Host community members await further medical attention during the NNPC Limited/Seplat Joint (JV) “Eye Can See” medical outreach held in Ohaji/Egbema Community of Imo State recently.

The NNPC Limited/ Seplat Energy Joint Venture (JV) partnership has conducted a medical outreach, providing free eye health services to individuals with visual impairments in Ohaji/Egbema community of Imo State.

Through its “Eye Can See” programme, a Corporate Social Responsibility (CSR) initiative, the JV dispensed more than 10,000 reading glasses and successfully performed 639 eye surgeries, including cataract removals, for host community members who otherwise had limited access to such vital medical services.

The “Eye Can See” programme, which commenced in 2017, has been a beacon of hope in the eastern asset of the NNPC upstream investments, positively impacting over 20,000 people to date.

In his remarks during the event, Chief Upstream Investment Officer of NNPC’s Upstream Investment Management Services (NUIMS), Bala Wunti, represented by Dr. Obinna Otuu, Manager, JV Asset B emphasised the significance of the initiative to NNPC Limited’s corporate mission of enriching the lives of Nigerians.

Elaborating further on the broader vision behind the programme, Wunti stated that the NNPC Ltd takes pride in being more than just an energy provider. “We are a partner in progress, dedicated to making sustainable contributions to the communities that support us,” he added.

According to him, the “Eye Can See” initiative reflects “our belief that corporate structures can and should play a vital role in societal development.”

He noted that the programme goes beyond immediate medical care by educating individuals on lifestyle choices to prevent conditions like hypertension and diabetes, which can lead to permanent vision loss.

Expressing his appreciation for the support of the local government, beneficiaries, and NNPC Limited’s partners, Wunti observed that together with Seplat, the National Oil Company is paving the way for a brighter future where access to essential health services is possible for all.

“This project is not just about restoring vision; it is about giving people hope and the opportunity to lead fulfilling lives. This year’s outreach in Ohaji/Egbema is a testament to the ongoing commitment of NNPC and Seplat to improve the quality of life in their host communities,” he affirmed.

The “Eye Can See” initiative has had a profound impact on the communities it serves. By providing free eye screenings, surgeries, reading glasses, and health education, the programme has transformed lives and restored hope to many who had been suffering from visual impairments.

NNPC/Seplat JV remains dedicated to contributing meaningfully to Nigeria’s development through initiatives like the “Eye Can See” programme.

The partnership is committed to expanding the reach of its CSR programmes, ensuring that even more people across Nigeria can benefit from the life-changing services.

Executive Secretary, Engr. Felix Omatsola Ogbe, represented by Director of Monitoring and Evaluation, Mr. Abdulmalik Halilu, and the Director Legal Services, Mr. Naboth Onyesoh, Esq, signed on NCDMB’s side, while the Executive Secretary/Chief Executive Officer of Petroleum Commission, Ghana, Mr. Egbert Fabille Jrn and the Acting General Counsel, Nana Akua Agyei signed on behalf of their organisation.

The Nigerian Content Development and Monitoring Board (NCDMB) has signed a Memorandum of Understanding (MoU) with the Petroleum Commission, Ghana (PCG) towards developing and deepening local content regulations in Ghana’s upstream petroleum sector.

The signing ceremony took place at the sidelines of the 2024 Annual Local Content Conference and Exhibition held at Takoradi, Ghana.

The MoU is valid for three years and it is centred on the desire to build synergies through information sharing and transfer of skills of mutual interest and benefits.

Under the MoU, NCDMB will offer PCG strategic advice and guidance in the areas of laws, frameworks, knowledge exchange, procedures for baseline study, data collection on capacities that exist in Ghana, design of strategic plan for local content implementation in Ghana and other capacity development initiatives.

The MoU would also foster collaboration, provide opportunity for global experience, and facilitate advancement of knowledge, leading to local content development in the upstream petroleum sector.

In addition, NCDMB will offer technical support in the development of the framework in the formulation of regulations and policies for PCG Local Content laws.

NCDMB was established in 2010 by the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, and is mandated to monitor, guide, develop, and promote local content practice in the Nigerian oil and gas sector and linkage sectors.

On the other hand, the PCG was established by the Petroleum Commission Act, 2011 (Act 821) to regulate and manage the utilisation of petroleum resources and coordinate the policies in the upstream petroleum sector under the laws of the Republic of Ghana.

On NCDMB’s side, the MoU was signed by the Executive Secretary, Engr. Felix Omatsola Ogbe, represented by Director of Monitoring and Evaluation, Mr. Abdulmalik Halilu, and the Director Legal Services, Mr. Naboth Onyesoh, Esq, while the Executive Secretary/Chief Executive Officer of Petroleum Commission, Ghana, Mr. Egbert Fabille Jrn and the Acting General Counsel, Nana Akua Agyei signed on behalf of their organisation.

NCDMB had signed a similar agreement with the Technical Secretary of the National Content Monitoring Committee of Senegal (ST-CNSCL) in February 2022.

The ST-CNSCL is the agency responsible for the co-ordination and supervision of the development and implementation of the local content strategies in the Senegalese oil and gas sector.

Speaking earlier at the conference in Ghana, the Executive Secretary NCDMB urged African oil and gas service companies to collaborate among themselves and leverage their unique capabilities and capabilities.

This approach would grow African local content sustainably and help meet the aspirations of the African Continental Free Trade Area (AfCFTA), he noted.

He expressed delight at the collaborative spirit displayed by African countries, noting that “this event is a testament to our unwavering commitment to fostering strategic partnerships and driving sustainable growth within our sector.”

Commenting on the theme of the conference, which is “Attracting E&P Investments to Boost Local Content: New Pathways,” the Executive Secretary underscored the necessity for innovative approaches and collaborative efforts to unlock Africa’s hydrocarbon resources, estimated at over 125 billion barrels, accounting for about 10% of global reserves.

He reiterated the role of NCDMB as a business enabler, supporting the development of an efficient indigenous supply chain and delivering quality service competitively in the oil and gas industry.

Reflecting on NCDMB’s achievements, Engr. Ogbe noted significant progress in local content development, with an increase from less than 5% in 2010 to 54% in 2023, attributing the growth to the robust NOGICD Act, strategic implementation by the Board and collaboration by industry stakeholders.

He further highlighted the importance of economies of scale in attracting new investments and optimising capacity utilisation in the Exploration and Production (E&P) value chain.

He also celebrated the establishment of the African Energy Bank by the African Petroleum Producers Organisation (APPO) and the African Export–Import Bank.

The bank is expected to fund major oil and gas projects across the continent, mitigating the reluctance of western financial institutions to support new investments in the sector.

Savannah Energy Plc, the British independent energy company focused around the delivery of Projects that Matter, is pleased to announce its unaudited half-year results for the six months ended 30 June 2024.

The H1 2024 Unaudited Results showed a strong financial performance, with the company’s total income increasing by 40% to US$233.4 million, compared to US$167.6 million in H1 2023. This comprises total revenues of US$123.5 million and other operating income of US$109.9 million.

Its operating profit also stood at US$152.3 million, 130% higher than H1 2023 (US$66.2 million), with adjusted EBITDA of US$91.6 million, compared to US$108.2 million in H1 2023. This excludes other operating income which when included shows a 47% increase year-on-year to US$201.5 million, compared to US$137.1 million in H1 2023.

The report also shows that the company’s operating expenses plus administrative expenses came up to US$75 million, and capital expenditure of up to US$50 million.

In terms of operations, its average gross daily production in Nigeria for the period stood at 24.4 Kboepd, representing an increase of 3% compared to FY 2023 (23.6 Kboepd).

The report also shows that company’s renewable energy projects in motion at period-end rose to 696 MW.

A strong believer in Africa’s transition to renewable energy, Savannah which aims to become one of the largest renewable energy development companies in Africa over the next two years with a rapidly growing pipeline of solar, wind, and hydro power projects is targeting a portfolio of up to 1 GW+ of renewable energy projects in motion by end 2024 and up to 2 GW+ by end 2026.

Andrew Knott, CEO of Savannah Energy, said:

“I am pleased to report our results for the first six months of 2024, as well as the wider progress we are making developing our business. Key highlights in H1 included the delivery of US$233m of Total Income1 and the announcement of our planned acquisition of SINOPEC’s upstream assets in Nigeria. Alongside this, we are pleased to report strong progress in the development of our renewable energy business, particularly relating to our planned projects in Niger and Cameroon. Looking forward we expect to make a series of announcements around our entry into further renewable energy projects prior to year-end. We remain unequivocally an “AND” company, seeking to deliver strong performance both for the short AND long term across multiple fronts, and pursuing growth opportunities in both the hydrocarbon AND renewable energy sectors.”

Financial Review

The table below provides an overview of our results for H1 2024 with a comparison for H1 2023:

Financial highlights

* The prior year comparative has been restated to conform with the presentation of “other operating income” in the 2023 annual report

Nigeria

During 2024 YTD, Savannah’s subsidiary, Accugas Limited agreed and extended three gas contracts for a total of up to 105 MMscfpd. These include the extension of the agreement with First Independent Power Limited (FIPL) in January 2024 for an additional 12-month period, whereby Accugas is supplying FIPL’s FIPL Afam, Eleme and Trans Amadi power stations with up to 65 MMscfpd of gas; a new 24-month agreement signed in July 2024 with Ibom Power Company Limited, owner of the Ibom power station, to supply up to 30 MMscfpd of gas, following the expiration of the previous 10-year agreement; extension of the agreement with Central Horizon Gas Company Limited (CHGC) was signed in August 2024 for an additional 12-month period, whereby Accugas is supplying CHGC with up to 10 MMscfpd of gas.

The company also continues to make progress on the US$45 million compression project at the Uquo Central Processing Facility (CPF), and project remains on budget and on track to be completed during 2024.

The company is also currently working on a proposed further development programme for the Uquo field which is expected to see additional wells drilled in 2025 and 2026.

SIPEC Acquisition

In March 2024, Savannah announced the proposed acquisition (via two separate transactions) of 100% of SIPEC for a total consideration of US$61.5 million.

SIPEC’s principal asset is the 49% non-operated interest in Stubb Creek. A subsidiary of Savannah, Universal Energy Resources Limited, is the 51% owner and operator. The company expects this to be completed in Q4 2024.

The transaction consideration is expected to be funded through a new senior debt facility arranged by Standard Bank of South Africa Limited and the existing cash resources of the company.

As at year end 2023, SIPEC had an estimated 8.1 MMstb of 2P oil reserves and 227 Bscf of 2C Contingent gas resources. Savannah’s Reserve and Resource base is expected to increase by approximately 46 MMboe following completion of the SIPEC Acquisition. SIPEC oil production is estimated at an average of 1.4 Kbopd for 2024.

Following completion of the SIPEC Acquisition, Savannah plans to implement a de-bottlenecking programme at the Stubb Creek processing facilities. It is anticipated that within 12 months of completion of the acquisition, this will lead to Stubb Creek gross production increasing by 135% to approximately 4.7 Kbopd.

Importantly, the SIPEC Acquisition also secures significant additional feedstock gas available for sale to its Accugas subsidiary, underpinning Savannah’s long-term ambition to be the gas supplier of choice in Nigeria.

Niger

Savannah remains committed to the 35 MMstb (Gross 2C Resources) R3 East oil development in South-East Niger. The Niger-Benin oil export pipeline, now fully operational, provides a clear route to international markets for crude oil produced from our R1234 contract area.

The company continues to progress its planned four well testing programme and are in the process of mobilising the required long lead item equipment into country.

Located in the Tahoua Region of southern Niger, Savannah’s Parc Eolien de la Tarka wind farm project is anticipated to be the country’s first wind farm and the largest in West Africa, with a total power generation capacity of up to 250 MW.

Savannah has signed agreements with two leading international Development Finance Institutions (the International Finance Corporation, the private sector arm of the World Bank, and the US International Development Finance Corporation, the U.S. government’s development finance institution) to fund approximately two-thirds of the pre-construction development costs of the project.

The project made significant progress in H1 2024 with all key studies now either complete or at an advanced stage. It submitted its Environmental and Social Impact Assessment (ESIA) scoping report to the Government of Niger and has continued to progress the ongoing ESIA field work additional studies required for the submission of the full ESIA report, expected in 2025.

As part of the ESIA studies, Savannah is currently performing a land survey of the wind farm area. The company has partnered with the Department of Geography of the Abdou Moumouni University of Niamey, where it has enabled a cartography and software training programme for a cohort of its students, before deploying them under supervision on the Tarka site. This has provided local students with a material and exciting learning experience, while involving them in a transformational energy project for their country.

In August 2024, it hosted a site visit for Niger’s Minister of Energy where it provided the Minister, Governor of Tahoua, local officials and community representatives with a presentation on the project and a tour of the wind farm site, detailing it plans for the project and outlining its transformative potential for Niger and its people.

The Minister confirmed that the Parc Eolien de la Tarka wind farm project is on the Ministry of Energy’s list of priority projects.

Parc Eolien de la Tarka is expected to produce up to 800 GWh of electricity per year, representing approximately 22% of Niger’s annual electricity demand, based on the country’s projected energy demand in 2026.

The construction phase is expected to create over 500 jobs, while the project has the potential to reduce the cost of electricity for Nigeriens and avoid an estimated 450,000 tonnes of CO2 emissions annually.

Savannah also continues to progress the two photovoltaic solar power plants expected to be located within 20 km of the cities of Maradi and Zinder.

In H1 2024, it presented the preliminary commercial and technical proposals to the Government of Niger. A sanctioning decision on these projects is expected in 2025, with first power in 2027.

Cameroon

Substantial progress has been made on the Bini a Warak Hybrid Hydroelectric and Solar Project in Cameroon, following the approval of the optimisation and proposed redesign of the project given by the Minister of Water and Energy.

The redesigned project, involving the construction of a hydroelectric dam on the Bini River in the northern Adamawa region of Cameroon, now incorporates photovoltaic solar, raising its installed power generation capacity from up to 75 MW to up to 95 MW.

Savannah continues to progress the project towards an anticipated project sanction in 2026, with first power targeted in the 2028 to 2029 window.

South Sudan

Savannah remains in active discussions regarding a potential transaction in South Sudan. A further update is expected to be made in early November.

Chad Arbitration Update

As previously disclosed in Savannah’s 2023 Annual Report, Savannah Chad Inc, has commenced arbitral proceedings against the Government of the Republic of Chad and its instrumentalities in response to the March 2023 nationalisation of SCI’s rights in the Doba fields in Chad, and other breaches of SCI’s rights. Its other wholly owned subsidiary, Savannah Midstream Investment Limited, has commenced arbitral proceedings in relation to the nationalisation of its investment in Tchad Oil Transportation Company, the Chadian company which owns and operates the section of the Chad-Cameroon pipeline located in Chad. SMIL has also commenced arbitral and other legal proceedings for breaches of SMIL’s rights in relation to Cameroon Oil Transportation Company (COTCo), the Cameroon company which owns and operates the section of the Chad-Cameroon pipeline located in Cameroon.

Savannah expects the arbitral proceedings to be concluded in the second half of 2025. SCI and SMIL are claiming in excess of US$840 million for the nationalisation of their rights and assets in Chad, and SMIL has a claim valued at approximately US$380 million for breaches of its rights in relation to COTCo. Whilst the Government of the Republic of Chad has acknowledged SCI’s and SMIL’s right to compensation, no compensation has been paid or announced by the Government of the Republic of Chad to date.

Savannah remains ready and willing to discuss with the Government of the Republic of Chad an amicable solution to the disputes. However, in the absence of such discussions, the Group intends to vigorously pursue its rights in the arbitrations.

Sustainability

Savannah published its Task Force on Climate-Related Financial Disclosures 2023 disclosure report and its maiden disclosure report in accordance with its chosen 13 United Nations Sustainable Development Goals in June 2024. It continues to progress its 2024 sustainability performance measurement and reporting in line with its sustainability strategy.

A former Minister of Power, who later served as Executive Governor of Cross River State, Senator Liyel Imoke, on Thursday in Lokoja, Kogi State debunked the alleged expenditure of $16 billion on the power sector by the Olusegun Obasanjo administration.
Imoke, who was also Chairman of the Power Sector Technical Board under the Obasanjo administration, stated this as a matter of fact in his keynote speech at the 8th Annual Conference of the Guild of Corporate Online Publishers (GOCOP), themed: “Nigeria: Tackling Insecurity, Power Deficit, and Transitioning to Digital Economy.”
Admitting that the National Electric Power Authority (NEPA), as it then was, was a monopoly, he said that electricity distribution was also a monopoly even as the execution of so many programmes faced various challenges.
He referred to the undue delay in implementation of the power sector reforms, which resulted from the probe of the claim of a phantom expenditure of $16 billion on the sector under the administration.
According to him, “the power sector probe took about two years.  The delay led to huge cost overruns; doubling cost of various contracts awarded during my tenure.  Several of these projects were delayed in terms of completion.  As we speak, we still have several IPP projects that are on-going.”
He said at the end of the probe, they found out that there was no missing $16 billion, but lamented that the alleged expenditure of the phantom $16 billion had been used as a political tool to criticise “those of us in government.”
Imoke fingered inadequate information as the trigger for the allegation, pointing out that, for instance, on his watch as Minister of Power, the actual spending was between $2 billion and $3 billion, much of which went to the original electric manufacturer.
The former power minister said that insecurity, power deficit, and the slowness in Nigeria’s transition to a full digital economy were challenges impeding national growth and development.
According to him “these are challenges that impede our growth as a nation.  They make us less globally competitive.  If you look at electricity insecurity and digital economy and if we tackle these, we will be on our way to economic growth.”
He said to unlock Nigeria’s potential, the administration must tackle insecurity, noting that there had been insurgency and the emergence of Boko Haram, which split into ISWAP.
“We have experienced banditry, kidnapping, armed killings, mass kidnapping, and illegal mining. These days, we can’t go to a gathering of this magnitude without seeing someone who had been kidnapped before. This is one of our new realities,” he stated.
He implicated ethnic tension as a contributory cause of communal violence, adding that grievances in the Niger Delta caused a lot of insecurity in the region in the 2000s.
Imoke spoke about organised private crimes in the Gulf of Guinea, which created  insecurity in the area and the  separatist marginalisation in the South-East region, leading to agitation
He stated that, for instance, between 2009 and 2020, insurgency by Boko Haram alone resulted in over 40,000 deaths.
Imoke listed poverty, high unemployment rate, which was in 1999 put at six per cent, in 2022 put at 22 per cent but which as of today is approaching 40 per cent, weak governance and corruption as well as climate change, as some of the factors that contributed or fuelled insecurity in the country.
He also listed proliferation of small arms and violent crimes across the country as a sore thumb, lamenting that there were more arms with some non-state actors put in their hands by desperate politicians and which at the end of elections, were not retrieved from them and on which they now depended to survive.
He said a multifaceted approach was required to effectively tackle security issues in Nigeria, recommending among others community policing, which should be legally regulated, deployment of vigilance groups in securing the communities, and giving consideration to decentralisation of security rather than centralisation that has not worked.
He also established a nexus between security and economy, arguing that “until we can address the state  of our economy, we will not able to address security issues effectively.”
He stated that education, skill acquisition, entrepreneurship training, and access to SMES funding were key, adding that a strong and comprehensive rural development programme was necessary to address banditry and farmer-herder conflicts.
“I am a strong believer in peace and mediation. If the government can establish dialogue platforms between farmers and herders, it would reduce competition over land,” he said.
He also said that the procurement process must be transparent and resources should be deployed in the welfare and training of security personnel, adding that the nation’s judicial system must be able to tackle impunity.
While dwelling on power deficit, Imoke said that there was a lack of continuation of policies and programmes, pointing out that “your predecessor is your most valuable material.  We always assume that our predecessor did not know anything, and there is a tendency to want to start afresh.  It is important for me to always go back to my predecessor to ask for guidance.”
Admitting that electricity problem in Nigeria is the most humongous problem ever, Imoke said that with over 200 million Nigerians, the country’s installed capacity was like 13,000 megawatts.

He said: “It sounds like good news, but we only manage to distribute an average of 4,000 megawatts whereas there are potential distributable  20,000 megawatts.”
He reeled out some sobering comparative statistics about per capita electricity consumption by Nigeria and some countries on the African continent based on recent data.
According to the data referred to by Imoke, “Nigeria per capita electricity consumption is between 150 and 200 kilowatts hours per year (kilowatts hour is the amount of electricity delivered to each household in the country in a year); Ghana is between 800 and 1000 kilowatts hour per year; South Africa is between 4000 and 5000 kilowatts hours per year while Ivory coast is between  500 and 600 kilowatts hour per year.”
Imoke lamented the Nigerian situation, adding that “these tell you the strengths of industrial bases of these countries.”
He, however, noted that despite numerous reforms in Nigeria, the power sector had continued to struggle.
Imoke asked if there was a solution in the face of growing demand? He resolved the question somewhat in the negative, pointing out that with the exponential growth in Nigerian’s population, there was a concomitant rising demand on the electricity supply.
On the transitioning to digital economy, Imoke said the growth in e-commerce platforms like Jumia and others was allowing for competition and efficiency.
According to him, “we are in the fourth industrial revolution, and it is a digital revolution.  We missed out on the first, second, and third industrial revolutions.  It is for us now as a nation, with a deliberateness of government policy, not to lose out on the fourth industrial revolution.
“All the three sectors-security, power and digital economy – are critical to our growth.  The three are intertwined challenges that Nigerian must address to unlock her potential.
“With the collective effort of all, Nigerian can truly emerge as a global leader.  Let us seize this moment to build a secure, electrified, and digitalised Nigeria that offers prosperity, growth and development to all.”