OIL AND GAS

Gas must replace dirtier fuels to drive energy transition in Africa – NLNG MD

Published

2 days ago

May 25, 2025

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

The Managing Director and Chief Executive Officer of NLNG, Philia Mshelbila, on Wednesday, called for deliberate efforts for the displacement of dirtier fuels, like biomass, by natural gas to drive energy transition in Africa.

Mshelbila made the call during a panel session titled “Diversity of Gas Development Globally” at the 29th World Gas Conference in Beijing, China which held from 19th May to 23rd May 2025.

He remarked that the most important factors for energy, especially natural gas, were availability and affordability, stressing the need to solve infrastructure challenges to ensure that critical energy is getting to where it’s needed, at affordable rates.

.“Today, Africa’s population is about 1.4 billion, and most people still use biomass for cooking and liquid fuels for transportation. Power generation comes from a mix of hydro, natural gas, and, in many cases, diesel.

This is where natural gas has a major opportunity, to displace dirtier fuels. Africa’s population is expected to grow to 2.5 billion in the next 25 years, adding over a billion people. For the existing population, we need to shift from biomass to gas. For the next billion, we must ensure that natural gas becomes the primary energy source before transitioning to renewables.

But none of this will happen without solving access and affordability,” he said.Mshelbila emphasised the significance of Nigeria’s Decade of Gas initiative as a strategic pathway for replacing high-emission fuels with cleaner low carbon fuels.“The Decade of Gas is Nigeria’s strategic roadmap to replace high-emission fuels with cleaner, more affordable gas solutions.

Gas is not just a bridge; it is a foundation for achieving energy access, industrialisation, and environmental sustainability.“For the past 25 years, there’s been significant focus on exports because the country needed the revenue, which is critical for development. However, domestic utilisation has lagged.

The Decade of Gas looks at supply, demand, infrastructure, and commercial frameworks to unlock gas utilisation.

Considerable work has gone into removing bottlenecks and challenges that have hampered gas utilisation, both for domestic use and export.“One example is the push for Compressed Natural Gas (CNG) in transportation, which is now gaining momentum. Another focus area is LPG, which NLNG has spearheaded.

We have decided that our production of over 500,000 tonnes per annum will be entirely deployed for domestic use. The goal is to displace biomass and kerosene used for cooking.

This isn’t just about the cleanliness of natural gas, it’s also about addressing health issues related to indoor air pollution, which causes over 100,000 deaths annually among women and children. All these aspects are part of the Decade of Gas initiative.

Our aim is that by 2030, we will have significantly increased natural gas utilisation to displace dirtier fuels and create a new foundation for future growth,” he added.Addressing the continent’s diverse energy landscape, Mshelbila underscored the need for localised solutions.

He said while countries such as Nigeria, Algeria and Egypt possess abundant reserves, gas utilisation rates remain low due to a lack of enabling infrastructure and policy clarity.

He called for deliberate policies to foster infrastructure expansion, local content development, and innovation. “From a developing world perspective, I believe it starts with creating the right investment environment.

We speak from real experience here. Although we have had natural gas for decades, it was only last year, as part of the Decade of Gas initiative, that we established clear fiscal terms for deepwater gas. Before that, investors took on significant risks because the fiscal terms weren’t defined.

This is a clear example of government providing necessary clarity, so investors know exactly what they’re committing to.Mshelbila stated that infrastructure development could be driven by policy and emphasised that the right investments could promote gas infrastructure expansion. On pricing, he expressed complete opposition to government price regulation. However, he acknowledged that significant vulnerable populations in the developing world needed protection.

He stressed the importance of ensuring affordability and access to natural gas for these groups.

On the conversation on energy transition and sustainability, he stated that policy played a crucial role, noting that policies varied globally with the EU leaning toward regulation and the US favouring incentives.

He added that there was a role for policy in stimulating the energy transition appropriately, though the approach would differ across regions.Mshelbila was on the panel with Jack Fusco, President and CEO of Cheniere, U.S.A, Peter Wong, Managing Director of Hong Kong and China Gas Company Limited and Andrea Stegher, Senior Advisor at SNAM and Vice President of the International Gas Union, organisers of the conference.

OIL AND GAS

Seplat Energy Wins Nairametrics’ ‘M&A Deal of the Year’ Award

Published

2 days ago

May 25, 2025

august24admin

Seplat Energy Wins Nairametrics’ ‘M&A Deal of the Year’ Award

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Leading indigenous energy company in Nigeria, Seplat Energy Plc, has clinched the ‘M&A Deal of the Year’ award at the Nairametrics Capital Market Choice Awards held in Lagos at the weekend.

L-R: Stanley Opara, Manager Corporate communications, Seplat Energy; Tunji Andrews; CEO Awabah; Isoken Obi-Chukwu, CEO GrandExploits Ltd; Chioma Afe, Director, External Affairs & Social Performance, Seplat Energy, at The Nairametrics Capital Market Choice Awards, where Seplat Energy won the ‘M&A Deal of the Year’ Award in Lagos … on Friday

The award ceremony themed ‘Capital Market as a catalyst for Nigeria’s Economic Transformation’ was graced by leading companies listed on the Nigerian Exchange Limited (NGX) and other players in the country’s capital market covering banking, energy, insurance, industry, aviation, construction, food & beverage, and hospitality, amongst other sectors.

Seplat Energy completed the deal on the acquisition of Mobil Producing Nigeria Unlimited (MPNU) – renamed Seplat Energy Producing Nigeria Unlimited (SEPNU) from ExxonMobil in December 2024.

The Nairametrics Capital Market Choice Awards is a milestone initiative aimed at reinforcing the company’s commitment to promoting transparency, financial literacy, and excellence within Nigeria’s financial ecosystem. 

According to Ugo Obi-Chukwu, Founder and Chief Analysts at Nairametrics, “The capital market is home to professionals and organisations that have significantly influenced Nigeria’s financial landscape. The awards initiative is Nairametrics way of recognising and celebrating their impact.

“From strengthening investor confidence to driving corporate governance and market reforms, these players have been instrumental in shaping the market’s evolution. The Capital Market Choice Awards is our way of saying ‘thank you’ while encouraging the continuous pursuit of excellence.”

Seplat Energy completed the transformational acquisition of MPNU last year, which more than doubled the company’s production and increased its reserves. The acquired assets have a world-class history as some of Nigeria’s most important oil fields.

Seplat Energy was represented at the awards ceremony by the Director External Affairs & Social Performance, Chioma Afe; and the Manager Corporate Communications, Stanley Opara. In her remark, Afe thanked Nairametrics for the recognition and show of excellence in celebrating the impact of businesses in Nigeria’s capital market.

Afe described the completion of the MPNU deal as a show of hard work, resilience and commitment to the Nigerian course. She also thanked President Bola Ahmed Tinubu GCFR, for supporting the transaction, and appreciated the support and diligence of the various Ministries and regulators for all the work to reach a successful conclusion.

According to her, the company’s mission is to deliver value to all its stakeholders, as it treasures the good relationships that have been developed with the government, regulators, communities and staff.

The acquisition has the capacity of positioning Seplat Energy to drive growth and profitability, whilst contributing significantly to Nigeria’s future prosperity. The completion of the acquisition has created Nigeria’s leading independent energy company, with the enlarged company having equity in 11 blocks (onshore and shallow water Nigeria); 48 producing oil and gas fields; 5 gas processing facilities; and 3 export terminals.

The acquisition of the entire issued share capital of MPNU adds the following assets to the Seplat Group: 40% operated interest in OML 67, 68, 70 and 104; 40% operated interest in the Qua Iboe export terminal and the Yoho FSO; 51% operated interest in the Bonny River Terminal (‘BRT’) NGL recovery plant; 9.6% participating interest in the Aneman-Kpono field; and approximately 1,000 staff and 500 contractors have transitioned to the Seplat Group.

OIL AND GAS

NLNG urges supportive policies to drive decarbonisation in LNG shipping

Published

2 days ago

May 25, 2025

august24admin

NLNG urges supportive policies to drive decarbonisation in LNG shipping

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

NLNG has called for policies and regulations to be tailored to the uniquiness, dynmaics and challenges of the LNG shipping industry to drive decarbonisation and prepare for a net-zero future.

Olakunle Osobu, NLNG’s Deputy Managing Director, represented by Tolu Longe, Manager, Commercial Contract Management at a panel session on LNG shipbuilding & LNG transportation at the World Gas Conference in Beijing
Speaking during a panel session on LNG Shipbuilding and Transportation at the 29th World Gas Conference (WGC2025) in Beijing, NLNG’s Deputy Managing Director, Olakunle Osobu, represented by Tolu Longe, Manager, Commercial Contract Management, emphasised that policies should also incentivize innovation across the vessel lifecycle—from construction to decommissioning—while supporting unproven but promising technologies.

“Unlike shipping, where the IMO provides global oversight, other sectors face fragmented national regulations. More cohesive policies could accelerate decarbonisation, particularly in emerging areas like onboard carbon capture.

Modular capture systems exist, but without regulatory and economic frameworks, they remain commercially unviable.

“Financing remains a major hurdle. The financial sector has been slow to align with decarbonisation goals, often prioritising traditional credit metrics over climate impact.

This disparity is especially pronounced in regions like Africa, where access to subsidies or low-cost financing is limited. Partnerships with institutions like Afrexim Bank and the IFC can help bridge the gap, but broader industry support is needed,” he said.

He stressed for innovation in decarbonisating the LNG shipping industry to reduce costs, noting that artificial intelligence and data analytics offer key efficiencies.

“The shipping industry is undergoing a pivotal transformation driven by decarbonisation and the shift toward greener fuels. Fleets must adapt—whether through dual-fuel systems, cleaner fuels like LNG, or emerging alternatives such as ammonia and hydrogen.

Yet this transition presents a dilemma for shipowners. Retrofitting vessels or investing in new ones requires significant capital, but current regulations do not translate into premium pricing for cleaner shipping. Consumers remain unwilling to pay more, forcing shipowners to absorb the costs. Meanwhile, financiers have been slow to respond to these market shifts. As a result, lower charter rates may persist for years,” he noted.

Mr Osobu noted that the IMO’s net-zero mandate requires shipowners to reduce GHG emissions intensity by 2% by 2028. He emphasised that meeting this target through dry-dock retrofits alone would be prohibitively expensive and time-consuming, and stressed that scalable solutions that can be implemented during operations are critical.

He explained that smart systems can optimize fuel consumption by adjusting engine performance, vessel speed, and routing based on real-time factors like weather and congestion. This, he added, enables just-in-time arrivals, minimizing idle time at ports.

He further noted that AI can enhance safety through advanced navigation systems, reducing collision risks—a growing concern as vessel sizes increase.
This year’s World Gas Conference (WGC2025) with the theme “Energising a Sustainable Future,” had global stakeholders representing over 90% of industry players.

The conference serves as a platform to advance sustainable energy solutions and shape the future of decarbonised fuel supply chains.

OIL AND GAS

Jonathan, Attah, Others Win Champions of Nigerian Content Awards

Published

3 days ago

May 24, 2025

august24admin

Jonathan, Attah, Others Win Champions of Nigerian Content Awards

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Former President, Dr. Goodluck Ebele Jonathan has received the Nigerian Content Lifetime Achievement Award at the maiden edition of the inaugural Champions of Nigerian Content Award ceremony organized by the Nigerian Content Development and Monitoring Board (NCDMB) in partnership with Sweetcrude Ltd on Wednesday in Yenagoa, Bayelsa State.

Champions of Nigerian Content Awards: Former President, Federal Republic of Nigeria & recipient of Nigerian Content lifetime achievement award, His Excellency, Dr. Goodluck Ebele Jonathan, Executive Secretary, NCDMB, Engr. Felix Omatsola Ogbe, recipient of Nigerian Content Icon of the Year award and Managing Director, Renaissance Africa Energy, Engr. Tony Attah, recipient of women in leadership award and Managing Director, Starzs Investments Company Limited, Iroghama Ogbeifun at the Nigerian the Champions of Nigerian Content held on Wednesday in Yenagoa Bayelsa State

The award recognized and rewarded individuals and corporate bodies that set the highest standards in deepening local participation in the Nigerian oil and gas industry and contributed significantly to national development.

In his welcome address at the event, the Executive Secretary, NCDMB, Engr. Felix Omatsola Ogbe noted that the Board had come a long way in implementation of the NOGICD Act and recorded landmark achievements in which outstanding industry players, individuals and corporate entities, deserved to be identified and honoured.

In his words, “the time has come to identify and celebrate pillars of Nigerian Content who shall serve as a shining example of what is expected of others in the industry.”

Champions of Nigerian Content Awards:

Former President, Federal Republic of Nigeria & recipient of Nigerian Content lifetime Achievement award, His Excellency, Dr. Goodluck Ebele Jonathan; Executive Secretary, NCDMB, Engr. Felix Omatsola Ogbe; recipient of Nigerian Content Icon of the Year award and Managing Director, Renaissance Africa Energy, Engr. Tony Attah; recipient of Women in Leadership Award and Managing Director, Starzs Investments Company Limited, Iroghama Ogbeifun, Permanent Secretary, Federal Ministry of Petroleum Resources, Dr. Emeka Vitalis Obi, with other award recipients at the Nigerian the Champions of Nigerian Content held on Wednesday in Yenagoa Bayelsa State

Speaking after receiving the lifetime achievement awards, Dr. Jonathan recalled how he promptly signed the Nigerian Content Bill in 2010 when he was acting President in 2010, stating that an encounter with Ugandan President Yoweri Museveni, who repeatedly mentioned Nigeria as a reference point for underperformance in utilisation of oil resources. He pointed that the example of China that easily domesticated and domiciled oil and gas industry activities greatly motivated him.

He mentioned that Senator Lee Maeba who represented Rivers State South East Senatorial District in the National Assembly, was among the initiators of the Nigerian Content Bill and deserves special recognition by the NCDMB and Nigerians generally. The former President appreciated the NCDMB for the success of the Nigerian Content and lauded past and present leadership of the agency that translated the dream behind the Act into reality.

Champions of Nigerian Content Awards: Former President, Federal Republic of Nigeria & recipient of Nigerian Content lifetime achievement award, His Excellency, Dr. Goodluck Ebele Jonathan with Executive Secretary, NCDMB, Engr. Felix Omatsola Ogbe in a group photographs with all award recipient at the Nigerian the Champions of Nigerian Content held on Wednesday in Yenagoa Bayelsa State

Another top winner in the distinguished individuals category was Engr. Tony Attah, Managing Director of Renaissance Africa Energy Limited, as “Nigerian Content Icon of the Year. The award was for his time as the Managing Director of Nigeria LNG Limited, during which time he secured the Final Investment Decision (FID) for NLNG Train 7 project and led his organization to partner with NCDMB to sign the first Service Level Agreement (SLA) which Nigeria LNG in June 2017.

Other top winners include Professor Emenike Ejiogu of the University of Nigeria, Nsukka, (UNN), as “Nigerian Content Innovator of the Year,” and Ms. Iroghama Ogbeifun, Managing Director and Chief Executive Officer of Starzs Investments Company Limited received the women in leadership award.

In the corporate category, Shell Petroleum Development Company (SPDC), now known as Renaissance Africa Energy Limited, clinched the “Nigerian Content International Upstream Operator of the Year Award,” while Aradel won the “Nigerian Content Independent Upstream Operator of the Year Award.”
Other winners in the corporate category were Nigerian Liquefied Natural Gas (NLNG) Limited as “Nigerian Content Midstream Operator of the Year”; Dangote Refinery and Petrochemical Company Limited as “Nigerian Content Downstream Operator of the Year”; Dorman Long Engineering Company Limited as “Nigerian Content Indigenous Service Company of the Year,”and Technip FMC as “Nigerian Content International Service Company of the Year.”
On the winners list also were Bank of Industry (BOI) as “Nigerian Content Financial Services Provider of the Year” and Thisday Newspapers as “Nigerian Content Media Organisationof the Year.”

Speaking on the selection criteria, a member of the Award Advisory Committee, Mr. Wole Akinyosoye, former Operations Controller with the defunct Department of Petroleum Resources (DPR), said measurable metrics were used to determine the winners. According to him, “Awardees must have demonstrated operational consistency where applicable; must have contributed to enhanced utilization and monetization of gas resources as applicable, and must have improved on local refining where applicable in terms of capacity and energy security.”
Continuing, he said, they “must also have strictly complied with the Act and other statutory Nigerian Content requirements, and must have made significant footprint in job creation and local sourcing.”
On the composition of the Advisory Committee for the Award, he pointed out that the pioneer Executive Secretary of the NCDMB, Engr. Ernest Nwapa, was the Chairman, while the Secretary-General of the African Petroleum Producers Association (APPO), Dr. Omar Farouk Ibrahim, and he (Wole Akinyosoye) were members.

The “Champions of Nigerian Content Awards” held on the sideline of the Nigerian Oil and Gas Opportunity Fair (NOGOF) 2025.