Kenya: Ghana’s NPA Officials Visit Kenya Pipeline Company
The Chief Executive Officer of Ghana’s petroleum downstream regulator, NPA, Dr Mustapha Abdul-Hamid, has led a delegation to visit Kenya Pipeline Company.
The visit was for the NPA team to familiarise themselves with the operations of Kenya Pipeline Company.
In a post on KPC Facebook and sighted by energynewsafrica.com, it said Stella Nyayiemi, Gas Officer at Energy and Petroleum Regulatory Authority, addressed the team during the familiarization tour of KPC installations in Mombasa by the National Petroleum Authority of Ghana.
Source: https://energynewsafrica.com
Ghana: Police Chase Fuel Tanker Driver, Tricycle Riders For Engaging In Fuel Siphoning At Kaase
Security personnel in Ashanti Region are on a manhunt for a fuel tanker driver and tricycle riders whose illegal activity caused an explosion at Kaase, a suburb of Kumasi, last Friday.
Energynewsafrica.com reported last Friday that a fuel tanker caught fire and exploded at Kaase in the Ashanti Region in the Republic of Ghana.
A statement by the police in the Ashanti Region said preliminary investigation established that the driver of the DAF tanker with registration number AS 2531-19 was discharging fuel to some tricycle riders and in the process caught fire.
The fire caused the tanker to explode, burning about 40 wooden structures.
The statement said no fatalities were recorded.
According to the police, the truck driver and riders escaped from the scene and have run into hiding.
The police said they are doing everything possible to effect their arrest.
“We would like to urge everyone to desist from engaging in activities that have the potential to put the lives of the general public at risk,” the police advised.
U.S. Oil Firms Urge Biden For Caution Over Possible Sanctions On Russia
Some of the largest U.S. companies, including the biggest oil lobby, called on the Biden Administration and Congress this week to tread carefully with potential new sanctions against Russia that could hit American firms and their competitiveness.
On Tuesday, U.S. President Joe Biden said “I have made it clear to — early on to President Putin that if he were to move into Ukraine, that there’d be severe consequences, including significant economic sanctions, as well as I’d feel obliged to beef up our presence — NATO’s presence in — on the eastern front: Poland, Romania, et cetera.”
President Biden was talking to reporters on one of the hottest geopolitical topics these days—the threat of Russia invading Ukraine.
The standoff between Russia and the West over Ukraine continues amid the Russian military buildup on the border with Ukraine. Amid the continued threat of possible Russian aggression against Ukraine, the Biden Administration is seeking to reassure Europe about its natural gas supply at a time of record-high gas and power prices amid low gas inventories and lower-than-normal supply from Russia.
Still, trade groups and the American Petroleum Institute (API) told Reuters this week that the Administration should carefully pick its fights in a possible new round of sanctions to limit the impact on U.S. companies.
The Administration and Congress need to “get the details right in case they must follow through on the threat of sanctions,” Jake Colvin, president of The National Foreign Trade Council, told Reuters.
API, via a spokesperson, also told Reuters that “Sanctions should be as targeted as possible in order to limit potential harm to the competitiveness of U.S. companies,” an API spokesperson said.”
In a previous round of sanctions against Russia, U.S. supermajor ExxonMobil had to pull out of a project in the Arctic in Russia.
Following the U.S. and EU sanctions against Russia over the annexation of Crimea back in 2014, Exxon shelved its plans to take part in the exploration and exploitation of Russia’s Arctic shelf. Exxon was estimated to have lost more than $1 billion from the sanctions.
Source: Oilprice.com
Tullow Oil Sees 2021 Free Cashflow At $250Million
West Africa-focused Tullow Oil expects its 2021 free cashflow to come in higher than previously forecast at $250 million and expects this year’s cash flow to come in at $100 million at an oil price of $75 a barrel, it said on Wednesday.
Tullow, with a market capitalisation of around $1 billion as of Tuesday, is focusing on reducing its $2.1 billion debt pile and has hedged 50%-75% of its output of around 60,000 barrels of oil equivalent per day between $51 and $78 a barrel to 2024.
The hedging cost is between $1.6 and $2 per barrel, it said.
Benchmark crude oil futures are trading near $90 a barrel, with much of last year’s third quarter above $80. Tullow had said in November it saw its 2021 free cashflow at $100 million.
“(2021) free cash flow is expected to be c.$250 million, ahead of guidance, driven by continued focus on costs, supportive oil prices in the latter parts of 2021 and favourable working capital movements,” Tullow said in a trading statement.
Lower free cashflow in 2022 would include a $75 million payment from divesting its Uganda assets, but also higher decommissioning spending and investments of $350 million, most of which is going to its flagship fields offshore Ghana.
It is due to report full-year results on March 9.
Tullow is seeking new investors for its yet to be developed projects in Guyana and Kenya, having submitted a revamped $3.4 billion development plan for some of its onshore Kenyan oilfields last month, it said.
There is no guidance yet on the timing or size of partial divestments from those projects, Chief Executive Rahul Dhir said.
Source: Reuters
Ghana: ZEN Petroleum Supports Victims Of Bogoso Explosion
ZEN Petroleum, a wholly owned Ghanaian petroleum downstream company has donated relief items to victims of the explosion which occurred at Appiatse, near Bogoso in the Western Region.
The gesture is part of the company’s disaster relief efforts to those who were badly affected by the incident.
The items donated comprised of 60 bags of rice, 15 cartons of 1L cooking oil, 10 boxes of canned sardines, 10 boxes of tomato paste, 17 boxes of toiletries, 84 packs of toilet paper rolls, 31 boxes of detergents, bathing and washing soaps, as well as medical supplies valued at GH¢50,000.
Speaking to the media, ZEN Operations Manager, Stanley Tweneboah said, “ZEN expresses its sympathies for the horrific losses the Appiatse community has had to endure.”
He added that, “We urge organisations to increase staff safety and education on accident mitigation to prevent incidents like this in the future.”
ZEN expressed its commitment to continually maintain the highest health and safety standards across all operations, as well as strict compliance to its key strategies emanating from Hazard Identification and Mitigation Processes, as well as Emergency Response and Recovery Processes to cover every single task performed.
ZEN’s support of the victims at Appiatse forms part of its ZEN to Community (Z2C) programs, which have included the donation of personal protective equipment (PPE) and medical supplies during the COVID-19 pandemic, the construction of a public library for the Perseus Mining resettlement village in Ayanfuri, as well as an ongoing partnership with educational charity Lead For Ghana, focused on the education development in communities across Ghana, amongst others.
Source: https://energynewsafrica.com
Ghana: BOST Margin: Has It Been Utilised Efficiently?(Article)
In an article I wrote on June 17, 2020, following an increment in the BOST Margin, I urged Ghanaians, especially those who were not in favour of the increment, to rather demand that the Management of BOST put the monies they would generate from the increment to good use.
I iterated that Ghanaians would want to see the management utilizing the BOST Margin judiciously. I further stated that Ghanaians would want to see the dysfunctional pipelines repaired for the restoration of fuel transportation through pipelines and not Bulk Road Vehicles (BRVs), and the rehabilitation of the BOST storage tanks that had been down for several years. These, notwithstanding, I pushed for an end to BOST being used as a cash cow to finance political party activities during elections but instead make BOST a dividend-paying entity.
It was my view that should management work hard to meet these suggestions and requests, it was going to make Ghanaians have confidence in the management and would not be too worried if there is a proposal to increase BOST Margin in the future.
For those who may not be familiar with the petroleum downstream industry and for that matter BOST Margin, permit me to explain what BOST Margin is all about.
BOST Margins is one of the components of petroleum price build-up. BOST Margin was introduced in 2011 as a form of a levy for BOST to use to cover the maintenance and expansion of pipeline infrastructure for the transportation of petroleum products to its depots. The BOST Margin was pegged at Ghc0.3 pesewas in 2011 but remained unchanged until 2020 when it was adjusted upward to Ghc 0.6 pesewas per litre on fuel.
Having explained what BOST Margin is all about, what we should ask ourselves is whether the BOST Margin has been utilized efficiently and judiciously two years after the increment was effected.
I was privileged to be among a few selected journalists who were invited by the management of BOST as part of the end of year stakeholder engagement with the media to present their performance for the year and what they intend to do in 2022 and beyond.
I must say it was refreshing to see the kind of work the management has used the funds from the BOST Margin for, for the past two years.
There were about 19 key projects that BOST Margin was being used to execute. Among the projects include Accra Plain Depot Rehabilitation works, Accra Plains Administration project, Repair of B2P3 pipeline, TAPP Refurbishment, TAPP Surveillance system, Bolgatanga Bulk Road Vehicle Park, Kumasi Depot Rehabilitation Works, Repair of 12 out of 16 Tanks at APD, Kumasi, Buipe and Bolgatanga, Remedial works on twin 18″, Repair of marine assets (barges and tugboats), Construction of BRV parking lot at APD, Tema –Kumasi petroleum pipeline-FEED, LPG FEED, supply & installation of mass flow meters, pumps & loading arms and Maintenance of offloading platform at Kumasi depot. The company budgeted GHc 260.42M and has so far expended Ghs111.53M.
These projects are verifiable for all those who want to do so. I recall that sometime in 2021, the management of BOST transported Civil Society Groups (CSOs) working in the energy sector and some journalists to visit their depots to witness the projects they were executing with funds accrued from the BOST Margin.
The CSOs testified to the transformation that was taking place at the BOST depots and praised the Managing Director and his team for working hard to get most of the company’s assets which were decaying back to life.
It is instructive to note that a few years ago, BOST was always in the news for very bad reasons. Interestingly, the narrative has changed and the once debt-ridden state enterprise is en route to being turned into a profit-making entity within two years and five months since Edwin Nii Obodai Provencal was appointed.
I recall when Mr Provencal, who was then a Technical Advisor to John-Peter Amewu, former Minister for Energy, was appointed for his position, two people at the Ministry of Energy and a Ghanaian in the USA who had met him four months before his appointment expressed doubt that he would succeed at BOST. I had no idea why they were casting doubt about Mr Provencal’s ability. Whatever might be their reasons, Mr Provencal has proved them wrong.
For him to have succeeded at BOST means he has been diligent, tactical, disciplined and strategic.
One has to be disciplined, diligent and follow the godly counsel to succeed at BOST. BOST, as we all know, is a strategic stock-keeping company, therefore, its efficiency would guarantee fuel security for all Ghanaians, therefore, we must be happy and commend the current leadership for utilizing the BOST Margin efficiently and cleaning the greater part of the mess created in the past.
The writer is the editor of energynewsafrica.com. He is an award-winning journalist, strategic communicator and a researcher
Ghana: It Will Cost ECG More Than Gh¢1 Million To Restore Power Supply To Appiatse-MD
Ghana’s southern electricity distribution company, ECG, says it will cost them GH¢1 million to be able to fully restore power supply to the Appiatse township, following the explosion that destroyed all their electrical installations.
Appiatse became the topic for discussion in the Ghanaian and some International media last Thursday after mining explosives which were being transported to a mining site exploded on the way when a motorcycle allegedly hit the vehicle transporting the explosives.
The explosion resulted in the death of 13 people with over 50 people being injured while electrical installations were destroyed.
Speaking to journalists after visiting the area, the Managing Director of Electricity Company of Ghana (ECG), Mr Kwame Agyeman-Budu said: “We are here this morning to solidarize with the community with our support, and we have promised them that as soon as everything is settled, we will connect them back with electricity. We are supposed to continue our work but due to security reasons, NADMO and the security have asked us to stop to ensure that everything is completely safe here. When that is done, we will work 24/7 to ensure a stable power supply.”
Touching on the steps the company took when they heard about the explosion, he said: “When we heard of the incident, we quickly mobilized people to ensure that safety prevails. This they did by isolating the network to make sure that the place is safe. After that, we reconnected those places which were affected such as Asankragwa, Enchi and Akropong to make sure they have light. With a team from the region, we were able to restore power within 48 hours.”
Mr Agyeman-Budu noted that besides the transformer that was destroyed, other ECG properties including the low and high voltage poles, conductors among others were affected but said they are currently concerned about the safety of the people.
He announced that ECG would be contributing GH¢100,000 to the community to support those displaced and who have sustained injuries.
Source: https://energynewsafrica.com
Nigeria: Dangote Oil Refinery Is A Game Changer-Adesina
The President of the African Development Bank, Dr. Akinwumi A. Adesina, has described the Dangote Oil Refinery and Petrochemical Plant projects in the Federal Republic of Nigeria as a ‘game-changing initiative’ that will spur Africa’s development and deepen regional integration.
Dr. Adesina said this last Saturday, January 22, 2022, after touring the US$19.5 billion Nigerian Greenfield crude oil refinery and petrochemical production plant owned by Dangote Industries Limited.
In 2014, the African Development Bank’s board approved a US$300 million loan to Dangote Industries Limited to support the construction and operation of the Greenfield crude oil refinery and the Greenfield fertilizer manufacturing plant. The two facilities are expected to create 38,000 jobs during construction.
“The Dangote Group is an Africa growth accelerator…I am completely blown away by the magnitude of what I see here. This is a world-class industrial complex that will make Nigeria and Africa proud. We at the African Development Bank are proud of this project. Every African country needs to have an Aliko Dangote to help the continent industrialize.
“Dangote’s success demonstrates that governments should prioritize industrialization. We must continue to support the private sector, considering the value they bring,” Dr Adesina indicated.
Dr. Adesina said the African private sector was crucial to the execution of the African Continental Free Trade Area.
He pledged that the bank would continue to work with the Dangote Group to do more for Africa.
He said the bank’s industrialization strategy included identifying and backing ‘African regional champions’ like the Dangote Group.
He added that the African Bank was willing to assist the Dangote Group in such areas as agriculture–including rice and dairy products–as well as cement expansion into other countries.
It is estimated that by 2023, Nigeria would import zero petroleum oil products–down from approximately US$50 billion current oil product imports per year.
On his part, Aliko Dangote, Group President and Chief Executive, said the refinery is the world’s largest single-train petroleum refinery with a capacity to process 650,000 barrels of crude oil per day.
“We appreciate the support of the Nigerian government, our lenders and development finance institutions like the African Development Bank, without whom we would not have come this far. We have enjoyed a good working relationship with the bank and this visit further encourages us,” Dangote said.
Dr Adesina and Dangote discussed the potential of collaboration between AfDB and Dangote Industries Limited to expand the business to other African countries.
The successful completion of the refinery project is expected to have a significant impact on Nigeria’s foreign exchange through import substitution and substantial savings in earnings.
The refinery is expected to be commissioned by the end of the year.
Accompanying Dr Adesina on the visit were African Development Bank’s Vice President for Private Sector, Infrastructure and Industrialization, Solomon Adegbie-Quaynor the Bank’s Director-General for its Nigeria country office, Lamin Barrow, and the Special Adviser to the President on industrialization, Professor Banji Oyelaran-Oyeyinka.
Nigerian businessman and philanthropist, Femi Otedola (link is external) also attended the meeting.
Source: https://energynewsafrica.com
Ghana: Ameri Power Plant: My Phone Was Seized, Sent To The UK For Analysis-John Jinapor Recounts
Former Deputy Minister for Power under the erstwhile National Democratic Congress (NDC) administration has recounted how his mobile phone was seized by the Akufo-Addo administration and sent to the United Kingdom for a third party analysis when the current administration began investigations into the procurement of African and Middle East Resources International Group (AMERI) Power Plant.
According to John Abdullai Jinapor, upon assumption of office of the governing New Patriotic Party (NPP), his personality and that of his other colleagues came under attack in connection with the AMERI power deal.
In his view, the NPP believed there was some kind of irregularities in the power deal and so decided to investigate and possibly renegotiate it.
In doing so, Hon Jinapor narrated that in the early morning of 28 Jul 2017, before he left home for Parliamentary duties, three gun-wielding police personnel with AK47s, under the ‘instruction from above’ phrase, met him at his gate and requested to search his house and retrieve documents in connection with the AMERI deal.
“Whilst the leader of the team was calm and sober, the other two were very harsh and abrasive. Their message was straight: ‘You are under investigation,'” he narrated.
In the presence of his wife and children, the police personnel, he said, however, failed to produce a court order when he, Mr Jinapor, requested one.
“They only replied that they were carrying out a directive from above.”
The former minister said upon the advice of his wife, he obliged and after a thorough search of his house, the police requested his phones, laptop and other documents they thought could help in their investigations.
After the infamous raid, Mr Jinapor said he was instructed to report to the Police Criminal Investigation Department (CID) the next morning, which he did but had to wait for several hours before his statement was taken.
The Yapei-Kusawgu Member of Parliament disclosed that days or a week after his electronic gadgets had been confiscated for forensic analysis, the police called and requested the password to his iPhone.
He initially requested to come to the police CID to unlock it with his fingerprint but only to be told that the phones had been sent to the United Kingdom for a third party analysis adding, “Without hesitation and believing in our collective innocence, I provided the password to my phone.”
According to him, he and his colleagues, whose homes were also searched, were vilified and branded as criminals and had to inform the police anytime he travelled outside the country.
He said a committee was subsequently set up under the then Minister for Energy, Boakye Agyarko, to investigate the transaction and renegotiate the deal but could not find anything wrong with it after numerous travels to Dubai to probe the deal.
He further stated that the outcome of the so-called negotiations by the NPP government turned out to be a big scandal with bloated and padded figures which resulted in public outrage and subsequent dismissal of Mr Agyarko.
Six years after the President John Dramani Mahama administration had procured the AMERI Plant and the related events thereof, ownership of the plant has finally been transferred to the Government of Ghana as envisaged, making Ghana take full ownership of the 250-megawatts (MW) power production plant from AMERI Energy.
The 10-unit barge, with the capacity to generate 25MW each, totalling 250MW, which is a dual fuel plant and can run on both light crude and natural gas, is expected to be moved to Anwomaso in Kumasi in the Ashanti Region to bolster system reliability, reduce transmission losses and improve power supply.
Ghana: Distributed Renewable Energy Generation Witnesses Steady Growth In 9 YearsSource: https://energynewsafrica.com
Ghana:Ghana Gas Company Supports Appiatse Explosion Victims With GH¢2 Million
The Ghana National Gas Company has presented a cheque of GH¢2 million to the victims of the Appiatse explosion incident in the Republic of Ghana.
The amount is to help the victims with their needs while they recover from the explosion.
The Chief Executive Officer, Dr Benjamin K.D Asante, who presented the cheque, assured the victims that the company would provide further support if the need arises.
“This was and is a very tragic incident…so we are here basically to lend our support both emotionally and financially. Today, we are donating seed money of two million Ghana Cedis to help alleviate some of the problems that the municipality is facing. We also pledge that we will be here to support the recovery efforts in terms of medical expenses and emotional trials that have come and even also support with infrastructure.”
He added: “Today, we are here because we find ourselves as a corporate citizen on this corridor. One of our transmission lines is not too far from here. It passes through Prestea to Kumasi and so we are very much part of this community.”
Dr. Asante was accompanied by the General Manager-Human Resource, Madam Alma-Leigh Mensah, General Manager-Technical Services, Mr. Robert Asmah, Head of Government Relations, Madam Augustina Osei Asare, Head of Community Relations, Mr. Stephen Donkor and some senior staff of Ghana Gas.
Receiving the cheque, the Prestea Bogoso Municipal Chief Executive, Dr Isaac Dsmani pledged that all donations, both material and money, would be used strictly on the victims.
“We want to thank the CEO of Ghana Gas for giving us this GH¢2 million. On behalf of the chiefs and people, we are grateful.”
He revealed that “we are putting ourselves together to ensure that we open a disaster account hopefully tomorrow Monday, January 24, 2022. We are opening our MUSEC to include pastors, reverend ministers and opinion leaders within the community so that any money that comes in here, we will sit down with them and disburse it to the benefit of Appiatse.”
Dr Isaac Dsamani disclosed that arrangements are being made to relocate the victims from the St Michael’s Parish Hall– Shelter House–to a more secured and convenient location tomorrow Monday, January 24, 2022, while rebuilding efforts of the Appiatse community start.
About 13 were killed and over 50 were injured last Thursday when a vehicle carrying a mining explosive was hit by a motorcycle, sparking a fire and explosion.
The explosion led to the destruction of the entire Appiatse Township.
Dr Isaac Dsamani disclosed that arrangements are being made to relocate the victims from the St Michael’s Parish Hall– Shelter House–to a more secured and convenient location tomorrow Monday, January 24, 2022, while rebuilding efforts of the Appiatse community start.
About 13 were killed and over 50 were injured last Thursday when a vehicle carrying a mining explosive was hit by a motorcycle, sparking a fire and explosion.
The explosion led to the destruction of the entire Appiatse Township.
Source: https://energynewsafrica.com
Nigeria: Over 40 Top Managers Of AEDC Sacked
Over 40 top management staff of Abuja Electricity Distribution Company AEDC) have been sacked, multiple sources have confirmed.
Those sacked include General and Regional Managers.
The action follows the takeover of AEDC by an interim management put in place by United Bank for Africa (UBA) which provided finance to KANN Utility, the core investor of 60 per cent stake in AEDC in 2013, invoked its receivership clause over the incomplete settlement of the loans.
The former board and management of KANN has since been removed and a new UBA-led board and management, headed by the chairman, Victor Osadolor, and the Interim Managing Director, Bada Akinwumi, have been driving the operations of the company since then.
As of December 2021, the new helmsmen announced that the entitlements of the protesting staff had been cleared and tasked them to be more dedicated to their services.
According to unnamed sources in a report by Daily Trust, the removal of the GMs and the restriction of some other top officials of the DisCo appointed by the previous management was a move by the interim management to ensure there is sanity while working with staff they believe could be loyal to them.
“Since they came on board, they have been careful in their communication approach and they fear that the majority of the top officials of AEDC are still loyal to the ousted board and management driven by KANN Utility,” said an official.
Another official noted that the interim management was to operate until UBA had recovered its outstanding loan while helping to reposition the company.
“For now, it is not a permanent thing; once they recover their loans, they will hand over to KANN but for the meantime, some staff may suffer especially those they perceive are loyal to KANN.
“Some of the expatriates were redeployed from their respective departments to the IMD’s office and later, he asked them to work from home, which in itself, signifies that they want to keep them away from the core of daily operations.”
Source: https://energynewsafrica.com
Ghana: Fuel Tanker Explode In Kaase While Fuel Siphoning Was Ongoing
A fuel tanker carrying 40,000 litres of petrol was on Friday gutted by fire and exploded in Kaase , a suburb of Kumasi in the Ashanti Region of Ghana, destroying several make shift structures in the area.
The incident reportedly occurred when some people were engaging in fuel siphoning.
Eyewitnesses say while some individuals were using gallons to engage in the illegal act, a tricycle whose engine was running nearby, emitted sparks which caused the explosion.
Reports suggested that the affected area is a hideout for individuals engaged in illegal fuel siphoning activities.
Ashanti Regional Fire Commander, Rashid Nisawu, said the persons engaged in the siphoning of fuel failed in their attempt to douse the fire, which later spread to other parts of the area.
It took personnel of Ghana National Fire Service several minutes to bring the fire under control.
No casualty has been recorded but a number of families have been displaced.
Source: https://energynewsafrica.com
