Russia To Cut Oil Output By 500,000 Bpd In March
Russia will cut oil production by 500,000 barrels per day, or around 5% of output, in March, Deputy Prime Minister Alexander Novak said on Friday, after the West imposed price caps on Russian oil and oil products.
The price of Brent crude rose on the news of the output cut from Russia, the world’s second-largest oil exporter after Saudi Arabia, increasing by more than 2.5% on the day to $86.6 per barrel.
“As of today, we are fully selling the entire volume of oil produced, however, as stated earlier, we will not sell oil to those who directly or indirectly adhere to the principles of the ‘price cap’,” Novak said in a statement.
“In this regard, Russia will voluntarily reduce production by 500,000 barrels per day in March. This will contribute to the restoration of market relations.”
The Kremlin said on Friday that Russia had held talks with some members of the OPEC+ producers group regarding its decision to cut output.
Novak said later that Russia had not held any formal consultations as the cuts were voluntary.
Two OPEC+ delegates told Reuters that OPEC+ plans no action after Russia announced oil output cuts.
As Russia navigates the maze of restrictions which the West has imposed in an attempt to choke off its revenue from oil, the production cut indicates that the price cap on Russian oil products has had some impact.
The G7, the European Union and Australia agreed to ban the use of Western-supplied maritime insurance, finance and brokering for seaborne Russian oil priced above $60 per barrel from Dec. 5 as part of Western sanctions on Moscow over the conflict in Ukraine.
The EU also imposed a ban on purchases of Russian oil products and set price caps from Feb. 5. In turn, Russia has banned deals involving any application of the price cap mechanisms.
The last big fall in Russian oil output was in April when it collapsed by nearly 9% following the introduction of Western sanctions over Ukraine. Since then, Russia has managed to set up logistic chains for its oil sales, mostly in Asia.
Russia’s decision to cut oil production was announced only nine days after an OPEC+ panel, in which Russia is a member, endorsed the oil producer group’s current output policy, leaving production cuts agreed last year in place.
“Russia believes that the ‘price cap’ mechanism in the sale of Russian oil and oil products is an interference in market relations and a continuation of the destructive energy policy of the countries of the collective West,” Novak said.
His spokesperson said later that the cuts will relate to crude oil only, without gas condensate, a type of light oil.
Source:Reuters
South Africa: Ramaphosa Declares State Of Disaster Over Electricity Crisis
South African President Cyril Ramaphosa on Thursday declared a state of national disaster in an attempt to stem the deep electricity crisis that is undermining the daily life and economy of the continent’s leading industrial power.
For months, 60 million South Africans have been forced to cook, wash their clothes and charge their phones at certain times of the day only.
The country is running out of electricity and rationing it by imposing scheduled blackouts.
These power cuts have lasted up to nearly 12 hours on some days, with the shortage worsening since last year.
“We are declaring a state of national disaster in response to the electricity crisis and its impact,” President Cyril Ramaphosa said at the Cape Town City Hall, where he held his annual state of the nation address in the evening, broadcast live on television.
He went on to say that “extraordinary circumstances require extraordinary measures”, recognizing that “the crisis has gradually evolved to affect all levels of society”.
The state of disaster mainly allows the release of exceptional funds. The ANC said last week that it had given “clear instructions” and urged the government to adopt this provision.
Cyril Ramaphosa had already triggered this procedure last year during the unprecedented floods that killed more than 400 people in the southeast of the country and caused destruction estimated at several hundred million euros.
The state of disaster could also appease a growing anger that has taken to the streets in recent weeks with demonstrations against power cuts in several cities, called by the opposition and trade unions.
Again, on Thursday, several hundred people gathered in Cape Town, in a gloomy economic and social context. Unemployment has reached 32.9%, growth forecasts for this year are almost zero (0.3%) and the increase in the cost of living seems to be driven by persistent inflation.
“It’s a whole energy system that is collapsing and a situation that is probably impossible to resolve in the short term,” Erwin Schwella, a public affairs expert said.
Source: https://energynewsafrica.com
Kenya: Globeleq Appoints Toyota Tsusho Corporation As EPC Contractor For Menengai Geothermal Project
Globeleq, the leading private power company in Africa, has signed engineering, procurement and construction (EPC) contract and a long-term service agreement (LTSA) with Toyota Tsusho Corporation (TTC) for the construction of 35MW Menengai geothermal project in Nakuru County, Kenya.
Mike Scholey, CEO of Globeleq and, Kazumasa Kimura, COO for Africa Division of TTC signed the agreement in Tokyo on Thursday, February 9, 2023.
The project will deliver clean, reliable and affordable baseload power to the national grid and also benefits from a Letter of Support issued by the Government of Kenya.
Construction of the project is expected to commence during the first quarter of 2023 once financial close has been reached.
Globeleq will operate and maintain the power plant once it reaches commercial operations in 2025.
The steam turbine and generator will be manufactured by Fuji Electric.
Once operational, electricity will be sold to Kenya Power, the national distribution company, under a power purchase agreement for the same timeframe.
Globeleq’s $108 million Menengai project will be the company’s first geothermal plant and the signing of these agreements is a major milestone for the project after financing agreements were signed in December 2022 with the African Development Bank, the Eastern and Southern African Trade & Development Bank and Finnfund.
“We are very excited to partner with TTC, which has an established presence in Africa and a proven track record in Kenya’s geothermal sector. Menengai will be Globeleq’s first geothermal plant and will contribute to reducing the cost of power in the country. Having signed these key project agreements with TTC after achieving a fully committed financing about a month ago, we will now work with the Government of Kenya to reach Financial Close and start construction as soon as possible,” Mike Scholey, Globeleq’s CEO said.
On his part, Richard Bielle, CEO for Africa Division of TTC and President of CFAO said: “We are very pleased to partner with Globeleq as their chosen EPC contractor for the Menengai geothermal project. TTC has been involved in Kenya since 1962 and, through our fully owned subsidiary, CFAO, we have a strong footprint in Renewable Power Development, and Mobility, Healthcare, Consumer and Infrastructure sectors. With our rich experience in the geothermal sector and our local communication network in Kenya, we, together with Globeleq, are excited to contribute to this project toward stable and affordable supply of electricity in Kenya.”
Menengai is a Greenfield geothermal project and part of the first phase of the wider Menengai complex, which is the second large-scale geothermal field being developed in Kenya after Olkaria.
Steam will be supplied to the project by Geothermal Development Company (GDC), a Kenya government-owned company under a 25-year project implementation and steam supply agreement.
During COP27, President Ruto of Kenya and Prime Minister Sunak of the UK jointly committed to fast-track green investment projects worth KES500 billion in the country, which included the Menengai project.
Source: https://energynewsafrica.com
Engen, Vivo Energy Merge Their African Businesses To Create Energy Champion
Engen and Vivo Energy have announced plans to merge their respective African businesses to create one of Africa’s largest energy distribution companies.
A joint statement issued by the two companies and copied to energynewsafrica.com noted that the combined group will have over 3,900 service stations and more than two billion litres of storage capacity across 27 African countries.
Engen is the clear market leader in South Africa and has around 1,300 service stations across seven African countries.
Vivo Energy is a major pan-African retailer and distributor of fuels and lubricants to retail and commercial customers, with over 2,600 service stations across 23 African countries, using the Engen and Shell brands.
PETRONAS will sell its 74% shareholding in Engen to Vivo Energy at completion.
The Phembani Group, PETRONAS’ long-standing partner in Africa and Engen’s B-BBEE shareholder, is continuing its strong association with Engen and will remain invested as a 21% shareholder in the South African business.
The transaction will further benefit employees of Engen through a newly implemented 5% employee share ownership programme, resulting in Engen South Africa being 26% owned by previously disadvantaged parties.
“Vivo Energy’s focus has been to invest to grow our business, and I am proud that we have more than doubled the size of our network since our formation in 2011. Four years ago, we acquired the Engen business in nine African markets, and have since worked to enhance and develop these. Vitol’s acquisition of 100% of Vivo Energy last year brings more opportunity to grow even faster. Completion of this transaction, which reunites the Engen brand across Africa, will be a step change in our growth and represents a significant commitment to the South African market whilst enhancing Vivo Energy’s portfolio in other important markets,” Stan Mittelman, CEO of Vivo Energy said.
Seelan Naidoo, Managing Director and CEO of Engen said: “This is an exciting opportunity for Engen to build on its market leading position in South Africa and a number of southern African countries. It allows us to leverage our strong brand equity, leading retail footprint, extensive supply chain capability and unrivalled customer service to be a leading contributor to Vivo Energy and Vitol’s ambition to build a stronger and more successful pan-African energy champion. Engen is excited to become part of the enlarged business, and this will set up our business to be stronger and more successful than ever before.”
Phuthuma Nhleko, Chairman and Co-founder of Phembani Group said: “The Phembani Group is proud to have been a long-term shareholder in Engen since 1999, partnering with PETRONAS and helping to grow Engen into a valuable South African corporate citizen, meeting the needs of millions of ordinary South Africans. We are pleased to partner with Vivo Energy in the next phase of Engen’s growth. We are confident that together we will support Engen’s continued growth, enabling it to realise its vision.”
Chris Bake, Chair of Vivo Energy said: “Vivo Energy has been a success story since its inception. It has grown consistently, both organically and by investing in modern quality assets. It has a highly professional and capable management team with a deep understanding of Africa’s unique energy requirements. Engen is South Africa’s market-leader, and this powerful combination will benefit customers in South Africa and across the continent.”
The transaction is currently pending regulatory approvals and fulfilment of conditions precedent.
Rand Merchant Bank (a division of FirstRand Bank Limited) and Standard Bank advised Vivo Energy. Morgan Stanley and Rothschild & Co are advisors to PETRONAS on this transaction.
Source: https://energynewsafrica.com
Ghana: Two Leading Renewable Energy Companies To Partner With BPA To Develop Projects
Two leading renewable energy companies— UAE’s Masdar and Egypt’s Infinity Power Holdings B.—have agreed to partner with Ghana’s Bui Power Authority to develop solar and wind power projects in the West African nation.
To start the processes for the partnership, the CEO of Bui Power Authority and officials of Infinity Power signed a Non-disclosure Agreement during the recent International Renewable Energy Agency (IRENA) conference in Dubai.
The Chief Executive Officer of BPA, Mr Samuel Kofi Dzamesi initialed on behalf of the Authority while Mohammed El Amin Ismail Lotfy Mansour, Chairman of Infinity Energy S.A.E initialed on behalf of the partners.
The CEO of BPA, Mr. Samuel Ahiave Kofi Dzamesi, also took advantage of the occasion to hold close-door meetings with some other potential investors who participated in the IRENA meeting and the Ghana Investment forum.
The BPA team met with the Director General of the Association of Power Utilities of Africa (APUA), Mr Abel Didier Tella, and BPA’s CEO, Mr Dzamesi expressed the desire and readiness of Bui Power Authority to join APUA, formerly known as the Union of Producers, Transporters and Distributors of Electrical Power on Africa (UPDEA).
APUA’s mandate is to promote the development and integration of the African electrical sector, the dissemination of best practices of management, the exchange of experience and technical know-how, mutualized training of staff, as well as joint exploitation of the energy resources based on a ‘win-win’ approach for all members.
The BPA CEO also had closed-door meetings with Hussein Matar, Senior Director of AMEA Power.
AMEA Power is a Dubai-based developer, owner and operator of renewable generation assets backed by the utility and corporate PPAs with a primary focus on the Middle East and Africa.
The company has a multi-talented pool of technical, financial, legal and management experts.
In West Africa, AMEA Power successfully mobilised funding from UAE and provided technical support for the execution of the 50MWp Solar photovoltaic (PV) project in Togo.
The company has strong expertise in the development and hybridization of hydropower and floating solar power plants and would be happy to collaborate with BPA to raise funding for developing floating solar power plants that would be hybridized with the Bui hydropower plant.
Mr. Samuel Kofi Dzamesi said BPA would be happy to partner with AMEA and took the opportunity to invite AMEA to visit the Bui Generating Station to access the floating solar potential, following which a Memorandum of Understanding for cooperation would be signed by both parties. AMEA confirmed to visit BPA in March 2023.
BPA submitted a draft NDA to AMEA for consideration and signature ahead of the visit to BGS.
The Bono Regional Minister, Justina Banahene, in her statement, was full of praise for BPA and the CEO for ongoing projects at the Bui Generating Station (BGS) that have created numerous jobs for the youth in the region.
Notable among them is the ongoing installation of the 100MW solar project and the sugarcane plantation.
She appealed for more support to BPA to increase its renewable energy portfolio to open up her region and attract more investors.
Source: https://energynewsafrica.com
The Bono Regional Minister, Justina Banahene, in her statement, was full of praise for BPA and the CEO for ongoing projects at the Bui Generating Station (BGS) that have created numerous jobs for the youth in the region.
Notable among them is the ongoing installation of the 100MW solar project and the sugarcane plantation.
She appealed for more support to BPA to increase its renewable energy portfolio to open up her region and attract more investors.
Source: https://energynewsafrica.com Ghana: BOST Management Engages Depot Staff
The Managing Director of Bulk Oil Storage and Transportation Company (BOST), Edwin Alfred Provencal, and his management team have completed the first phase of engagement with depot staff across the company’s operational areas.
The first phase started with staff at the Accra Plains Depot in the Greater Accra Region, Akosombo and Mami Water in the Eastern Region and Kumasi in the Ashanti Region.
The purpose of the engagement is to deepen staff awareness, share strategic information, and seek the staff’s opinion and support in the running of the company.
During the engagement, Mr Provençal told the staff that the issues bothering employees’ welfare are of paramount concern on his agenda.
Mr. Provençal took time to explain the importance of the ‘Gov’t’s Gold-For-Oil’ programme and the role BOST staff are expected to play to ensure the success of the programme.
The Managing Director was accompanied by the Deputy Managing Director, Mr Moses Asem, General Manager (GM) in charge of HR & Administration, Mr. Augustine Appiah, GM of Corporate Communications & External Affairs, Mr. Adjei Marlick, GM of Terminal & Transmission, Mr. Josiah Attah Yarley, GM Corporate Planning, Mr. Ato Wilson and Head of IT, Kwabena Brobby Appiah are accompanying the MD on the tour.
The second phase of the depot staff engagement will cover Kumasi, Buipe, Bolgatanga and Savelugu.
The Managing Director was accompanied by the Deputy Managing Director, Mr Moses Asem, General Manager (GM) in charge of HR & Administration, Mr. Augustine Appiah, GM of Corporate Communications & External Affairs, Mr. Adjei Marlick, GM of Terminal & Transmission, Mr. Josiah Attah Yarley, GM Corporate Planning, Mr. Ato Wilson and Head of IT, Kwabena Brobby Appiah are accompanying the MD on the tour.
The second phase of the depot staff engagement will cover Kumasi, Buipe, Bolgatanga and Savelugu.
Source: https://energynewsafrica.com
Ghana: Gold-For Oil: OMCs Bare Teeth At Gov’t Over Arbitrary Selection Of BIDECs, Unfair Practices
The Association of Oil Marketing Companies (AOMCs) has expressed unhappiness about the government’s plan to distribute imported fuel under the gold for oil programme to only a few selected Bulk Import, Distributing and Export Companies (BIDECs).
Last month, the West African nation’s strategic stock keeping company, Bulk Oil Storage and Transportation Company (BOST), took delivery of 41,000 metric tons of diesel under the government’s gold for oil programme.
Media reports suggested that BOST distributed the products, resulting in a reduction in diesel prices by OMCs that had a share of the products.
In a statement issued by the Association of Oil Marketing Companies (AOMCs), it described the move as unfair, adding that it does not augur well for market fairness.
“We note that the declared fact that the imported quantity of products under the Gold for Oil programme is inadequate to meet the monthly consumption of the country and the indication that BOST is compelled to restrict distribution of the products to selected BIDECs to the exclusion of others, notwithstanding that the product is bought and imported with public funds, does not augur well for market fairness.
“The indicated mechanism allows for arbitrary selection of BIDECs, and by extension OMCs to benefit from the programme. Also, the fact that this mechanism is intended to force players to reduce prices at the pumps creates some form of arbitrariness which will eventually distort the market and create an uneven playing field.”
According to the Association, a rationalized mechanism such as liftings on a “first come, first served” basis or any other approach that gives equal opportunity to all licensed parties to access the products would be legitimate and justifiable as providing for a fair distribution of the product to the market.
“It is further worth highlighting that the indicated distribution mechanism has the potential to result in preferential treatment for some industry players which is statutorily and constitutionally untenable as it does not only contravene the Government’s stay policy of operating a deregulated market but also unacceptably impacts the commercial competitiveness of other players in a rather unfair manner. This will also challenge the long-term viability of the industry.”
Below is the link to the full statement by the Association of Oil Marketing Companies
PRESS RELEASE-1
Source: https://energynewsafrica.com
U.S. Company Strikes Oil Off Suriname Coast
APA Corporation has struck oil offshore Suriname in a deposit that could hold more than 200 million barrels in reserves.
APA Corp. partners with TotalEnergies in Suriname, with a 50:50 split of the stakes in the project.
So far, the two have drilled two appraisal wells and another two are scheduled for drilling in the block that the two companies are exploring.
Offshore drilling in Suriname is the object of much attention from oil market observers and industry investors thanks to the huge discoveries made next door, offshore Guyana.
Yet Reuters noted in a report that last year APA had ended drilling at another part of Block 58, which it explores with TotalEnergies, because it had failed to find any commercial oil.
Block 58 remains the focus of attention, however, because a lot of drilling there was, in fact, successful.
APA Corp and TotalEnergies have so far announced five discoveries.
This prompted forecasts that first oil will flow in 2025 and by 2030 Suriname will be producing 650,000 bpd.
Still, challenges remain and have caused APA Corp and TotalEnergies to postpone the final investment decision on Block 58 for the middle of this year. And they may well make it if drilling results tip in a more positive direction. Morgan Stanley has estimated that Block 58 could contain 6.5 billion barrels of crude.
According to the U.S. Geological Survey, the Guyana-Suriname Basin could hold up to 32.6 billion barrels of undiscovered oil resources, underscoring the tremendous hydrocarbon potential that the countries share.
It is estimated that Suriname’s offshore oil discoveries held recoverable oil resources of nearly 2 billion barrels as of the end of 2021.
Last year, the government of the former Dutch colony announced plans to tender 60 percent of its offshore blocks over the course of 12 months as it seeks to replicate Guyana’s transformation into an emerging oil power. The tenders were to be held in late 2022.
Source: Oilprice.com
Equatorial Guinea: President Reshuffles Mines And Hydrocarbons Minister; Appoints Oburu Ondo To Take Charge
The President of Equatorial Guinea, H.E. Teodoro Obiang Nguema Mbasogo, has appointed Antonio Oburu Ondo, the former Managing Director of GEPetrol, the country’s national oil company, as the new Minister for Mines and Hydrocarbons after a major shakeup in his administration.
He replaces Gabriel Mbaga Obiang Lima–current President of the Organization of Petroleum Exporting Countries and the Gas Exporting Countries Forum who has been moved to the Ministry of Economy and Planning.
Antonio Oburu Ondo will leverage his years of industry experience and know-how to continue driving the industry forward, demonstrating his resolve by getting various projects off the ground, driving new drilling campaigns and developing new gas plants.
Having served as the Managing Director of GEPetrol, Ondo’s experience in the oil and gas industry would be instrumental as he leads the Ministry of Mines and Hydrocarbons towards realising the country’s energy sector and wider national development agenda.
Antonio Oburu Ondo has a long history as someone who understands the industry, and as such, he will help keep the market stable and continue working on attracting the necessary hydrocarbon-focused investments into the country, building on the progress that has already been achieved in Equatorial Guinea.
With over 1.1 billion barrels of proven crude oil reserves and 1.5 trillion cubic feet of natural gas, and with a slate of large-scale projects being developed under the country’s wider Gas Mega Hub initiative, Equatorial Guinea’s objectives to become a regional hydrocarbon processing hub are well underway, making clear the critical role oil and gas will continue to play in Africa.
Commenting on the appointment, NJ Ayuk, Chairman of African Energy Chamber, said:
“The Chamber looks forward to strengthening its relationship with Antonio Oburu Ondo in his new capacity as Minister of Mines and Hydrocarbons. We will continue to work closely with him as we have done in the past to help build a sustainable energy industry in Equatorial Guinea. The country is well on its way to become a global oil and gas hub, and at the Chamber, we will continue to make good on our promise to help drive new investment and development across the oil and gas value chain in Equatorial Guinea.
“Monetizing and maximizing Africa’s oil and gas reserves represents a critical way forward, especially during times of the energy transition, when Africa most needs industry expansion,” he added.
Source: https://energynewsafrica.com
Ghana: Energy Minister Meets Agitating NEDco Staff Over Their MD
Ghana’s Minister for Energy, Dr Matthew Opoku Prempeh, is expected to meet the irritated staff of Northern Electricity Distribution Company (NEDCo) today(Thursday, February 9, 2023), over their call for the removal of their Managing Director, Mr.. Osman Aludiba Osman.
The staff of NEDCo, in a 7 page resolution addressed to the Board Chairman on January 11, 2023, chronicled seven points which they believe warrants the removal of Mr Osman Ayuba.
They mentioned, for instance, the worsening financial performance of NEDco, lack of strategy for NEDco, high cost of projects that have not yielded desired results, worsening distribution losses, exorbitant sole source procurement of point of sale device, lack of basic distribution line and substation maintenance tools.
On Wednesday, the staff partially withdrew their services at all operational areas comprising Upper East, Upper West, Savannah, Brong Ahafo, North East, Ahafo Region,Bono Region, Ahafo Ano South and parts of Oti Region.
The industrial action is due to the failure of the Board of Directors to meet the demand of the staff who are calling for the removal of the Managing Director, Osman Aludiba Ayuba, after several engagements.
Meanwhile, the embattled Managing Director, Mr Osman Aludiba Osman Ayuba, has written to the Board of Directors to respond to the claims of the staff.
In a 14 page letter sighted by energynewsafrica.com, Mr Osman Ayuba took his time to respond to all the claims by the staff.
He described the demand by the workers for his removal as baseless.
Source: https://energynewsafrica.com
Ghana: Herbert Krapah Appointed Deputy Energy Minister
Ghana’s President Nana Akufo-Addo has appointed Mr Herbert Krapah as the Deputy Minister for Energy.
Prior to the appointment, Mr Herbert Krapah was serving as a Deputy Minister for Trade.
He is a governance and legal expert who served as Government Spokesperson on Governance and Legal Affairs at the Ministry of Information until December 2020.
The astute lawyer who was called to the Ghana Bar in 2017 has experience in Trade and Investment Law, Commercial Law, Debt Restructuring, among others.
He previously worked as a lawyer at Africa Legal Associates, a reputable law firm in Ghana.
Education
Mr. Krapah holds a Bachelor of Law Degree from the University of Ghana and a Master of Law Degree from the London School of Economics and Political Science, UK, where he specialised in International Finance, Secured Financing, International Commercial Arbitration and Corporate Crime.
He also holds a Master of Science Degree in Development Finance from the University of Ghana Business School and a Certificate in Human Rights Law from Fordham University in New York.
He is a lecturer at the University Of Ghana School Of Law where his research focuses on both legal philosophy and global constitutionalism.
Herbert Krapah is a member of the Ghana Bar Association, the Programme for African Leadership and the Criminal Justice Reform Ghana.
CREDENTIALS
MSc(Development Finance)–University of Ghana Business School, Legon, Accra, Ghana.
Master of Laws–London School of Economics and Political Science, London, UK
Certificate (Human Rights Law)-Fordham University, New York, USA
BL–Ghana School of Law, Accra, Ghana
Bachelor of Laws–University of Ghana School of Law, Accra, Ghana
BSc (Agricultural Science)-Kwame Nkrumah University of Science and Technology, Kumasi, Ghana.
Source: https://energynewsafrica.com
Biden Wants To Quadruple The Tax On Big Oil’s Stock Buybacks
Share repurchase taxes should be quadrupled to punish Big Oil for their “outrageous” profits, President Biden said in remarks to this year’s State of the Union address.
“You may have noticed that Big Oil just reported record profits. Last year, they made $200 billion in the midst of a global energy crisis,” the U.S. president said.
“It’s outrageous.”
He then went on to say that instead of using these profits to invest in more oil production and keep fuel prices down, energy companies were using them to buy back stock, “rewarding their CEOs and shareholders.”
The President then proposed that to rectify this sub-optimal state of affairs, oil companies should face quadruple taxes on share repurchases and added that “They will still make a considerable profit.”
This is the latest in a series of attacks on Big Oil coming from the White House, as the Biden administration appears to see the industry as the sole party responsible for movements in retail fuel prices as long as these movements are upwards.
Last year, the President threatened the industry with a windfall profit tax and accused it of war profiteering because most U.S. oil producers have become careful with their spending plans, giving strong signals that production growth is not their number-one priority.
Biden also threatened “other restrictions” that he did not specify as the oil industry remained stubborn in its refusal to heed calls for more investments in new production. Energy executives have repeatedly said there are obstacles to such a strategy, including inflation and the Biden administration’s own energy policies that are heavily subsidizing a shift away from fossil fuels.
At the same time, industry insiders have said, the White House is making it harder for any new production to come online with a complex permitting process that compromises the economic viability of some projects.
Source: Oilprice.com
Ghana: NPA Goes After 47 OMCs For ‘Pocketing’ Primary Distribution Margin Fund
Ghana’s petroleum downstream regulator, National Petroleum Authority (NPA), has issued a warning notice to 47 Oil Marketing Companies (OMCs) that are indebted to Primary Distribution Margin Fund.
The Authority gave the companies up to 22nd February 2023 to settle their indebtedness or have their shareholders’ and directors’ names published.
In a notice issued by the NPA on Wednesday, 8th February 2023, it said the Authority would be compelled to use all lawful means to retrieve the monies owed if they failed to settle their indebtedness.
The NPA did not disclose how many years the companies have owed the Primary Distribution Margin Fund, which is one of the tax components on petroleum products.
The Primary Distribution Margin is charged on every litre of petrol and diesel and it’s collected by the Oil Marketing Companies (OMCs).
It is used to offset cost incurred in moving petroleum products from the coastal depots to the in land depots.
Among the 45 companies mentioned in the NPA statement are Apex Petroleum Ghana Limited, Santol Energy Limited, Havilah Oil Ghana Limited, Life Petroleum Company Limited, Rich Oil Company Limited, Petro Afrique Ghana Limited, and Champion Oil Company Limited.
Below is the full list of defaulting OMCs
Apex Petroleum Ghana Limited
Best Petroleum
Bisvel Petroleum Services
Black Rock Energy Limited
Capstone Oil Limited
Champion Oil Company Limited
Deep Petroleum Limited
Deliman & Co Limited
G& G Oil Limited
Glee Oil Limited
Golden Petroleum Limited
Havilah Oil Ghana Limited
Hossana Oil Company Limited
Humano Energy Limited
Jas Petroleum Limited
Karela Oil And Gas Limited
Life Petroleum Company Limited
Lillygold Energy Resources Limited
Maiga & Hhm Company Limited
Mba Global Petroleum Limited
MM Energy Limited
Nuru Oil Company Limited
Nujenix Company Limited
Orient Energy Limited
Oval Energy Company Limited
P&O Energy Company Limited
Perfect Petroleum Company Limited
Petra Energy Limited
Petro Afrique Ghana Limited
Petro XP Ghana Limited
Precious Energy Ghana Limited
Q8 Oil (Gh) Company Limited
Rich Oil Company Limited
Rodo Oil Limited
Royal Roses Oil Company Limited
Safety Petroleum Limited
Santol Energy Limited
Sawiz Petroleum Company Limited
Sephem Oil Company Limited
Sky Petroleum Limited
Spirits Petroleum Limited
Titan Petroleum Limited
Union Oil Ghana Limited
Universal Oil Company Limited
Warren Oil Company Limited
Zoe Petroleum Limited
Source: https://energynewsafrica.com
French Strikes Halt Fuel Shipments From Refineries And A Fuel Depot
A nationwide strike in France over a proposed pension reform interrupted on Tuesday the shipment of fuels from refineries and a fuel depot of TotalEnergies, the French supermajor told Reuters.
Workers and employees in various sectors, including the energy sector, civil servants, and teachers, have been staging strikes for weeks to protest against President Emmanuel Macron’s plan to raise the retirement age.
Workers at the oil refineries at Donges and Feyzin, operated by TotalEnergies, are on strike today, a representative of the Force Ouvriere trade union told Reuters.
Workers at the fuel depot Flandres have also joined the massive industrial action in France, the official added.
This is not the first time that fuel deliveries have been disrupted by strikes this year.
Two weeks ago, the strike in France halted wholesale fuel deliveries from three refineries operated by TotalEnergies on the first day of a series of planned nationwide strikes in many sectors.
The Donges, Normandy, and Feyzin refineries of TotalEnergies stopped the wholesale supply of gasoline and diesel, while the refinery at Feyzin had to reduce processing rates to a minimum on January 19.
TotalEnergies and the French unit of ExxonMobil hold most of the refining capacity in France.
The strikes against Macron’s unpopular pension reform are expected to continue.
The most recent wave of strikes comes three months after refinery workers went on strike for weeks in September and October amid a pay row.
Strikes at refineries in France in the autumn of 2022 left more than 60% of the country’s refining capacity offline while gas stations in and around Paris and in the northern part of the country began to run out of fuel.
The strikes against the planned pension reform also come just as the EU banned imports of petroleum products from Russia as of February 5.
Source: Oilprice.com