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War in Ukraine: Russia May Cut Gas Supplies to Europe If Oil Ban Goes Ahead

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By Derrick Bangura

Russia has threatened to shut down its main gas pipeline to Germany if the West imposes a ban on Russian oil.

According to Deputy Prime Minister Alexander Novak, “rejection of Russian oil would have catastrophic consequences for the global market,” with prices more than doubling to $300 per barrel.
The US has been exploring a potential ban with allies as a way of punishing Russia for its invasion of Ukraine.

But Germany and the Netherlands rejected the plan on Monday.

The EU gets about 40% of its gas and 30% of its oil from Russia, and has no easy substitutes if supplies are disrupted.

In an address on Russian state television, Mr Novak said it would be “impossible to quickly find a replacement for Russian oil on the European market”.

“It will take years, and it will still be much more expensive for European consumers. Ultimately, they will be hurt the worst by this outcome,” he said.

Pointing to Germany’s decision last month to freeze certification of Nord Stream 2, a new gas pipeline connecting the two countries, he added that an oil embargo could prompt retaliation.

“We have every right to take a matching decision and impose an embargo on gas pumping through the [existing] Nord Stream 1 gas pipeline,” he said.

Russia is the world’s top producer of natural gas and second top producer of crude oil, and any move to sanction its energy industry would badly damage its own economy.

It also supplies the world with about 10% of its nickel needs, mainly for use in stainless steel and electric vehicle batteries.

On Tuesday, nickel prices on the London Metal Exchange more than doubled to rise above the $100,000-a-tonne level for the first time.

Ukraine has implored the West to adopt an oil and gas ban, but there are concerns it would send prices soaring. Investor fears of an embargo drove Brent crude oil to $139 (£106) a barrel at one point on Monday – its highest level for almost 14 years.

Average UK petrol prices also hit fresh record of 155p a litre.

Rises in Brent crude – the global oil benchmark – were muted on Tuesday, with the price of a barrel 3% higher at $121.

Quoting unnamed sources, Reuters news agency reported that the US might be willing to move ahead with an embargo without its allies, although it only gets about 3% of its oil from Russia.

However, on Monday, German Chancellor Olaf Scholz dismissed the idea of a wider ban, saying Europe had “deliberately exempted” Russian energy from sanctions because its supply could not be secured “any other way” at the moment.

European powers have, however, committed to move away from Russian hydrocarbons over time, while some Western companies have boycotted Russian shipments or pledged to divest their stakes in Russian energy companies.

Mr Novak said that Russian companies were already feeling the pressure of US and European moves to lower the dependence on Russian energy, despite fulfilling all its contractual obligations to deliver oil and gas to Europe.

‘Enormous pressure’
“We are concerned by the discussion and statements we are seeing regarding a possible embargo on Russian oil and petrochemicals, on phasing them out,” he said.

“We see our partners, traders, shipping companies, banks and financial institutions coming under enormous pressure.”

His comments came as a third round of peace talks between Ukraine and Russia made little progress in Belarus.

More than 1.7 million Ukrainians have fled to Central Europe since the conflict began on 24 February, the United Nations refugee agency said on Monday, with over 1 million arriving in neighbouring Poland.

Kremlin spokesman Dmitry Peskov told Reuters that Moscow would halt operations if Ukraine ceased fighting, amended its constitution to declare neutrality, and recognised Russia’s annexation of Crimea and the independence of regions held by Russian-backed separatists.

A Ukrainian negotiator said that although small progress on agreeing logistics for the evacuation of civilians had been made, things remained largely unchanged.

“As of now, there are no results that significantly improve the situation,” Mykhailo Podolyak said.

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Crime

Man jailed 3 months for stealing mobile phone

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An Area Court in Jos, on Tuesday, sentenced one Jeptha John, to three months imprisonment for stealing a Redmi mobile phone valued at N165, 000.

The judge, Shawomi Bokkos, sentenced the John after he pleaded guilty to the offence.

The judge, however, gave the convict an option to pay N20, 000 fine and N50, 000 restitution to the complainant.

Bokkos said that if the convict defaulted in paying the restitution, three months should be added to his sentence to make it six months imprisonment.

Earlier, the police prosecutor, Insp Monday Dabit, told the court that the case was reported at the B Division Police Station, Jos, on Dec.  1, 2024, by Ms Nerat Danjuma.

He said that the complainant alleged that the defendant trespassed into her house and stole her mobile phone valued at N165, 000.

The prosecutor further told the court that the offence contravened the Plateau State Penal Code, Law of Northern Nigeria.

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Crime

Army apprehends 15 over suspected oil theft in Niger Delta

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Troops of the Nigerian army have apprehended no fewer than 15 persons over suspected oil theft and illegal oil bunkering activities in the Niger Delta.

Lt.-Col. Danjuma Danjuma, the Spokesman, Nigerian Army, 6 Division, Port Harcourt, said in a statement on Monday that the operations were carried out in Akwa Ibom, Bayelsa, Delta, and Rivers recently.

Danjuma said that the army apprehended 15 persons, dismantled 32 artisanal refineries and seized 14 boats during operations.

He further said that during the operations, conducted between Jan. 6 and 12, the troops confiscated no fewer than 60,000 litres of various petroleum products

The spokesman said that the operations were part of a broader collaborative effort with other security agencies to combat oil theft in the Niger Delta region.

Danjuma said that the raid commenced in Bille, Degema Local Government Area, and Rivers, where soldiers dismantled seven illegal refining sites, confiscated 20,000 litres of crude oil, and destroyed two boats.

“We also deactivated ten illegal refineries, several crude oil cooking pots, and receivers, and recovered about 19,000 litres of stolen petroleum products along the Imo River.

“In Odagwa, Etche, our troops intercepted three boats carrying about 12,000 litres of stolen crude oil and arrested three suspects in the process.

“Similar operations were carried out in Abiama, Asa, Obuzor, Okoloma, Ozaa, Ukwa, and Oyigbo” he added.

He stated that the soldiers advanced to Nkisa in Ogba/Egbema/Ndoni Local Government Area of Rivers, where they confiscated 1,600 litres of crude oil and 1,200 litres adulterated diesel.

Danjuma said that along Ndoni Road, the troops intercepted a Toyota van transporting an estimated 1,200 litres of stolen condensate.

The spokesman said that in Buguma, Asari-Toru, Rivers, the troops dismantled two illegal refineries, seized 1,500 litres of stolen crude oil, and apprehended five suspects.

“In Baberegbene, Southern Ijaw, Bayelsa, our soldiers dismantled an illegal artisanal refinery and intercepted a wooden boat carrying no fewer than 1,500 litres of stolen

“Similarly, an illegal refining site containing an unquantified quantity of stolen petroleum products was deactivated in Emago-Kugbo and Oluasiri communities in Nembe, Bayelsa.

“The operations continued in Akwa Ibom and Delta, where troops maintained a strong presence and effectively denied economic saboteurs the liberty to operate,” he said.

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Crime

2 ladies docked for allegedly obtaining money by fraud

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The police in Lagos have dragged two women, Mmesuma Ofunna, and Blessing Adimekwe, before an Ojo Magistrates’ Court in Lagos, over alleged obtaining money by false pretence.

Ofunna, 22, and Adimekwe, 25, were arraigned before the Magistrate, Mr L K J Layeni, on a four-count charge bordering on conspiracy, obtaining by false pretence, stealing and conduct likely to breach peace.

They each, however, pleaded not guilty to the charge.

The prosecutor, ASP Simon Uche, told the court that the defendants conspired with others now at large, to commit the offence on Oct. 26 at the Okokomaiko area of Ojo.

He alleged that they had obtained the sum of N70, 000 from one Faith Ahamefule, with a promise not to post her nude photo on social media.

The prosecutor alleged that the defendants later posted the nude photo of the nominal complainant on social media, knowing that their promise was false.

He alleged that they stole the N70, 0000, thereby conducting themselves in a manner likely to breach public peace.

The offence contravenes the provisions of sections 168(d), 287, 314, and 411 of the Criminal Law of Lagos State 2015.

The court granted the defendants bails in the sum of N500, 000 each, with two sureties each in like sum.

He adjourned the case until Jan. 8, 2025 for mention.

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