After two decades, the Nigerian Parliament has approved a reform of the oil&gas sector, which aims to maximize oil revenues and better distribute the wealth of Africa’s largest black gold producer.
The sector in Nigeria has a reputation of being corrupt and unproductive, with dilapidated infrastructure after 60 years of activity and attracts little investment despite the gigantic reserves of oil and gas. The law aims to provide a legal and fiscal framework for the Nigerian oil&gas industry by introducing three main changes: a more regulated taxation, better redistribution of wealth to the benefit of communities living in drilling areas and the transformation of the Nigeria National Petroleum Commission. “Both the senate and house of representatives have passed the Petroleum Industry Bill (PIB). It’s a landmark feat by the current National Assembly after many years of delay,” said Ola Awoniyi, spokesman for the senate president.

Saipem consolidates the strategy of conversion to clean energy and has announced a technological solution for the offshore production of green hydrogen and the conversion of oil&gas facilities called SUISO. This combines various renewable energy sources in one system. According to the company, the technology aims to power, together or individually, electrolyzes installed on existing offshore platforms for the production of green hydrogen. The oxygen coming out from this process is adaptable in various areas such as aquaculture or seaweed production. The technology will be first applied to the offshore Agnes project offshore to Ravenna in the Adriatica Sea. Francesco Caio, CEO of Saipem, has stated: “The SUISO brand is an example of Saipem’s ability to find innovative and sustainable solutions to lead its clients in the energy transition. The solution is adaptable to the changing characteristics of the marine sites and to the different production needs. The know-how gained in the design and execution of infrastructures and technologically advanced plants allows Saipem to cover the green hydrogen production value chain and to be a strategic partner in the path towards a net-zero economy.”

Eni has announced a big oil discovery offshore Ghana, on the Eban exploration prospect in CTP Block 4. According to estimates done, the potential of the Eban–Akoma complex is between 500 and 700 Mboe in place. The Eban – 1X well was drilled by the Saipem 10000 drilling ship in a water depth of 545 meters and has reached a total depth of 4179 meters. This new discovery has been assessed following comprehensive analysis of extensive 3D seismic datasets and well data acquisition including pressure measurements, fluid sampling and intelligent formation testing with state-of-the-art technology. Since it is located nearby to existing infrastructures, the discovery can be fast-tracked to production with a subsea tie-in to the John Agyekum Kufuor FPSO, and will be able to increase its production.

Spain wants to determine a date for the shutdown of all coal plants by 2030 and has joined an international campaign that aims to accelerate the fossil-fuel phase out of coal-fired power stations (The Powering Past Coal Alliance). PPCA now counts 23 national governments among 133 members united by the desire to speed up the demise of coal-fired power generation and contribute to reining in planet-warming carbon emissions. Spain is transforming its energy system to rely on renewable sources and expects to have closed 85% of its total coal capacity by 2022, thanks to abundant sunlight, blustery hillsides and vast plains.

Oil&gas giant ENI has started digging the first well in offshore block (1), which is located to the north of Bahrain. In May 2019, NOGA (National Oil and Gas Authority) and ENI signed an exploration and production sharing agreement for offshore block (1). It is estimated to cover an area of about 2,800 sq km, with a depth ranging from 10 to 70 meters. According to Oil Minister Shaikh Mohammed bin Khalifa Al Khalifa, “Eni has completed environmental surveys to determine the quality of the seabed in advance before starting drilling operations,”. The minister said that drilling phase will continue for several months, adding that exploration operations required time and continuous co-ordination with other specialized companies to achieve goals.

NGO Clean Air Task Force has found 123 methane leakages in oil and gas infrastructure in Austria, Czech Republic, Germany, Hungary, Italy, Poland and Romania this year. Unfortunately, it is not possible to know exactly how much methane is leaking. Methane is the second-biggest contributor to global warming, following carbon dioxide and is considered a dangerous air pollutant which can cause serious health problems. Man-made methane emissions are increasing fast and have reached record levels even during the pandemic. Until now, emissions from methane have not been regulated in the EU.

Tuesday was held in Lido di Dante (Ravenna) the meeting on the subject of drilling and the impact on our territory organized by “Ravenna in Campo”. Roberto Fagnani, in charge for public works and coordinator of “Ravenna In Campo”, has stated that: “Gas is green energy, at least until the coal is burned. Refusing to produce it in Italy in order to import it from abroad exposes the country to an increase of the emissions caused from useless transports, to geopolitical retaliations from the producing countries, and it penalizes our industries with economic repercussions on workers and on trade and catering industries. The policy should indicate a path to environmental protection that does not imply a path of forced deindustrialization”.

PO Valley is looking to raise up to $10.1m to fund development of its Selva Malvezzi onshore gas project in Italy. The company is looking to raise the funds through a placement of 35.7 million shares priced at 2.8c per share to raise about $1m and a fully-underwritten 1 for 2 pro-rata accelerated non-renounceable entitlement offer at the same price to raise the remaining $9.1m. The entitlement offer comprises a $7.1m institutional component and a $2m offer to retail shareholders. Selva Malvezzi has proved and probable reserves of 44.9 billion cubic feet of gas net to Po Valley. Development costs are expected to be about €2.3 million ($3.6m) of which the company is responsible for €1.5m from its 63% stake in the project. The project is expected to deliver earnings before interest, taxes, depreciation, and amortisation of €4.7m net to Po Valley per annum.

Libya’s long-standing neglected pipeline infrastructure sprang a leak this week when an aging 32-inch pipeline carrying crude from the Al-Samah oilfield to the Es Sider port burst, and some of the oilfield’s production may need to be shut in. Currently, production at Al-Samah is estimated at around 285,000 bpd, according to Attaqa.Due to insufficient investment in the repair and maintenance of oil infrastructure, Libya has had to contend with pipeline leaks in recent years. This past January a leak forced the shutdown of an oil pipeline carrying crude to the Es Sider oil port, reducing the country’s oil production by as much as 200,000 bpd for a week. Compared to last year’s eight-month-long blockade that crippled Libya’s oil production and exports, output has been relatively stable so far this year, but minor disruptions continued.

The two companies have signed a non-binding memorandum of understanding and are in discussions on a joint venture that will include their liquefied natural gas (LNG) facilities. According to BP, oil&gas production from both companies would reach around 200,000 barrels of oil per day. The new company would be expected to generate significant synergies, create more efficient operations and increase investment and growth in the basin. It will also be self-funded, it said.