₦airaland Forum

Cunninlingus: bottom line is this crook became super rich with looted public funds

Cunninlingus: What business interest and assest did he have other than a limo?
in the 80's there was Kingsways, Leventis and UTC stores. These were the main shops in Lagos and Nigeria at large. There was also the Adeniran Shopping mall. Why did he not open a grand mall then?

naptu2: 6 The history of revenue allocation in Nigeria dates back to October 10, 1957 when the fiscal commission was set up on the recommendation of the London constitutional conference to specifically examine revenue allocation and the problem of taxation in Nigeria.

The commission in its report recommended that, “Mining and mineral royalties and rents should be shared between the regions of their origin, the Federal government and all the regions together, the least by way of a distributable pool. The proportions in which these royalties and rents should be divided are respectively 50%, 20% and 30% and the considerations of these proportions subject to fiscal review”.

This is reflected in The Constitution Of The Federation Of Nigeria 1960, section 134, which states as follows: -


7 “134. (1) There shall be paid by the Federation to each Region a sum equal to fifty percent of-


(a) The proceeds of any royalty received by the Federation in respect of any minerals extracted in that Region; and


(b) Any mining rents derived by the Federation during that year from within that Region.


(2) The Federation shall credit to the Distributable Pool Account a sum equal to thirty per cent.

A) The proceeds of any royalty received by the Federation in respect of minerals extracted in any Region; and

B) Any mining rents derived by the Federation from within any Region”.
Section 134 (6) states further: -

“(6) For the purposes of this section the continental shelf of a Region shall be deemed to be part of that Region”.


According to professor Itse Sagay, 8“Under the 1960 and 1963 constitutions, a true federal system of strong States or Regions and Central or Federal ‘state’ with limited powers, was instituted. Both the 1960 (Independence) constitution and the 1963 (Republican) constitution were the same. The only differences were the provisions for ceremonial President (1963) in place of the Queen of England (1960) and the judicial appeals system, which terminated with the Supreme Court (1963) rather than the Judicial Committee of the British Privy Council (1960)”


However section 162 (2) of The Constitution Of The Federal Republic Of Nigeria, 1999 states as follows: -



9 “162 (2) The president, upon the receipt of advice from the Revenue Mobilisation Allocation and Fiscal Commission, shall table before the National Assembly proposals for revenue allocation from the Federation Account, and in determining the formula, the National Assembly shall take into account, the allocation principles especially those of population, equality of states, internal revenue generation, land mass, terrain as well as population density:
Provided that the principle of derivation shall be constantly reflected in any approved formula as being not less than thirteen per cent of the revenue accruing to the Federation Account directly from any natural resources”.












The data provided in the table below shows graphically the change in the derivation percentage: -
10Table 1: Federal - State percentage share in petroleum proceeds
Years
Producing State (%)
Federal Government (%)
Distributable Pool (%)

1960-67
50
20
30

1967-69
50
50
-

1969-71
45
55
-

1971-75
45 minus off-shore proceeds
55 plus off-shore proceeds
-

1975-79
20 minus off-shore proceeds
80 plus off-shore proceeds
-

1979-81
-
100
-

1982-92
1 and half
98 and half
-

1992-99
3
97
-

1999-
13
87
-

Source: Sagay, 2001

The decrease in the derivation percentage from fifty percent in the 1960 constitution to “at least thirteen percent” in the 1999 constitution and the omission of the phrase, “continental shelf of a state” has caused both the derivation percentage crisis and the “on-shore, off-shore dichotomy” crisis respectively.

Abagworo: Just like someone once wrote on Nairaland, almost every country in Africa is discovering oil and now almost every State in Nigeria is discovering oil. I'm happy not because of the oil discovery but because in near future coupled with the decision by US to increase domestic oil production, the price of oil will hit record low, thereby forcing us to buckle up. All these people fighting for juicy political office, oil blocks, secession and all related anti-people ambitions will realize the importance of unity and diversity. God bless Nigeria.

k2039: [color=soyouquotedme]I'm surprised, I never knew there was any oil feld in lagos.

About time new refineries are built, this will create more jobs.

I just hope goverent put environmental precautions in place and ensure all this all companies adhere to it, last thing lagos needs is additional pollution. [/color]

alj harem: I hope this is not surprising. I have told those bigots and Dalover that Lagos, Ogun and ondo have oil but we don't let that dictate the way we think.

Crude oil in Festac, Badagry, VI and makoko. It is called maturity.

[size=14pt]Lagos oilfield to start production in 2014[/size]

January 2, 2013 by Stanley Opara ⁠35 Comments


By 2014, oil is expected to be produced for the first time offshore Lagos State from the Aje gas and condensate field, which lies in Oil Mining Lease 113 in the Benin Basin, about 43 kilometres offshore Lagos.

The field is currently in the development planning stage, with first production expected in 2014, according to the United States Energy Information Administration’s website.

Aje field is expected to reach a plateau production of between 50,000 to 80,000 barrels of oil equivalent a day. The water depth in the region is 3,000 feet.

Key shareholders in the field include Yinka Folawiyo Petroleum and Chevron.

Chevron was appointed as the technical advisor to the operator for the project and also assigned the responsibility of preparing a development plan for the field.

The OML 113 licence covers an area of 960 square kilometres and contains several prospects, including the Jubilee and Tweneboa fields.

OML 113 was originally known as Oil Operating Licence 309 and was awarded to YFP in 1991 to encourage the growth of the Nigerian oil industry. Following the successful discovery of the Aje field, the licence was converted to OML 113 in 1998 with a term of 20 years.

Aje was discovered by the Aje-1 well in 1996. The well encountered oil and gas over three zones of the Cretaceous Turonian age. It flowed at the rate of 60.2 million standard cubic feet of gas a day; 1,729 barrels of condensate a day; and 2,389 barrels of oil a day.

In 1997 an appraisal well, Aje-2, was drilled one kilometre east of the Aje-1 well. It confirmed the presence of oil and gas in the Turonian reservoir as discovered by the Aje-1 well and encountered a deeper separate additional zone of the Cenomanian formation.

A third well, Aje-3, was drilled by Transocean’s Sedco 709 semi-submersible rig in 2005. Although the reservoir quality was not optimum, the well encountered an oil and gas bearing column within the Turonian and Cenomanian reservoirs.

In the first quarter of 2008, another appraisal well called Aje-4 was drilled by the Transocean Deepwater Pathfinder drill-ship to carry out a complete appraisal of the field. Aje-4 well was drilled to assess the extent of the field and identify additional exploration targets. The well encountered hydrocarbon reserves in the main Turonian reservoir.

Drilling of the Aje-4 well confirmed the field contains a laterally extensive reservoir structure. The field was declared a commercial prospect in February 2009.

Appraisal of the field was based on 915km of 2D seismic data, 700km2 of 3D seismic data and an electromagnetic survey.

Aje is primarily a gas condensate field formed in a four-way dip closure trap. It contains gas and oil in the Turonian and Cenomanian reservoirs and an additional gas layer of the Albian formation.

Gross contingent resources of the Aje field are estimated at 380 million boe. Of this 28 per cent is oil/condensate, 20 per cent is Liquefied Petroleum Gas and 52 per cent is gas.

The field is planned to be developed as a subsea tie back to a floating, production, storage and offloading vessel.

A total of six producers are planned for the field. They will be connected to sub sea wellheads and associated flowlines and manifolds in 320-feet water depth. The flowlines will, in turn, be connected to the FPSO through risers.

Produced hydrocarbons will be processed by the FPSO and exported through the West African Gas Pipeline or through a direct pipeline to connect to the Lagos gas infrastructure.

speedyboi: No fireworks? Smh

Ishilove: No, I am Kong King.