicles, setting the foundation for a robust, sustainable infrastructure.
“This initiative is not just about transportation; it’s about boosting economic growth, creating jobs, and setting Nigeria on the global map of innovation and sustainability,” said B-Lord.
The electric taxi project is poised to enhance the state’s economy by generating employment, reducing carbon emissions, and modernizing the transportation sector. Experts believe this move will ripple across other states, driving further investment in green technology in Nigeria.
As Nigeria takes its first steps into the electric vehicle era, B-Lord’s vision is a testament to the power of entrepreneurship and innovation in shaping a better future for the nation.
Stay tuned for more updates as this transformative project unfolds!
Business
World Pizza Day: How an Italian food favourite conquered the world
Published
4 days agoon
January 18, 2025By
Ekwutos Blog17 January marks World Pizza Day, a celebration of a dish with more than 2,000 years of history. From Neapolitan and Roman styles to Margherita, diavola, and even potato-topped variations, there are few places left in the world which don’t honour this iconic culinary tradition.
In 2017, UNESCO recognised “the art of Neapolitan pizza makers” as an Intangible Cultural Heritage of Humanity, highlighting its cultural significance on a global scale.
As for the date, it wasn’t chosen randomly: 17 January coincides with the feast of St. Anthony Abbot, the patron saint of fire and related trades, including machinists, blacksmiths, and, fittingly, pizza makers.
Where is pizza eaten the most in the world? And in Europe?
In Italy, four out of ten families are expected to prepare pizza at home in 2025, according to data from Coldiretti-Ixé. Meanwhile, global pizza turnover in 2024 is projected to reach a record €160 billion, with Italy contributing €15 billion to this figure.
Pizza is a major economic driver in Italy, generating 100,000 jobs nationwide – a number that doubles to 200,000 on weekends. Each year, Italy produces 2.7 billion pizzas, equating to about 46 pizzas per person annually, a figure that includes all age groups, from infants to the elderly.
Italians’ preferences differ significantly from those of the global market. According to Coldiretti, Italians prioritize higher-quality ingredients and are willing to pay a premium for them.
Interestingly, while pizza is an Italian staple, the world’s largest per capita consumers are Americans, who eat an average of 13 kilograms of pizza per year.
In Europe, on the other hand, Italy is in first place with 7.8 kilos per year, followed by Spain’s 4.3kg, and France and Germany’s 4.2kg and in fifth position the United Kingdom with 4kg.
The rise of food delivery has significantly boosted this already thriving sector: some apps speak of ‘an order every two seconds’. Others point to year-on-year growth in turnover of 20 per cent between 2024 and 2025.
The most and least popular pizzas in the world
According to data from the food web portal TasteAtlas, the Margherita reigns as the most popular pizza in the world, followed by the Montanara and calzones. In sixth place is American-style pizza topped with cheese, vegetables, and tomato sauce. Following that is pepperoni pizza (where ‘pepperoni’ in the US refers to a type of salami) and the iconic ‘New York-style’ pizza, before circling back to fried pizza.
In last place is an Italian pizza: the ‘Mimosa pizza,’ topped with corn and cooked ham. Just above it are the Cuban pizza, the Scottish fried pizza, the Quad City-style pizza (a grilled variation popular in the US), and Canada’s unique pizza-ghetti, which features spaghetti as an additional topping.
How much does pizza cost in Italy?
Pizza has always been a popular dish in the Bel Paese, and this has never changed. On the other hand, inflation and the push for higher quality ingredients have increased the price in Italy and across Europe.
A survey by Altroconsumo calculated the average cost of a pizza, a soft drink, and service in various Italian cities. Sassari tops the list as the most expensive city (€14.67), followed by Bolzano, Milan, and Venice. On the more affordable end are Livorno (€8.67), Pescara (€9.18), Naples (€9.63), and Bari (€9.63).
Whatever pizza you love, with or without pineapple, happy World Pizza day.
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