Economy
Whither the Oil Industry?
By FBNQuest Research
While the core agenda of the FGN is to diversify the economy away from oil, in the short term it depends upon the industry for the generation of wealth and taxes.
The outlook has improved with the authorities’ more conciliatory approach in the Niger Delta. The incidence of sabotage has declined, but not ended, and the authorities will now see what they have to deliver in addition to the restoration of allowances to the said militants. Output less condensates is said officially to be back near 1.8 mbpd.
In July OPEC accepted a reported offer by the FGN to cap Nigerian production at 1.8 mbpd (excluding condensates) in line with its policy of restraint. This is consistent with the budget assumption of 2.3 mbpd in 2013, the balance consisting of condensates.
There are some output gains to report. Last week Shell announced the start of gas production from the second phase of its Gbaran-Ubie project in the delta, expected to deliver a peak of 190,000 b/d oil equivalent in 2019. Next year should bring the beginning of production from Total’s offshore Egina field with 200,000 b/d crude. We should add ExxonMobil’s discovery in its Owowo field and the talk of an addition of one billion barrels to crude reserves.
Greater investment should come from the much-awaited passage of the industry bill. The Senate has passed the Petroleum Industry Governance Bill, which is part of a larger overhaul.
While we await action from the House of Representatives, we note that the FGN has released a draft national petroleum fiscal policy. We understand from the local media that the petroleum profits tax will be dropped, and operators would be liable under the draft to a Nigerian hydrocarbons tax and the companies’ income tax. This would make a combined ceiling of 70%, compared with the previous 85%, in addition to a levy on capital gains.
In his two years as minister of state for petroleum, Ibe Kachikwu has been active: the NNPC’s costs have been reduced by an estimated 30%, the FGN’s fuel subsidy costs have been slashed, the supply of products has dramatically improved, an overhaul of the joint ventures is underway, and the corporation is in the habit of sharing information.
Finally we have to mention crude prices. US oil inventories have fallen for eight successive weeks and the approval of conventional projects such Kaikias in the Gulf of Mexico on brownfield sites is picking up. More telling perhaps and supportive of the FGN’s price conservatism are reports that shale producers are hedging WTI contracts for 2018 at around the US$50/b mark.
By Aduragbemi Omiyale
The pre-registration training and examination for capital market operators (CMOs) for the second quarter of 2026 has been postponed.
Business Post gathered that the new date for the exercise is now Monday, June 15, 2026.
This information was disclosed by the Securities and Exchange Commission (SEC) through a circular on Monday, June 8, 2026.
The Nigerian capital market regulator stated that this postponement has also resulted in the extension of the deadline for registration to Friday, June 12, 2026.
In the notice today, the SEC expressed its regret for the inconvenience this action may cause operators, who had prepared for the initial date of the training and examination.
“Further to the recent circular on Q2 2026 Pre-registration Training and Examination, the Securities and Exchange Commission (SEC) hereby informs all eligible applicants for the Q2 2026 Pre-registration Training and Examination that the commencement date has been postponed to Monday, June 15, 2026.
“Registration on the designated portal has also been extended to Friday, June 12, 2026. All other conditions contained in the circular remain unchanged.
“The commission regrets any inconvenience this postponement may cause and appreciates the understanding of all applicants,” the disclosure noted.
By Aduragbemi Omiyale
One of the leading healthcare firms in Nigeria, Fidson Healthcare Plc, has listed additional shares on the Nigerian Exchange (NGX) Limited.
The new stocks absorbed into the stock market were 600 million units, raising the total issued and fully paid-up shares of Fidson to 3,000,000,000 ordinary shares of 50 Kobo each from 2,400,000,000 ordinary shares of 50 Kobo each.
The fresh equities came from the company’s rights issue of 600,000,000 ordinary shares of 50 Kobo each at N35.00 per share.
They were issued to existing investors on the basis of one new ordinary share for every existing four ordinary shares held as of the close of business on Wednesday, November 12, 2025.
Confirming the development, the regulator in a notice said, “Trading licence holders are hereby notified that an additional 600,000,000 ordinary shares of 50 Kobo each of Fidson Healthcare Plc were on Tuesday, June 2, 2026, listed on the daily official list of Nigerian Exchange Limited.
“The additional shares arose from the company’s rights issue of 600,000,000 ordinary shares of 50 Kobo each at N35.00 per share on the basis of one new ordinary share for every existing four ordinary shares held as at the close of business on Wednesday, November 12, 2025.
“With the listing of the additional 600,000,000 ordinary shares, the total issued and fully paid-up shares of Fidson Healthcare Plc have now increased from 2,400,000,000 to 3,000,000,000 ordinary shares of 50 Kobo each.”
By Modupe Gbadeyanka
This news will surely excite local contractors with verified claims of N100 million or less, as the federal government has approved their payments.
This approval for the disbursement was given by the Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele.
This followed a verification and reconciliation exercise designed to ensure only validated claims qualify for payment.
The beneficiaries cover contractors across multiple ministries, departments and agencies. The release of the funds is expected to enable contractors to return to project sites, pay workers, settle suppliers and meet outstanding financial commitments.
In an announcement on Monday, the Federal Ministry of Finance also said this latest batch of payments would ease liquidity pressure on small businesses and accelerate economic activity nationwide.
It was noted that the payments for verified claims of N100 million below were strategically done to spread economic impact broadly rather than concentrate disbursements among a handful of large firms.
The payments form part of a broader push to clear inherited contractor obligations, with over N700 billion verified in recent months.
“For many beneficiaries, the release of funds represents more than a financial transaction. It provides the certainty needed to sustain operations, preserve jobs, complete ongoing projects, and contribute to economic recovery and growth,” the ministry said in a statement.
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