Economy
NNPC Declares State of Emergency on Oil Production
By Adedapo Adesanya
The Nigerian National Petroleum Company (NNPC) has declared a state of emergency on Nigeria’s oil production after output has remained depressed at 1.46 million barrels per day despite efforts to tackle oil theft and pipeline vandalism.
The chief executive of NNPC Limited, Mr Mele Kyari, declared that with the country’s current assets, the industry has the capacity to produce two million barrels of crude oil daily.
Speaking at the opening ceremony of the 2024 Nigerian Oil Gas Energy Week in Abuja on Tuesday, he said very little effort is all that was needed to increase production.
The NNPC chief declared war on low production, stressing that while the company was ready to work and collaborate with its partners, it was also determined to leave them behind and forge ahead.
“We went down in our production of both oil and gas, nowhere near our capacity or our capability. We can blame anything, oil theft, integrity, divestments and so on and so forth. But the bottom line is that what we did very recently is to take just a deep breath and look at where we are? And when we look at the data for our production by asset, in the last three months, we discovered that we are actually at two million barrels per day. That means we are unable to sustain it.
“And we can blame anything for lack of sustainability. Yes, theft is one of them, vandal actions. But also the sheer inability of all of us, our partners, no exception, including NNPC, our inability to act quickly in a timely manner. Yes, we can blame anything including access to capital. Why don’t we have access to capital? We can blame anything.
“But what we have seen is that we are actually at two million barrels per day without doing any of the major things that we’re talking about, without bringing the new 700,000 barrels that Abdulrazak (IPPG Chairman) has talked about, without restoring the 200,000 or so that will come from divestment.
“Without even doing these, we’re actually there. And that is why we, as a partner of 80 per cent of those who produce oil and gas in this country, have decided that we’ll stop the debate”.
“And we have declared a war. War means war. We have the right troops,” he said.
“We know what to fight. We know what we have to do at the level of assets. And we have engaged our partners. Any partner that doesn’t do what it should do, we will get it done. This is our new way of doing things.
“We can’t wait for anyone. We are moving on. We cannot afford to negotiate any further. So we have stopped the debate. And that is why, by war room, what it means is that we are looking at every asset, every issue that is associated with it. We’ll partner with our counterparties. But if it doesn’t happen, we’ll get it done”.
He accused the operators including NNPC of having “principalities” amongst their staff, pointing out that procurement has been turned into a business thereby increasing cost per barrel in the Nigerian oil and gas industry.
“For us as a company, we are moving to another level and very soon we are going to cap the cost of production. If you like you can call your wife to do the contracting, no problem provided you produce the oil at $20 or so,” he told the operators.
By Dipo Olowookere
The All-Share Index (ASI) of the Nigerian Exchange (NGX) Limited reached an all-time high of 201,474.89 points on Monday after adding 3,067.59 points or 1.55 per cent to its previous closing figures of 198,407.30 points.
Buying pressure in three of the five key sectors sustained the upward trend on Customs Street during the trading session, analysis of the market data revealed.
The industrial goods sector appreciated by 4.52 per cent, the banking index improved by 2.20 per cent, and the consumer goods space rose by 0.03 per cent.
However, the insurance sector experienced profit-taking, which crashed it by 0.43 per cent, and the energy counter lost 0.08 per cent due to sell-offs.
When the bourse ended for the day, the market capitalisation chalked up N1.969 trillion to settle at N129.330 trillion compared with last Friday’s M127.361 trillion.
BUA Cement led the advancers’ group yesterday after growing by 10.00 per cent to N297.00, Premier Paints jumped 9.79 per cent to N21.30, John Holt expanded by 9.52 per cent to N10.35, Guinea Insurance soared by 9.38 per cent to N1.40, and Fortis Global Insurance grew by 9.32 per cent to N1.29.
On the flip side, VFD Group led the laggards’ gang after it gave up 10.00 per cent to close at N11.25, Royal Exchange shed 9.63 per cent to settle at N1.69, Omatek depreciated by 9.62 per cent to N2.35, Sovereign Trust Insurance lost 9.00 per cent to quote at N1.92, and Regency Alliance slipped by 8.94 per cent to N1.12.
Yesterday, a total of 948.2 million stocks valued at N49.2 billion were traded in 72,735 deals compared with 591.0 million stocks worth N35.0 billion transacted in 53,066 deals in the preceding session, representing an improvement in the trading volume, value, and number of deals by 60.44 per cent, 40.57 per cent, and 37.07 per cent apiece.
The activity log was led by Sovereign Trust Insurance, which traded 72.6 million equities valued at N147.1 million, Access Holdings sold 69.9 million shares for N1.8 billion, First Holdco exchanged 67.0 million stocks worth N3.4 billion, Zenith Bank transacted 60.0 million equities valued at N6.0 billion, and Nigerian Breweries exchanged 55.0 million shares worth N4.0 billion.
By Adedapo Adesanya
The oil market was down about 3 per cent on Monday after some vessels sailed through the critical Strait of Hormuz that has been largely shut down during the escalating war with Iran.
Iran has allowed some Indian vessels to sail through the Strait of Hormuz, sinking Brent futures by $2.93 or 2.8 per cent to $100.21 a barrel, as the US West Texas Intermediate (WTI) crude drowned $5.21 or 5.3 per cent to settle at $93.50 per barrel.
The country also asked India to release three tankers seized in February as part of talks seeking the safe passage of Indian‑flagged or India‑bound vessels through the strait.
This was confirmed by the US with Treasury Secretary, Mr Scott Bessent, saying the US is fine with some Iranian, Indian and Chinese ships going through the Strait of Hormuz for now, adding that any action to mitigate higher prices would depend on how long the war lasts.
Meanwhile, allies rebuffed US President Donald Trump’s call for help in unblocking the strait. He said his administration has contacted roughly seven countries that rely heavily on Middle Eastern crude shipments and expects them to help secure the route.
The majority of crude moving through the strait ultimately heads to Asian markets, including China, India, Japan and South Korea.
According to the Associated Press, Chinese officials declined to directly address the request when asked during a daily briefing on Monday, instead reiterating their broader call for de-escalation in the region.
The Executive Director of the International Energy Information (EIA), Mr Fatih Birol, said on Monday that member countries could release more oil into the market from strategic stockpiles after they agreed to the largest-ever release of 400 million barrels last week.
The European Union (EU) foreign ministers are discussing on Monday the potential to move an already operational mission in the Middle East region to try to help unblock the Strait.
President Trump also threatened further strikes on Iran’s Kharg Island, which handles about 90 per cent of the country’s exports, after hitting military targets there that spurred further retaliation from Iran. On its part, Israel said it has detailed plans for at least three more weeks of war.
By Adedapo Adesanya
The federal government has launched the iDICE Startup Bridge, a structured two-track initiative that will offer idea-stage founders grants of up to N10 million and equity investment of $100,000 for startups that have already built and launched their Minimum Viable Product (MVP).
Launched in 2023 with $617.7 million in funding, iDICE was designed to promote investment in Nigeria’s digital and creative sectors. iDICE, implemented through the Bank of Industry and financed by the African Development Bank, Agence Française de Développement, and the Islamic Development Bank, iDICE Startup Bridge, operates under the broader Investment in Digital and Creative Enterprises (iDICE) program. It is part of efforts to drive Nigeria’s digital economy growth.
It made its first startup investment in late 2025 through Ventures Platform, one of Africa’s most active seed-stage venture capital firms.
The iDICE Startup Bridge is the government’s latest effort under the initiative to deepen early-stage startup support through structured training, mentorship, and access to capital.
The Founders Lab, the first pathway under the Startup Bridge, opened for applications on March 16 and will close on April 20. Selected beneficiaries will embark on a 12-week capacity-building programme designed for idea-stage and early prototype founders. The programme focuses on validation, business model development, and MVP creation through a structured curriculum delivered by expert facilitators.
Each year, 250 participants will receive capacity-building support and mentoring, with the top 100 founders who meet programme milestones receiving grants of up to N10 million to support product development or the launch of their ventures.
The Growth Lab, scheduled to launch in a later phase, will target post-MVP startups demonstrating traction, revenue potential, and operational readiness. Selected startups will receive $100,000 in equity investment, along with support to scale operations, strengthen governance, and refine their fundraising strategy.
The programme will also provide a direct pipeline to institutional investors to enable follow-on funding, while startups that secure additional investment from qualified external investors may access match funding.
Speaking on this, Ms Cindy Ezerioha, Head of Founders Lab, iDICE Startup Bridge, said, “Each cohort will support 125 aspiring entrepreneurs, with a clear target of ensuring progress from concept to validated business models. This programme is built for people with innovative ideas, early prototypes, or unanswered questions about how to take their first real step.”
According to Vice President Kashim Shettima and Chairman of the iDICE Steering Committee, “This programme, created under the iDICE umbrella, gives young entrepreneurs across the country a real opportunity to build or scale, and we are confident in its ability to reshape early-stage enterprise development and innovation outcomes over time.”
The Bank of Industry, the implementing agency, says it has disbursed N636 billion to enterprises across various sectors in Nigeria, its largest annual disbursement. Out of this figure, N43 billion was disbursed to projects in the creative & digital sectors.
“We are happy to replicate our success over time with the iDICE Startup Bridge as well,” said Mr Olasupo Olusi, Managing Director and Chief Executive Officer of the Bank of Industry.
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