VENTURES AFRICA – South Africa-based SacOil is planing to withdraw from a Nigerian asset contract. This comes after it successfully attained 20 percent of a potential oil license and conclusion of its site survey.
In a statement on its official website, the firm stated that it could retract other assets as a result of the unrelenting fall in global oil prices. All intentions to further embark on the exploration of similar assets in Mozambique, Malawi, and the Democratic Republic of Congo will subsequently be reviewed.
“With reference to the cautionary announcement published on 18 December 2014 on the Stock Exchange News Service …read more
VENTURES AFRICA – The Angola government says it has suspended construction of all the country’s new roads following slump in global oil prices. Luanda noted that oil revenues were the main funder of the road construction projects.
“The construction of new roads and social facilities planned for this year in Angola has been suspended due to the financial crisis we are facing following the fall in oil revenues,” Angola Construction Minister Waldemar Alexandre Pires told a meeting of contractors in the capital Luanda.
“Our priorities will now focus specifically on projects financed with guaranteed resources,” he added.
Angola’s economy is oil-dependent and the …read more
VENTURES AFRICA – Under-fire oil giant, Royal Dutch Shell, has finally reached an agreement with the Bodo community in Nigeria’s Niger Delta region, to pay $83.4 million in compensation for two oil spills in 2008. The community had dragged the Holland head-quartered company to a UK court over two pipeline spills resulted that it said caused the leakage of thousands of barrels of oil.
The case has propelled the formerly little-known community to global attention, as well as set a precedence for industry behaviour of oil exploration companies in Nigeria and across Africa. So here are five things you should know about the community of fishers and farmers who just pulled off the greatest ever oil spill related compensation settlement in Nigeria.
The Bodo Community is part of Ogoni Land
The Bodo Community has an estimated 49,000 people spread across 35 villages in Gokhana, a Local Government Area of Rivers State, which is also one of the six kingdoms that make up Ogoni.
The Ogoni people have had sustained disputes with Shell and the several Nigerian governments over resource control, oil exploration and environmental degradation of their land. One of the most famous Ogoni sons is Ken Saro Wiwa, a human and environmental rights activists who was the president of the Movement for the Survival of the Ogoni Peoples, MOSOP. The group began as a struggle against the exploitation of natural resources of Ogoniland by Royal Dutch Shell, when in 1957 its Nigerian operations, Shell Nigeria, known as Shell Petroleum Development Company of Nigeria Limited (SPDC), struck oil in the Niger River Delta. Saro Wiwa and eight other Ogoni chiefs were controversially executed in 1994 by the Abacha regime on highly disputed allegations of complicity in the murder of four Ogoni chiefs.
River State, where the Bodo community is located, accounts for more than 60 …read more
“This is the end of the Organization of the Petroleum Exporting Countries as we have known it, and it will keep the global oil market chaotic for some time.” – George L. Perry
VENTURES AFRICA – Early last Fall, when oil prices had fallen by about $25 a barrel and it became clear the decline was more than a temporary blip, the big question was how far prices would fall. And that would depend on whether and when Saudi Arabia and its OPEC partners would support the world oil price by cutting their own production.
Most of the world’s new oil production has come from U.S. shale fields and Canadian tar sands — two main forms of “tight oil” that …read more
VENTURES AFRICA – Egypt will conclude a deal that will see Russian energy giant, Gazprom, supplying the North African country with liquefied natural gas (LNG) shipments later this month, it emerged on Monday.
Egyptian Oil Minister Sharif Ismail told Reuters at the weekend that Egypt had approved last April for Gazprom to supply seven LNG shipments to assist the country deliver gas supplies the country desperately needs to tackle its worst energy crisis in 10 years. He said Gazprom mission would pay Egypt a visit later this month.
The Gazprom deal, if successful, would be the second LNG import agreement since Egypt finalised a deal for the necessary import infrastructure in November last year. Egypt endorsed a contract with Algeria for six LNG cargoes in late December last year.
The North African nation, which has 86 million people, depends highly on gas to generate power for households and industry. It has however found it hard to secure imports because it lacks terminal to process LNG, which is natural gas chilled into a liquid state.
After two years of delays, Egypt contracted Norway’s Hoegh LNG for a floating storage and regasification unit, opening the door to LNG imports, Reuters say.
The terminal is expected to start operating by March end.