OPEC+ Heads For A Clash With Biden As Members Reject Call For More Oil
OPEC+ headed for a clash with the U.S. as more members rejected President Joe Biden’s call for the group to raise oil production faster and help reduce gasoline prices.
On Monday, Kuwait said the cartel should stick with its plan to increase output gradually because oil markets were well-balanced. That followed similar statements from other key members in recent days, including Iraq, Algeria, Angola and Nigeria.
The Organization of Petroleum Exporting Countries and its allies — led by Saudi Arabia and Russia — met on Thursday with pressure from oil consumers mounting as prices climb toward $85 a barrel. American gasoline is at a seven-year high of $3.70 a gallon.
The U.S., India, Japan and other importers are waging a campaign to force the group to ease last year’s pandemic-triggered supply curbs more quickly.
While Biden declined to say how he would react if OPEC+ doesn’t change tack, analysts have speculated the U.S. might sell some of its strategic petroleum reserves.
OPEC+’s plan of boosting daily production by 400,000 barrels each month “is working well and there is no need to deviate from it,” Angola’s oil minister, Diamantino Pedro Azevedo, said Sunday.
Many members, including Saudi Arabia, have argued they shouldn’t pump crude any faster because the pandemic is still sapping demand. Some are already struggling to reach their higher output quotas after last year’s deep cuts, and say bringing production back more rapidly would make their task even more difficult.
“We are not yet out of the woods,” Saudi Energy Minister Abdulaziz bin Salman told Bloomberg Television on Oct. 23. “We don’t take things for granted, we still have Covid.”
OPEC+ has said that increasing crude exports would do little to bring down power prices, which have soared in parts of Europe and Asia due to shortages of natural gas and coal.
Still, OPEC+ has often surprised the market with sudden changes of policy. And while Riyadh and Moscow have both praised the group’s strategy, neither has directly addressed Biden’s comments in public, giving themselves room for maneuver.
The dispute comes as world leaders convene for the COP26 climate talks in Glasgow. The U.S has said it will push for more action to fight climate change while also trying to ensure the global economic recovery isn’t derailed by higher energy prices.
Source:Bloomberg
Gabon: Vaalco Gets More Crude Oil After Well Workovers Offshore Gabon
Vaalco Energy, Houston-based oil and gas firm says it has completed two well workovers at the Etame field offshore Gabon, adding more crude oil to its production.
The firm reported on Monday that the work done on these two wells added a total of approximately 1,050 gross barrels of crude oil per day (540 net BOPD to Vaalco).
Commenting on the development, George Maxwell, Vaalco’s Chief Executive Officer said: “We are pleased with the results from these workovers, in particular, the 1,050 gross BOPD of additional production. We purchased the mobile hydraulic workover unit earlier this year to allow us to quickly and efficiently react to ESP failures and to proactively prevent ESP failures as we deemed necessary.”
Vaalco’s mobile hydraulic workover unit, purchased in early 2021, was utilized to rapidly mobilise and replace electrical submersible pump (ESP) units cheaper and more efficiently compared to using a drilling rig. The company completed the workover of EEBOM-2H well to replace and upgrade the longest producing ESP unit at the Etame field.
This increased production from about 500 gross BOPD (255 BOPD net) prior to the workover to approximately 1,400 gross BOPD (715 BOPD net) in mid-October. The firm replaced both upper and lower ESP units and reconfigured the ESP design at ET-12H well.
The production was restored to 1,800 gross BOPD (920 BOPD net) in late October, which is an increase of approximately 150 gross BOPD (80 BOPD net) compared to the average rate prior to the workover.
“This allows us to maximize production and even incrementally increase production, which is particularly attractive in the current price environment. We will continue to efficiently operate at Etame which generates strong cash flow to fund our accretive strategic initiatives,” added Maxwell.
When it comes to recent developments on the field, Vaalco revealed in September that the Etame co-venturers had approved the bareboat contract and operating agreement with World Carrier Offshore Services.
Namely, Vaalco signed a binding letter of intent with World Carrier Offshore Services in late August to provide and operate the Cap Diamant, a double-hull crude tanker built-in 2001, as an FSO, which would replace the existing FPSO Petroleo Nautipa on the Etame Marin field. The FPSO is expected to be replaced by the FSO in September 2022 following the expiration of the FPSO charter.
Vaalco is the operator of the Etame Marin field, located offshore Gabon, with 58.8 per cent working interest and 63.6 per cent participating interest. Other partners are Addax Petroleum and PetroEnergy, while Vaalco increased its interest in the field through the acquisition of Sasol’s interest this year.
Ghana: ACEP Proposes Two Way Approach To Turnaround Tema Oil Refinery
Energy Think Tank, African Centre for Energy Policy (ACEP), has proposed a two-way approach to turn around Ghana’s debt-ridden premier refinery, Tema Oil Refinery (TOR).
The 45,000 barrels per stream day (BPSD) refinery constructed by the Italian oil and gas major, Eni, during the regime of the West African nation’s first leader, the late Dr Kwame Nkrumah, is currently having a cumulative outstanding debt portfolio of over GHc5.5 billion.
This comprises GHc2.8 billion with ESLA Plc and GHc2.3 billion in the company’s books.
This is despite many efforts at paying down the debt and raising loans to retool the operations of TOR over the years, according to ACEP.
In a document titled “Plugging The Two Decade Leak Strategic Options for the sustainability of Tema Oil Refinery” and presented by Kodzo Yaotse, Policy lead, petroleum and conventional energy, ACEP said it appears that Ghana is holding on to a company that generates no value to the taxpayer.
ACEP identified political inference, operational inefficiencies and inadequate investments as the major causes of the poor state of the country’s only refinery.
Citing political interference as breaking down corporate governance in TOR, ACEP observed that this has resulted in overstaffing of the refinery from 350 in 2003 to 950 including 350 contract staff as of 2020.
“At the same time, the company’s output has reduced from 45,000 bpsd to about 25,000 bpsd. TOR’s staff strength is comparable to refineries with capacities of about a 2.2million BPD. The high level of overstaffing increases operational and administrative costs, which contribute to the company’s annual losses over the period. Beyond the numbers, the quality of recruitments is also a significant concern. Recruitment as a political reward has, over the years, descended from the top management to lover levels, creating political groupings in the business environment and breeding internal saboteurs to the success of the company,” ACEP observed.
The West African nation’s premier refinery was recently in the news after the three-member Interim Management Committee (IMC) interdicted fourteen top management executives for various acts which they deemed have caused financial loss to the company and by extension the state.
The ICM was constituted after the Managing Director of the refinery, Francis Boateng, and his deputy, Ato Morrison, were relieved of their posts in June.
To address the current situation at TOR, ACEP recommended an appointment of a new Managing Director with industry experience who can show strategic pathway profitability and the repayment of the existing debts and be held strictly accountable to an agreed set of key performance indicators (KPIs).
ACEP wants the management of the refinery to be given free hand to restructure the company including staff strength, to an optimal level that leads to profitability.
ACEP’s second approach to addressing TOR’s challenges was for the government to consider privatising the state refinery.
This option, according to ACEP, is the most suitable given the uncertainties around political behaviour associated with a change in governments.
“Privatisation provides the opportunity to offset some of the debt and free debt accumulation to allow ESLA to address the existing debt situation,” ACEP said.
Source: https://energynewsafrica.com
Kenya Power Posts US$13.4 Million Profit After Losing Big Last Year
Kenya’s electricity distribution company, Kenya Power, has returned to profitability reporting Sh1.5 billion (US$13,475,827.50) in net earnings as of June 30, this year.
Last year, the firm lost Sh939 million (US＄8,435,868.02).
According to a report filed by https://www.the-star.co.ke, the firm’s profit, before tax, stood at Sh8.2 billion for the period under review, representing a 216 per cent year-on-year (YoY) growth compared to a loss before tax of Sh7.04 billion.
The company attributed the strong performance to growth in sales and revenue, as well as a double-digit reduction in costs and expenses.
“Unit sales for the year under review recorded a five per cent growth from 8,171 GWh to 8,571 GWh which was mainly driven by 716,206 new customer connections, who contributed an additional 400 GWh, and a rebound of the economy from the effects of the Covid-19 pandemic.
“All customer segments recorded growth, with commercial and industrial growing by 4.8 per cent, the small commercial by 5.1 per cent, domestic customers by 4.9 per cent and street-lighting by 10.2 per cent.
“Revenue recorded an 8.2 per cent jump from Sh133.3 billion the previous year to Sh144.1 billion, mainly due to an expanded customer base, and heightened revenue protection activities driven by increased field presence,” the reports said.
The Chairperson of Kenya Power, Vivienne Yeda said the strong performance was a credible indicator that the turnaround strategy rolled out the previous financial year was on course.
The strategy focuses on five core focus areas namely, improving customer experience, growing sales, enhancing revenue collection, enhancing system efficiency and prudence.
“As a company, we are pleased with this set of results because it is a clear demonstration that the investments we have made in driving a strong performance by the core business lines are beginning to bear fruits,” Yeda said.
She added that they are cognizant of the fact that a lot more needs to be done to fully transform Kenya Power into a 21st-century organisation.
In the year under review, the company also undertook greater cost management and resource optimisation initiatives.
As a result, operating expenses dropped by 17 per cent from Sh47.8 billion to Sh39.9 billion mainly due to a reduction in provisions for trade and receivables from Sh3.27 billion the previous year to Sh354 million, which was mainly driven by accounting for revenue and enhanced revenue collection initiatives.
Finance costs also registered a 27 per cent reduction from Sh12.5 billion in FY2020/21 to Sh9 billion due to a decrease in interest on loans and overdrafts, as a result of an Sh20.26 billion repayment of commercial loans which included the partial conversion of overdrafts into a term loan.
System losses, which had risen to 25.21 per cent in the first half of the year, were reduced to 22.7 per cent in the second half.
This followed the deployment of a focussed approach premised on the timely metering of customers, replacement of faulty meters, curbing electricity theft arising from meter by-passes and illegal connections, as well as the deployment of data analytics to identify and deal with electricity theft in the large power customer segment.
Overall system efficiency stood at 76.05 per cent as of the end of June 2021.
To further improve system efficiency, the company is planning to increase the coverage of the Advanced Metering Infrastructure (AMI) project, which presently covers 6,718 or 80 per cent of large power customers to full coverage by the end of 2022.
Plans are also underway to expand SME coverage, which stands at 54,272 SMEs, by a further 67,000 during this financial year. The company has also completed the regional border metering project and is stepping up the implementation of feeder and transformer metering, currently at 33 per cent and 95 per cent completion respectively, to aid in identifying high loss feeders for targeted interventions.
The company is primarily purchasing green energy, which currently accounts for more than 92 per cent of Kenya’s total energy mix, making it one of the best ratios in the world.
“Affordable storage will enhance our efficiencies which will, in turn, increase our reliability and result in more affordable power. As an organization, we are well-positioned to take a leadership role in these developments to improve customer satisfaction, and ensure the sustainability of our business,” the chairperson added.
Source: https://energynewsafrica.com
Ghana: Zenith Bank Gas Explosion Kills One Person, Leaves Two Injured
One person is reportedly dead after a gas explosion at the premises of the Ministries branch of Zenith Bank in Accra, capital of Ghana.
The explosion left one person in critical condition and another suffering minor injury.
It is unclear what caused the blast.
However, an Accra-based Citi News source indicated that the deceased and the critically injured person, both welders, were engaged to dismantle a garbage container within the premises of the bank when their cylinders exploded in the process.
The third victim, an Uber driver, driving on the nearby road, was caught in the explosion.
The remains of the deceased had been deposited at the Police Hospital mortuary while the injured had been conveyed to the 37 Military Hospital, also in the nation’s capital.
Source: https://energynewsafrica.com
Nigeria: Power Minister Unveils Action Plan To Turnaround Crippling Power Sector
Nigeria’s new Minister for Power, Engr Abubakar Aliyu, has unveiled the action plans designed by the country’s ministry to address the daunting challenges hindering the effective performance of the sector and achieve stable and uninterrupted power for the people.
According to a media report, Eng. Abubakar Aliyu, in a statement he issued to mark his first 50 days in office titled: ‘Our Reform Agenda for the Power Sector, said he was very upbeat about the future of the Nigerian power sector and expressed strong hope that the sector would soon witness a turnaround.
The Minister summarised the sector’s challenges under two headings: service quality and illiquidity and explained that the focus is on improving the service, creating liquidity as well as promoting competition in the sector, adding that new policies have been initiated to achieve that.
The new policies, according to him, include: accelerating the progress and completion of key projects of the Ministry and its partners, especially such as the Kashimbilla 40MW power station,Zungeru Hydroelectric Power Project, and several others around the country; systematic implementation of the Presidential Power Initiative (PPI) of this administration; reinvigorating important policies and regulations, especially the Eligible Customer and related regulations; strengthening the regulator to ensure that all sector players and stakeholders work according to the rules and guidelines especially in dealing with customers, etc.
The Minister said, “Against the backdrop of the reality that the delivery of electric power is a multi-sectoral undertaking, specific areas of conflict and tensions within the power industry value chain are being harmonised for greater synergy which will bring about a wholesome alignment of responsibilities within the governance system of the power sector. It is this new mindset of cooperation for optimal performance that we are bringing on board.
“So far, I am happy to inform you that everyone is in alignment with this mentality. There are ongoing conversations within the power value chain. Stakeholders are talking and cooperating and in so doing, bridging the observed disconnect within the sector.
“It must be clearly stated that within this value chain, some responsibilities are by the EPSRA performed by our private sector partners and other agencies of Government. These partners are being more closely monitored and sometimes given the needed nudge in the right direction to achieve our objectives.
“We are determined to deal with some policy issues, the legal and regulatory bottlenecks, and the human factors involved in the implementation and coordination of the power sector’s road map. Though a work in progress, let me assure you that the viability of the sector is not in doubt. As much as it is a capital-intensive sector and currently in need of a massive injection of fresh capital, we are making steady progress.”
Nigeria: Unreliable Electricity Supply Causes Businesses To Lose $29 Billion Annually-World BankSource: https://energynewsafrica.com
Ghana: NPA Rejects False Claims By Opposition NDC Legislator
Ghana’s petroleum downstream regulator, National Petroleum Authority (NPA), has rejected claims by the Member of Parliament for Ajumako-Enyan-Esiam Constituency in the Central Region, Cassiel Ato Forson, that it is engaging in some form of illegalities.
The legislator is said to have accused the NPA of acting with impunity by receiving revenues through the collection of unified Petroleum Price Fund (UPPF), Bulk Oil Storage and Distribution (BOST) and Fuel Marketing Margins.
However, reacting to the claims, NPA, in a statement issued by the Corporate Affairs department, stated categorically that it is acting legally contrary to claims by the legislator.
“The NPA wishes to state that its mandate to collect, charge or receive revenue with respect to the UPPF, BOST and Marketing Margins is derived from the NPA ( PPPF), Regulation 2012, LI 2186,” the statement said.
In line with LI 2186, the UPPF, BOST and Marketing Margins are distribution margins and were not just increased in 2021 but have seen periodic increments since 2009 due in part to the increases in the cost of operation of these activities over the years, the statement said.
It further explained that legislation 9 and 13 of the LI 2186 determines how to review the PPPF which states “that the pricing formula must include the three margins and the Authority shall indicate these margins to take care of the intended costs accordingly”.
The UPPF margin is a margin incorporated in the pricing buildup of petroleum products to compensate transporters who move petroleum products from the depots to the retail outlets across the country and to ensure that there is equal pricing of petroleum products in the country irrespective of one’s geographical location.
The BOST Margin is a margin also incorporated into the buildup of petroleum prices used to cover the cost of maintenance and operations of BOST depots across the country and to undertake its support expansion programmes of the depots but this is collected by BOST but not NPA, the statement explained.
The fuel margins are incorporated in the price buildup of petroleum products to pay for the marking of the products to prevent tax revenue loss, smuggling and adulteration of petroleum products.
The statement indicated that It is without a doubt that the absence of these margins in the pricing buildup would have hindered the achievement of the objectives for which the margins were incorporated into the PPPF.
Source: https://energynewsafrica.com
Ghana Needs Affordable Power To Attract Investors-Bui Power Authority
Ghana will be attractive to investors who want to build industries just like India, Malaysia and China if the country produces cheap and affordable electricity.
This is according to Wisdom Ahiataku-Togobo, Director at the Bui Power Authority (BPA).
The cost of electricity in Ghana appears high and many businesses see it as a disincentive.
Making a presentation on behalf of Samuel Kofi Dzamesi, Chief Executive Officer of Bui Power Authority (BPA) at the Ghana Economic Forum last week, the Director said, “I believe strongly that with the appropriate electricity tariff structure and investment in the least cost electricity production options such as nuclear demand for electricity could increase significantly to support job creation and stimulate economic growth.”
According to him, renewable energy sources such as solar, wind and biomass would also play a role in the short to medium long-term particularly when it comes to ensuring access to electricity in the off-grid communities.
Click to watch the video
Source: https://energynewsafrica.com
Senegal: Minister of Petroleum And Energies Pledges Support for MSGBC Oil, Gas & Power 2021
Senegal’s Minister of Petroleum and Energies, H.E. Sophie Gladima announced her support for the upcoming MSGBC Oil, Gas & Power 2021, organized by Energy Capital & Power.
H.E. Minister Sophie Gladima noted that the stakes for the conference were particularly high because this is the first high-level energy sector conference to be held in Senegal since the onset of the COVID-19 pandemic.
Minister Gladima emphasized that the event would be an economic boost for all participants and that a large number of delegations from countries in the sub-region, IOC’s and NOC’s would all be coming to Dakar to attend the conference.
Another important aspect highlighted by H.E. Sophie Gladima over the course of the press conference was that Senegal must continue to support the successful training and capacity-building initiatives conducted by institutions in Senegal including the INPG and the National Petroleum and Gas Institute, as well as other programs put in place by the Ministry of Employment to better facilitate the integration of Senegal’s youth into the oil & gas industry, with a focus on local content.
“We currently have a number of Senegalese workers whom we would like to be able to participate more in the development of oil & gas exploration and production in Senegal. But oftentimes these Senegalese nationals do not have a great deal of expertise in the oil & gas sector. At this point it is important for Senegal to draw upon the experience of the many experts coming to MSGBC Oil, Gas & Power 2021, so that Senegal can learn from the experience of others. We must make this knowledge available to our country,” she said.
Asked about the number of participants expected, Minister Sophie Gladima noted that Senegal expects a significant amount of people and companies to attend, not just from countries in sub-Saharan Africa but also from the United States, Europe, Asia and the Middle East, and that several hundred invitation letters had already been sent.
“Don´t forget that people like coming to Senegal and we are going to mobilize all of our cultural assets to encourage them and can assure you that all those wishing to come to our country will receive a very warm welcome.”
Climate Change
One of the issues discussed at length over the course of the Q&A with local media was that of the numerous challenges arising from the global fight against climate change and how to achieve a balanced energy transition.
H.E. Minister Gladima stated that: “Senegal will show solidarity in any effort geared towards fighting the negative impact of climate change and we support those international efforts. But it is important to note that Africa has contributed far less to global warming than many industrialized nations, yet we have still borne the brunt of the adverse impact of global warming on our economies and sectors such as agriculture.”
Senegal has embraced a policy of replacing coal fired power generation plants with natural gas, which is a fuel that pollutes far less than coal. Minister Gladima stated that “re-converted coal power plants fired by natural gas will be better not only for the environment and also enable Senegal to generate electricity that is more affordable.”
On the topic of the role of countries such as Senegal in the ongoing energy transition, Minister Gladima noted that some IOC’s and NOC’s around the world are already making plans to progressively decrease their overall reliance on energy derived from fossil fuels, from 80% to 60%.
Source: https://energynewsafrica.com
South Africa: Libya’s Oil and Gas Minister Mohamed Aoun To Lead Libyan Delegation To African Energy Week
Libya’s Minister for Oil and Gas H.E. Mohamed Aoun has confirmed participation in the African Energy Week (AEW) 2021, scheduled between November 9-12, in Cape Town, South Africa.
This was announced by African Energy Chamber, organiser’s of African Energy Week 2021.
Uniting Africa’s top oil and gas producers, financiers, service companies, policy makers and traders under one comprehensive and market-driven program agenda, AEW 2021 represents the ideal platform where the discussion on the future of hydrocarbons in Africa will be made.
In line with the event’s objective of ensuring Africa’s hydrocarbon resources are fully utilized to make energy poverty history by 2030, H.E. Mohamed Aoun will lead a strong discussion on Libya’s energy potential, ongoing regulatory reforms, and its strategic value within global energy markets.
Representing one of Africa’s top oil producing nations, and a sector that has seen significant reform in 2021, Libya has garnered interest from global players due to the recent return to stability under the Government of National Unity.
With the Ministry having been restored this year, Libya is poised to experience accelerated energy sector investment and development, driven by sector alignment and integration.
Libya’s oil reserves are estimated at over 43 billion barrels, placing the country as the ninth largest reserve holder worldwide. Additionally, the country boasts over 1 trillion cubic meters of natural gas reserves, positioning Libya as a hydrocarbon hotspot.
Despite ongoing struggles to revive the sector, the country has managed to maintain production levels by above 1 million barrels per day. With ambitious plans to significantly scale up production and refining capacity, the Ministry is focused on attracting significant levels of investment in the sector.
Accordingly, led by H.E. Aoun, Libya will be coming to AEW 2021 to promote the potential of Libya’s energy resources, making a strong play for investment and regional collaboration.
Libya’s energy sector revival will not only bring significant benefits for the population but will open new and improved export opportunities to global markets. Attributed to the country’s strategic position, and direct network chain to European markets, the country is well positioned to enhance Africa’s export potential and drive global supply.
Ghana: Nuclear Power Ghana Hosts AGI Summit Raffle Winners
The Nuclear Power Ghana (NPG) on Wednesday, hosted winners of its raffle drawn at the 2021 Ghana Industrial Summit and Exhibition (GISE) held at the Accra International Conference Centre (AICC) in August this year.
According to the Public Affairs Manager of NPG, Bellona-Gerard Vittor-Quao, the invitation of the winners to the facility formed part of their public engagement activities and knowledge sharing on Ghana’s Nuclear Power development efforts to establish a Nuclear Power Plant in Ghana.
She stated that, the introduction of nuclear power requires a social license that must be obtained among satisfying other technical conditions and the completion of actions on the 19 infrastructure issues in establishing such programme.
She emphasised that the supply of commodities, services, and components to construct and operate the nuclear facility require the involvement of industries that can comply with nuclear codes, standards, and quality requirements.
Ms. Vittor-Quao said, it is therefore important that industry owners and players are engaged to understand the requirements, guided to prepare adequately to explore the opportunities available in the power generation project.
She added that, government is passionate about the local content component and our industries must be appropriately positioned to play key roles. The winners were invited to the GAEC facilities to also expose them to the existing uses of nuclear applications in the agriculture and health sectors that Ghana has been involved with since the 1960s.
As part of their winning packages, the five winners including their business team members numbering about twenty-four, whose background are in Small and Medium Enterprise, toured the Ghana Research Reactor Centre, Accelerator Research Centre, and the Radiation Technology facilities at the Ghana Atomic Energy Commission (GAEC).
In a welcome address by Ing. George Dzotepe, on behalf of the Executive Director, the winners were encouraged to link up with NPG to undertake an assessment of their business capabilities and potentials using the nuclear standard and requirements as part of their preparedness to contribute to the power project.
Other NPG and GAEC officers who took the winners through their operations and various Phases and stages of the Nuclear Project development include Ing. John Avor, Mark Sarfo, Dr Henry Cecil Odoi, Dr Christian Nuviadenu, and Dr Mavis Owureku.
Source: https://energynewsafrica.com
Vivo Energy Demonstrates How Being Competent And Prepared Results In A Safer Workplace
Vivo Energy, the pan-African retailer and marketer of Shell and Engen-branded fuels and lubricants, has held its annual Safety Day across the whole company, reinforcing the importance of Health, Safety, Security, Environment & Quality (HSSEQ) at Vivo Energy.
Safety Day is an opportunity for all employees and contractors at Vivo Energy to refocus on the importance of HSSEQ.
This year’s event ─ “Competent + Prepared = Safer” ─ invited colleagues to record examples of visible safety leadership they had experienced across the business. Over 1,200 entries were submitted, across a range of categories including the environment, health, product quality, reputation, safety and security.
The leading examples of safety improvement in each of these categories have been showcased and shared across to Group, to encourage replication of this best practice.
Commenting on Safety Day, Grant Bairstow, Head of HSSEQ for the Vivo Energy Group said: “Safety is integral to our business and Vivo Energy’s long-term success in Africa. I am delighted to report we have continued to perform well against all of our key HSSEQ indicators this year.”
In addition to employees sharing examples of visible safety leadership, each market has developed a programme of activities to remind their employees to focus on HSSEQ, culminating in physical and virtual events this week.
The Managing Director of Vivo Energy Ghana, Mr. Ben Hassan Ouattara added: “Our ultimate ambition is to achieve a world-class safety culture, where HSSEQ is fully integrated into our ways of working for all Staff and Contractors at Vivo Energy. Whilst safety is embedded across the company, our annual Safety Day provides a moment for all our teams to ensure we are doing everything we can to achieve our aim of ‘Goal Zero’ – no harm to people and minimising our impact on the environment. All Class of Business/ Function and Contractors work activities have been risk assessed, effective controls and barriers are in place and being managed by our safety critical persons, for a safe working condition for all.”
Vivo Energy Ghana was adjudged the winners of the Positive Safety Observation, Reputation Award Category with its STOP, THINK & DRIVE road safety campaign in partnership with its Transporters and the National Road Safety Authority. The campaign is aimed at improving road safety consciousness among high risk commercial drivers and motorcyclists to provide safer transport services to commuters.
Vivo Energy continues to work hard to achieve its HSSEQ goals in order to make continued progress towards its vision of becoming Africa’s most respected energy business.
Source: https://energynewsafrica.com
Vivo Energy continues to work hard to achieve its HSSEQ goals in order to make continued progress towards its vision of becoming Africa’s most respected energy business.
Source: https://energynewsafrica.com South Africa: Eskom Wants Greater Support From Law Enforcement Authorities To See More People Imprisoned- André de Ruyter
South Africa’s power utility company, Eskom’s Group Chief Executive André de Ruyter says his outfit would have liked to see greater support from law enforcement authorities in the country to see more people in jail as the organisation is clamping down on corruption.
Speaking at the opening session of this year’s Enlist Africa formerly Africa Utility Week, Mr de Ruyter gave an exclusive update on the progress that is being made on the five-point turnaround plan for South Africa’s national utility, stating that they are “holding people accountable and are making progress from a corruption perspective and a consequence management perspective.
“We have seen some Eskom employees being disciplined, being arrested, money being attached and forfeited to the state, people that we have caught for engaging in corrupt activities. Have we won the war as yet? No. But I think more and more the signal is getting out to those miscreants who are seeking to enrich themselves at the expense of South Africa and Eskom, that crime doesn’t pay, and that we will get them in the end.”
The Eskom five-point recovery plan includes achieving operational stability, improving income statements, strengthening the balance sheet, embarking on organisational restructuring and improving the culture.
Eskom Sales Have Recovered.
In a frank conversation with Enlist Africa’s Content Director, Claire Volkwyn, de Ruyter said operationally, the organisation was also doing better:
“It’s a new initiative, so visible, feeling leadership boots on the floor. We are insisting that our power station managers don’t manage from behind the desk, but rather go out and lead from the front.”
The Eskom GCE further reported that from an income statement perspective, the utility was making good progress.
“Sales have recovered remarkably well. After the COVID-19 pandemic, we saw a big decrease in our sales over the last financial year. But this year to date, I have to say that sales have recovered very strongly, which is a good sign for the economy overall. So demand is strong.”
Africa’s Energy Transition: Eskom’s Share In Emissions
Enlist Africa has a strong focus on the upcoming UN Climate Change Conference (COP26), taking place in Scotland in November, and de Ruyter also addressed Africa’s energy transition and the role that Eskom is expected to play in what many feels should be a ‘just energy transition,’ considering, in particular, how the coal industry will be affected.
“As Eskom”, he explained, “we are responsible for about 25% of African carbon emissions; so, we are a very significant contributor to the carbon footprint of the continent. If we can show the way to a cleaner and greener energy future, I think there’s a real opportunity for us to demonstrate that.”
To watch the rest of the keynote interview with André de Ruyter, register on the Enlist Africa-Connect platform by clicking here. The event is on till Thursday, 28 October.
Formerly known as African Utility Week, Enlist Africa is providing practical solutions to prepare the continent for a NetZero reality. The programme looks at various ways to achieve this; from LNG as a transitional energy source, municipal energy independence, e-mobility, and how Africa is preparing for, and what it is expecting from, the COP26 summit.
Africa Is Ready To Go Into Action
“For all of Africa, we must start with a clear signal to the world that we are ready to start the implementation of the Paris Agreement, we are ready to go into action,” was the declaration this morning of Tanguy Gahouma-Bekele, chairman of the African Group of Negotiators on Climate Change, who will represent the continent’s 56 nations at COP26 in Scotland next month.
As part of the Enlist Africa keynote session, the Gabonese climate negotiator explained Africa’s position at the climate conference, saying the continent is not responsible for the current situation: “Even if reducing emissions is very important, we also need to be clear and say to the world that Africa has very low emissions, but we already feel climate change in our towns and our cities. For us, it’s to help us to fight against all the consequences of climate change.”
He added: “For Africa, the two priorities are really to stop the rise of emissions, because today, we are far from the 1.5 °C or the 2 °C, which are the targets of the Paris Agreement. All the NDCs (nationally determined contributions) already released this year, prove that we will continue to emit 10% more in 10 years; but we need to reduce that by 40% in 10 years, as we cannot deal with that in Africa where we are already facing some amazing disasters.”
Source: https://energynewsafrica.com
TotalEnergies Says High Gas Prices Could Last Into Spring As Profits Surge
TotalEnergies said high gas prices in Europe and Asia could last into spring as the French energy group reported a sharp rise in third quarter earnings on Thursday on surging power prices.
The company’s third-quarter adjusted net profit soared to $4.8 billion, from just $848 million last year, from core earnings that more than doubled to $11.2 billion.
CEO Patrick Pouyanne told reporters that low supplies and sustained strong demand would likely keep gas prices high in Europe and Asia until next spring, though they should start to ease off after the winter.
The group, which is aggressively expanding into electricity and renewable energy, estimated its production of gas and crude oil would reach their highest levels since the second quarter of 2020.
It said it should produce between 2.85 and 2.9 million barrels of oil equivalent per day (mboepd) in the last three months of 2021, after it reached 2.814 mboepd in the third quarter.
TotalEnergies also predicted its average sales price for liquefied natural gas (LNG) would rise to more than $12 per million British thermal units (MMBtu) in the last quarter, from $9.10 in the previous three months.
The company confirmed plans to buy back $1.5 billion worth of shares over the final three months of the year, which it had announced in late September on the back of the high power prices.
WIND IN THE SAILS
Buoyed by high gas prices, TotalEnergies said its net investments this year should reach close to $13 billion, at the top of a range it announced earlier in the year.
The company, which rebranded last spring, aims to be one of the world’s top five renewable power producers by 2030, though meanwhile it continues to dedicate some three-quarters of its investments to oil and gas.
Like its rivals, TotalEnergies has come under pressure from climate campaigners and some shareholders to speed up the shift from fossil fuels to cleaner sources of energy.
Pouyanne said he had “no doubt” the company would reach its 2030 target of 100 GW in renewable energy production capacity, as it looks to add a further 6 GW next year.
He said the company could grow quickly in offshore wind, and would consider buying smaller renewable energy developers.
Source :Reuters