Ghana: PURC Engages ECG And Consumers On Power Supply Disruptions And Negative Balances
The Greater Accra regional office of the PURC through its regular monitoring exercises noticed that, in the month of February, 2024, several consumers of the Electricity Company of Ghana (ECG) in Accra East and Tema regions, complained about power supply disruptions and negative balances on their prepaid meters.
The Regional office of the Commission visited the affected areas to ascertain the magnitude of the situation and subsequently organized a stakeholder engagement with ECG and the affected consumers.
This was to assist the commission understand the issues, and to help resolve the complaints or take appropriate regulatory actions.
The investigative team ascertained that, ECG has a NURI network of meters for some of its customers mainly within the Accra East and Tema Regions.
These NURI network of meters have both the prepaid and the post-paid mode functions, thus, when the pre-paid mode fails the meter automatically switches to the post-paid mode.
The District Managers of ECG in the affected communities, explained that, the negative balances experienced, only affected consumers who use the NURI network (meters) and that, the negative balance situation was mostly due to failure in communication between the NURI network infrastructure, the meter, the Data Concentration Unit (DCU), and the Server.
The District Managers further indicated that, the NURI network meters have modems installed in them, which store energy consumed by the consumer and other information.
This information, is then communicated from the DCU to the Server for billing purposes with the aid of internet data on the SIM cards.
The affected areas under the Accra East Region of ECG were Roman Ridge, Legon, and Adentan.
It was detected that, the recent major system update on the NURI network (meter), caused some meters to reflect a negative balance on their accounts.
This error occurred as a result of defective modems in the affected meters, which led to a communication failure.
The timely intervention of the PURC, brought relief to some consumers who had negative balances on their accounts.
Most of these consumers were made to offset the negative balances that occurred on their meters and power was subsequently restored without hesitation.
The Commission recommended that the District Managers in Accra East of ECG should ensure regular updates on the NURI network and communicate regularly with their cherished customers.
Source: PURC
BP And ADNOC Suspend $2-Billion Israel Gas Deal As Gaza War Continues
BP and the Abu Dhabi National Oil Company (ADNOC) have suspended talks to buy a 50% stake in Israel’s natural gas producer NewMed, due to uncertainty in the region, the Israeli company said on Wednesday.
In March 2023, BP and the national oil company of one of the leading Middle Eastern oil and gas producers, the United Arab Emirates (UAE), offered to buy a large stake in NewMed in a deal estimated to be worth around $2 billion.
NewMed is the largest shareholder in Israel’s Leviathan natural gas field, which is operated by U.S. supermajor Chevron. Leviathan, with 22.9 TCF of recoverable gas, is the largest natural gas reservoir in the Mediterranean, and one of the largest producing assets in the region, NewMed says.
The company also has a 30% working interest in the Aphrodite natural gas field, located in the exclusive economic zone of Cyprus, with Chevron and Shell as partners with 35% each.
With the deal proposed last year, BP and ADNOC were looking to gain exposure to the vast natural gas reserves in the Eastern Mediterranean.
However, the Hamas attack on Israel in early October and the war that followed have thrown discussions off course.
NewMed’s panel reviewing the offer and the two majors have agreed, “due to the uncertainty created by the external environment, to suspend discussions in relation to the proposed transaction,” the Israeli energy firm said in a filing to the Tel Aviv Stock Exchange today.
BP and ADNOC reiterated their interest in the proposed transaction, NewMed added.
“The process will remain suspended until such time as discussions resume or the process is terminated. There can be no certainty that discussions will resume or that an agreement will be reached in the future, nor as to the terms of an agreement should one be reached,” the company noted.
Source: Oilprice.com
Congo: ENI Completes Sale Of Upstream Assets To Perenco
Italian oil and gas firm, Eni has announced the successful closure of sale of its participation interest in several upstream permits in Congo to Perenco, after having obtained the approval of relevant authorities.
The transaction is consistent with Eni’s strategy to focus its upstream activities on major developments, and is non-core to the company strategy in Congo, the company said in a statement on March 12,2024.
Eni has been present in Congo for over 50 years, and the country is at the core of Eni’s strategy with regards to the security of supplies and the energy transition initiatives, it said.
To date, Eni is the only company committed to developing Congo’s vast gas resources, in particular through the Congo LNG project, fulfilling the country’s power generation needs while also fuelling LNG exports, supplying new volumes of gas to international markets focusing on Europe, Eni said.
Eni currently supplies gas to the Congo Electric Power Station (CEC), which provides 70% of the country’s electricity production, and is strongly committed to promoting energy transition in the country, including developing agri-feedstock production initiatives destined for biorefining and not in competition with the food supply chain.
Last week, Eni announced major oil and gas discovery offshore Ivory Coast.
The discovery, named Calao, is the second largest in the Ivory Coast, following the Baleine field discovered by Eni in September 2021.
Drilling operations took place approximately 45 km offshore in block CI-205, reaching a depth of 5,000 m in water depths of around 2,200 m.
The well encountered light oil, gas, and condensates in various intervals of Cenomanian age characterised by good to excellent permeability values. Preliminary assessments indicate potential resources ranging between 1 and 1.5 Bboe. Eni operates the block in partnership with Petroci Holding.
Source: https://energynewsafrica.com
South Africa: Electricity Ministry Will Not Be Needed By End Of 2024- Ramokgopa
South Africa’s Minister for Electricity, Dr. Kgosientsho Ramokgopa, is confident that his ministry will no longer be needed by the end of the year 2024.
Ramokgopa was speaking at the NinetyOne Annual Infrastructure Forum.
One of the topics of discussion at the Forum is the need for investment in public infrastructure.
President Cyril Ramaphosa appointed Ramokgopa on March 7 last year which means he has been on the job for exactly a year this month.
Ramokgopa says, “For as long as I exist, you know that the problem exists. So I’m a personification of the problem if you know what I am saying. We are doing everything possible to address it.”
“I am more than confident that there will not be a need for this ministry by the end of this year.”
Meanwhile, the President’s speech at the South Africa/Ghana Business Forum at Gallagher Estate in Midrand was disrupted by a power cut.
President Cyril Ramaphosa says government is working hard with other stakeholders to increase energy capacity to end load shedding.
He says the country is on the right track in tackling the problem. “Now we are working with our partners, the business community – and we are all focused on increasing power generation and we have resolved the regulatory framework. We are going to get rid of load shedding, so we are on track.
Source: https://energynewsafrica.com
Nigeria: Kaduna Disco Staff Embarks On Indefinite Strike Over Poor Conditions…But Mgt Describe Action As Unjust
Aggrieved workers of Kaduna Electricity Distribution Company, one of the power distribution companies in the Federal Republic of Nigeria, on Tuesday started an indefinite protest of unjust treatment and other pending industrial disputes with the management of the company.
In a letter signed by Comrade Ado Ali, Secretary of Kaduna State Council of National Union of Electricity Employees, it raised concerns that there has been no remittance of pension contribution to over 3000 staff RSA account for over 72 months, non-payment of death benefits to the families of the deceased staff of the company, lack of enablers to company staff (vehicles, ladders, safety wears), lack of proper medical services to staff and seven numbers of wrongly disengaged members over Zaria accident.
The staff on Tuesday held placards and blocked the entrance to the headquarters of the company in the Kaduna State capital, preventing other staff members and customers from gaining access to the premises.
Channel TV reported that the Organising Secretary for North West, NUEE, Ayuba Pukat, said: “We are out here to exercise our right as workers of Kaduna Electric because of so many issues on the ground which have to do with our staff welfare. The pension deducted from our staff was not remitted for over 72 months, and staff are still working. If you go to your pension managers, they will tell you your company did not remit.
“This is a criminal offence, and the licence of Kaduna Electric should be seized. This means that staff are being paid half their salaries, yet the rest is not being remitted to their pension managers.”
“Again, the employment of some Zaria staff members was unlawfully terminated last year as a result of malfunctioning of the power equipment in Zaria, leading to the electrocution of 14 residents in Southern Zaria. The staff were asked to leave without a fair hearing. We are here to express our dissatisfaction to the management staff regarding our welfare.
“We don’t have enough equipment to work, yet we keep getting threats upon threats. They also employed MOPOL to send us out from the premises as we protest, but we won’t leave here until we have registered our grouse,” he added.
Meanwhile, the Head of Corporate Communications, Kaduna Electricity Distribution Company, Abdulazeez Abdullahi, described the strike by NUEE as uncalled for and injurious to the health of the company, stating that the management had already engaged the union leaders intending to resolve all pending industrial issues.
He appealed to the workers to reconsider their stance and suspend the strike for all business activities to return to normalcy as they were.
“We woke up this morning to the news that members of NUEE have locked up our offices. We were shocked because there was no need for it. We have a quarterly meeting scheduled for Wednesday. They have told us about the pension remittances, and there is a plan to settle the backlogs,” he said.
“We have a new MD, and he needs time to settle down and then plan on how to gradually offset the historical liabilities. But they chose to do this and have stopped staff and customers from coming in. This is illegal, and we think this is unnecessary. We know the company is not in a good place right now, but the new MD has promised to turn the company. We need all hands to be on deck so that we can forge a way forward for the company.
“This strike action does no good to anyone but some individuals whose motive is still unclear. We urge our esteemed customers to disregard it and go about their dealings with us unhindered,” he concluded.
Source: https://energynewsafrica.com
Gabon: Oil Flows At Hibiscus Field
Oil and gas company BW Energy has started production at the DHBSM-1H well – located in the Hibiscus South Field on the Dussafu license, offshore Gabon – only five months since the discovery was made.
Production currently sits at between 5,000 and 6,000 barrels of oil per day (bpd), with the well expected to recover approximately 6.6 million barrels from around 22 million barrels of oil in place.
“The five-month lead time at Hibiscus South from discovery to first oil is a prime example of our infrastructure-led exploration strategy in action, showing how it can create material value for shareholders,” stated John Hamilton, CEO of independent exploration company and Dussafu license partner, Panoro Energy.
Situated approximately 5km southwest of the existing MaBoMo production facility, the DHBSM-1H well was drilled using the Borr Norve jackup rig to a total depth of 5,960m into Gamba sandstone.
“We are very pleased with the safe and efficient execution of Hibiscus South fast-track development within a few months after making the initial discovery,” stated BW Energy CEO Carl K. Arnet. “This represents a material, low-cost and low-risk expansion of the Dussafu production and reserve base, demonstrating how our phased development strategy provides the flexibility to rapidly unlock significant value.”
Following completion, the Borr Norve jackup rig has commenced drilling operations on the Ruche sidetrack well DRM-3H ST1 on the same license, which forms part of BW Energy’s Hibiscus/Ruche Phase 1 development project.
The Hibiscus/Ruche Phase 1 development project is expected to bring oil production in the Dussafu license up to 40,000 bpd. Oil produced will be transported via pipeline to the BW Adolo FPSO for processing and storage before export to international markets.
“The subsurface at Dussafu Marin has a history of delivering positive results and we are confident that this trend can continue long into the future as we progress towards unlocking its full organic growth potential,” concluded Hamilton.
The initial discovery was made as part of BW Energy’s multi-well exploration program in Gabon.
Source: Energy Capital
OPEC Sticks To Oil Demand View, Nudges Up Economic Growth Again
OPEC on Tuesday stuck to its forecast for relatively strong growth in global oil demand in 2024 and 2025, and further raised its economic growth forecast for this year saying there was more room for improvement.
The Organization of the Petroleum Exporting Countries, in a monthly report, said world oil demand will rise by 2.25 million barrels per day (bpd) in 2024 and by 1.85 million bpd in 2025. Both forecasts were unchanged from last month.
OPEC’s 2024 demand growth forecast is far above that of many other forecasters including the International Energy Agency. OPEC believes oil use will keep rising for the next two decades, while the IEA predicts it will peak by 2030 as the world shifts to cleaner energy.
In the report, OPEC said a “robust dynamic” for economic growth towards the end of 2023 was expected to extend into the first half of 2024 and raised its 2024 economic growth forecast by 0.1 percentage points, following a hike last month.
“While some downside risks persist, a continuation of the expected momentum from the beginning of the year could result in additional upside potential for global economic growth in 2024.” OPEC said in the report.
“The 2024 and 2025 growth trajectories of India, China, as well as the United States, could exceed current expectations.”
The OPEC report also said that OPEC oil production rose by 203,000 bpd in February to 26.57 million bpd led by Nigeria and Libya, despite a new round of voluntary output cuts by the OPEC+ alliance that started in January.
Source: Reuters.com
Russian Oil Refinery Catches Fire Following Ukrainian Drone Attacks
A Lukoil refinery in western Russia is on fire following a drone attack early on Tuesday local time in what appears to be several coordinated attacks by drones from Ukraine on Russian refinery and fuel facilities.
A crude processing unit at the refinery in Nizhny Novgorod is on fire after a drone attack was carried out on Tuesday morning, Gleb Nikitin, governor of Nizhny Novgorod, wrote on his Telegram channel.
Investigators and fire brigades are working to contain the fire at one of the refinery’s units, Nikitin said, adding that preliminary reports say there have been no injuries.
Another energy facility in western Russia was also attacked by a drone overnight.
A drone attack was launched at a fuel and energy facility in the Oryol region, governor Andrey Klychkov said on Telegram.
One of the fuel tanks caught fire as a result of the attack, a representative of the local authorities told Russian news agency TASS.
Local officials in the capital city Moscow, as well as in the regions of Kursk, Tula, Voronezh, and Belgorod also reported drone attacks, without giving more details.
Ukraine hasn’t commented on the drone attacks.
Ukraine’s security services have been hitting with drones Russian refineries, especially those in southern Russia, in attacks that have intensified since the beginning of the year.
The Ukrainian attacks and the damage they caused to Russian refineries have reduced Russia’s capability to process crude.
In mid-February, Russia’s refinery rates had slumped by 380,000 barrels per day (bpd) compared to December levels as several refineries were under repairs after being hit by Ukrainian drone attacks.
Lower refining capacity in the second quarter, due to refinery maintenance and emergency repairs following the attacks, could be one of the reasons why Russia said it would focus on cuts to oil production instead of exports in its voluntary supply reduction as part of OPEC+ in the second quarter.
Source: Oilprice.com
Namibia To Draw On Angolan Oil & Gas Expertise
Namibian President Nangolo Mbumba has announced that the country will utilize Angola’s oil and gas framework as a guideline for industry development, underscoring Namibia’s commitment to strengthening bilateral cooperation with its regional neighbor.
President Mbumba met with Angolan President João Lourenço in Luanda last week, where the two parties agreed to establish a bi-national commission to advance collaboration in oil and gas.
The presidents “underlined the need to strengthen cooperation in the areas of oil and gas, energy, agriculture and water underscoring that Namibia has a lot to learn from Angola in the oil and gas sectors,” a statement from the Namibian Presidency read.
Additionally, a tripartite agreement has been signed between the Namibian Ports Authority and the respective national oil companies of Angola and Namibia – Sonangol and NAMCOR. The agreement lays the foundation to establish an integrated logistics base in Namibia to support oil and gas development and trade.
The base will replicate the Sonangol Integrated Logistics Services (SONILS) base in Luanda, and President Mbumba has invited SONILS to work with Namibian companies on emerging industry opportunities.
Meanwhile, the Bank of Namibia and the National Bank of Angola have set the end of 2024 as the deadline for establishing a payment instrument to support bilateral trade. An MoU for the financial instrument was signed in 2023.
According to Manuel Tiago Dias, Governor of the National Bank of Angola, “The technical work was carried out and assessed at the level of the administrations of the Central Banks of both countries.”
Morocco To Allocate 1 Million Hectares To Green Hydrogen Projects
Morocco is looking to attract green hydrogen investments by allocating 1 million hectares of public land to projects, the government said on Monday.
The first stage of the hydrogen project development will include providing investors with a total of 300,000 hectares of plots of land ranging from 10,000 to 30,000 hectares, according to the size of the expected projects, Morocco said.
The so-called “Morocco Offer” to boost green hydrogen development is also based on a competitive infrastructure that is planned, deployed, developed, and maintained according to the best international standards and the needs of the green hydrogen industry, as well as incentives and support measures for project holders, the North African country said.
Morocco could “play a major role in the field of energy transition globally,” according to the government.
Thanks to abundant sunlight all year round, Morocco has become a major producer of solar power. It is also looking to boost clean energy supply to Europe, given its proximity to the EU, which has set very ambitious clean energy, emission reduction, and net-zero targets.
Located on Europe’s doorstep and harboring ambitions to generate 52% of its electricity from renewables by 2030, Morocco has emerged as a promising energy partner. Morocco also hosts the world’s largest concentrated solar project, the Noor Ouarzazate Solar Complex with more than 500 megawatts (MW) of capacity.
The country is now looking to attract investments in green hydrogen, which is produced by splitting water through electrolysis with the use of a renewable energy source.
While heavy industry and governments pin their hopes on hydrogen for faster decarbonization, and power-generating companies and oil and gas majors look to diversify into low-carbon hydrogen production, costs are still high for green hydrogen production and hold back massive deployment of projects, analysts say.
Forecasters, including the International Energy Agency (IEA)—a staunch supporter of all things green – acknowledge that costs need to be slashed significantly if clean hydrogen is to play a major role in the energy transition.
Source: Oilprice.com
South Africa: Eskom Intensifies Effort To Restore Power Supply To Villages Surrounding Butterworth, Centane.
South Africa’s power utility company Eskom has intensified electricity restoration to the Eastern Cape storm impacted villages in Butterworth and Centane.
The remaining villages that were heavily affected by the storm last week include Godidi, Cerhu, Nontshinga, Mthwaku, Ncalukeni, Diphini, Gobe, Mgobozi, Jojweni and Manqulo.
Last week, The South African Weather Services warned of severe and intense weather conditions.
Unfortunately, such conditions interrupt electricity supply and affect restoration time. Eskom technicians are attending to the faults and will restore supply as soon as possible.
“We thank the affected customers for their patience. Customers without electricity are urged to treat all electricity appliances as live during this period”, the company said in a statement.
Source: https://energynewsafrica.com
Ghana: Natural Gas Is Cleaner And Cheaper For Electricity Generation Than Crude Oil-Kofi Mensah
Studies have shown that using natural gas for electricity generation is cleaner with regards to GHG and relatively cheaper compared to using crude oil, Mr Mark Kofi Mensah, External Relations Manager at the West African Gas Pipeline Company (WAPCo) has said.
He mentioned that this is one of the reasons why Ghana in recent times converted most of its power generation plants which hitherto run on crude oil to gas to utilize natural gas from the Sankofa and Jubilee fields.
Ghana has between 1.5 trillion cubic feet (tcf) and 1.7 (tcf) of gas reserves.
Speaking at a media training programme on the theme: ‘Gas To Power What The Media Need To Know To Drive Effective Discourse’, in Accra for selected journalists, Mr Mark Mensah said natural gas is much cleaner and cheaper.
The programme was organised by the Energy News Africa Limited.
He said that the West African Gas Pipeline (WAGP) system was initially built to transport gas from Nigeria to Ghana, in an east-to- west directional flow.
But when gas was found in Western Ghana, WAPCo in collaboration with the government of Ghana under the auspices of Ghana National Gas Company (GNGC) and Ghana National Petroleum Corporation (GNPC), joined the onshore gas pipeline in the west to the WAGP at Aboadze to transport gas from offshore Western Ghana to Tema.
So now, the WAGP in its bi-directional capacity transports gas from both the east and the west for power generation.
Touching on safety in the gas sector, Mr Mensah observed that it was key in their operations and have, therefore, adopted practices to ensure efficiency in their output.
According to him, there are scheduled maintenance done in WAPCo to ensure the integrity of the WAGP and thereby a reliable supply of gas in the supply chain towards electricity generation.
Commenting on the gas pipeline infrastructure, he said that shareholders invested about one billion dollars but said that the company is yet to recoup the original investment for the shareholders.
In a response to how they relate with communities where gas pipeline passes but do not have access to electricity, Mr Mensah explained that the company’s relations with all host communities are solid and cordial enough for that not to be a problem.
He further explained that all stakeholder communities understand that WAPCo does not produce electricity.
He also tasked the media to be circumspect in their reportage since most of the blames attributed to WAPCo could have been avoided if journalists had checked for the right information from the company before reporting.
Through the ECOWAS protocols, the West Africa Gas Pipeline Company was set up in 1988 to channel gas from Nigeria to Benin, Togo and Ghana.
In an interaction with some journalists who took part in the training, they said the programme was timely and useful.
They expressed joy that the training had enlightened their outlook on gas reporting and expressed the hope that such training workshops would be organised regularly to help them sharpen their skills in gas and oil reporting.
Source: https://energynewsafrica.com
Lesotho: Astra Energy To Develop 100 MW Project
Astra Energy, an independent power producer has partnered with the Lesotho National Development Corporation to develop a 100 MW renewable energy project in Lesotho.
Under a public-private partnership model established with Astra Energy’s agent Aztec Management Consultants, the project will double Lesotho’s current installed electrical capacity –currently estimated at 77 MW.
“The project will improve the reliability of the electricity supply, which is essential for a growing economy. Successful completion of the project will also create direct and indirect employment, and have a positive impact on other sectors of the economy that depend heavily on a regular, cost-effective supply of electricity,” said Astra Energy CEO Ron Loudoun.
Source: https://energynewsafrica.com
Nigeria: NNPC Ltd Solicits EFCC’s Support To Fight Crude Oil Theft
The Nigerian National Petroleum Company Limited (NNPC Ltd.) has appealed to the Economic and Financial Crimes Commission (EFCC) to help tackle the menace of crude oil theft in the country.
The Group Chief Executive Officer of the company, Mr. Mele Kyari, made the appeal at an interactive session with the EFCC’s helmsman, Mr. Ola Olukoyede, which held at the NNPC Towers in Abuja on Monday, March 11, 2024.
Speaking passionately about the efforts by NNPC Ltd to eradicate corruption from its system and stem crude oil theft and pipeline vandalism, Kyari contended that going by the volume of oil stolen daily and the brazenness with which the perpetrators operate, crude oil theft was the most humongous and virulent economic crime in Nigeria that must attract the attention of the EFCC.
“As we continue to do our best to deepen transparency and stamp out corruption from the system, there is one big challenge that you will need to help us with, Mr. Chairman. That challenge is crude theft. It fits into everything you have said—the people, the asset, the opportunity, and the absence of deterrence.”
“We have deactivated 6,409 illegal refineries in the Niger Delta region. Today, we have disconnected up to 4,846 illegal pipes connected to our pipelines, that is out of 5,543 such illegal connection points. That means there are a vast number of such connections that we have not removed.
“These things don’t just happen from the blues. They happen in communities and locations we all know. As we remove one illegal connection, another one comes up. It is sad, Mr. Chairman.”
“This kind of thing does not happen anywhere else in the world. When we say illegal connections, they are not invisible things, they are big pipes that require some level of expertise to be installed. Some of them are of the same size as the trunk line itself. No one would produce crude oil knowing fully well that it is not going to get to the terminal. That is why nobody is putting money into the business. So, you can’t grow production.”
“I believe, personally, that the very purpose of your commission is to curtail economic crimes, and there is no bigger economic crime of this scale anywhere else than what is happening in this area,” the GCEO lamented.
On corruption within the system, Kyari explained that by law, NNPC Ltd. is required to maintain high ethical standards and has put in place structures and measures to curb discretionary actions which fuel corruption, stressing that most processes in the company have been fully automated to discourage arbitrary actions.
He disclosed that many issues of corruption reported to the public were either not true or recycled from the past.
In his presentation, the Executive Chairman of EFCC, Mr. Ola Olukoyede, expressed satisfaction with NNPC Ltd.’s commitment to issues of ethics and code of conduct.
He, however, challenged management to ensure that the codes of ethics and regulations are complemented with monitoring and enforcement to enhance deterrence.
The interactive session was at the instance of the Group Chief Executive Officer, Mr. Mele Kyari.
Source: https://energynewsafrica.com
Source: https://energynewsafrica.com