Abuja, Bayelsa, Borno, pay highest prices for diesel in January.

The National Bureau of Statistics, NBS, has said that Abuja, Bayelsa, Delta and Cross Rivers recorded the highest average price of N240.52 for diesel in January 2017.

A report released Wednesday by the NBS said the average price paid by consumers for automotive gas oil, known as diesel, increased to N240.52 in January 2017 from N196.20 in December 2016.

The increase, the bureau said, represents 22.56 per cent on the basis of year-on-year and 50.06 per cent on month-on-month basis.

Further analysis revealed that states with the highest average price of diesel were Abuja and Bayelsa where consumers paid N270, followed by Delta (N256.77) and Cross River (N256.36).

Meanwhile, states with the lowest average price of diesel were Enugu (N230.78), Adamawa (N230.50) and Lagos, Oyo, Taraba were consumers bought the product at N230 in the period under review.

The NBS also said on Wednesday that average price paid by consumers for Premium Motor Spirit (PMS) known as petrol increased by 35.7 per cent year-on-year in January.

This is contained in “Premium Motor Spirit (Petrol) Price Watch for January” released by NBS in Abuja.

The report stated that Petrol increased by 35.7 per cent year-on-year and 1.35 per cent month-on-month to N148.7 in January 2017, from N146.7 in December 2016.

It noted that states with the highest average price of petrol were Borno, which sold the product for N164.09, Oyo; N161.00 and Ebonyi N156.47.

“States with the lowest average price of petrol were Kogi, which sold at N144.67, Ekiti and Imo, N144.64; and Abuja which sold at N144.20?

The states with lowest average price sold the product below the recommended price of N145.

Fuel prices are collected across all the 774 local governments across all states and the FCT from more than 10,000 respondents and locations.

The report reflected prices households actually bought fuel together with the prices reportedly sold by the fuel suppliers.

The average of all these prices is then reported for each state and the average for the country is the average for the state.

Global oil output falls by 1.07 million bpd in January.

Following the supply cut deal by the Organisation of Petroleum Exporting Countries, OPEC, oil output of member-states is set to fall by more than 1 million barrels per day (bpd) in January.

According to the report of a Reuters survey released Tuesday, the fall points to a strong start by the group in implementing its first supply cut deal in eight years.

The survey is based on shipping data provided by external sources, Thomson Reuters flows data and information provided by sources at oil companies, OPEC and consulting firms.

The Organisation of the Petroleum Exporting Countries agreed to cut its output by about 1.2 million bpd from January? 1 to prop up oil prices and reduce a supply glut.

The survey stated that supply from the 11 OPEC members with production targets under the deal has averaged 30.01 million bpd, down from 31.17 million bpd in December, based on shipping data and information from industry sources.

Compared with the levels that the countries agreed to make the reductions from, OPEC members have cut production by 958,000 bpd of the pledged 1.164 million bpd, equating to 82 percent compliance, the survey says.

It stated further that compliance of 80 per cent comfortably exceeds the initial 60 per cent achieved when the previous cuts deal was implemented in 2009, and it adds to indications that adherence to the deal so far has been high.

Reuters reports that oil edged above $55 a barrel on Tuesday. The cuts agreed by OPEC, Russia and other independent producers has helped to lift prices from a 12-year low near $27 a year ago.


The January drop in OPEC output has been offset slightly by higher supply from Libya and Nigeria, which are both exempted from the OPEC agreement because of output losses caused by conflict.

Saudi Arabia has reduced output to less than 10 million bpd in January, industry sources told Reuters, implementing a bigger cut than it had agreed to set a good example on compliance.

Iran, which was allowed to raise output under the OPEC deal because sanctions had crippled past supply, pumped an additional 20,000 bpd.

OPEC announced a production target of 32.5 million bpd at its November 30 meeting, which was based on low figures for Libya and Nigeria and included Indonesia, which has since left the group.

Combined output in January from all members is about 520,000 bpd above the target, adjusted to remove Indonesia, the survey showed.

FG appoints parties to borrow $1bn in January

Kemi Adeosun, minister of finance, on Wednesday at the Federal Executive Council (FEC) meeting presented a memorandum seeking approval for the issuance of the $1 billion Eurobond in the International Capital Market (ICM).

Adeosun also sought approval for the appointment of transaction parties responsible for the execution of the programme.

The minister noted that the $1 billion Eurobond issuance was appropriated in the 2016 Budget and the funds will support the implementation of capital projects in the 2016 budget.

The appointed transaction parties responsible for execution of the transaction include Citigroup, Standard Chartered Bank, Stanbic IBTC Holdings PLC, White & Case LLP, Banwo & Ighodalo and AfricaPractice.

She stated that the selection was based on an open and competitive bidding process in line with the Public Procurement Act, 2007 and a certificate of “No Objection” was received from the Bureau of Public Procurement (BPP) to award contracts to the recommended parties.

“We have so far received strong commitment from the international community. Investors believe in the long-term economic outlook for Nigeria as we continue with our structural reforms and increased focus on infrastructure development to diversify the economy and grow the non-oil sector,” she said.

“Stable oil prices and steadying foreign reserves will support our plans and we expect high demand for this issue to further push down yields. We are confident that this will be a successful outing in January, 2017.”

Arsenal to make decision on Cazorla future in January

Arsene Wenger says Arsenal will make a decision about Santi Cazorla’s future at the club come January.

The experienced midfielder’s contract at the Emirates Stadium is due to expire at the end of the season and he has been heavily linked with a move to Atletico Madrid in recent months.

Arsenal have an option to extend his stay at the club, though, and Wenger is adamant the 31-year-old’s injury problems do not play a role in deciding whether Cazorla will stay, with the Spaniard expected to be sidelined until February with an ankle problem.

“Santi has six months left on his contract, but we have an option [to renew],” Wenger told reporters.

“We can take this option, but I would like to speak with Santi about it before making any announcements. I have not discussed it with him yet. A decision will be made in January.

“It is not down to his fitness. It is my decision only. Santi is an exceptional player.

“The dressing room needs a balance between experience and youth-team players and you need to be guided by some experienced players when you go through difficult times. They help you always to keep your feet on the ground and keep focused.”

Adeosun: Development Bank of Nigeria must be ready by January

Kemi Adeosun, Nigeria’s minister of finance, says the Development Bank of Nigeria (DBN) of Nigeria must be ready by January 2017.

While stating that she and her team hd given themselves very tight timelines, Adeosun said there had to be some urgency in getting the economy back to growth.

She spoke about Nigeria’s history of stalling development projects, saying it needed to change to deliver much needed growth.

Speaking to NTA on Monday, Adeosun said her team was removing development bottlenecks and already working on the proceeds of the World Bank/IMF meetings in Washington DC.

“DBN was conceived about three years ago but hadn’t gone anywhere; this is 2016. We announced it and when we got there, we said, what are the problems?

“There were some bottlenecks, and fortunately we’ve been able to solve them, and on Saturday, we were on a panel interviewing an MD and CFO for the DBN, this thing must take off by January. Let’s have some urgency.

“DBN is very important because it is going to provide money for MSMEs; and for Nigeria, that is really important, because 50 percent of our GDP is from small, medium-sized companies, petty traders, so finding a way to get money towards them is a really important part of getting out of the challenges that we currently face.

“Getting Nigeria’s development bank off the ground is a big priority for us, and we have set for ourselves very tight deadlines.”

Adeosun said one of the successes recorded at the meetings was the progress of a $500m irrigation project, that was held up “because counterpart funding, just $4m hadn’t been paid”.

“So whilst we were there, we called the minister of water resources who said he just released the money,” she said.

“The world bank people were every excited, because it means that $500m irrigation project is going to improve our agriculture, is going to create jobs, and there are quite a few takeaways that are positive.”

FG To Begin Board Appointments January, Read How The Appointments Will Be Allocated

The federal government will begin board appointments for its agencies from the end of January.
A top source in the office of the Secretary to the Government of the Federation said the appointments would be done in phases.  “The first of such appointments will be out by end of January to begin with the ministries of education and agriculture.
“The templates are ready. The two ministries have the biggest parastatals and will have more impact on those expecting appointments,” the source said.
President Muhammadu Buhari is trying to have a great say as to the kind of people he intends to appoint as board members.  It is the same posture he adopted at the time he was forming his cabinet, but state governors are said to be in disagreement over this. “The governors made all manner of protests but the President told them to go and make their own boards and other appointments and leave him to do his,” the source said.
The source added: “Some people are still sending applications for board appointment. We want to use the board appointments to address the challenges we are facing in the party.
One of the members of the presidential committee on the reconstitution of the federal government boards of parastatals, agencies and commissions, last night described their assignment as ‘a daunting task’ but added that they have gone far.
The member, who spoke in confidence, said so far, they have identified issues in several parastatals, agencies and commissions that need to be addressed.
“Our work is daunting because it has to do with reorganising the affected establishments, bearing in mind the issue of federal character, expertise, economic potentials and political expediency. We have gone far in the work, but the most important thing we are considering is national unity,” he said.
Credit: DailyTrust

NNPC To Announce 85 Naira Fuel Pump Price In January

Minister of State for Petroleum, Dr. Ibe Kachikwu says the NNPC will announce a pump price of 85 naira per litre of petrol in January 2016.

Dr. Kachikwu said that the new pump price is according to a PPPRA template which he signed off on Wednesday which will be the first reflection of the price modulation that will kick off fully in the petroleum sector by January 2016.

Dr. Kachikwu, who took a tour of the refineries in Port Harcourt on Christmas Day, said that the price modulation is to help ensure the fluctuation of prices to reflect the realities of the crude oil market.

He, however, said that all efforts were being made to get the refineries to start up to 60% production also in January that will supply about 11 million litres of petrol daily.

“If you look at the new PPPRA template that we developed and which I just signed off two days ago, when it is announced you will find out that for now (and I use the emphatic word of the President ‘for now’), the price of the refined product will actually be lower than 87 naira, It will be 85. We will probably announce that in January if the prices hold.

“What that does for you is that its modulating. If it goes up you move up, if it comes down you come down. So we take away the fact of having to go find funds to pay for these subsidies that we cannot afford.

“More importantly we try to be as close to the pump price that we have now as possible,” he said.

Credit: ChannelsTv

Fuel Price Review Likely In January

An end to the current fuel crisis may not be certain but Minister of State for Petroleum Resources, Dr Ibe Kachikwu, yesterday gave an indication that a new pump price will come into effect next January 2016. He said this just as the Nigeria Labour Congress (NLC) decried the continuing nationwide fuel scarcity resulting in skyrocketing prices and long queues.

A litre of premium motor spirit (PMS) now sells for N300 in many parts of Rivers State, including Port Harcourt. In Anambra, it is about N150 for a litre.

The NLC, in a statement signed by the president, Ayuba Wabba, yesterday, described the situation as ‘disheartening.’

Speaking in Abuja yesterday during his unscheduled visit to some filling stations within the metropolis, Kachikwu explained that it was high time Nigeria took practical look at the pricing dynamics of the oil and gas downstream sector.

Credit: Guardian