Militancy: FG, N’Delta Avengers Make Contacts
Challenged CBN Releases Flexible Forex Guidelines This Week
Police Seal PDP Headquarters Again
The police have again sealed the Peoples Democratic Party, PDP, secretariat known as Wadata Plaza, Abuja.
Although no official reason has been given, it may not be unconnected with the intention to prevent the sacked acting National Chairman of the party, Senator Ali Modu Sheriff, from gaining access to the place.
A report monitored on radio indicated that Sheriff was locked out of the premises and was standing by the gate, having stormed the secretariat as early as 7am.
Further details later
Ambode Inaugurates Sole Administrators for 57 Local Councils
Army Makes Clarification on Number, Reasons for Retirement of Senior Officers
The Nigerian Army has made clarifications in the compulsory retirement of some senior officers recently disengaged from the service by the Council.
The Director of Army Public Relations (DAPR), Col. Sani Usman, made the clarifications on Monday in response to the growing speculation and rumours regarding the number and names of the senior Army officers affected in the recent retirement.
Usman said it “is worrisome as some individuals and media houses went to the ridiculous extent of publishing outrageous figures and names of serving officers as being retired.
“This is unethical and unfair. It is therefore necessary to inform the public to please disregard such inaccurate lists”.
Usman, who still did not reveal the names of the affected officers, however confirmed that only 38 senior officers were affected by the retirement exercise.
For the avoidance of doubt, he said, the following is the statistics of the officers retired compulsorily – nine Major Generals, 10 Brigadier Generals, seven Colonels, 11 Lieutenant Colonels and a Major.
“We are quite aware that some mischievous elements are trying to whip up sentiments. This is quite unfortunate because all the affected officers were retired based on Service exigencies and in line with the Armed Forces Act, CAP A20 Laws of the Federation of Nigeria 2004,” he added.
Usman noted that the Nigerian Army is a professional institution that is based on highest standards of discipline and conduct.
Consequently, he said, its personnel must remain professional, neutral and apolitical at all times.
Buratai: Due Process Followed in Retirement of Army Officers
EFCC: Freezing of Suspects Bank Accounts, Backed by Law
The Economic and Financial Crimes Commission (EFCC) has asserted that the recent freezing of the bank accounts of suspects under investigation is backed by law.
The Head, Media and Public Relations, EFCC, Wilson Uwujaren, stated this on Monday in response to the interest generated by the action of the Commission in freezing the accounts of suspects that were investigated or are currently being investigated.
Uwujaren said that some commentators have tended to ascribe vindictive motives to the action, adding that clarification is needed to prevent misinformation, and explain the reason behind the Commission’s actions in this regard.
According to him, “Freezing of accounts suspected of being used for commission of financial crimes is a mandatory investigative step backed by law.”
Indeed, he said, Section 34 (1) of the EFCC Act 2004 empowers the Commission to free any account suspected of being used for financial crimes.
The EFCC spokesman said that the “section stipulates that the Chairman of the Commission or any officer authorized by him may, if satisfied that the money in the account of a person is made through the commission of an offence under this Act or any enactment specified under Section 6(2) (a)-(f) of this Act, apply to the Court ex-parte for power to issue or instruct a bank examiner or such other appropriate authority to freeze the account”.
Similarly, he said, the provisions in the Money Laundering Prohibition Act 2012 (as amended) also empowers the EFCC Chairman or his representative to place a stop order on any account or transaction suspected to be involved in any crime.
N450m Campaign Fund: Again, EFCC Quizzes Chime, 2 Other PDP Chieftains
Chime had arrived the EFCC zonal office in a black Ford sports utility vehicle with Enugu registration number, CV 950 ENU, at about 10:58 am, and left about 13 minutes afterwards.
Hijab: Christian Youths Allege Islamization of Osun State
By Yinka Kolawole in Osogbo.
The youths wing of the Christain Association of Nigeria, CAN, Osun State, has noted that
Governor Rauf Aregbesola has mapped out plans to erase all traces of Christians’ heritage in the state particularly in public schools.
In a communique issued at the end of their meeting and signed by the state Chairman, Owo-Ofe, A.N, and the state Secretary, Evangelist Timilehin Popoola, the youths also opined that Aregbesola is already working towards a process of Islamization of the state which they said was earlier stated in 2012 by the Directorate of Military
Intelligence and corroborated by OSCAN in 2014.
The youths who noted that they would oppose this dubious agenda of Aregbesola urged the Governor not to implement the judgement of Justice Saka Falola which he delivered on Friday 02 June, 2016, that female pupils in all public schools should be allowed to wear hijab to schools without any harassment.
Ondo Guber: No Zoning in APC Constitution – Aspirant
Buhari Backs CBN Flexible Forex Policy, Says It’s Down Payment for Success
- Market awaits details
- UBA Leads Utilisation as CBN Sells $131m to Banks
Obinna Chima with agency report
The flexible foreign exchange policy of the Central Bank of Nigeria got a presidential nod again yesterday as President Muhammadu Buhari said it would help the country’s economy, which had been badly hit by a slump in oil revenues.
“The central bank has moved to introduce a greater flexibility in our exchange rate policy. These actions are a down payment on our people’s ability to succeed,” Buhari said in an essay he published on the website of The Wall Street Journal. (See back page for full text)
Although the President did not give details of the policy, he explained that Nigeria needed it to boost its supplies of foreign exchange, adding that the country would need to radically increase its exports and productivity as well as improve the investment climate and ease of doing business.
The president’s essay could raise more anxiety about the details of the policy that Thisday reported yesterday might be unveiled this week. The paper had said its informed analysts believed the details might be released this Friday, being the day the CBN receives bids from authorised forex dealers.
Meanwhile, the CBN last week sold $131,323,071.09 to 11 commercial banks and three merchant banks, the returns of forex utilisation published by the respective financial institutions have shown..
However, dollar purchases by Dangote Flour Mills – $2,444,843; Dangote Sugar Refinery -$1,555,156.62; and IATA -$1,500,000; which were UBA’s biggest customers during the week under review, buoyed its performance in forex returns.
Also, with a total of $17,538,818, Stanbic IBTC came in second. The bank sold the greenback to a total of 147 customers. Out of this amount, 94 of the firms that Stanbic IBTC sold dollars to were institutional investors and foreign portfolio investors who were divesting from the country’s equities, bonds and treasury bills instruments.
FirstBank of Nigeria Limited held the third position with a total of $14,424,749.46 forex allocation it got from the central bank. The bank sold the dollars to 788 customers. FirstBank’s biggest customers were Dangote Cement Plc which purchased $2,000,000.
Guaranty Trust Bank Plc (GTbank) held the fourth position with a total of $13,119,712.75, just as Zenith Bank Plc with a total forex allocation of $13,110,393.04 came in fifth. Zenith Bank sold the greenback to a total of 496 customers. Also, Zenith Bank’s biggest customers in the week under review was the Dangote Group (Dangote Agro Sacks Limited, Dangote Flour Mills and Dangote Sugar Refinery Plc), which purchased a total of $2,000,000 from the bank.
Also, Standard Chartered Bank Limited held the sixth position with a total forex allocation of $11,601,339, Diamond Bank Plc came in seventh with a total forex allocation of $11,166,213.01, and Ecobank Nigeria got a total forex allocation of $8,377,592.95 from the central bank to be in the eight position.
Meanwhile, a Bloomberg report indicated that the banking sector regulator will probably make a pronouncement in a circular to banks, said a person, who asked not to be identified discussing the private talks held June 9 in Abuja, the capital.
Analysts including those at Renaissance Capital Limited have said they expect the central bank to allow the naira to weaken around a trading band in the interbank market, while allocating dollars at a fixed rate to industries the government deems strategic.
The central bank is still working out details of the policy, the person said, and may also reinstate a minimum holding period for foreign investors buying naira bonds.
CBN Governor Godwin Emefiele has faced calls for more than a year to devalue the currency, as other oil exporters from Russia to Kazakhstan and Angola have done, amid a rout in crude prices since mid-2014 to around $50 a barrel.
Investment into Nigeria has shrivelled as foreigners are put off by capital controls needed to defend the peg, while local businesses have struggled to import raw materials and equipment.
Naira three-month forwards rose to N301 against the dollar yesterday in London, poised for a record close and suggesting traders see the currency falling to about that level from the spot price of N198.5. Forward contracts maturing in a year traded at N340, also a record high.
Africa’s biggest economy removed a requirement for foreign investors to hold local-currency debt for at least one year in mid-2011. That led to Nigeria’s inclusion the following year in JP Morgan Chase & Co.’s local-currency emerging market bond indexes, tracked by more than $200 billion of funds, and also prompted naira yields to plummet.
The country was kicked out of the indexes last September because JPMorgan said the currency restrictions made it hard for investors to trade naira bonds.
Nigeria has held the naira at N197-N199 per dollar since March 2015, with Emefiele and President Muhammadu Buhari both insisting that a weaker currency would leave consumers facing higher prices. That’s already happened, with inflation accelerating to an almost six-year high of 13.7 per cent in April. The statistics bureau is due to announce figures for May this week.
The naira has plummeted to around N365 per dollar on the black market as shortages of the greenback worsened.
The black market rate may strengthen if the official one is weakened and inflows from investors pick up, according to the president of the Bureau de Change Operators of Nigeria, Aminu Gwadabe.
“The naira might trade around N300 to a dollar on the black market after the announcement, because we expect supply to improve,” he said, adding that “in the past weeks, the central bank created doubt in the market, which triggered another round of speculation.”
Niger Delta Avengers Embraces Dialogue, Gives Condition for Peace
- Kachikwu’s back channel diplomacy may be paying off
- NPDC loses N60bn to Forcados pipeline break in three months
Chineme Okafor in Abuja, Emmanuel Addeh in Yenagoa and Sylvester Idowu in Warri
The federal government’s efforts to restore peace in the troubled oil-rich Niger Delta region recorded a significant gain yesterday as the Niger Delta Avengers, the group that had been responsible for recent serial attacks on oil and gas pipelines in the region, said it was ready to discuss its grievances with the government.
The militant group’s turning of a new leaf, Thisday learnt monday, was largely due to pressure from the back channel contact made by the federal government’s negotiating team, headed by the Minister of State for Petroleum, Ibe Kachikwu.
THISDAY had reported monday that the heavy loses to the nation’s purse, arising from the violent activities of the NDA had forced the federal government to explore the use of back channels to reach out to the militants for dialogue.
The group’s offer of dialogue was, however, predicated on International Oil Companies (IOCs) operating in the region committing to send independent mediators to the dialogue, saying that was the only way it could have confidence in talk that is expected to chart the way forward for peace in the region.
The federal government’s team, which also include the National Security Adviser, Maj-Gen. Babagana Monguno, is mandated to reach out to the militants and other stakeholders in the region and find a way to end the violence that had adversely affected oil production output of the country, which had dwindled from 2.2m bpd to about 1.6m bpd.Only yesterday, the Nigerian Petroleum Development Company (NPDC), a subsidiary of the Nigerian National Petroleum Company (NNPC), said it had lost N60 billion in three months, owing to the break in its Forcados pipeline bombed by the NDA.
The NPDC’s loss is only a part of the general loss to the nation’s overall revenue loss manifested in the shut-in of over 800,000bpd since the NDA hostility began in February.
But in a statement by Mudock Agbinibo, the group’s spokesperson, it said it would cease fire to enable it discuss with the federal government’s team. It, however, demanded absolute sincerity on the part of government, warning that it would not allow the discussion to be turned into a political jamboree.
“We are warning this government of President Muhammadu Buhari not to turn the essence of genuine peace talk and dialogue to political jamboree that is prevailing now where all manner of social media agitators and criminals have been sponsored by the job seeking corrupt political class to save faces before the government of the day,’’ the NDA said.
As guarantees, the group said while it would not blow up more pipelines, it insisted that repairs to all bombed trunk lines must be put on hold until the dialogue is over, threatening to sink in the deep waters two large vessels belonging to the oil companies if its conditions were disregarded.
THISDAY had reported exclusively yesterday that the federal government, using its back channel communication had established contact with the militants with a view to urge them to embrace its offer of peace.
The approach had been preceded by the government’s stand-down order given to the military that had been deployed in the Niger Delta to enforce law and order.
The immediate gain of the approach was the buy-in by the Movement for the Emancipation of the Niger Delta (MEND), which in a statement yesterday said it was accepting the federal government’s offer of dialogue and invited the NDA to follow suit.
The MEND, in fact, set up a negotiating team to be headed by a former Minister of State for Petroleum, Odein Ajumogobia, to hold talks with the government team on the way forward for peace to reign in the region.
NPDC Losses N60bn in Last Three Months
Meanwhile, the NPDC has lost about N60 billion oil sales revenue in the last three months due to the delay in the repair of vandalised Forcados crude oil export line, the NNPC has said.
The NDPC is the exploration and production subsidiary of the NNPC. The corporation, however, disclosed this in the April 2016 edition of its monthly operations and financial report which was released last week.
It maintained that up till now, the export line which was vandalised in February with 300,000bpd of crude oil production deferred was still down, three months after.
The Shell Petroleum Development Company of Nigeria Limited (SPDC) had on February 21, 2016, declared a force majeure on oil liftings from Forcados following the February 14, 2016 disruption in its terminal’s subsea crude export pipeline.
But following NNPC’s disclosure in its latest publication that NPDC was still unable to earn N20 billion monthly oil income because of the development, in addition to the last two publications in February and March which THISDAY reviewed, it was discovered that NPDC may have cumulatively lost N60 billion within the last three months.
In February, NNPC said in the report: “The huge deficit in the month of February 2016 was due to production shut-in occasioned by vandalism of Forcados export line. This situation denied NPDC the opportunity to earn revenue from crude oil sales of about N20 billion.”
In March, it stated: “The recent declaration of force majeure by SPDC due to vandalism of 48-inch Forcados export line resulted in production shut-in of about 300,000bpd. This adversely impacted on the nation’s February 2016 production, leading to a loss of about N20 billion of NPDC oil revenue.”
And in April, it explained that: “The NPDC’s crude sale for the month is still hampered by Forcados pipeline vandalism which continued to deny NPDC of monthly crude oil revenue of about N20 billion.”
While Shell said in February that it was intensifying efforts to repair the damaged pipeline, the Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, stated in March that repairs on the line might take up to May.
NNPC also said in the report that its leadership was already diligently addressing its key business and operational challenges.
Meanwhile, the Organisation of Petroleum Exporting Countries (OPEC) has said the timing that Nigeria and Canada began to see unplanned oil production outages in their oil fields is ideal to buoy market sentiment.
OPEC, which kept its world oil demand unchanged in its June Monthly Oil Market Report (MOMR) which was released monday, reiterated that outages in Nigeria and Canada helped to keep oil futures for May on a bullish trend.
“Oil futures surged sharply again in May to close to $50/b on bullish market sentiment coming from supply outages, both planned and unplanned.
“Wildfires knocked out some 700,000 b/d of Canadian production in May, while Nigerian output slumped to levels not seen in over a decade on the back of a wave of militant activity coupled with some technical issues,” said the MOMR.
It then stated: “The timing of these unplanned outages was ideal to buoy market sentiment, as they came just ahead of a seasonal, and therefore widely expected, global period of tightening in 3Q16.”
It noted that world oil demand growth for 2016 remained unchanged from the previous report at 1.20 million barrels per day (mbpd) to average 94.18mbpd.
The report said Asia, led by India, is anticipated to be the main contributor to oil demand growth in 2016, with the bulk of growth coming from transportation fuels, supported by healthy vehicle sales and the low oil price environment.
It also said the forecast for non-OPEC oil supply in 2016 remained unchanged, with a contraction of 0.74mbpd expected to average 56.40mbpd.
Sheriff, Staff Desert PDP National Secretariat
In the aftermath of the forceful takeover of the national secretariat of the Peoples Democratic Party ( PDP ), the premises on Tuesday appears deserted as normal activities at the place remained at their lowest ebb; even the ousted national chairman, Senator Ali Modu Sheriff, deserting his office which he had forcefully occupied on Monday.
More details as situation unfolds
34 Years Old Declares Aspiration for PDP National Chairmanship
By Ibrahim Shuaibu in Kano
An oil magnate from Gombe state, Alhaji Sadiq Bello Sardauna, has declared interest in the chairmanship of the Peoples Democratic Party and pledged to reunite the organisation and relaunch it to winning ways.
He said: “If given the mandate by our party men during the forthcoming national congress of the party, surely I will reunite all the factions.”
Addressing reporters in Kano on Tuesday, Saudauna said that his candidacy offers a window of opportunity for self-rediscovery by the party.
“Participatory democracy usually provides a platform for both the youth and the old to exhibit their leadership potentials, and we felt this is the time to step out and make the change,” he said.
Sapele Power Plant Promises Additional 1,000MW Electricity Generation
By Adibe Emenyonu Benin City
To expand its capacity base to generate more electricity in Nigeria, the management of Sapele Power Plant has said it has put the necessary machinery in place to recover the plant’s installed capacity of 1,020MW and at the same time inject new generation capacity of 1000MW within the next five years.
The Sapele power plant which was built from 1978 – 1982 has an installed capacity of 1,020MW but presently generates 150MW before it was privatised in February 2014 and sold to a private initiative, Eurafric Group,
Managing Director (Downstream) of the plant, Mr. Onoriode Odjeba, who made the disclosure during a stakeholders’ workshop with host communities in Sapele, said the expansion would come in two forms: recovery of installed capacity and introduction of new generation capacity
He said the management of the power plant, the second largest power plant built before it was privatized, has a plan to inject an additional 1000MW in the next five years in addition to refurbishing of selected turbines of 300MW as well as purchase of new Gas’s turbine to bring an addition 900MW of its lost capacity.
Odjeba further disclosed that one of the means they intend to achieve this capacity expansion would be the installation of gas turbine on badges.
Police Wade into Murder of Ex-Envoy
By Dele Ogbodo in Abuja
The Federal Capital Territory (FCT) Police on Tuesday said it has commenced investigation into the gruesome murder of the former Nigerian envoy to South Africa, Mr. S.S. Yusuf, in the early hours of Monday in zone 6 district of Abuja.
Speaking with THISDAY on telephone on the update on the murder, the FCT Command Public Relations Officer, Assistant Superintendent of Police (ASP), Anjuguri Manzah, said the Command’s Homicide department has begun investigation into the cause of the death of the former Nigerian High Commissioner to South Africa.
Manzah however said that while the investigation is ongoing, it is improper to pre-empt the cause of his death and promised to carry the media along as soon as investigation is concluded.
The incident, according to an eye witness who resides at the area, involved the diplomat being pushed out through the veranda of his apartment by assailants who forced their way into his apartment.
MORE DETAILS LATER
10 MASSOB Members Arrested in Cross River
Police Arrest Couple for Alleged Kidnap of Reverend Sisters
By James Sowole in Akure
For allegedly participating in the kidnap of two Reverend Sisters, Perpetual Apo and Bukola Funmilade, and their driver, Mr. Zwugwa Zibai, the Ondo State Police Command has arrested a couple, Ayodeji Muyijimi and Adebimpe Muyijimi .
The couple and others, one of whom has been paraded along with other suspected criminals, were alleged to have played different roles in the kidnapping of their victims at Kajola Village on Benin-Sagamu Expressway in Odigbo Local Government Area of Ondo state in May .
Speaking on the arrest of the couple, the Commissioner of Police for the Ondo State Command, Mrs Hilda Harrison, who said the suspects had participated in a series of kidnappings in the state in recent times, said the couple was arrested in Okitipupa town in Okitipupa Local Government Area of the state.
She said they had confessed to the commission of the crime, adding that they would be arraigned in court as soon as the police concluded investigation on the matter.
It was gathered that the physically-challenged husband, Ayodeji did not actively participate in the kidnappings due to his health condition but he allegedly gave out information about their victims to the other members of the gang while his wife, Adebimpe kept the arms and ammunition the members used to carry out the abduction.
MORE TO FOLLOW