High Price of Cooking Gas Worries NNPC
By Adedapo Adesanya
The Nigerian National Petroleum Company (NNPC) Limited has expressed worry over the high price of cooking gas, known as Liquefied Petroleum Gas (LPG).
The Group Managing Director of the agency, Mr Mele Kyari, said efforts are already being made to address the issue, assuring that the price would soon normalise.
Speaking at the inauguration of the Emadeb Energy Services Limited’s 120MT LPG Storage and Bottling Plant in Abuja, Mr Kyari blamed supply shortage for the problem, noting that the NNPC was working to there is enough supply in the market.
He said the supply shortage was caused by the rising price of crude oil and its derivatives at the world market.
“Two things are at play; one is the supply and the other is the international price of gas. It (price) moves with the price of every other petroleum product including crude oil and its derivatives. So it is a reflection of what is happening in the international market.
“What we are doing is to increase supply. Once the supply is increased, the prices will come down,” he said.
The NNPC GMD said that the newly-inaugurated LPG plant was going to “reduce the cost of energy for Nigerians for the fact that LPG is cheaper than any other product you can think of, especially as cooking fuel.”
He commended Emadeb Energy Services Limited for building the LPG plant in Abuja, explaining that the project aligned with one of the steps the Federal Government had taken to provide gas for its citizenry.
He lauded the plan by the company to build similar plants in six different locations across the country within the next 12 to 18 months, adding that this was in line with President Muhammadu Buhari’s decade of gas initiative.
Mr Kyari said: “We are aware that a lot of institutions and companies are doing this across the country. We are selecting this in line with Mr President’s objectives to make this the decade of gas.”
He also stated that one of the many ways investors could key into the decade of gas initiative was to have facilities like this for auto-gas conversion, and also to ensure that LPG is easily accessible to people.
Mr Kyari also noted that the global energy transition had made the investment climate very ripe for gas even as he assured those investing in the LPG project that the NNPC would guarantee supply of gas to their facilities.
“We know that the investment climate is very ripe for auto-gas and auto fuel, especially in terms of LPG as a transition fuel globally. So, we know that this is a big market for Nigerian companies and this is one of the great companies that we have around.
“As NNPC, we will come in and we will guarantee supply. That is very important for us as a business. As you are aware, we are NNPC Limited in Nigeria and we also have to make money for Nigeria. We will be there in the upstream to provide the gas.”
On his part, the Chief Executive Officer of Emadeb Energy Services Limited, Mr Debo Olujimi, said that although the capacity of the plant was currently 120MT, plans were afoot to expand it to 240MT in the next 18 months.
He described the business of gas infrastructure as capital intensive and urged the federal government to encourage private investors to get value for their money.
“There is a lot of value in gas. Everybody knows that gas is the way forward and the way it is, there is much gas with the decade of gas and with over two trillion cubic feet of gas reserve.
“We are about to start developing our asset with about 200 billion cubic feet of gas at the Ibom field. We intend to convert some of the gas processed out of that facility to support the local market.
“It is capital intensive doing gas infrastructure and government needs to encourage private investors so that private people can come in with funds and equipment to get the value.
“In the electricity sector today, the major issues are the shortage of gas and the pricing of gas; those are things that the government has to help us to look at,” Mr Olujimi stated.
He disclosed that the shortage of foreign exchange was also a major challenge in the business but pointed out that the company had the support of the NNPC and it could produce its gas locally.
The company’s CEO noted that besides supporting the local LPG market, the Emadeb Group would also support gas for power.
According to him, the country’s population would have exceeded 300million in the next 10 years and it would be necessarily to serve the estimated 60 per cent of Nigerians that will be using LPG.
He said he was fulfilled that Emadeb group “is bringing in clean energy especially to the market and actually to the Abuja market. The environment here is where Abuja lives. The vast population in Abuja is within this vicinity (Lokogoma, Gaduwa, Apo, etc) and that is why we have invested this much here.
“For us, this is a model that we want to build in the downstream industry. Everybody knows the importance of cooking. We all eat food and we have decided to do this as a model for clean energy in Abuja.
“That is why we are here today; we have looked at that when we conceptualized this investment. It is 120 tonnes LPG storage.
“We have looked at this entire neighbourhood where we have about 56 estates with a minimum of 1000 households living on each estate. We looked at this that it is a good business in terms of return on investment and clean energy.
“Everybody knows the importance of LPG and we want to, in every way, ensure a clean environment in terms of retailing LPG and at the same time being able to serve the public in a very conducive environment and this is why we have conceptualized this.
“This project (plant) only serves barely less than two-thirds of the people in this environment: Lokogoma, Gaduwa, Apo Districts and all the estates around here. We decided to say let us take a model here and see how that works.”
“We want to see how we can get domestication of gas with the so much resources that we have on the ground in order to bring it up to the market locally.
“So, we don’t have to export all our handlings and so that Nigerian masses will be able to buy cheap and better LPG in the market.
“This is our model and within the next year and a half, we intend to do this in six locations across the country.”
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CSCS Plans Payment of N1.37 Dividend to Shareholders
By Adedapo Adesanya
Nigerian security depository company, Central Securities Clearing System (CSCS) Plc, has disclosed plans to pay N1.37 in dividends to new and existing shareholders for the 2022 financial year.
This was disclosed by the company in a notice to the NASD Over-the-Counter (OTC) Securities Exchange, where it trades its securities.
The notice indicated that the proposed dividend, comprising 87 Kobo dividend and 50 Kobo in special dividend, will be paid to those who hold the stocks of the company as of the qualification date for the dividend, which was Friday, June 2.
This means only those who hold the company’s shares as of the closing session will be eligible to receive the stipulated dividend payment.
The payment will be subject to the approval of shareholders at the Annual General Meeting (AGM) of the company scheduled for Monday, June 19, 2022.
According to the, its AGM will hold at the Civic Centre, located at Ozumba Mbadiwe Road, Victoria Island, Lagos, by 10:00 a.m.
If the dividend payment is approved at the meeting, shareholders of the company will be credited on the same day as the annual general meeting.
The notice noted that the closure of the company’s register will be on Monday, June 5, through Friday, June 9, 2023, all days inclusive.
However, there was no bonus stipulated to be paid.
Cryptocurrency Trading Strategies: Tips for Maximizing Profits
Cryptocurrency trading has offered a new way for investors to participate in the growing realm of digital assets. Unfortunately, navigating cryptocurrency trading requires a solid understanding of trading strategies and techniques for success.
As such, besides completing a crypto trading course, crypto traders should keep tabs on various tips to maximize their profits.
Learning various crypto trading principles, risk management strategies, and proper market analysis increases the chances of success. Here are a few tips to help you maximize profits.
Start Small and Scale Up Gradually
Most people venture into crypto trading anticipating overnight success and wealth. However, this is rarely the case for all. Instead, you should start your crypto trading journey with a small investment and increase your portfolio gradually as you gain experience.
Adopting this trading approach allows you to test and familiarize yourself with various trading strategies and market dynamics before risking significantly. Starting small also allows you to manage your emotions better, and you will be less likely to succumb to panic buying or selling.
Starting small also allows you to learn from your mistakes without incurring significant losses. You can gradually increase your investments as you get comfortable with the market and your trading strategy.
Use Stop-Loss Orders and Risk Management Strategies
The crypto market is very volatile, and your investments can disappear in minutes. Therefore, effectively managing your risks is crucial to long-term success. It also preserves your capital. The stop-loss order is among the many risk-management strategies you should always use at any given time.
It will allow you to set a predetermined price at which the trade automatically closes if the market goes against your predictions, limiting potential losses. Other risk management strategies include:
- Diversification – spreading your investments across different crypto coins and sectors is prudent. It reduces the risk on your investment portfolio and lowers the impact of poor-performing assets.
- Set realistic targets – you should establish realistic profit targets for your trades. Doing this helps you maintain discipline, as you won’t be stuck in the same position waiting for unrealistic profits.
- Review and adjust your strategy regularly – monitor and adjust your trading strategies as needed. Refine your choice of assets, entry/exit criteria, and risk management options.
The cryptocurrency market is dynamic and widely known for rapid fluctuations. Therefore, traders should always be in the know and ready to adjust to market changes. Industry news, trends, and developments will give valuable insights to guide your trading decisions. Simple ways to stay informed include:
- Following reputable news sources – you should subscribe to reliable crypto websites, blogs, and newsletters to stay updated on recent market developments, regulatory changes, and tech advancements.
- Monitor social media platforms and influencers – social platforms and influencers are good news sources. However, you shouldn’t follow them blindly. Assess and weigh your options before doing anything.
- Engage with the crypto community – you should be active in online forums, chat platforms, and social media groups with discussions revolving around cryptocurrencies.
The Bottom Line
While there’s no pre-defined strategy for maximizing cryptocurrency trading profits, adhering to some best practices increases your chances of success. Develop a trading strategy, diversity your portfolio, stay updated on market news and use take profit and stop loss orders. Never trade blindly.
Unity Bank Grows Gross Earnings to N57bn in 2022 as Customer Deposits Rise
By Aduragbemi Omiyale
Despite the economic headwinds that affected many businesses in the 2022 financial year, Unity Bank Plc gave its shareholders something to savour as its performance improved in the period under review.
In the audited full-year financial statements of the company for 2022 submitted to the Nigerian Exchange (NGX) Limited, it was observed that gross earnings grew by 13.1 per cent to N57 billion from N50.2 billion in 2021, as the pre-tax profit stood at N1.1 billion and the net profit at N941.4 million.
A brief analysis showed that the total comprehensive income expanded by 262.1 per cent to N1.2 billion from N744 million in the corresponding period of 2021, as the 7.5 per cent increase in the loan book to N289.4 billion from N269.3 billion resulted in the improvement in interest and similar income to N48.9 billion from N43.2 billion.
Similarly, income from fees and commissions recorded significant growth, rising by 25.7 per cent to N7.68 billion from N6.1 billion.
More so, deposits from customers saw marginal growth, increasing by 1.6 per cent to N327.4 billion from N322.2 billion, as the lender pushes for deeper penetration of its retail footprint with the rollout of products targeting different market segments.
Meanwhile, Unity Bank also released its unaudited financials for Q1, 2023, in which it sustained improved performance, posting a 21 per cent growth in profit after tax to N1.04 billion from N869.2 million. Its gross earnings for the quarter also rose by 17 per cent to N15.9 billion, in contrast to the N13.6 billion posted a year earlier.
Commenting on the financial statements, the Managing Director/CEO of Unity Bank Plc, Mrs Tomi Somefun, noted that the bank’s focus on building back momentum continues to reflect in the key performance indicators despite economic headwinds and volatilities that characterized the operating environment in the 2022 financial year.
“There are highs and lows as we look at the gross earnings, with 13.7 per cent growth, increase in liquid assets by 7.5 per cent and deposits recording moderate growth of 1.6 per cent, while maintaining steady growth in profitability,” she stated.
“Overall, the financial statement thus threw up both strong and less optimal points which inform the outlook for our business,” she further stated.
She reassures that going into the new financial year, the bank will focus on our strategic choices and key growth drivers to push all the indices and elevate growth to double-digit territory.
“The performance posted for Q1’23 in terms of the PBT, gross earnings, and other key indicators are strong reinforcement of adequate measures being adopted and a testament of our resolve to sustain and equally improve upon the fundamental initiatives adopted to strengthen growth throughout the financial year,” Mrs Somefun stated.
She further said: “Since late 2022, the Bank has begun significant investment in technology and innovation in line with its strategic pursuits to win in the retail space with our focus on digital and lifestyle banking, dynamic product development, and accelerated onboarding.
“As part of our transformation journey, we will double down on these investments in the coming months to achieve our aspirations of (1) significantly reducing customer pain points and simplifying customer experience; (2) increasing the rate of customer acquisition; (3) expanding the frontiers of partnerships; and (4) ultimately developing new and sustainable income lines for the bank.”
According to her, the bank will further give attention to fast-paced process automation, cost and resource efficiency, targeted value chain relationships, and brand visibility as it expands the range of products and services to meet the evolving needs of its esteemed customers.
Analysts believe that the growing retail footprint driving the repositioning strategy of the bank aligns with the market expectations, which is also reflected in the increasing uptake of the bank’s offering.
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