BusinessDay 28 Feb 2018

Wednesday 28 February 2018 C002D5556 BUSINESS DAY 05
INTERVIEW
WEST AFRICA
ENERGY intelligence
‘The world is rapidly moving towards
an age of cleaner sources of energy’
CHIKEZIE NWOSU is the Chairman, Society of Petroleum Engineers (SPE) NIgeria Council. In this interview with Frank Uzuegbunam, Editor,
West Africa Energy Intelligence he talks about the forth coming 18th Oloibiri Lecture Series and Energy Forum amongst other issues. Excerpts:
What are the consideration behind the
Annual Oloibiri Lecture Series and Energy
Forum?
The SPE OLEF is an annual lecture
series focused on contributing to
oil and gas policy development
of Nigeria in commemoration of
the first oil well drilled in Nigeria
by Shell Darcy at Oloibiri, in Ogbia, Bayelsa
State in 1956. It has become a forum where
SPE NC brings together the key industry
players from policy / legislature, regulatory
/ federal executive, investors, operators, service
companies etc. to discuss on topical issues
in the oil and gas industry, with a view
to influencing the right policy direction to
enable the growth of the industry and the
Nigerian economy, thereby impacting positively
on the all Nigerians.
Looking back from the inception of
this annual dialogue, what are the tangible
benefits of this initiative you can relate
with?
This is the 18th edition of the SPE OLEF
series, and from the first edition the expansion
into Deep Water, marginal fields policy,
local content policy, the Gas Master Plan,
Fiscal policy, cost effectiveness challenges
in the Nigerian business environment, gas
flaring policy, Regulations and transparency,
energizing the full gas value chain (from
producers to end users), amongst other
critical topical issues, have helped to shape
current and emerging policy directions in
Nigeria.
Of note is the Ministry of Petroleum Resources
consolidation of a lot of these issues
into the ‘7 Big Wins’ policy document that is
being driven with such energy and passion
by the Honorable Minister of State for Petroleum
Resources, Dr. Emmanuel Ibe Kachikwu,
with the support of the GMD NNPC, Dr.
Kachalla Maikanti Baru and the heads of
parastatals within the Ministry of Petroleum
Resources.
The major challenge is the stability and
sustainability of these policies beyond the
term of office of the key drivers, and this is
where SPE and similar professional organizations
like NAPE, NMGS, NSE, NAE, PET-
AN, OGTAN etc. can play a major role.
How has Society of Petroleum Engineers
(SPE) a global professional association
impacted the Nigerian oil and gas
sector generally?
The SPE is a non-profit and apolitical
professional organization, regulated by international
best practices through the SPE
International (established in 1957). We are
therefore in a unique position to provide
unbiased advice to the authorities for the
better good of Nigeria, without the accusa-
tion of working in our own, or anyone else’s,
personal interest. In addition, we provide
an international perspective, through both
our relationship with SPEI, but especially
through a lot of our members who have
many decades of experience working internationally.
Of recent, as noted, many policy
directions the Nigerian Government have
taken are supported either indirectly by SPE
NC or directly through our members who
consult for both the National Assembly and
the Federal Executive.
This international perspective is perfectly
balanced with our local knowledge and
provides a powerful tool to influence and
support Government policy. Of note is our
ability to attract foreign direct investments
(FDIs) to Nigeria through our annual flagship
event, the SPE Nigerian Annual International
Conference and Exhibition, which
has been a resounding success in bringing
the World to Nigeria.
In line with this, the very successful Nigeria
International Petroleum Submit (NIPS)
championed by the Honorable Minister
of State for Petroleum Resources, and held
from 18 – 22 February in the ICC Abuja, had
SPE NC Resource persons supporting this
event.
Within the country, we continue to provide
world class courses at heavily subsidized
rates (sometimes entirely free)
through our Distinguished lecture series
(about 10 a year), monthly Technical sessions
across the five sections in Nigeria
(Abuja, Lagos, Port-Harcourt, Benin & Warri),
short courses by our most experienced
members, a Professional Development program
for our ‘members in transition’ and an
annual Students Technical Symposium &
Exhibition (STSE – hosted by the Nile University
of Nigeria, Abuja from 15 -17 March
2018).
These courses cover technical and commercial
areas in the oil & gas business, but
also ethical and strategic leadership courses
to prepare the next generation of practitioners
in the industry for the challenges
ahead.
We also have embedded in SPE, the
Committee of Heads of Petroleum Engineering
Departments (CHPED) which is
rebuilding the curriculum for Petroleum
Engineering in Nigerian Institutions, in collaboration
with the Nigerian Society of Engineers
(NSE) and as directed by the Council
of Registered Engineers (COREN), to ensure
graduates of Petroleum Engineering are ‘industry-ready’.
We are also socially responsible
through our various charity events across
all our sections, outreach programs in primary,
secondary and tertiary institutions
that teach about the responsible uses of
Energy.
Finally, SPE NC is collaborating with the
NCDMB to create an indigenous R&D environment
and culture, which will ensure
technology adaptation (utilizing our vast local
resources) and innovation keep Nigeria
at pace with, or ahead of, the fast-changing
world of technology.
What make the theme of OLEF 2018
relevant at this time?
In line with our well-established tradition,
this year’s SPE OLEF is themed along
a critical and topical issue ‘’The Nigerian
Oil Industry in a World of Changing Energy
Supply: Are we prepared?’
It has become clear that, with anticipated
growth in energy demand, the world
is rapidly moving towards an age of cleaner
sources of energy. For fossil fuels, this will
mean a greater reliance on gas and less reliance
on oil and, especially, coal. In addition,
hydroelectric and gas powered cars will replace
diesel engines and, with time, gasoline
engines.
Add to this the growing investments in
renewable sources of energy such as Solar
and wind, and it becomes evident that Nigeria
must rethink (or rejig) its energy policy to
solidify on the gains in the oil & gas industry
(the 7 Big Wins), and leverage on these
learnings to prepare for an energy mix that
will become less reliant on the more polluting
fossil fuels.
There are many opinions on how long reliance
on fossil fuels will last- many of these
opinions are predicated on the huge remaining
resources of oil and gas. However,
one must note the oft quoted statement that
‘the stone age did not end because mankind
ran out of stones, and the oil age will
end long before we run out of oil’. The pressure
from the next generation of leaders will
drive technological advances that will result
in less reliance on environmental damaging
energy, and we (Nigeria) must be ready
now.
Fate has played a major role in ensuring
that we can stay ahead – abundant energy
from the sun, wind energy in many Northern
parts of the country and an estimated
190Tcf of gas (and prospective resources
that could be as high as 600Tcf),
What do you see in the future for SPE
and the Oil sector in Nigeria in the few
years you have lead the society?
The SPE will continue to play a strong role
in policy direction and execution through
ensuring that the outcome of its engagements
are well documented and presented
to the authorities, encouraging its members
to provide the expertise in their field/s to
Government either through consultancy
or service, provide forums for bringing the
world to Nigeria and Nigeria to the world,
collaborating with Government agencies
in such areas as indigenizing R&D capacity
and capability, supporting the provision of
pedagogical aids to Universities and Training
Institutes, ensuring the curriculum for
PE & Geosciences and related disciplines
in the University delivers industry-ready
graduates and supporting the strategic and
ethical leadership of the next generation of
entrepreneurs, employers and workers in
the energy industry. All aligned with the ‘7
Big Wins’.