Browsing: Oil

East African Oil Pipeline
One of the few spoken regional trade blocs of Africa is the Economic Community of Central African States (ECCAS).
Despite such little being spoken of this resource rich area, it is home to some of Africa's richest countries, yet it has for decades encountered various obstacles that have stunted social and economic progress. Human capital development is a major issue in the region, along with armed conflicts, natural disasters, and health crises.
As a result, the region's economy have not been able to flourish despite their abundance of natural resources.

Oil in Central Africa

Roughly 30% of Africa's crude oil is located in the ECCAS region.
Angola, located there, just surpassed Nigeria as Africa's largest oil producer, pumping out about1.16 million barrels per day.
Chad, the Congo, Equatorial Guinea, Gabon, and Cameroon are some of the other oil-producing countries in the area. Yet the resource has not contributed as much
  • Green hydrogen is defined as hydrogen produced by splitting water into hydrogen and oxygen using renewable electricity.
  • Green hydrogen is the future for Africa, especially in the wake of transitioning from old ways of energy production to modern systems featuring clean, renewable energies.
  • The conversation on clean and renewable energy has become interesting over the years as technology and finance in the sector grows.

Africa has the potential to produce $1.06 trillion worth of Green hydrogen energy, according to a European Investment Bank report dubbed ‘Africa’s Extraordinary Green Hydrogen Potential’.

Global demand for hydrogen is projected to rise seven fold by 2050, with Egypt, Kenya, Mauritania, Morocco, Namibia and South Africa primed to ride the demand for green energy.

Another report by Africa Green Hydrogen Alliance by 2050 asserts that green hydrogen could increase the GDP of the six nations by $126 billion, equivalent to 12 percent of their GDP.…

Senegal’s oil and gas discoveries account for only 0.07 per cent and 0.5 per cent, respectively, of world reserves.

But Senegal’s Petroleum and Energies Minister Sophie Gladima said, “they are important enough to radically change the economy and industrial fabric of our country and thereby its future prospects.”

“Just exploiting our hydrocarbons will enable us to accelerate public access to electricity and, above all, to lower the cost of production and encourage industrialisation.”

She further underlined the legal framework needed to bring thousands of Senegalese jobs into the sector and the setting up of the National Institute of Oil and Gas to turn out a highly qualified workforce.

Funny enough, Namibia, also admitted as a member, is not yet producing any oil. Namibia recently announced that it would consider joining the Organization of Petroleum Exporting Countries if the oil fields are found to be large enough for commercial development.…

The ministry argued that the oil pipeline project is being implemented strictly on international safety, environmental and social aspects, including the Human Rights Impact Assessment (HRIA).

The EACOP project has managed to amass at least US$20 billion, benefiting the two neighbouring nations immensely. That’s why Tanzania is stern on highlighting key issues regarding human rights and environmental risks.

“A dedicated HRIA was undertaken as part of the project implementation process. The HRIA assessed and put in place measures for addressing the potential adverse of the project on the human rights enjoyment,” the statement pointed out.

According to the EU Parliament statement, at least 100,000 people have been forced to move out of their homes to leave the path for the pipeline.…

East Africa (Tanzania and Uganda in this case) is endowed with plenty of natural resources that mark it as a potential region for investment and economical prosperity. The East Africa Crude Oil Pipeline (EACOP) is another milestone that will levitate Tanzania to a good position economically.

The crude oil project which was stalled since 2019, has taken a new leap that sounds promising to the two countries which are eyeing maximizing the potential of $15 billion in investment (The East African 2021).

Earlier this week, the project was signed off by Uganda President Yoweri Museveni in the nation’s capital, Kampala and Tanzanian President Samia Suluhu. The process was postponed from the original date of March 22 after the sudden death of President John Magufuli.

The EACOP project landscape

This historic project plans to transfer crude oil via a 1,445 long pipeline extending from western Uganda to the Indian ocean in …

The ravaging Covid-19 pandemic earlier last year 2020 forced the Federal Government of Nigeria to suspend borrowing from International market but with their progressive economic recovery they have since announced plans to re-enter the international debt market this year once again.

Patience Oniha, the Director-General of the Debt Management Office (DMO), revealed this during a Reuters interview on Wednesday, April 7, 2021.

According to the Director-General of the Debt Management {DMO} the country will issue Eurobonds in 2021, with specifics to be published soon and an open bidding procedure for advisors.

ALSO READ: Folorunso Alakija Drops From Forbes List Of Nigeria’s Dollar-Billionaires

She also confirmed that the Eurobond would be included in the budget’s external borrowing plans for 2021.

A Eurobond is a debt instrument that’s denominated in a currency other than the home currency of the country or market in which it is issued.

Nigeria’s outstanding Eurobonds debt as …

Folorunso Alakija has been dropped from Nigeria’s Forbes list of dollar- billionaires for a second year in a row according to a statement released by Forbes 2021 world billionaires on Tuesday.

The Nigerian Africa Billionaire businesswoman is involved in the fashion, Oil, real estate and printing industries. She is currently the group managing director of The Rose of Sharon  Group which consists of The Rose of Sharon Prints & Promotions Limited, Digital Reality Prints Limited and the executive vice-chairman of Famfa Oil Limited.

Nigeria the most populous country in Africa and the seventh most populous in the world with an estimation of 206 million inhabitants as of late 2019 with the largest economy in Africa has only three dollar-billionaires now.

ALSO READ: Tanzanian Billionaire Mohammed Dewji Lands Investment Advisory Job In S.A

The current world dollar-billionaires in Nigeria according to Forbes are Chairman of Dangote group that spans a range …

 

The Nigerian National Petroleum Corporation (NNPC) has recorded an increase of 80.12% in trading surplus in a month. This increase was recorded between the month of December 2020 and November 2020 which stood at 63,532,499.89 USD and 35,272,487.54 USD surplus respectively.

According to the Group General Manager, Group Public Affairs Division of the Corporation, Dr. Kennie Obateru this increase was captured in the month of December 2020 edition of the NNPC Monthly Financial and Operations Report [MFOR]

The trading surplus figure is usually derived after deducting the expenditure profile from the revenue in the period under review. It is also known as the trading deficit.

The report also shows an increment of the operating revenue of the NNPC Group in December 2020 by 33.44% or 359,816.14USD as compared to November 2020 to stand at 1,435,718,936.08USD

Similarly, expenditure for the month increased by 27.54% or 296,283,642.51USD to stand at …

The guns on the plains of South Sudan seem to have fallen silent. But there is a more severe battle going on. The country is experiencing on of its worst financial crisis since its independence with prices of basic goods skyrocketing to unprecedented levels. 

 Some news agencies are reporting that communities are opting to live in UN refugee camps, where they are assured of a meal and shelter rather than live in their own homes. The central bank is unable to intervene and reduce the country’s skyrocketing inflation rate, which now stands at 35%. 

The situation has been attributed to multiple issues. The country has hardly been peaceful since it gained independence from Sudan. There has been heightened political animosity which has often led to full-blown military conflict.  

There has been little or no investment to a point where the UN has considered paving some of the roads in the

The year started out as very promising, Nigeria's crude oil and gas export sales revenue hit a record USD434.85 million in January. That was apparently the best the sector would do this year. It is estimated that the country’s oil revenue is likely to decline by 80 percent this year.  In fact oil export volume is projected to fall to 1.3 million barrels per day.

For a country where oil represents 90 percent of the country's exports, 30 percent of bank credits and 50 percent of fiscal revenues, an 80 percent fall (USD17 billion) spells doom not only for the sector but the economy as a whole.

The prediction is made by the country’s high profile and member of the Economic Advisory Council, Mr. Bismarck Rewane in a report titled: "Making Hay While the Sun Has Set."

"The federal government is struggling with the reduction and elimination of subsidies without…