The debate over what to do with the four refineries currently under the control of the federal government is hardly just an economic question: hence, in the examination of the various options available to it (our dubious government) going forward, socio-political implications of all options on the table must be weighed. I shall try to present workable solutions as succinctly and chronological as I can. Anyone familiar with the process of writing project plans and implementing them will tell you it is a very painstaking and difficult process- its probability of success depending more on the personnel charged with delivering the goods than the planner. Hence, it is perfectly possible to have a great plan and still fail.

But half of the problem has been whacked when you acknowledge there is a problem to tackle and begin brainstorming on possible solutions. While this article could be termed pedestrian by professional standards, it should be helpful in drawing the boundaries of the subsets of possible solutions to a perennial national problem. Of any global universe of solution available, the one I will highly recommend is copying the strategy of the competitor. Putting it in few words: since Blue Star must have submitted a business plan before they "won" the refinery bid, is it not high time NNPC start learning by copy cat? May be, I am giving the managers of NNPC too much credit.

It must be noted that when Alhaji Dangote makes entry into a market be it Indomie, Sugar, Cement or even Rice, he shakes it and takes it by storm. Hence, if the government is interested in reforming the petroleum industry in Nigeria it must be shaken to its foundation. The first action will be to investigate and dismantle NNPC as we currently know it. Let this not be one of those shenanigan investigations, which are often groping in the dark; predetermined to fool the unaware public. To avoid an unnecessary wild goose chase, only contracts and deals made after 1990 should be opened up to forensic investigation. This will ease the burden on the investigators and allow for in-depth recovery operation.

The good thing is that there is hardly anyone that partook in the pre-1990 looting that is still not doing so today: same personalities such as Lukman, Kupolokun, Obaseki and Daukoru still dominate the NNPC. The fingers of IBB-OBJ-Abacha and their heirs apparent  will definitely be caught in the cookie jar while it will be a delight to watch Offor, Etete, and Danjuma squirming as their nefarious oil deals are opened up for the world to see. Until the saboteurs of Nigeria's oil industry and their friends are prosecuted, I believe firmly that any reform will be naught. Is it not high time NNPC accounts got audited? Public and private enterprises do so as a matter of routine check on corruption, yet no audit of the NNPC has been done in decades! I am very sure that the bribes for which Halliburton and Wilbros are indicted in the US by the Justice Department was given to someone. The collector is somehow still below Ribadu's radar!

Immediately the investigation is concluded and Ribadu gets to do real police work instead of vain PR and grandstanding, the NNPC as a mater of necessity must be broken up into three integrated petroleum giants with differing strengths but shared capabilities in refining, petrochemicals and oil prospecting. This transitional strategic move does away with the monopoly called NNPC by encouraging government enterprises to compete against one another with dire consequences for the laggards and their management board: Chinese treatment is a perfect strategy in the national emergency we find ourselves. Breaking up the NNPC must be accompanied by an immediate divestiture of NNPC joint venture interests in the upstream sector from NNPC to a new Trust manned with professionals charged to ensure the JV partners live up to their contracts as at when required and negotiate new ones (an alternative is to carve out NAPIMS for this purpose from the current NNPC group structure).

The new integrated national oil companies shall be subsidized at the back end. Meaning crude oil (FG share of JV interests currently allocated to NNPC) should be provided at discounted rates for refining and eventual local sale, allowing refineries to recoup cost of operation and profit by giving them assured market access. This eliminates the corruption of front end subsidies that have encouraged fuel importation. The back end subsidy will be in form of selling crude oil at below international prices, within a budgeted price band, via an auction system that matches local demand to local producers who in turn sell at fix profit margin to the public. This trend will continue to favor local refining and increased economic activity which in turn will fuel a petrochemical revolution that add impetus to the much needed industrial growth that the country need. Ultimately, it will reverse the trend of crude export and refined fuel import in favor of valued added export and efficient use of our natural resources. Instead of using our surplus (a symptom of underdevelopment) to fuel other folk's economic growth we would instead use our crude and export the bye products. While in the near term we will sacrifice cheap foreign exchange for low energy costs locally, it will be more than made up for with export of petrochemical resins and manufactured products.

Commodity auctioning within a subsidized price band will result in pseudo deregulation of the retail oil/gas operations (since producers that pay more within the price band will likely have higher prices for refined products and vice versa), while insulating the domestic markets from price shocks of terrorism and international politics that is currently bleeding our economy. It is true that price differential between Nigeria and her less endowed neighbors can encourage smuggling, but this can be curtailed by the use of simple GPS technology combined with inventory management systems by refiners who in turn should be tightly regulated by DPR (who for one should take their regulation mandate serious) to ensure petroleum products destined for local markets do not find their way on to the international market. Dire consequences are prescribed for saboteurs of controlled deregulation and managed privatization. The crime of economic sabotage could be made an equivalent of coup plotting and terrorism!

As I earlier suggested it will suffice to mention that the FG should copy from the Blue Star Consortium model, by bringing in proven world class organizations to straighten out operations of the new companies (which include the refineries) in the interim. This period of transition (five years) should enable the three entities emerge as public traded companies under management in return for about 5% ownership if certain operational benchmarks are met. This proposal should be all or nothing, making the payments to the management organization contingent on consistent execution in those five years. If properly negotiated, this could be a good deal for everyone- including the Chinese!

In view of the fact that even a 100% production rate at current refineries is unlikely to meet future demand; imports within the five years transition should continue to enjoy current subsides pending accelerated construction and start-up of additional capacities of new refineries. JV styled partnership based upon the successful upstream model currently in place with the majors should be pursued to rapidly increase refining capacity with private sector backed partnerships. To this effect, the current administration should start good faith negotiations with Blue Star to build refineries with the cash refunded from the rescinded deal. With additional equity of 750 million dollars from the FG, that is a good chunk of money to put two mega-refineries up and running in three years in a classic joint venture deal that should be a win-win for all; shared risk and capital appreciation.

In every business plan, there must be an exit strategy that allows the owner or financier to cash out. In this case, the FG should sell a fifth (20%) shares of each of the firms in an IPO allowing market forces and the Nigerian people price such shares at premium (hopefully after turn-around) at the end of the five year turn around period. Monies invested by the managing company for the government will be recouped by this method, while the balance is paid into the treasury. It is not unrealistic to expect each of the integrated companies being worth $2b-$5b on the bourse if properly managed.

This should be followed up by an invitation to core investors (doubling as new operators) to pick up 26% equity with the proceeds going into the treasury financing infrastructural development that is badly needed. I look forward to Blue Star or the firms managing the firms in the interim (with guaranteed 5% interest stake) participating at this point, paying fair market value as determined by the stock exchange for these shares (of not just refineries but integrated business). The  49% balance of equity in the  oil concerns are to be held in trust by independent JV management entity (currently NAPIMS) representing the people's continued vested interest in the oil industry alongside the JV partnership with majors in the upstream and downstream sector, replicating the success story in the upstream and LNG sector. This passive ownership approach effectively provides the best middle ground between active government involvement and laissez faire.

There are enormous benefits to Nigeria refining her crude oil. Not only will the multiplier effect of adding value to such product be enormous, but the foreign exchange and employment provided by these activities cannot be discounted. Local refiners and petrochemical companies will also benefit from lower cost of transporting crude (their feed stock) and consequentially higher profit margins when their products get to the international market. This should lead to a steady growth of the downstream sector and increased investment in the upstream sector as well as foreign expansion especially in Africa (Angola, Sao Tome, Congo, Sudan, Equatorial Guinea) led by the new publicly traded oil companies with the benefit of local expertise and international exposure. It is my hope that Dangote and Otedola participate in this process in a fair manner.

In conclusion, it is very important to dispel the myths making the rounds on the status of Nigeria's refinery. This week, the GMD of NNPC confirmed our worst fears, by stating the obvious that in fact the refineries were somewhat functional and that "only a breached major crude pipeline bringing the feedstock crude oil into then was preventing operations". A refinery operating at 75% capacity is definitely not "scrap" and describing it as such is being economical with the truth. There are capable Nigerian engineers at home and abroad that can turn around the fate of these organizations. Fire sale at the behest of the government is not an option. Are you even aware that your country exported $1.2 billion worth of refined petroleum to the US in 2005? Is this not a country yet to meet local demand and importing feverishly? Such is the paradox of our great country! No problem is too big to solve by 140 million brains thinking.


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Re: Fixing NNPC: Dangote Business Plan on Steroids
Ajis15 posted on 08-01-2007, 17:24:43 PM
Yardua government has started fumbling. The reversal of Obj decision to sell the refineries is a big mistake. I do not care how much the refineries are sold for. The real issue is that these refineries are not working. Let the private sector run it. How many years will it take NNPC to put the refineries to work?, and on what basis is Yardua's decision to turn the refinery back to NNPC. We shall soon see that NNPC will as usual maintain the status quo: failed refineries and continous importation of petroleum products. Go and mark it. I believe some selfish people who make huge money milking Nigerians through importation of petroleum products (those who kill the refineries) have hijack Yardua regime. I am begining to loose confidence in this UMYA man. Recently, he issued import licence to a company to import cement forgetting that we have local cement factories (Dangote and Wapco) that create local jobs. He said he believes in job creation, but he is helping to create job in China by killing the local cement factories through importation.

I am not surprised; the man was not interested in the job. Obj forced it on him. This is the same journey OBj took us through in 1979 (Shagari) he has embarked on same road again with another Shagari. Too bad for Nigeria.
Re: Fixing NNPC: Dangote Business Plan on Steroids
Nf5kmw1 posted on 08-01-2007, 21:02:50 PM
My brother:

I agree with a lot of points that you have made, I will add that there are other examples out there. I want us to dream bigger, lets use Venezuela, Brazil and Russia as examples. We need to remember that companies like ExxonMobil with $474billion are our competitors in the oil industry and the weak will only die. We need to be a big fish in the ocean not in the pond. Did you know that in the whole of Africa there are only 39 refineries while Venezuelan oil company has 24. The Nigeria government cannot boast of that kind of money but the government can make laws which is priceless!!! When president Putin of Russia came to power he had the same situation read my article "The $60m question: Can Yar'Adua be our Putin? http://nigeriansforsuperenergy.com/phpBB3/viewtopic.php?f=3&t=18&sid=313d245f4eb68a92369046d17636bd55
Here is a quote from an article to show you the example Putin used... Venezuela
QUOTE:
Global Ambitions. The Kremlin wants to play a major role in Russia's domestic and global energy markets while keeping foreign investors at bay. The government-owned Gazpromneft (the combined Gazprom and Rosneft) will be a major global company, bigger than Petroleas de Venezuela (PVDSA) and comparable to Saudi Arabia's Aramco (both state monopolies), and will become an instrument of Russian foreign policy throughout the region and around the world.
Funny enough it was the Chinese that gave the Russian some money to fulfill their dreams.

On corruption you are right and by he way Dangote should let the Press know the names of those corrupt people in NNPC. That would be a nice service for a country that has given him so much.

Here is what Putin did on corruption
QUOTE:
2001-2003: Reform years

Russian President Vladimir Putin was actively pursuing reforms in the management of the company in the years following the scandals. This was aided by shareholder activism by Hermitage CEO William Browder and former Russian finance minister Boris Fyodorov.

On May 30, 2001, the Board of Directors replaced Rem Vyakhirev, whose contract had expired, with Alexei Miller as the new CEO to guide the reforms; Rem Viakhirev was moved to the position of Chairman of the Board at the 8th shareholders' meeting on June 29, 2001, temporarily replacing Dmitry Medvedev who became his deputy.


Finally here is a copy of my ideas for not just Fuel but Energy as a whole

God Bless and continue to push for change we deserve it !!!!!! Remember Donald Duke did it in Cross River State!!!

FOR IMMEDIATE RELEASE

MILWAUKEE, WISCONSIN - JULY 28, 2007 Nigerians for Super Energy a grassroots campaign for energy sends an open letter to President Umaru Musa Yar'Adua of Nigeria.

[I]Open Letter to President Umaru Musa Yar'Adua

[/I]

Dear Mr. President:

We are writing in support of your Energy goals for Nigeria. We believe that Nigeria should become a "Super Energy Power". You rightly said so on June 11, 2007 and we quote "As I keep saying, we cannot begin to address, in a fundamental manner, the problems of the economy, until we successfully tackle the power and energy issue. It is critical to all my plans. So I am more interested in how much gas we can tap for domestic use than what we can get for export. We must power this economy," Mr. President as you know, we have a very sick patient, "Nigerian Energy"; we need world class surgeons to lead this effort no more nurses. No disrespect to my mom she was a nurse for over 40 years!! And when you sign the FOI (Freedom of Information) bill you will have about 100m + eyes helping to monitor the progress of the projects. Mr. President below is our humble suggestions for radically changing our energy strategy.

Fuel Plan
24 Refineries in a National/Publicly traded oil company with global reach is what we need!!!
They say imitation is a form of flattery. If so, Nigeria needs to look to Venezuelans to reform its fuel sector. Due to the policies of Venezuelan oil company, PDVSA, the Venezuelans are able to enjoy $0.19 per gallon or N6.12. The Venezuelan oil company, PDVSA, had decided that it was not the crude oil export business but in the global petroleum and chemical business. So they invested in refining and retail business in Venezuela and almost all their export markets. Today PDVSA processes 3.3m barrels per day through 24 refineries: six complexes in Venezuela, one in the Caribbean, eight in the United States and nine in Europe. The Brazilian Oil company, Petrobras is another example. This company is renowned for its leadership in development of advanced technology from deep-water and ultra-deep water oil production. With 55.7% of Petrobras' Common Shares (with vote right) is owned by the Brazilian government, however privately held portions are traded on Bovespa stock market .On April 21st of 2006, President Luiz Inácio Lula da Silva announced Brazil's self-sufficiency in petroleum. Mr. President please seek counsel of the architects of PDVSA, Mr. Putin and/or Silva to see what they are doing. We recommend three strategic steps to revolutionize our oil sector.
1. NNPC should be come a government/public firm with part of it shares allocated for Nigerians. This will provide the company with a new direction and ownership need for the global challenges.
2. NNPC should go on a buying spree with the aid of government funds to buy (outright or major) shares in refineries in Africa, China and United States. This will provide us with immediate source of refined products, opportunities to train our people and hard currency. Best of all this does not need the 18 to 24 months to build a refinery. This will also provide us a stop gag measure until we build more refineries. It is all about add value and we need to start doing that.
3. Start building 4 refineries and retail outlets to take care of the local demand as estimated for 2010. This will help put to rest the fuel challenges that we face as a Nation.

Electrical Plan
50,000 megawatts in a well planned power grid is what we need!!!
Why 50,000 Megawatts? Given our population, the goals (15,000MW, 20,000MW, and 30,000MW) currently proposed in different political and business circles does not take care of latent electrical demand. In 1999 we estimated a goal of 4,000mw and 5,600mw, we have reached those goals but still not able to survive disruptions to the power grid. South Africa with a population of 47M generates 36,000MW, Brazil population 188M generates 90,000MW and South Korea population 49M generates 43,833MW. Nigeria with a population of 140M would need to generate 67,021MW to be at par with Brazil the lowest per capita among the three countries. Based on the current estimates of 10,000mw in current or in progress, we will need 40, 000mw to complete our goal. This translates in 1,100mw per state and Abuja. Yes we know some states may not be able to generate this amount due to logistic or cost can join with other states to meet their goal. Some states like Lagos will need double or triple that amount. Using current estimates we believe that we need $29 billion for completion of the goal which about $15 billion should come from the Federal government.
1. The plan would call for part of excess revenue funds to be invested in power generation and transmission.
2. All sates, Abuja and Local governments must contribute a percentage of their net worth to the projects. Land for projects will be provided by state and local governments.
3. All banks must invest a percentage of their net worth. Corporations and individual investors will be encouraged to invest in the projects with a strong push for public stock participation.
4. All companies must provide free electricity and cooking gas to local communities.
5. Alternate sources must be encouraged, At least one coal power station in Enugu with similar capacity of Tutuka, South Africa 6x609 MW. This should be part of the sale of 13 mining titles belonging to the Nigerian Mining Corporation.
6. Gas and oil pipeline should have backup points. We must be able to ship gas or oil to Lagos; after all we ship it to the ends of the world. Our pipe line should be like a Hydra (multi-head monster) that will allow for maintenance without totally shorting down the country.
7. Implement widespread adoption of CFLs (Compact Fluorescent Lights) and other energy saving programs. CFLs save about four times more energy compare to regular lights.
8. Last but not least, industries using gas for energy will be given gas for free or token price.


We are calling on all Nigerians to wear copper colored ribbon (similar to the AIDS ribbon) and March for a Global NNPC with 24 refineries and a 50,000 megawatts power grid. Mr. President since you understand the challenge, we are ready to give you 100% support to make these changes. If the energy issues in Nigeria are solved, a lot of Nigerian lives will be astronomically improved. We call upon all religious, traditional and civic leaders to join Mr. President for 40 days prayer and fasting for success.

God Bless Nigeria!!!!






Nigerians for Super Energy is a grassroots campaign aimed at supporting the need for energy in Nigeria and the sub region. 35% of
all black people in the world need energy to improve their daily lives.
[/QUOTE]
Re: Fixing NNPC: Dangote Business Plan on Steroids
Nf5kmw1 posted on 08-01-2007, 21:16:33 PM
QUOTE:
Yardua government has started fumbling. The reversal of Obj decision to sell the refineries is a big mistake. I do not care how much the refineries are sold for. The real issue is that these refineries are not working. Let the private sector run it. How many years will it take NNPC to put the refineries to work?, and on what basis is Yardua's decision to turn the refinery back to NNPC. We shall soon see that NNPC will as usual maintain the status quo: failed refineries and continous importation of petroleum products. Go and mark it. I believe some selfish people who make huge money milking Nigerians through importation of petroleum products (those who kill the refineries) have hijack Yardua regime. I am begining to loose confidence in this UMYA man. Recently, he issued import licence to a company to import cement forgetting that we have local cement factories (Dangote and Wapco) that create local jobs. He said he believes in job creation, but he is helping to create job in China by killing the local cement factories through importation.

I am not surprised; the man was not interested in the job. Obj forced it on him. This is the same journey OBj took us through in 1979 (Shagari) he has embarked on same road again with another Shagari. Too bad for Nigeria.


This is another POV
QUOTE:
Making cement affordable
By Editorial Board
Published: Wednesday, 1 Aug 2007

Making cement sufficiently available and at affordable prices is a major challenge before the Yar'Adua administration. The goal of self-sufficiency in cement production was not attained under the past Obasanjo administration. The deliberate manipulation of cement policies to benefit a few favoured merchants discouraged competition and led to high product prices.

Specifically, the discriminatory approval of concessions and waivers to a few importers amounted to unfair trade practices that allowed the favoured firms to hoard, and create scarcity, in order to jerk up cement prices. Indeed, the jump in cement prices early in the year from N1,200 to N1,800 per 50 kilogram bag put a temporary halt to individual and corporate housing efforts and raised the cost of other construction projects.

It is against this backdrop that the Yar'Adua government's decision to reopen the Ibeto Cement factory in Port Harcourt is welcome. The FG had shut down the factory in 2005 following misleading reports from some importers who were out to monopolize the cement trade. Also shut down were the Eastern Bulkcem and Nigercem in Ebonyi State. The official shut-down was based on unproven allegations that the firms were not investing in local manufacturing of cement. President Obasanjo had refused to reopen the factories even when the ministries of Commerce, Finance and Industry had given the firms a clean bill of health.

Indeed, the affected firms were already complying with the requirements to set up local cement factories when their import licences were cancelled. President Musa Yar'Adua's decision to reopen the Ibeto factory immediately is, therefore, going to reduce the demand-supply gap and arrest the price hike that is stunting national growth and development.

The main challenge before the administration is to blend the policy of encouraging domestic production with an appropriate regime of importation. Despite 100 per cent availability of cement raw materials in the country, local producers are presently able to meet less than 25 per cent of demand. The five local cement factories supply less than three million metric tons of the 14 million metric tons required by consumers.

The main obstacle to local production is epileptic public power supply which has jerked up costs by at least 35 per cent. The collapse of rail transport is another problem. Being a bulky commodity, the most economical means of transporting cement over long distances is by rail. The abundance of limestone, gypsum and other raw materials in the country, makes local production very feasible if the problems associated with power and transport are properly tackled.

All unfair waivers and concessions given to any cement firm should be revoked in order to open up the sector and create a level playing field for all. Rail transportation and public power supply should be reactivated quickly to reduce costs and make cement available and affordable. The position of cement as a measure of national development cannot be ignored. The high incidence of collapsed buildings is largely traceable to efforts by builders to cut corners owing to high cement prices.

To reduce the cost of production and encourage local producers, the government should provide such incentives as duty waivers on imported machinery and tax holiday for a specific period. A fiscal policy framework must be put in place to make sure that local manufacturers of cement are not run out of business by importers. Relevant agencies should be more alert to check importation of substandard cement into the country.

The efforts by individuals and corporate entities to provide decent housing for all should be actively supported by government and only a sound and competitive cement policy will assist in achieving the goal. The nation is capable of producing cement for local consumption and export if the policy environment is right.
Re: Fixing NNPC: Dangote Business Plan on Steroids
Anon posted on 08-01-2007, 21:43:51 PM
QUOTE:
Yardua government has started fumbling. The reversal of Obj decision to sell the refineries is a big mistake. I do not care how much the refineries are sold for. The real issue is that these refineries are not working. Let the private sector run it. How many years will it take NNPC to put the refineries to work?, and on what basis is Yardua's decision to turn the refinery back to NNPC. We shall soon see that NNPC will as usual maintain the status quo: failed refineries and continous importation of petroleum products. Go and mark it. I believe some selfish people who make huge money milking Nigerians through importation of petroleum products (those who kill the refineries) have hijack Yardua regime. I am begining to loose confidence in this UMYA man. Recently, he issued import licence to a company to import cement forgetting that we have local cement factories (Dangote and Wapco) that create local jobs. He said he believes in job creation, but he is helping to create job in China by killing the local cement factories through importation.

I am not surprised; the man was not interested in the job. Obj forced it on him. This is the same journey OBj took us through in 1979 (Shagari) he has embarked on same road again with another Shagari. Too bad for Nigeria.


Ajis15, please help my memory upgrade, which local cement factories has UMYD killed through cement importation? Which cement factories did he recently issue cement importation licenses to? I'm aware that he re-opened the Ibeto cement factory that was laid moribound by OBJ but I'm not aware of any other. I'll appreciate a response please because I believe you know more than some of us.
Re: Fixing NNPC: Dangote Business Plan on Steroids
Abraxas posted on 08-02-2007, 02:06:36 AM
QUOTE:
Yardua government has started fumbling. The reversal of Obj decision to sell the refineries is a big mistake. I do not care how much the refineries are sold for. The real issue is that these refineries are not working. Let the private sector run it. How many years will it take NNPC to put the refineries to work?, and on what basis is Yardua's decision to turn the refinery back to NNPC. We shall soon see that NNPC will as usual maintain the status quo: failed refineries and continous importation of petroleum products. Go and mark it. I believe some selfish people who make huge money milking Nigerians through importation of petroleum products (those who kill the refineries) have hijack Yardua regime. I am begining to loose confidence in this UMYA man. Recently, he issued import licence to a company to import cement forgetting that we have local cement factories (Dangote and Wapco) that create local jobs. He said he believes in job creation, but he is helping to create job in China by killing the local cement factories through importation.

I am not surprised; the man was not interested in the job. Obj forced it on him. This is the same journey OBj took us through in 1979 (Shagari) he has embarked on same road again with another Shagari. Too bad for Nigeria
.

Hi, my friend, Ajis15!

So, because the refineries are not working, therefore they should, if possible, be given away for free, abi? Why did General Segun Aremu Okikiolakan Obasanjo NOT ensure that those refineries were repaired within the eight (8) years of his misadventure, both as the president of Nigeria, and also the honourable minister of Petroleum Resources?

Would it not have been better to blame the cabal of \"selfish people who make huge money milking Nigerians through importation of petroleum products (those who kill the refineries)\", that is to say, the friends of OBJ, for the non-functioning Nigerian refineries, and not the simplistically conceived fall guy called NNPC?!.

Why did he not fire the GMDs of NNPC (Mr. Jackson Gaius-Obaseki (JP) and Engr. Funso Kupolokun) in those years of aggressive importation of petroleum products, instead he awarded them special commendations and national honours?!

What stops YOUR so-called \"efficient\" private sector operators (that are addicted to exclusive patronages from government) from building their own refineries, which, for the records, 18 of them have NOT been able to do, despite being given the go-ahead since 2001?!

President Umaru Musa Yar'Adua (GCFR) DID NOT issue any import license to any company to import cement. Your so-called \"local cement factories\" owned by Dangote, General Theophilus Danjuma, and WAPCO, are actually cement BAGGING depots, just like that of Ibeto Cement Company in Port Harcourt, that OBJ wanted to strangulate, but was GRACIOUSLY given a reprieve by UMY'A.

Stop propagating hard-boiled, half-baked, and premeditated lies across the length and breadth of our very beloved Village of no regret, I beg you, my pikin.

Muchas gracias.

Don Juan-Carlos ABRAXAS (III)
Re: Fixing NNPC: Dangote Business Plan on Steroids
Mikky jaga posted on 08-02-2007, 06:25:04 AM
I realy pity those who are spending time to preach on how to restructure the NNPC. The fact of the matter is that it is in the best interest of the powers that be that NNPC is in the big mess that it is in today.

Such a mega corporation has never had its accounts audited regularly as prescribed by law. OBJ the anti corruption president was in the saddle as Oil minister for eight years, and did not see any wrong in NNPC. Dangote has said NNPC is a house of corruption, yet Ribadu would not ask him to supply the facts. Maybe so the trail would not lead to OBJ.

I am involved with one of the companies licenced to build private refineries in Nigeria (at least in advisory capacity) and I must confess that the fact thet none has seen the light of the day is not due to lack of commitment on the part of the licenced people, but because the government of OBJ, at least, is only paying lip service to building of refineries because of the lucrative nature of fuel importation.

If the government is genuinely interested in Nigeria having more refineries so we can have adequate refining capacity for domestic consumption, let them demonstrate this by taking a 30% share in these private refineries and you will see how many refineries we will have in the next couple of years.

I do not think UMYA, the new substantive oil minister, will have the gut to clean that citadel of corruption that NNPC is. He can still prove me wrong.
Re: Fixing NNPC: Dangote Business Plan on Steroids
Jah Guda posted on 08-02-2007, 06:48:51 AM
QUOTE:
Ajis15, please help my memory upgrade, which local cement factories has UMYD killed through cement importation? Which cement factories did he recently issue cement importation licenses to? I'm aware that he re-opened the Ibeto cement factory that was laid moribound by OBJ but I'm not aware of any other. I'll appreciate a response please because I believe you know more than some of us.




Your life would have no meaning if you didn't have somebody to bash. So typical┬ůthe only balance to your deluge of filth is what you can find on the Internet, it's all there if you've got a grain of initiative-SEARCH-rather than harass villagers. He made a good point, why don't you be thankful instead of hateful.

Maybe you ought to open your blind eyes, how you act like you know so much. Post an interesting reply, not your usual attack on others who try to make the village interesting, I think that helps to explain your poor reasoning skills.

I am sure the millions who have visited this site will be aware by now that nothing good comes out of you; you are a clown!
Re: Fixing NNPC: Dangote Business Plan on Steroids
Nawaya posted on 08-02-2007, 08:54:06 AM
QUOTE:
Hi, my friend, Ajis15!

President Umaru Musa Yar'Adua (GCFR) DID NOT issue any import license to any company to import cement. Your so-called \\"local cement factories\\" owned by Dangote, General Theophilus Danjuma, and WAPCO, are actually cement BAGGING depots, just like that of Ibeto Cement Company in Port Harcourt, that OBJ wanted to strangulate, but was GRACIOUSLY given a reprieve by UMY'A.



While I agree with Abraxas' writeup, I need to make a quick clarification:
WAPCO, BCC, CCNN, Ashaka, Dangote (Obajana) are NOT 'cement BAGGING depots' but "local cement factories" in the real sense.

However, Dangote also owns cement bagging plants; Ibeto is a cement bagging plant.
Re: Fixing NNPC: Dangote Business Plan on Steroids
Busanga posted on 08-02-2007, 09:32:40 AM
QUOTE:
Yardua government has started fumbling. The reversal of Obj decision to sell the refineries is a big mistake. I do not care how much the refineries are sold for. The real issue is that these refineries are not working. Let the private sector run it. How many years will it take NNPC to put the refineries to work?, and on what basis is Yardua's decision to turn the refinery back to NNPC. We shall soon see that NNPC will as usual maintain the status quo: failed refineries and continous importation of petroleum products. Go and mark it. I believe some selfish people who make huge money milking Nigerians through importation of petroleum products (those who kill the refineries) have hijack Yardua regime. I am begining to loose confidence in this UMYA man. Recently, he issued import licence to a company to import cement forgetting that we have local cement factories (Dangote and Wapco) that create local jobs. He said he believes in job creation, but he is helping to create job in China by killing the local cement factories through importation.

I am not surprised; the man was not interested in the job. Obj forced it on him. This is the same journey OBj took us through in 1979 (Shagari) he has embarked on same road again with another Shagari. Too bad for Nigeria.


Here you are making a dangerous assumption that it is not possible to privatize or make the refineries operable and get a good price for them the same time. I think you are wrong. I think the President made a bold decision, why he did it or what he does from now onwards is however what will determine if he writes his name in gold regarding Nigeria's troubled petroleum industry. I have my doubts.
Re: Fixing NNPC: Dangote Business Plan on Steroids
Skanbroy posted on 08-02-2007, 09:59:38 AM
QUOTE:
Here you are making a dangerous assumption that it is not possible to privatize or make the refineries operable and get a good price for them the same time. I think you are wrong. I think the President made a bold decision, why he did it or what he does from now onwards is however what will determine if he writes his name in gold regarding Nigeria's troubled petroleum industry. I have my doubts.



Busaga:

Then what do you consider as "good price" for these refineries? $561m for a 51% holding in PH refinery is not a particularly bad price you know.
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