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Shell launches unmanned vessel for undersea pipeline evaluation

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…As stakeholders decry AI infiltration, potential unemployment

Stakeholders have called for caution in the deployment of artificial intelligence and technologies which may result in job losses in the Nigerian oil and gas sector.

The stakeholders made the call following Monday’s announcement by Shell Petroleum Development Company of Nigeria (SPDC) that it had introduced surface water drone for pipeline survey in its shallow water operations.

Shell had said that it had deployed an Uncrewed Surface Vessel (USV) for pipeline route survey in the Niger Delta.

The USV, a water surface drone with no human crew, can be used for underwater pipelines examination and integrity assessment among others.

SPDC announced the innovation, the first in Nigerian oilfields, in a statement by its Media Relations Manager, Mrs Abimbola Essien-Nelson.

According to the energy firm, the USV saves time and cost as well as reduces exposure to personnel and environment.

“Last month, the remotely operated USV conducted a pipeline route survey at Bonny for a total of 166 hours.

“It is the first deployment of an USV for a pipeline route survey in shallow water in Nigeria and the longest such single mission in the Shell Group,” Essien-Nelson said.

She quoted Mr Steve Keedwell, SPDC’s Chief Surveyor and Head of Offshore Survey Operations, as describing the deployment of the USV as the new face of survey in Nigeria.

According to the statement, on-site and remote operators deployed the USV.

“We recorded increased productivity and better data acquisition at the survey at Bonny.

“Deploying the USV reduced carbon dioxide emissions by 97 per cent because the vehicle is designed as diesel electric.

“The efficiency of data acquisition coupled with improved data quality whilst reducing personnel exposure to zero is transforming how we execute surveys,” she said.

She further said that SPDC partnered with different stakeholders such as Nigerian Upstream Petroleum Regulatory Commission, NNPC Upstream Investment Management Services and the Nigerian Content Development and Management Board on the initiative.

Others were the Nigerian Navy Hydrographic Office and the Nigerian Maritime Administration and Safety Agency.

She noted that in furtherance of its Nigerian content development programme, SPDC worked closely with a Nigerian vendor, Compass Survey Limited, which deployed the vessel with support from their foreign partners and Unmanned Survey Solutions, UK

Essien-Nelson also quoted SPDC’s General Manager, Nigerian Content Development, ‘Lanre Olawuyi, as saying the vendor was training on-site remote operators to build local capacity.

“This is an exciting chapter in our efforts to develop Nigerian content in the conduct of surveys,” Olawuyi said.

Olawuyi added that the innovation in the survey at Bonny was attracting interests from the oil and gas industry and beyond.

“We will continue to support Nigerian companies in the domestication of technology and innovations,” he said.

The statement allayed fears of job losses, saying the USV creates jobs at the remote control centre where data from the unmanned vessel is received and processed.

But an oil services expert, Mr Henry Itrechio noted that the introduction of technologies that cut off jobs should be used with caution due to the adverse social impact of job losses on the economy.

“Incursions of Artificial Intelligence ought to be handled with cautious optimism as machines cannot replace humans.

“Like in the case in point, the USV is better because the danger of having humans in undersea vessels is very high.

“The USV is not without its own drawbacks and its pilot deployment for pipeline surveillance in shallow waters should be further studied to ascertain the suitability for deep-sea operations,” he said.

He also noted that the disadvantages of using USVs for pipeline surveys in the oil industry include limitations in communication, navigation, payload capacity, range and speed when compared to undersea vehicles.

Also speaking, Dr Nnimmo Bassey, an environmental rights crusader, who welcomed the application of drone technology for underwater pipeline monitoring, argued that the claim of 97 percent reduction in carbon dioxide emissions was bogus and needed to be validated.

“The drones can be good for monitoring pipelines for defects, leakages, and corrosion or illegal activities.

“To say that they lead to 97 percent carbon dioxide emission reduction is a vacuous claim that can only be made by carbon speculators seeking profit rather than halting pollution.

“The drones whether subsea or above water cannot in any way eliminate human agency in halting harmful activities,” he said.

Energy

We need consultation, public hearing to review PIA regulations – NMDPRA

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The Nigerian Midstream and Downstream Petroleum Regulation Authority (NMDPRA) says consultation with stakeholders and public hearing must be conducted to review proposed draft regulations of the Petroleum Industry Act (PIA).

The Authority’s Chief Executive, NMDPRA, Mr Farouk Ahmed, said this on Tuesday in Abuja at its stakeholder’s forum on Midstream Petroleum Host Community Development Trust (MPHCDT) regulation.

Ahmed, represented by Mr Ogbugo Ukoha, Executive Director, Distribution Systems, Storage and Retailing Infrastructure, NMDPRA, said consultation was necessary to provide a platform for harnessing ideas for the HCDT implementation.

“The regulation shall apply only to the Midstream Petroleum Host Communities and a holder of a license that is engaged in the midstream petroleum operation in accordance with Section 318 of the PIA.

“This is a platform for us to deliberate and get feedback on the draft regulations that we publish,” he said.

In an overview, Dr Joseph Tolorunse, the Authority’s Secretary and Legal Adviser, said the NMDPRA may by notice designate the facilities to which these regulations shall apply in accordance with the PIA.

He listed the objectives of the regulations to include the procedure for the establishment and administration of the Trust Fund for the midstream petroleum host communities and to establish parameters to safeguard the Trust Fund.

According to him, the regulation would also establish grievance resolution mechanism for the settlement of disputes between the host communities and licensees.

“The regulation will make general rules for the implementation of the development of the midstream petroleum host communities. It is expected to promote social and economic benefits from petroleum operations to the host communities.

“It will enhance peaceful and harmonious co-existence between the licensees, lessees and the host communities, as well as curtail pipeline vandalism and increase oil production,” he said.

Also speaking, Chairman, House Committee on Host Communities, Dounamene Dekor, said the committee had carried out a series of engagements to understand the current status of implementation of benefits to host communities.

He urged the Authority to expedite action to apply proactive and innovative mechanisms that would ensure the speedy and effective operationalisation of funding of host communities in the sector.

“We have noted some of the challenges that the authorities face in the implementation of the PIA, particularly the omission of the mainstream petroleum operations in Section 240-2 that provides for the funding of HCPs.

“Our committee is ready and already taking necessary legislative steps to address these gaps and challenges,” he assured.

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Ekpo highlights pivotal role of LPG in industrialisation, job creation

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Minister of State Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, has emphasised the strategic importance of investment in the gas sector, saying it was pivotal for driving industrialization, job creation and improvement of the livelihood of the generality of Nigerians.

The Minister stated this at the groundbreaking ceremony of Windek Energy Limited 20,000 Metric Tonnes (MT) Liquefied Petroleum Gas (LPG) depot project at Atabrikang, Aquaha in Ibeno Local Government Area, Akwa Ibom State at the weekend.

He lauded the vision and commitment of Windek Energy Limited in Nigeria’s journey towards energy security and economic prosperity.

A statement by the Spokesman to the Minister, Louis Ibah, which quoted Ekpo, said the project would boost ongoing efforts in ensuring affordable supply of LPG, commonly known as cooking gas, to Nigerians.

“This project marks a significant milestone in Nigeria’s journey towards energy security and economic prosperity. It will enhance access to clean and affordable cooking fuel,” the Minister said.

Ekpo thanked the Akwa Ibom State government for providing the enabling environment for investments to thrive.

He underscored the fact that the establishment of the LPG depot was a testament to the fruitful collaboration between the public and private sectors in the state.

The Gas Minister said the LPG depot project holds immense promises, not only for Akwa Ibom people, but for the entire nation.

Akwa Ibom State Governor, Pastor Umo Eno, in his speech thanked the Minister of State Petroleum Resources Gas, Ekperikpe Ekpo, for facilitating the establishment of the gas plant in the state.

Eno, represented by the Deputy Governor, Senator Akon Eyakenyi, also assured Ekpo and the management of Windek Energy Limited of the security of contractors and staff, as well as the support and collaboration of the host community in bringing the project to fruition.

MD/CEO, Windek Energy Limited, Mrs. Nosa Okunbor, said the project holds the prospect of  stimulating economic growth, fostering innovation, and facilitating the emergence of new industries and value chains within Akwa Ibom State.

“This project is not just about enhancing energy infrastructure, but about enhancing life such that our mothers will cook without hazards to their health,” she said.

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Nigeria to produce 4,000 metric tonnes of lithium per day – Shettima

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Nigeria is poised to produce 4,000 tonnes of lithium per day, Vice-President Kashim Shettima, said on Monday in Abuja.

Declaring open a two-day roundtable on Sustainable Development of Nigeria’s Mining Sector, Shettima said President Bola Tinubu would soon inaugurate Nigeria‘s largest lithium factory capable of processing 4,000 metric tonnes of lithium per day.

He noted that the Minister of Solid Minerals Development, Dr Dele Alake performed a ground-breaking ceremony for the Lithium factory in Nasarawa in 2023 to produce 18,000 metric tonnes of lithium per day.

Shettima said that more lithium sites were being discovered across the country.

Lithium is a soft, silvery-white alkali metal. It is the least dense solid element and is a critical solid mineral in the global energy transition.

It is currently mined in Nasarawa, Kogi, Kwara, Ekiti and Cross River states.

The vice-president commended Alake for the reforms he had brought to the solid minerals sector particularly his plan to sanitise and reposition the sector to boost Nigeria’s economic profile.

He also commended the Minister for making the sector public and private sectors-driven, adding that the approach would open up the sector for opportunities and fast-track its development.

Shettima was represented at the roundtable by Nasarawa’s Gov. Abdullahi Sule,

Speaking at the event, Alake said the ministry’s seven-point agenda was in line with President Tinubu’s commitment to diversify Nigeria’s economy.

He said that one of the ministry’s critical seven-point agenda was the emphasis placed on local value addition through policies that promoted the processing of raw minerals because of the economic multiplier effects.

He thanked the National Institute for Policy and Strategic Studies (NIPSS) Kuru, near Jos, for organising the summit.

Alake said the development of the solid minerals sector required collective responsibility by all stakeholders to make it a key contributor to the national economy.

He noted that the roundtable would enrich the analysis of the sector and its recommendations would guide the Executive arm of government in decision-making.

“NIPSS deserves commendation for prioritising the mining sector and in appreciating the strategic value the president placed on diversifying the nation’s economy,” he said.

Alake said also that a dual-pronged approach, combining coercive and persuasive methods, was employed to combat illegal mining and to attract foreign direct investment to the sector.

He explained that the persuasive measure entailed formalising artisanal and illegal miners into cooperatives and that 150 of such cooperatives had been registered so far.

The minister said the coercive method involved the establishment of a Mining Marshal Corps deployed across the country to secure mining environments.

He stressed the importance of geoscience data in providing investors with information on the location and quantity of minerals, among others, to help them to “de-risk” investments.

Alake said that a preliminary survey by a German company revealed an estimated 750 billion dollars’ worth of solid minerals in the belly of Nigeria.

Earlier, the Director-General of NIPSS, Prof. Ayo Omotayo, said the roundtable aimed at charting a way forward to deliver a diversified economy and to formulate policies to advance the mining sector.

NIPPS organised the roundtable in collaboration with a consulting firm.

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