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Lagos reviews agreements for oil and gas production

By on November 18, 2015

The Lagos State Government has commenced a review of the governing agreements on oil and gas exploration and production as the state prepares to attain the status of the 11th oil producing state in the country.

Speaking at the just concluded 33rd conference of the Nigeria Association of Petroleum Explorationists (NAPE) held in Lagos, Governor Akinwunmi Ambode however promised the operators that the state would provide incentives to compensate them for the risks being taken.

He urged International Oil Companies, indigenous oil producers as well as oil serving companies in Nigeria to approach the challenges pose by global crude oil price fall with creativity, and innovative ideas to survive.

Ambode said ‎despite the challenging time “our best is yet to come.”

As a government, Ambode said the state would implement and support creative ideas and concept that would reduce the cost of running government, “ideas that would advance productivity ‎in business and economic enterprise, ideas that will reduces economic and security risk, and ideas that makes life simpler and more meaning for the people”.

“We also remain resolute in our commitment to broaden ‎areas of corporation through effort like this conference and exhibition.  As the Ministry of Petroleum Resources begins to rebuild the governing agreement of oil and gas exploration and production activities for oil blocs including those situated in Lagos, our government will work with all stakeholders ‎to ensure that we provide the incentives that can compensate for the for the risk being taken,” Ambode added.

The Lagos state governor who was represented by the Commissioner of Energy and Energy Resources, Mr. Olawale Olowo explained that ‎over the years, the global oil and gas industry has gone through circles of changes that have required the industry to adapt and to evolve.

He stressed that the challenges before the country is to determine how it can adapt to these emerging scenarios on the global and national oil and gas space in order to  take advantage of them   and shape them to the country’s advantage.

“We know this will require courage, vision, commitment, and resilience,” Ambode added.

He explained that the importance of conversation between energy stakeholders has never been more crucial than now.
“By this, you will find that bringing the IOCs, independent, oil service companies and friends in the financial sector as well as the academia and government to brainstorm on areas of global local energy issues that will lead to a technical step towards improving Nigeria’s energy and economic security. We urged the IOCs to be more robust and intentional to their exploration and exploitation activities. To the independent, we say to you ‘you can do it too’,” he explained

“As you may all know, Lagos state is on the verged of becoming the nation’s 11th oil producing state. Thanks to the dogged and pioneering efforts of national independent like Lekoil, Afren, and Yinka Folawiyo. Our aspiration is to maximise these opportunities along the Dahomey and make sure every part of Lagos particularly the Lekki Ibeju axis can produce oil in the near future. Lagos state believes in strategic partnership. We commute to provide the necessary incentives for the sustenance of your business ‎and the development of a state and nation we can all be proud of,” he added.

 

[ThisDay]