State government organises investors’ forum to show investment opportunities in mineral and other resources begging for exploitation

By Maureen Chigbo

ANAMBRA STATE GOVernment is intensifying its efforts to exploit the mineral resources in the state to improve the well-being of its people. On July 26, it initiated the investors’ forum to get all potential investors, both indigenous and foreign interested in the hydrocarbon resources and investment opportunities in the petroleum and associated industries in the state. It hopes to woo private investors to invest in its proposed independent power production, IPP, and refinery.

Anambra State had tried to get the federal government to recognise it as one of the oil-producing states but failed. But President Olusegun Obasanjo supports the state’s initiative in the oil and gas sector. Obasanjo in his keynote address read by Patrick Onwundu at the oil and gas forum in Lagos said Anambra State was one of the hydrocarbon bearing basins in Nigeria. “Exploration efforts in Anambra at the preliminary stage revealed oil potential of about one billion barrels of crude oil. Actually, it is considered to be largely a gas province with estimated reserves of more than 30 trillion cubic feet gas,” the president said.

Production is yet to start in the Anambra basin because of its “land- locked” position and of course comparatively complex geology when compared to others.

But Daniel Ndefo of Elf Petroleum Ltd, Port Harcourt, told the audience at the forum that it was time to revisit the Anambra basin because there were now more sophisticated exploration tools.

Obasanjo said that the forum was taking place when Nigeria was bracing for the challenges of boosting its oil and gas reserves. “The genuine intention of the Anambra State government and the objectives of this forum are very much appreciated by my administration since this is consistent with government policy to encourage private, local and foreign investors in Nigeria oil and gas industry,” he said.

Governor Chinwoke Mbadinuju said the investors’ forum served as an opportunity to unveil plans for facilitating the exploitation of untapped oil and gas resources in the state. “This is a momentous occasion as we are about to place Anambra State firmly in the emerging business and industrial environment of the 21st century. In this new world, natural gas and electrical power will provide the most economical and environmental friendly energy sources for both industrial and domestic use,” Mbadinuju said.

The investors’ forum was the brainchild of the energy and power committee inaugurated May 19, with Emeka Nwawka as chairman and Uzo Obi Okoli, the special adviser to the governor on energy, power and mineral resources. The committee was charged with identifying the most efficient means of implementing state policies and objectives of expanding its industrial and economic base.

Mbadinuju said the committee after examining all the available data concluded that most of the basic ingredients for rapid industrial and economic growth such as abundant human, agricultural and mineral resources, especially oil and gas were available in the state.

What had been lacking in the past, he said, were adequate supply of energy, electricity, fuel and other infrastructure essential to support the industries. “We are very pleased with the current initiative of the federal government to liberalise the energy sector of the economy and are confident that its policy direction would be maintained in the years and decades to come. We believe that the private sector should be encouraged to lead the industrial and economic development activities. Our role, as government, is to provide a conducive environment and the essential infrastructure.

“We all are aware that oil and gas exploration and exploitation are on the exclusive legislative list of the federal government of Nigeria. We are most encouraged that the president of the federal republic of Nigeria not only supports private initiative in participation in the further development of our country’s energy sector.”

The governor said that “Anambra State experiences energy scarcity on all fronts: Electricity, petrol, gas, diesel, and kerosine.” He said the recent incident in Abudu in Edo State, which disrupted NEPA’s electricity supply to the states east of the Niger brought home the vulnerability of this part of Nigeria, where no single NEPA power station was functional throughout the period of power outage. “All the industries in these states, including Anambra were forced to shut down, incurring losses estimated at hundreds of millions of Naira,” he said.

NEPA is only able to ration some 78 megawatts to Anambra State, which the governor said was less than a quarter of the demand of the zone. “Even if NEPA are able to double their generation efficiency, as is planned, going by their rationing formula, the majority of Anambra State will be in darkness. Independent power production is therefore a crucial part of the integrated industrial development scheme, which is being planned for the state,” he said.

The planned independent power plant, which will run on natural gas will serve all the factories in each of the industrial estates in Anambra State, will be tied to the national electricity grid in Onitsha. The factories, which will include a medium-sized refinery will use oil and gas and other mineral raw materials as well as agricultural produce from Anambra State.

Mbadinuju said “with sufficient power generation and availability, we are confident that more industries will sprout and blossom.”

Dan Obuekwe, managing consultant from U. S. said that this was the first time the governor did something very positive. “We have wondered why he comes to U.S. to woo investors when some Americans don’t know where Anambra is in Africa. But the forum is a very good idea. All he needs to do is to get more practical people who are result-oriented to implement the wonderful idea,” he said.

Newswatch Volume 34 No6, August 13, 2001

don't forget Nigeria have 187 trillion cubic feet of gas reserved as a whole, it triple the nation crude oil reserve,

This is an article from 2001?

^^ I KNOW JUST A REMINDER