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AfrOil NEWS IN BRIEF AfrOil

business new africa bna/IntelliNews

Russian gas. also urged the government to scrap all taxes to Monitoring Board (NCDMB) has received
Slovenia and other countries are looking stabilise prices. approval to work with select partners to produce
for ways to lower dependence on Russian gas bna/IntelliNews, March 16 2022 10% of current demand nationwide for liquefied
following Russian invasion of Ukraine which petroleum gas (LPG).
prompted harsh economic sanctions by the EU, NARTO head: Higher fuel NCDMB executive secretary Simbi Wabote
the US and the UK against Moscow. made the announcement when speaking at the
“My press office is in contact with the Italian prices are a burden on 2022 Nigerian International Energy Summit
energy minister to organise a meeting with Ital- (NIES) in Abuja.
ian delegation to explore the possibilities for a Nigerian transport sector Wabote said the NCDMB had secured the
larger import of gas from North Africa,” Vrtovec approval of its governing council for a partner-
said in a video clip posted by news agency STA Yusuf Lawan Othman, the head of Nigeria’s ship to produce 123,000 metric tonnes per year
on its YouTube channel on March 11. National Association of Road Transport Owners (tpy) of LPG, equivalent to about 10% of domes-
bna/IntelliNews, March 14 2022 (NARTO), has noted that rising diesel prices are tic demand. The production at the Utorogu Gas
becoming increasingly burdensome for mem- Plant, in Warri, Delta State, will help reduce
Ghana: huge fuel price hike bers of his group. imports of LPG.
Speaking at NARTO’s annual general meet-
The federal government has introduced pol-
looms, COPEC threatens ing (AGM) on March 10, Othman pointed out icies to make Nigeria a gas-powered economy,
that trucking companies and truck drivers had leverage its extensive gas reserves and become
demonstration no way to avoid the impact of recent increases in a major gas consumer, he told the energy sum-
world crude oil prices. Nigeria’s dependence on mit. “Our partnerships in the gas sector have
Fuel prices are expected to rise by up to 25% on imported petroleum products exacerbates the unlocked 6,000 metric tonnes of LPG storage
Wednesday (March 16), prompting the Cham- problem, he was quoted as saying in a report by facilities, annual production of 1.2mn LPG com-
ber for Petroleum Consumers, Ghana (COPEC) Nigerian daily Leadership. posite cylinders, and infrastructure and facilities
to threaten demonstrations if no action is taken “As at today, the price of diesel is impacting for processing of 840mn standard cubic feet per
to ease the burden on consumers. negatively on our business – not only our busi- day of gas across 14 states of the federation,”
Prices are expected to rise from GHS8.40 ness but almost all activities in Nigeria because Wabote said.
($1.17) per litre for petrol and diesel to GHS10.40 as at today, fuel is imported into the country,” he bna/IntelliNews, March 10 2022
for petrol and GHS11.40 for diesel. commented. “And naturally, it’s usually at the
Experts attribute the persistent spike to three international price, and everybody knows that South African president
factors; diversion to Europe of fuel originally that the international price is affected by the
destined for Africa due to a reduction in Russian current war in Ukraine and Russia. So of course, eyes gas projects in
imports; the depreciation of the Cedi against the because we import it, it’s really very costly.”
US dollar, Euro and the British pound, as well as He acknowledged that Nigeria’s federal gov- Mozambique
taxes, which amount to about 25% of the current ernment had raised the freight rates paid to
price. transport contractors in an attempt to provide South African President Cyril Ramaphosa said
“We want to give the authorities an ulti- support to the sector. Nevertheless, he said, the on Friday (March 11) that his country hoped to
matum,” COPEC executive secretary Duncan industry as a whole still faces increased expenses invest in the development of natural gas reserves
Amoah told Citi News. “By the close of the week, and must pass the cost on to its customers, in a in neighbouring Mozambique.
if we don’t hear anything concerning the reduc- move that affects the entire economy. Speaking at the beginning of the third South
tion of fuel prices to reduce the burden on con- bna/IntelliNews, March 14 2022 Africa-Mozambique Bi-National Commis-
sumers as France has done by giving subsidies sion Plenary Session in Pretoria, Ramaphosa
to their people, we will by Friday hit the street to NCDMB receives approval described gas projects as one possible avenue
demonstrate.” of co-operation for two states that already had
The government is unlikely to scrap taxes to produce 10% of total close ties.
as Ghana is in dire need of cash. Last week, the “Mozambique remains one of South Africa’s
deputy minister for energy said that Accra may local LPG demand top trading partners in the region, and there are
consider using windfall revenues to subsidise the several opportunities for expansion,” he said.
commodity. Meanwhile, LPG marketers have The Nigerian Content Development and South Africa is “keen, in particular, to expand
co-operation in the energy sector,” he stated.
Collaboration has the potential to benefit
the entire region, he added. “Mozambique is
endowed with significant volumes of natural gas.
This can benefit not only the people of Mozam-
bique and South Africa but also the rest of the
SADC region,” he commented.
South Africa’s Sasol is already participating
in the development of the Pande-Temane Inhas-
soro onshore gas fields in Mozambique. These
fields are slated to provide gas for a 450-MW
thermal power plant (TPP) that is now under
construction in the southern Mozambican city
of Temane.

P16 www. NEWSBASE .com Week 11 16•March•2022