Economy
FG Seeks 30% Oil Production from Local Producers
By Modupe Gbadeyanka
Federal Government has tasked indigenous oil producers to grow their contribution to the national crude oil basket from the current 10 percent to 30 percent within the next five years.
Minister of State for Petroleum Resources, Dr Ibe Kachikwu, gave this charge at the closing ceremony of the Nigerian International Petroleum Summit (NIPS) held in Abuja last week.
According to him, the nation aspires to pump of 2.5 million barrels of crude oil per day by 2023 and the expectation is that indigenous producers will contribute about 25 or 30 percent of the projected volume.
He also announced that he had directed the Nigerian Content Development and Monitoring Board (NCDMB) to pursue a strategic plan that will ensure that a Floating Production Storage and Offloading (FPSO) vessel is constructed 100 percent in-country within the next 10 years.
He acknowledged that a lot of progress was recorded in this regard with the Total Exploration and Production’s Egina FPSO, hence the next level was to achieve 100 percent manufacture in Nigeria, so as to create more employment opportunities, retain spend and domicile technology.
Another strategy that will deepen Local Content in the country according to the Minister is “Project 100” whereby “the Federal Government will identify critical 100 companies that are in the background offering services but do not have the capital to expand and buy the latest technologies and skills. We will work with big oil companies to help provide guaranteed work and financial support for them to grow.”
Mr Kachikwu also reiterated his call for operating companies to lower their cost of producing crude oil, cautioning that government might be forced to stop production from expensive fields.
He said, “I will hate to take a costly barrel to the market when I have a cheap barrel. So everybody needs to drive down cost to the $15 concept we have set as the ideal cost of producing oil in this country and not $22 or $23.
“Two companies have met that and I will like to get other companies to do same. There will be incentives both in terms of access to the market and willingness to produce and incentives in terms of what we are going to give to any company that is the least cost producer.”
He also revealed that Nigeria was targeting about $100 billion investment in the petroleum sector, though the Federal Government had already sealed deals in excess of $40 billion that would start coming in the nearest future.
The committed investments include the Zabazaba deepwater project being promoted by the Nigerian Agip Exploration Limited (NAE) in partnership with Shell Nigeria Exploration and Production Company (SNEPCo) and the Bonga South West Aparo (BSWA) deepwater project also developed by SNEPCo.
Vice President, Mr Yemi Osibanjo, who closed the summit, noted that the event had created a platform to examine issues facing the oil and gas industry in Africa.
He emphasized that the Federal Government was determined to remove all encumbrances to the efficient conduct of oil and gas businesses.
Earlier, Executive Secretary of NCDMB, Mr Simbi Kesiye Wabote, who was the lead discussant in the panel session captioned, “Local Content and Environmental Issues” had pointed out that the country currently faced a myriad of environmental challenges, including deforestation in the northern part of the country, oil spillage and destruction of aquatic life in parts of the Niger Delta region and loss of natural habitat.
He argued that environmental challenges facing communities and individuals contributed to the security problems being experienced in some parts of the country.
He further canvassed that government and stakeholders of the oil industry and other key sectors should urgently implement Local Content Policies in a bid to create industrial activities and employment opportunities for teeming youths of the country whose environments had been impacted negatively.
The four day summit drew participants from several countries, within and outside the African continent and recorded over 1,000 delegates, exhibitors and visitors.
By Modupe Gbadeyanka
The Nigeria Revenue Service (NRS) has announced the commencement of compliance monitoring activities for large taxpayers under the National e-Invoicing and Electronic Fiscal System (EFS) regime.
A statement issued on Monday and signed by the agency’s chairman, Mr Zacch Adedeji, advised corporate organisations that have yet to adopt this system to do so on or before July 31, 2026.
Recall that on February 17, 2026, NRS issued an implementation timeline for the mandatory adoption of the EFS, also known as the Merchant Buyer Solution (MBS), by large taxpayers.
They were asked to complete the process of onboarding, integration, testing, and commence invoice transmission to the NRS e-invoicing platform in accordance with the prescribed implementation framework.
The compliances include the completion of onboarding on the NRS MBS; the successful integration of taxpayer systems through approved Access Point Providers (APPs) and/or Systems Integrators (SIS); the completion of all required validation and testing activities; the active transmission of invoices to the NRS e-invoicing platform in line with approved standards and guidelines; and the receipt of only compliant e-invoices with a valid Invoice Reference Number (IRN) from suppliers.
Ahead of the deadline, the NRS has commenced compliance monitoring activities to assess the level of adherence to the e-invoicing mandate across the large taxpayer segment.
Those that have not completed the process have been asked to conclude all outstanding onboarding and integration activities and commence invoice transmission before the compliance deadline.
The organisation warned that failure to comply would trigger regulatory and enforcement actions in accordance with the provisions of the relevant tax laws and regulations.
By Aduragbemi Omiyale
Transcorp Power Plc suffered declines in its revenue and profit in the first half of this year; details of the company’s financial statements for the period ended June 30, 2026, have revealed.
The losses were attributed to recurring transmission line vandalism, which materially constrained the organisation’s ability to evacuate available generation capacity.
Business Post reports that earnings contracted in the first six months of this year to N181.97 billion from the N205.81 billion recorded in the same period of last year, while profit before tax moderated to N54.99 billion from N58.73 billion.
However, on a year-to-date basis, total assets went up to N619.02 billion from N563.48 billion in December 2025, as shareholders’ funds grew to N189.34 billion from N183.40 billion in FY 2025, while retained earnings soared to N140.90 billion from N123.41 billion in FY 2025.
It was observed that the increase in receivables and borrowings largely drove the expansion in the balance sheet during the period.
Also, the firm’s gross margin expanded to 38.4 per cent from 34.7 per cent in H1 2025, operating margin increased to 30.6 per cent from 28.5 per cent, and PBT margin rose to 30.2 per cent from 28.5 per cent, reflecting cost optimisation efforts and disciplined financial management, positioning the company to continue delivering sustainable value for shareholders.
“Our H1 2026 performance is a reflection of the resilience of our business operations despite significant sector-wide existential challenges.
“Regrettably, recurring transmission line vandalisation materially constrained our ability to evacuate available generation capacity.
“Nonetheless, we continued to deliver strong profitability, maintain operational efficiency, and strengthen our balance sheet,” the chief executive of Transcorp Power, Mr Peter Ikenga, stated.
“We remain committed to working with relevant stakeholders to put an end to transmission line vandalisation and to further improving operational performance, power generation supply reliability, and creating sustainable value for our shareholders. We remain highly confident that we will recover lost ground in H1 2026 and finish FY 2026 stronger than FY 2025,” he added.
By Dipo Olowookere
A total of 2.819 billion stocks worth N182.499 billion exchanged hands in 226,729 deals on the floor of the Nigerian Exchange (NGX) Limited last week, in contrast to the 3.648 billion stocks valued at N220.568 billion transacted in 251,861 deals a week earlier.
From this, financial shares accounted for 2.006 billion units sold for N99.697 billion in 96,171 deals, contributing 71.17 per cent and 54.63 per cent to the total trading volume and value, respectively.
Consumer goods equities traded 178.863 million units worth N7.872 billion in 26,637 deals, and energy stocks recorded a turnover of 151.237 million units valued at N38.309 billion in 16,879 deals.
First Holdco, FCMB, and Access Holdings accounted for 939.402 million units worth N57.673 billion in 19,051 deals, contributing 33.33 per cent and 31.60 per cent to the total trading volume and value, respectively.
Business Post reports that the performance indicators were mixed in the five-day trading week, as the All-Share Index (ASI) depreciated by 0.14 per cent to 243,462.13 points, while the market capitalisation appreciated by 0.39 per cent to N157.057 trillion.
All other indices finished higher except the main board, consumer goods, energy, Lotus II, industrial goods, growth, and sovereign bond indices, which fell by 1.54 per cent, 0.15 per cent, 0.11 per cent, 0.40 per cent, 6.26 per cent, 0.09 per cent, and 0.33 per cent, respectively, while the commodity index closed flat.
Forty-four shares gained weight in the week versus 60 shares of the preceding week, 35 equities depreciated versus 28 equities in the previous week, and 67 stocks closed flat versus 58 stocks of the earlier week.
The best-performing stock was First Holdco, which gained 38.66 per cent to trade at N95.95. Thomas Wyatt expanded by 27.16 per cent to N3.09, Fidelity Bank grew by 15.00 per cent to N21.85, Learn Africa grew by 14.44 per cent to N10.30, and UBA chalked up 10.98 per cent to close at N45.50.
The worst-performing stock was BUA Cement after giving up 18.99 per cent to quote at N275.60, Red Star Express shed 18.53 per cent to end at N20.00, International Energy Insurance declined by 15.27 per cent to N4.66, C&I Leasing dropped 13.28 per cent to N5.55, and PZ Cussons crashed by 10.06 per cent to N80.95.
