Headlines
Experts Urge FG to Provide Bailout Funds for Marginal Oil Field Awardees
By Derrick Bangura
As the 2020 marginal oil field awardees currently struggle to raise fund to commence the development of their respective assets and eventually hit first oil production, some industry experts have advised the federal government to consider providing intervention funds for cash-strapped companies.
The experts said the excessive cost of participation during the marginal field bid round and the expensive signature bonus they were asked to pay have eroded the commerciality of the assets, making it difficult for them to raise fund to proceed to drilling after one year of issuing them award certificates.
Speaking at the Arbiterz marginal oil field conference in Lagos, with the topic, “From License to Oil: Fundraising for Marginal Fields,” the Subsurface Manager, Energy and Mineral Resources Limited (EMR), Mr. Collins Ibekwe, said the government should consider providing bailout funds to the companies either in form of returning the signature bonuses or through any other form of financial assistance to them.
Ibekwe explained that his call for bailout fund for the awardees was based on the fact that there had been instances where government had to intervene to help businesses that were going through financial difficulties just to help them recover and continue to contribute to the nation’s economy.
He maintained that such intervention was needed for the current marginal oil field awardees to enable the companies have fund to proceed to drilling and help to achieve the nation’s aspiration of increasing oil production to three million barrels per day, raise the reserves to 40 million barrels and in turn boost government’s revenue and job creation.
Expressing pessimism about the companies achieving first oil quick enough, as recorded by a couple of the 2003 awardees, Ibekwe maintained that such government financial intervention was necessary to enable the companies recover from the huge burden they were made to suffer by paying the outrageous $125,000 as marginal fields bid round participation fee and the exorbitant $5 million to $40 million for signature bonus per oil field.
Ibekwe lamented that the government’s charges for the 2020 marginal field bid round participation and signature bonus were astronomically higher than the fees paid by companies during the 2003 bid round and even the fees that were to be paid by companies in the botched 2013 marginal oil field bid round.
He argued that the components of the 2020 bid process including the financial, regulatory, legal, international and other components were designed to essentially make the process very expensive for the bidders, saying the expensive nature of the bid process has eroded the commerciality of the assets.
The 2020 marginal oil field bid round started in June 2020 and by May, 2021, 161 companies were shortlisted as winners of the 57 marginal fields put on offer.
In May, 2021, the then industry regulator and organisers of the 2020 marginal field bid exercise, the defunct Department of Petroleum Resources (DPR), which has been replaced by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), presented award certificates to 80 of the awardees.
DPR had put the total value of the 57 marginal oil fields at not less than $500 million, having pegged the bid participation fee at $125,000 per company and between $5 million and $40 million as the signature bonus per field.
However, the NUPRC had disclosed that 80 per cent of the awardees had complied in terms of payment while closed to 90 per cent of the companies had complied in forming the Special Purpose Vehicles (SPVs).
The commission had also disclosed that the marginal oil fields awarded to 33 companies had been revoked following their inability to meet the 45 days deadline required to pay the signature bonus for the fields.
But in his intervention on how to make the marginal field licenses to producing oil, Ibekwe said, “My opinion is this: If we have to be truthful to ourselves, then we have to look at this holistically -think outside the box. What really should be done? Because I think those who put the process together were not long-term-focused. I think they were too short-term focused.
“But it should not be too late to say, let’s reverse this process. Let’s return this money; because to be honest with you, you may say, okay, my interest is to raise money for government. But really, is that an optimal expectation? Should it not be better for our expectation to be: let’s grow new businesses; let’s grow these marginal fields and have many new indigenous operators that are capable.
Also contributing at the session, Chief Executive Officer, Tritekk Consulting Limited and former Geoscience Business Manager, France, Schlumberger, Mr. Ayodele Fasakin, who equally observed that the signature bonus for the marginal fields was too expensive, adding that the NUPRC should be an active partner to the point of ensuring that operators secure funding to proceed to first oil rather than being interested in raising revenue for government.
In his remarks, Chief Executive Officer, NUPRC, Gbenga Komolafe, who was represented by the commission’s Head of Basinal Assessment and Lease Administration, Mr. Edu Iyang, said the commission had engaged awardees to resolve issues arising from the 2020 marginal field award and had also concluded drafting of model licence document, which he said was critical for issuing the Petroleum Prospecting Licences (PPL) to the awardees.
Headlines
Adamawa Business School Hosts Workshop on New Tax Reform Law
Adamawa Business School Hosts Workshop on New Tax Reform Law
By Ibrahim Abubakar Jimeta
The Adamawa Business School (ABS) has organised a high-level training and sensitisation workshop on the New Tax Reform Law in Nigeria, aimed at enhancing understanding of recent fiscal reforms and strengthening public sector administration in Adamawa State.
The workshop, held in collaboration with the Office of the Head of the Civil Service of Adamawa State and supported by the Federal Inland Revenue Service (FIRS), brought together Permanent Secretaries, senior public servants, tax officials, and policy experts to examine the implications of the new tax framework for governance and fiscal sustainability.
Speaking during the opening session, the Co-Founder of Adamawa Business School, Mallam Jamilu Yusuf, described the workshop as a strategic intervention designed to bridge knowledge gaps and improve policy implementation within Ministries, Departments, and Agencies (MDAs).
Yusuf explained that the engagement was organised under the school’s Public Policy Support Initiative, a non-profit platform that provides research, training, and capacity development support to government institutions. He noted that Nigeria’s evolving tax landscape, driven by Finance Acts, administrative reforms, and digital innovations, requires senior public officials to be well-informed in order to translate policy into effective practice.
According to him, Permanent Secretaries and top civil servants play a crucial role in ensuring compliance and successful implementation of tax reforms at the sub-national level, stressing that inadequate understanding of tax laws often creates implementation challenges that negatively affect citizens and institutions.
He reaffirmed Adamawa Business School’s commitment to supporting the state government through policy-focused learning, dialogue, and partnerships that promote transparency, fiscal sustainability, and improved service delivery.
In his remarks, the Head of the Adamawa State Civil Service, Isa Shehu Ardo, mni, emphasised the importance of equipping senior public servants with a clear understanding of the new tax laws. He noted that Permanent Secretaries, as the most senior career officers in the public service, must fully comprehend the reforms in order to guide implementation and avoid difficulties that often arise from poor information and limited awareness.
Delivering the welcome address on behalf of the Office of the Head of Civil Service, the Permanent Secretary, Establishment and Training, Fabian S. Wambai, commended Adamawa Business School for organising the workshop as part of its corporate social responsibility.
Wambai described the new national tax law as a major reform with far-reaching implications for public finance, compliance, and economic stability. He said the workshop provided a valuable opportunity for Permanent Secretaries, as accounting officers and senior administrators, to deepen their understanding of the law and its impact on government operations and engagements with the private sector.
He urged participants to actively engage in discussions, interact with resource persons, and leverage the knowledge gained to strengthen institutional compliance, improve advisory roles to political leadership, and promote transparent and accountable governance.
The workshop featured sessions led by experienced tax professionals, focusing on the provisions of the new tax reform law, its implications for public financial management, and strategies for effective collaboration between federal and state institutions.
Participants expressed optimism that the training would enhance policy implementation, reduce administrative challenges, and contribute to a more efficient and fiscally informed public service in Adamawa State.
Headlines
Noble Ladies Champion Women’s Financial Independence at Grand Inauguration in Abuja
Women from diverse backgrounds across Nigeria and beyond gathered at the Art and Culture Auditorium, Abuja, for the inauguration and convention of the Noble Ladies Association. The event, led by the association’s Founder and “visionary and polished Queen Mother,” Mrs. Margaret Chigozie Mkpuma, was a colourful display of feminine elegance, empowerment, and ambition.
The highly anticipated gathering, attended by over 700 members and counting, reflected the association’s mission to help women realise their potential while shifting mindsets away from dependency and over-glamorization of the ‘white collar job.’ According to the group, progress can be better achieved through innovation and creativity. “When a woman is able to earn and blossom on her own she has no reason to look at herself as a second fiddle,” the association stated.
One of the association’s standout initiatives is its women-only investment platform, which currently offers a minimum entry of ₦100,000 with a return of ₦130,000 over 30 days—an interest rate of 30 percent. Some members invest as much as ₦1 million, enjoying the same return rate. Mrs. Mkpuma explained that the scheme focuses on women because “women bear the greater brunt of poverty” and the platform seeks “to offer equity in the absence of economic equality.”
Education is also central to the Noble Ladies’ mission, regardless of age. Their mantra, “start again from where you stopped,” encourages women to return to school or upgrade their skills at any stage in life. The association believes that financial stability is vital in protecting women from cultural practices that dispossess widows of their late husbands’ assets, while also enabling them to raise morally and socially grounded families.
Founded on the vision of enhancing women’s skills and achieving financial stability, the association rests on a value system that discourages pity and promotes purpose. “You have a purpose and you build on that purpose to achieve great potentials and emancipation,” Mrs. Mkpuma said.
A criminologist by training and entrepreneur by practice, she cautions against idleness while waiting for formal employment. “There are billions in the informal and non-formal sectors waiting to be made,” she said, rejecting the “new normal of begging” and urging people to “be more introspective to find their purpose in life and hold on to it.”
Mrs. Mkpuma’s management style keeps members actively engaged, focusing on vocational skills and training to prepare them for competitive markets. She is exploring “innovative integration of uncommon technologies” and is already in talks with international franchises to invest in Nigeria, with Noble Ladies as first beneficiaries.
The association’s core values include mutual respect, innovation, forward-thinking, equal opportunity, and financial emancipation. With plans underway to establish a secretariat in the heart of Abuja, the group aims to expand its impact.
The event drew high-profile guests, including former Inspector General of Police, Mike Okiro, and a host of VIPs, marking a significant milestone in the association’s drive for women’s empowerment.
Headlines
NEPZA, FCT agree to create world-class FTZ environment
The Nigeria Export Processing Zones Authority (NEPZA) has stepped in to resolve the dispute between the Federal Capital Territory Administration and the Abuja Technology Village (ATV), a licensed Free Trade Zone, over the potential revocation of the zone’s land title.
Dr. Olufemi Ogunyemi, the Managing Director of NEPZA, urged ATV operators and investors to withdraw the lawsuit filed against the FCT administration immediately to facilitate a roundtable negotiation.
Dr. Ogunyemi delivered the charge during a courtesy visit to the Minister of the Federal Capital Territory, Barrister Nyesom Wike, on Thursday in Abuja.
You will recall that the ATV operators responded to the revocation notice issued by the FCT administration with a lawsuit.
Dr. Ogunyemi stated that the continued support for the growth of the Free Trade Zones Scheme would benefit the nation’s economy and the FCT’s development, emphasizing that the FCT administration recognized the scheme’s potential to accelerate industrialisation.
Dr. Ogunyemi, also the Chief Executive Officer of NEPZA, expressed his delight at the steps taken by the FCT minister to expand the economic frontier of the FCT through the proposed Abuja City Walk (ACW) project.
Dr. Ogunyemi further explained that the Authority was preparing to assess all the 63 licensed Free Trade Zones across the country with the view to vetting their functionality and contributions to the nation’s Foreign Direct Investment and export drives.
“I have come to discuss with His Excellency, the Minister of the Federal Capital Territory on the importance of supporting the ATV to succeed while also promoting the development of the Abuja City Walk project. We must work together to achieve this for the good of our nation,” he said.
On his part, the FCT Minister reiterated his unflinching determination to work towards President Bola Ahmed Tinubu’s Renewed Hope Agenda by bringing FDI to the FCT.
“We must fulfil Mr. President’s promises regarding industrialization, trade, and investment. In this context, the FCT will collaborate with NEPZA to review the future of ATV, a zone that was sponsored and supported by the FCT administration,” Wike said.
Barrister Wike also said that efforts were underway to fast-track the industrialisation process of the territory with the construction of the Abuja City Walk.
The minister further said the Abuja City Walk project was planned to cover over 200 hectares in the Abuja Technology Village corridor along Airport Road.
According to him, the business ecosystem aimed to create a lively, mixed-use urban center with residential, commercial, retail, hospitality, medical, and institutional facilities.
He added that the ACW would turn out to be a high-definition and world-class project that would give this administration’s Renewed Hope Agenda true meaning in the North-Central Region of the country.
Barrister Wike also indicated his continued pursuit of land and property owners who failed to fulfil their obligations to the FCT in his determination to develop the territory.
-
Headlines4 years agoFacebook, Instagram Temporarily Allow Posts on Ukraine War Calling for Violence Against Invading Russians or Putin’s Death
-
Entertainment3 years agoMovie download platform, Netnaija, announces closure
-
Headlines4 years agoNigeria, Other West African Countries Facing Worst Food Crisis in 10 Years, Aid Groups Say
-
Foreign4 years agoNew York Consulate installs machines for 10-year passport
-
News2 years agoZero Trust Architecture in a Remote World: Securing the New Normal
-
Entertainment3 years agoPhyna emerges winner of Big Brother Naija Season 7
-
Headlines2 years agoNigeria Customs modernisation project to check extortion of traders
-
Economy2 years agoWe generated N30.2 bn revenue in three months – Kano NCS Comptroller
