Economy
Shell Pledges $20bn Additional Investment in Nigeria
By Adedapo Adesanya
The presidency says the chief executive of Shell Plc, Mr Wael Sawan, has pledged to invest an additional $20 billion in the Nigerian energy sector.
According to a Monday statement signed by the Special Adviser to the President on Information and Strategy, Mr Bayo Onanuga, the Shell chief, during a meeting with President Bola Tinubu at the Presidential Villa, praised the government’s leadership for creating a healthy climate for investments to thrive and restoring investor confidence.
The statement said Shell is deepening and expanding its investments in Nigeria, and is ready, alongside its partners,, primarily because of the robust and bold leadership of the President.
He emphasised that Nigeria, under the Tinubu administration, is one of the countries attracting significant investment from global oil companies.
Highlighting Shell’s recent investments, such as $5 billion in Bonga North, $2 billion in HI, and the gas project to NLNG, Sawan stated that the corporation is committed to long-term investments in the country, underscoring the stable economic environment.
“We have really been in a space where we are very keen to invest in Nigeria. But I would say this has not always been the case. Your leadership and your vision have created an investment climate over the last few years that, I will be very honest with you, propelled us to invest, in particular, also as we compare to other investments around the world,” he said.
“Stability in today’s environment will honestly have a premium for corporates because we are investing not for one administration or five or 10 years, we want to invest for 20, 30, 40 years and in the case of Nigeria, for many, many decades.”
Speaking on the expansion of Shell’s investments in Nigeria, Mr Sawan said the corporation has also deepened its interest in Block OML 118, the Bonga Block.
“Total Energies was selling, so we bought it because we want to deepen further. But that, we think, is not enough. We think there is more to invest here, and we understand the vision that you have for the country. And so we are indeed working on a project, Bonga Southwest, that could, if we reach an FID stage, see us, with our partners, invest around $20 billion in foreign direct investment, half of which will be capital,” he said.
“Your Excellency, to Bonga Southwest, that huge project, I would like to thank you. I want to thank you for the leadership you have shown there to be able to provide the incremental incentives that are now getting us line of sight to an investment in this project with our partners,” the Shell Chief Executive thanked the President.
He also commended the President’s team, describing them as outstanding professionals.
“And that leadership, I would also say, has put many of the people that we are working with, your team, are amongst the best that we are dealing with anywhere in the world,” he concluded.
At the meeting, President Tinubu approved the gazetting of targeted, investment-linked incentives to support the proposed Bonga South West deep offshore oil project by Shell and its partners.
The President also directed his Special Adviser on Energy, Mrs Olu Arowolo-Verheijen, to facilitate the gazette of the incentives in line with Nigeria’s existing legal and fiscal framework.
“My expectation is clear: Bonga South West must reach a Final Investment Decision within the first term of this administration,” President Tinubu added.
By Dipo Olowookere
The Nigerian Exchange (NGX) Limited appreciated by 2.06 per cent on Friday, amid a rush for local equities due to encouraging earnings of companies for 2025.
Business Post reports that the buying pressure was across the key sectors of Customs Street yesterday, with the banking index growing by 2.49 per cent. The energy industry appreciated by 2.05 per cent, the consumer goods counter grew by 0.78 per cent, the insurance space improved by 0.64 per cent, and the industrial goods sector expanded by 0.44 per cent.
At the close of trades, the market capitalisation went up by N2.367 trillion to N117.027 trillion from N114.660 trillion, and the All-Share Index (ASI) gained 3,687.45 points to close at 182,313.08 points compared with the previous day’s 178,625.63 points.
Cornerstone Insurance, Infinity Trust, and Nestle Nigeria appreciated by 10.00 per cent each to sell at N6.38, N9.90 and N2,662.00, respectively, while Okomu Oil rose by 9.99 per cent to N1,327.00, with RT Briscoe up by 9.97 per cent to N17.42.
Conversely, SAHCO depleted by 10.00 per cent to M135.00, Guinness Nigeria lost 9.97 per cent to trade at N103.00, Omatek shrank by 9.39 per cent to N2.99, NPF Microfinance Bank decreased by 6.51 per cent to N5.60, and eTranzact slipped by 6.33 per cent to N10.80.
A total of 53 stocks ended in the green side and 33 stocks finished in the red side, representing a positive market breadth index and strong investor sentiment.
Data showed that 936.4 million shares valued at N52.7 billion were transacted in 50,068 deals on Friday versus the 698.3 million shares worth N28.438 billion traded in 50,886 deals on Thursday, indicating a rise in the trading volume and value by 34.10 per cent, and 85.56 per cent apiece, and a slip in the number of deals by 1.61 per cent.
First Holdco closed the session as the most active equity with 106.3 million units worth N5.1 billion, Zenith Bank transacted 72.6 million units valued at N5.7 billion, United Capital traded 45.4 million units for N963.2 million, GTCO sold 45.0 million units worth N4.9 billion, and Fidelity Bank exchanged 31.4 million units valued at N639.0 million.
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange rose further by 0.86 per cent on Friday, February 13, with the market capitalisation growing by N20.27 billion to N2.378 trillion from the previous session’s N2.357 trillion, and the NASD Unlisted Security Index (NSI) rising by 33.87 points to 3,974.77 points from the 3,940.90 points it ended a day earlier.
The improvement recorded by the bourse yesterday was influenced by six price gainers led by Okitipupa Plc, which went up by N18.00 to sell at N260.00 per share compared with the previous day’s N242.00 per share.
Further, Central Securities Clearing System (CSCS) Plc added N3.39 to quote at N80.47 per unit versus N77.08 per unit, IPWA Plc chalked by 31 Kobo to finish at N3.44 per share versus N3.13 per share, Lagos Building Investment Company (LBIC) Plc gained 31 Kobo to settle at N3.41 per unit versus N3.10 per unit, Afriland Properties Plc appreciated by 31 Kobo to N16.51 per share from N16.20 per share, and Food Concepts Plc increased by 8 Kobo to N3.28 per unit from N3.20 per unit.
There were three price losers, led by MRS Oil Plc, which weakened by N10.00 to close at N170.00 per share compared with Thursday’s price of N200.00 per share, FrieslandCampina Wamco Nigeria Plc lost N2.59 to sell for N65.52 per unit compared with the preceding session’s N68.10 per unit, and Geo-Fluids Plc depreciated by 33 Kobo to N3.30 per share from N3.63 per share.
During the session, the volume of securities transacted by the market participants went up by 9.5 per cent to 9.4 million units from 8.6 million units, the value increased by 1,206.5 per cent to N703.6 million from N53.9 million, and the number of deals grew by 7.1 per cent to 45 deals from 42 deals.
CSCS Plc remained the most traded stock by value (year-to-date) with 27.1 million units exchanged for N1.5 billion, followed by Resourcery Plc with 1.05 billion units traded at N408.6 million, and Geo-Fluids Plc with 29.9 million units valued at N152.6 million.
Resourcery Plc ended the day as the most traded stock by volume (year-to-date) with 1.05 billion units sold for N408.6 million, followed by Geo-Fluids Plc with 29.9 million worth N152.6 million, and CSCS Plc with 27.1 million units sold for N1.5 billion.
By Adedapo Adesanya
The Naira depreciated further against the United States Dollar by N1.76 or 0.13 per cent on Friday in the Nigerian Autonomous Foreign Exchange Market (NAFEX) to close at N1,33.42/$1, in contrast to the N1,353.66/$1 it was exchanged a day earlier.
However, the Naira appreciated against the Pound Sterling in the same market window yesterday by N5.05 to trade at N1,844.59 versus Thursday’s closing price of N1,849.64/£1, and against the Euro, it improved by 75 Kobo to quote at N1,60/€1 versus the previous day’s N1,608.68/€1.
At the GTBank FX desk, the domestic currency lost N6 on the US Dollar on Friday to settle at N1,365/$1 versus the preceding session’s N1,359/$1, and at the parallel market, it chalked up N10 to trade at N1,430/$1 versus the previous day’s N1,430/$1.
The weakening of the Nigerian currency in the official market happened as the Central Bank of Nigeria (CBN) refrained from intervening in the official window.
The FX supply side was eclipsed by growing demand for foreign payments. Exporters’ inflows, non-bank corporate supply, and other market participants’ contributions had enhanced the FX liquidity level.
Pressure came with the entry of all duly licensed Bureau De Change (BDCs) into the official foreign exchange, although there are indications that the move will help the Naira-US Dollar exchange value, as BDC operators have started approaching their banks to understand the operational modalities and framework for accessing Dollars.
As for the cryptocurrency market, benchmarked tokens improved as US interest rate futures on Friday raised odds of rate cuts by the Federal Reserve after a report that showed inflation rose less than expected in January.
Data showed the Consumer Price Index (CPI) rose 0.2 per cent last month after an unrevised 0.3 per cent gain in December, with Solana (SOL) up by 7.9 per cent to $85.17, and Ethereum (ETH) up by 6.5 per cent to trade at $2,059.78.
Further, Cardano (ADA) added 5.3 per cent to close at $0.2758, Ripple (XRP) jumped 5.1 per cent to $1.42, Bitcoin expanded by 4.8 per cent to $69,357.35, Litecoin (LTC) grew by 4.7 per cent to $55.27, Binance Coin (BNB) jumped 4.0 per cent to $621.88, and Dogecoin (DOGE) increased by 3.8 per cent to $0.0965, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) remained unchanged at $1.00 each.
-
Feature/OPED6 years agoDavos was Different this year
-
Travel/Tourism10 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz3 years agoEstranged Lover Releases Videos of Empress Njamah Bathing
-
Banking8 years agoSort Codes of GTBank Branches in Nigeria
-
Economy3 years agoSubsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking3 years agoSort Codes of UBA Branches in Nigeria
-
Banking3 years agoFirst Bank Announces Planned Downtime
-
Sports3 years agoHighest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn