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NCDMB, NLNG sign $12b Train 7 Nigerian Content Plan; expected to create 10,000 jobs

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BY: Sandra Ani

An agreement, which is expected to bring about 10,000 jobs by utilising Nigeria’s huge natural gas reserves, has been signed in Abuja.

The Nigerian Content Development and Monitoring Board (NCDMB) and the Nigeria LNG Limited (NLNG) signed the Nigerian Content Plan (NCP) for the NLNG Train 7 project.

NCDMB’s Executive Secretary Simbi Kesiye Wabote and the Managing Director of NLNG, Tony Attah, signed the NCP in Abuja at the weekend.

The ceremony was witnessed by senior officials of the Nigerian National Petroleum Corporation (NNPC), Shell, Total and ENI – shareholders of the NLNG.

The Train 7 project is expected to expand NLNG’s production capacity by 35 per cent from 22 million tonnes per annum (mtpa) to 30 mtpa.

At peak construction, the Train 7 project is projected to provide direct, indirect and induced employment for over 10, 000 persons.

Kesiye stressed that Train 7, like other forthcoming major projects in the oil and gas sector, must leave a legacy facility, just like Total’s Egina deepwater, which catalysed the development of an FPSO integration facility in Lagos.

The expected job explosion from Train 7 is banked on the Nigerian Content Plan, which provides for 100 per cent engineering of all non-cryogenic areas in-country.

The total in-country engineering man-hour is set at 55 per cent, which exceeds the minimum level stipulated in the NOGICD Act, in line with the Board’s resolve to push beyond the boundary of limitations.

Wabote said the Train-7 scope will deliver 100 per cent in-country fabrication of the Condensate Stabilisation Unit, pipe-racks, flare system, and non-cryogenic vessels. Site civil works on roads, piling, jetties and will also keep local businesses occupied.

Wabote said: “It will also provide great opportunities for utilisation of local goods and services in addition to enhancing and developing new capacities and capabilities for the local supply chain.

“There will be 100 percent local procurement of all LV cables and HV cables, all non-cryogenic valves, protective coatings, and all sacrifice anodes. 70 per cent of all non-cryogenic pumps and control valves will be assembled in-country.”

Other spin-off opportunities will include logistics, equipment leasing, insurance, hotels, office supplies, aviation and haulage, he added.

Wabote pointed out that the increased number of NLNG Trains would also provide huge business opportunities for local businesses to build capabilities in the maintenance of LNG plants, especially in cryogenics.

The project will also catalyse other upstream gas supply projects required to keep the LNG train busy and make stranded gas fields in the shallow and deep offshore in the area economical.

Attah confirmed that the full value network of the Train 7 project was about $12 billion, including the net cost of the project, estimated in the region of $4 billion to $5 billion and a similar additional spend at its operational base in Bonny, Rivers State.

“It is also about the upstream development, which is the real gas that will come to us. That also is a huge investment of $5 to $6 billion. So, potentially, the full value network is almost $12 billion,” he said.

Attah said the Nigerian Content Plan for Train 7 contained clear and robust Local Content provisions that are significantly higher than the previous NLNG projects.

He said: “NCDMB and NLNG are fully aligned to collaborate during the operationalisation of the plan.  This synergy will ensure that value added opportunities for Nigeria are indeed maximised and the Train 7 project is delivered to meet international standards of quality and safety.”

He also stated that NLNG shareholders have been primed to take the Final Investment Decision (FID) for the project before the end of Quarter 4 2019.

The NLNG chief highlighted that the expected increase in the production capacity of LNG “will reinforce the company’s comparative and competitive advantage in the global LNG market while also increasing the country’s revenue and foreign investment profile.

“This is in addition to moving the nation’s economy from being oil-based to becoming a gas-based economy to be reckoned with globally. We are here to enable gas. Nigeria has ridden on the back of oil for more than 50 years. It is now time to fly on the wings of gas.”

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AVEVA Appoints Joanna Mainguy as New Sustainability Accelerator Director

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Joanna AVEVA
Joanna Mainguy, Sustainability Accelerator Director at AVEVA
  • Joanna Mainguy will steer strategies for sustainability innovation across AVEVA’s portfolio and partner ecosystem, furthering ESG targets for 2025 and beyond

AVEVA, a global leader in industrial software, driving digital transformation and sustainability, today announced the appointment of Joanna Mainguy as Sustainability Accelerator Director.

Joanna’s appointment testifies to AVEVA’s dedication to strengthening the company’s sustainability impact in line with advancing global climate commitments. 

As Sustainability Accelerator Director, Joanna Mainguy will focus exclusively on sustainability solutions and strategies to accelerate innovation that will help AVEVA’s customers to achieve their net-zero targets.

She will look at how AVEVA leverages current market and customer analysis to inform its in-house development team, advise on new customer collaborations and on how AVEVA should grow its partnership network and M&A pipeline to reflect its sustainability priorities.

Joanna will lead the implementation of a sustainability solutions plan tailored to meet the most pressing needs of AVEVA’s industrial customers on low-carbon transition, circularity and resilience, via an integrated product, marketing and sales approach. She will work closely with AVEVA’s portfolio, business area and R&D leads to continue to develop new sustainability capabilities and drive collaboration on go-to-market initiatives that support industry with contributing to an accelerated energy transition and shift to a circular economy.

Joanna was formerly Industry Director, EMEA, for Energy & Sustainability at Microsoft, where she led strategic engagements with major energy providers and supported the energy transition with digital solutions. She has worked across the entire energy value chain and has more than 15 years of experience in process industries and the energy sector, including work for major system integrators, software and energy companies.

Lisa Wee, Global Head of Sustainability, AVEVA, said: “We are excited to welcome Joanna to AVEVA. She will bolster our mission to enable faster uptake of existing sustainability solutions across the industrial landscape, while in parallel we continue to invest in product capabilities and partnerships that will push out the frontiers of sustainability innovation for industry. At AVEVA we look to lead by example on sustainability and we achieved a 93% reduction in Scope 1 and 2 emissions last year. We aspire to help our customers better leverage digital solutions to realize their own ambitious sustainability targets early, and Joanna brings a wealth of experience to help support this.”

Commenting on her appointment, Joanna Mainguy, Sustainability Accelerator Director, AVEVA, said: “I am delighted to join AVEVA at such a pivotal time in its sustainability innovation and growth trajectory. I look forward to working with AVEVA teams and customers to continue to grow the sustainability benefits that can be achieved with AVEVA software. I am also keen to work closely with our partners to drive further positive change at scale, since we know addressing the climate crisis will continue to require expanded collaboration”.

AVEVA actively embeds sustainability into its core product strategy with specific capabilities in its software portfolio.

AVEVA’s software enables organizations to connect and contextualize key sustainability data with artificial intelligence and human insight, enhancing their agility, resilience and sustainability in order to help drive responsible use of the world’s resources.

AVEVA’s 2023 Sustainability Progress Report reveals significant progress across all three pillars of the company’s sustainability framework, encompassing product strategy, operations and culture. 

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Climate Change: NNPC Ltd/Total Energies JV Achieves Zero Gas Flare

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nnpc

In pursuit of meeting the targets of 20% (unconditional) and 47% (conditional) greenhouse gas emission reduction as contained in the Nationally Determined Contribution under the Paris Accord signed by the President Bola Ahmed Tinubu administration, the NNPC Ltd/TotalEnergies Joint Venture has achieved zero routine gas flare in all its assets.

According to a statement signed by Olufemi Soneye, Chief Corporate Communications Officer, NNPC Ltd., this feat was announced on Thursday during an inspection tour of OML 100 in South-eastern Niger Delta, off Port Harcourt, by a joint NNPC Ltd and TotalEnergies Team to ascertain the success of the OML Flare Reduction Project launched in December 2023.  

The NNPC Ltd/TotalEnergies Joint Venture, which is the concession holder of four leases, had hitherto achieved zero routine flaring across OML 99 (2006), OML 102 (2014), and OML 58 (2016), leaving OML 100 as the only lease with routine flaring going on.

The significance of this achievement is that the last routine flare volume of about 12MMscf/d (twelve million standard cubic feet per day) of gas has now been eliminated giving rise to a greenhouse gas emissions reduction of about 341KtCO₂e/yr.

The achievement is an outcome of a programme introduced by the NNPC Ltd to galvanize action towards achieving the zero routine flare by 2030 across its portfolio of assets.

It is also a testament to NNPC Ltd’s prioritization of sustainability anchored on the ‘first R’ of its 5R Strategy (Reduce, Replace, Renew, Re-plant, Repurpose), as it strives to reduce its carbon footprint.

Work is ongoing across all other assets within NNPC Ltd’s Upstream Directorate to ensure that all assets achieve zero routine flaring by 2030 or earlier.

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Energy

NNPC Celebrates 14,000bpd Production from Akpo West Field

By SANDRA ANI

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In line with President Bola Ahmed Tinubu’s directive to the Nigerian National Petroleum Company Limited (NNPC Ltd) to optimise production from the nation’s oil and gas assets, the Company has announced the successful commencement of oil production from the Akpo West Field.

The milestone, which is the result of meticulous planning, strategic collaboration, and unwavering dedication from all stakeholders involved in the project, will add 14,000 barrels per day condensate to the nation’s production. This will be followed up by the production of about 4million cubic meters of gas per day by 2028.

The development of Akpo West which is on Petroleum Mining Lease (PML) 2 (formerly OML 130) leverages the existing Akpo Floating Production Storage and Offloading (FPSO) facility via a subsea tie-back to keep costs low and minimize greenhouse gas emissions.

The milestone was enabled by the strategic leadership of the Group Chief Executive Officer (GCEO), Mr. Mele Kyari, and the Upstream Directorate of the NNPC Ltd whose support played no small role in propelling the operators to actualise the short- and mid-term hydrocarbon production goal of the President Tinubu administration.

Located 135 kilometres offshore, Akpo West is one of the discoveries on PML 2 with proximity to the Akpo main which started up in 2009 and produced 124,000 barrels of oil equivalent per day in 2023.

PML 2 is operated by TotalEnergies with a 24% interest, in partnership with CNOOC (45%), Sapetro (15%), Prime 130 (16%), and the Nigerian National Petroleum Company Ltd as the concessionaire of the Production Sharing Contract (PSC).

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