well as drive private sector investment has been its undoing. However, with the launch of the National Oil and Gas Excellence by the federal government, a new dawn may have returned to the oil sector,A reluctance to enact tough-enough reforms or revise the fiscal terms under which the industry operates has cost the country a significant fortune.
Group managing director of NNPC, Mele Kyari, during his address at the Energy Industry Transformation Virtual Summit with the theme, “Changing Global Energy Landscape Strategies For Industry Sustainability”, listed some of the new strategies that are necessary for the oil sector which has been badly hit by the coronavirus pandemic.
Ahmed attributed the shortfall to the double whammy of the headwind caused by the COVID-19 pandemic and the slump in oil price due to a sharp drop in demand and price war between two powerful producers, Russia and Saudi Arabia, representing 31 per cent of the prorated oil revenue target. Majorly, the launch of the National Oil and Gas Excellence is expected to not only drive down production cost, but an initiative to drive the industry forward.To crown the entire industry process, the industry regulator, the Department of Petroleum Resources at the weekend, virtually unveiled the National Oil and Gas Excellence, Lagos.
The centres include; Search, Rescue and Surveillance ; Command and Control Centre; and National improved Oil Recovery Centre ; Oil and Gas Dispute Resolution Centre ; Oil and Gas Competence Development Centre ; and Integrated Data Mining and Analytics Centre .President Buhari is desirable of cutting cost in the industry operations and has supported efforts geared at seeing unit cost of oil production crashed.
NIORC on the other hand, is designed to promote the implementation of improved and enhanced oil recovery technologies/methods to arrest the incidences of production decline and resultant high cost in many assets especially in the matured Niger Delta Basin. ADRC shall among other things offer arbitration, mediation and conciliation services utilising industry’s technical experts who will provide fair and balanced resolutions of industry related disputes from an informed position. The centre, he added, will take advantage of resources of the National Data Repository to ensure alternative dispute resolutions that result in value optimisation in terms of resource growth and global competitiveness.