African Development Bank approves $2 million emergency assistance for WHO-led measures to curb COVID-19 in Africa
April 1, 2020 | 0 Comments
The Board of Directors of the African Development Bank on Tuesday approved $2 million in emergency assistance for the World Health Organization (WHO) to reinforce its capacity to help African countries contain the COVID-19 pandemic and mitigate its impacts.
The grant, which is in response to an international appeal by the WHO, will be used by the world body to equip Regional Member Countries to prevent, rapidly detect, investigate, contain and manage detected cases of COVID-19.
It is one part of several Bank interventions to help member countries address the pandemic which, while slow to arrive in Africa, is spreading quickly and is straining already fragile health systems.
Specifically, the WHO Africa region will use the funds to bolster the capacity of 41 African countries on infection prevention, testing and case management. WHO Africa will also boost surveillance systems, procure and distribute laboratory test kits and reagents, and support coordination mechanisms at national and regional levels.
This grant “ will enable Regional Member Countries to put in place robust containment measures within 48 hours of COVID-19 case confirmation and also support the WHO Africa Region to disseminate information and increase public awareness in communities,” said the Bank’s Human Capital Youth and Skills Development Department.
The grant will contribute toward a $50 million WHO Preparedness and Response Plan, which other partners including the United Nations system, are also supporting.
It is estimated that Africa will require billions of dollars to cushion the impact of the disease as many countries scramble together contingency measures, including commercial lockdowns, in desperate efforts to contain it. Globally, factories have been closed and workers sent home, disrupting supply chains, trade, travel, and driving many economies toward recession.
The Bank Group is expected to unveil a financial assistance package that will enable governments and businesses to undertake flexible responses to lessen the economic and social impact of this pandemic.
Last Thursday, the Bank raised an exceptional $3 billion in a three-year social bond, the proceeds from which will go to help alleviate the economic and social effects of the pandemic. It is the largest dollar-denominated social bond launched in international capital markets to date.
African governments and the judiciary must protect workers and oil companies from ill-intent legal actions due to COVID-19
April 1, 2020 | 0 Comments
|African energy companies and services companies operating onshore and offshore need to be given protection from unnecessary litigation|
JOHANNESBURG, South Africa, April 1, 2020/ — The African Energy Chamber (www.EnergyChamber.org) is calling on African governments and the judiciary to take actions to shield oil & gas companies and their workers from lawyers trying to take advantage of the Coronavirus pandemic to create instability in the workplace.
While most Africans are trying to cope with the uncertainty and issues of Covid 19 and low oil prices, the Chamber is concerned about trial lawyers that are hungry for big checks at the expenses of oil companies and their workers. In this context, it is critical that the judiciary does its best to limit frivolous labor claims to ensuring the stability and continuity of petroleum operations during these difficult times.
“African oil & gas companies have enough to worry about at the moment, and frivolous lawsuits should not be one of them. This is not the time for lawyers to see our industry as a dairy cow and try to get a big payday at the expense of companies and their workers,” stated NJ Ayuk, Executive Chairman of the African Energy Chamber.
“We cannot love jobs and hate those who create jobs. Protecting jobs and fighting this virus should be our greatest priority. Governments have to send a message that investors and their investments will not be put at risk by greedy lawyers and bureaucrats. For Africa to come out of the twin crisis of low oil prices and the coronavirus stronger than before, we need everyone to show some common sense,” added Ayuk.
African energy companies and services companies operating onshore and offshore need to be given protection from unnecessary litigation. Most companies at the moment are focused on keeping operations intact with the right HSE processes, and ensuring that they can generate revenue for governments and protect the jobs they have created for every day Africans. This should remain a priority.
The Chamber is pleased with the support that is being provided across Africa by oil and gas companies working together with governments across a range of support measures, and it is important to keep resources focused on fighting COVID-19, not lawsuits. The oil sector will remain a pillar in the fight against COVID-19. BP has made a significant financial contribution to the WHO’s COVID-19 Solidarity Response Fund for example, and Dangote Industries has done the same with the Nigerian Private Sector Coalition Against COVID-19. NNPC on its sides has already donated six brand new ventilators to the University of Abudja Teaching Hospital.
Shall the situation on our continent worsen, we will be very relieved to have companies with the ability to provide such support the same way Total supports France and Eni supports Italy as thousands of lives are lost. During these times of uncertainty, frivolous lawsuits against petroleum operators and their associates could disrupt the essential role businesses must play in overcoming the crisis and in the recovery.
Consequently, the Chamber calls on governments of oil and gas nations like Nigeria, Equatorial Guinea, Angola, Congo, Gabon, Ghana, Cameroon, South Sudan, Libya, Senegal or Algeria to extend liability protections to medical professionals assisting workers on oil fields, protection from frivolous labour claims, and also assist oil companies with issues arousing out of their inability to honor rotation of employees due to lockdowns.
*African Energy Chamber
CenturionPlus helps companies Stay Ahead of the Curve as we grapple with Covid-19
April 1, 2020 | 0 Comments
Amidst this time of crises and the restrictions put on travel and mobility, we have attorneys on the ground that can assist your company with its tailored legal needs
JOHANNESBURG, South Africa, April 1, 2020/ — The CenturionPlus team (https://CenturionLG.com) and our on-demand lawyers are working around the clock to help clients navigate the uncharted legal waters sparked by COVID-19. Amidst this time of crises and the restrictions put on travel and mobility, we have attorneys on the ground that can assist your company with its tailored legal needs. This includes in-house and remote legal assistance.
“As we face a new global crisis, we have been overwhelmed by questions and concerns from clients and individuals all around the African continent,” explained CenturionPlus Director Leon Van Der Merwe. “With CenturionPlus, we have developed and adapted a new approach of on-demand, on-the-ground lawyers in all jurisdictions across Africa. This platform is even more relevant given the current global situation and travel restrictions across Africa.”
The need for in-house legal support is indeed now greater than ever. This includes not only assisting clients seeking to address supply chain disruptions, but also those needing guidance on an out-of-court debt restructuring amid financial challenges. “Companies are actively seeking guidance on whether a pandemic allows for contractual obligations to be voided, and we are here to assist them in addressing this challenge,” added Van Der Merwe.
There is no doubt that long after this global health crisis is over, courts will be grappling with untold numbers of litigation disputes concerning whether parties are excused from performance of their contractual obligations. Companies should hence be pro-active in restructuring and re-visiting their current approach and policies. This includes the mobilization of a dedicated legal team that understands your business and can get the job done with flexibility in services and pricing.
During this uncertain period, remember to make this time serve you, don’t serve the time.
What oil companies need to know to maintain resilient energy assets amidst a global pandemic
April 1, 2020 | 0 Comments
Most economic analysts and energy asset operators now agree that 2020 could see negative demand growth for oil globally
JOHANNESBURG, South Africa, April 1, 2020/ — In this time of depressed oil Prices and raging scourge of COVID-19, most economic analysts and energy asset operators now agree that 2020 could see negative demand growth for oil globally as industries shut down and countries around the world go on lockdown. Negative economic impacts are also being forecasted for the electricity, renewable energy, and mining industries. This current state of play demands that companies who control and manage the critical energy infrastructure and natural resource assets maintain their vigilance against physical, cyber, and technical security threats as they deal with these colliding “Black Swan” events.
The resilience of oil companies’ operations is essential to the economy, security and overall quality of life for all citizens in Africa and worldwide. “Indications and warnings are illuminating the fact that terrorists, hostile state actors, criminals, hackers for hire, and vandals are currently planning to take advantage of our current state of chaos,” declared C. Derek Campbell, CEO of US-based Energy & Natural Resource Security Inc (ENRS). “We continue to support a lot of energy companies in Africa to mitigate the hostile actions of those with ill-intent. In uncertain times like these, it is companies’ efforts against unexpected threats that ensure that their assets maintain continuity of operations during these trying times,” he added.
Key recommendations oil companies and their contractors should follow to ensure their assets achieve resilience and maintain continuity of operations notably include:
- Assess and Review your current cybersecurity posture against protocols such as NIST-800-171, ISO27001, and CIP Cybersecurity Frameworks.
- Monitor your employees and be cognizant of the IT methods and platforms they use to access your corporate networks while working remotely.
- Via your local national staff, engage the local populations/communities within a 5 to 10-mile radius of your operations to gain an understanding of the atmospherics around your asset.
- Spot check your existing physical and technical security measures to make sure they are fully functional.
- Request a security assessment during your operational down time in order to gain an understanding of your asset’s current vulnerabilities and levels of assumed risk.
“The African Energy Chamber takes security threats in Africa extremely seriously and such risks should not be downplayed when our industry faces turmoil and prices instability,” commented Nj Ayuk, Executive Chairman at the African Energy Chamber. “ENRS is a key partner for us and their best-in-class security solutions are what owners, operators, investors and insurers should be implementing to maintain the continuity of their operations and mitigate risk throughout their asset’s operational life cycle.”
Africa’s COVID-19 solution lies in information and not isolation-A look at Hubei vs New York
March 31, 2020 | 0 Comments
By Ben Kazora*
- The black death pandemic is estimated to have killed up to 60% of Europe which was an estimate of 450 million people in the 14th century.
- Today a virus can travel first class on KLM to Africa and infect millions
- In Taiwan, when an infected person leaves their home or turns the phone off the police and local authority will be alerted and the person will be visited within 15 minutes
- The Co-100 app shares when the person tested positive, their nationality, gender and age.
Africa’s Advantage in the war with COVID-19
Interesting to note how the richer nations have been first to succumb to COVID-19 scourge. I believe this is primarily owed to the business and tourism between China and the west. Africa is benefited from late infections and has the advantage of lessons learned from the earlier victims and how the nations have dealt with it. Examining the Asian and European reactions to this pandemic Africa is primed to implement the best of both worlds. To this end, I firmly believe the critical soldiers in this unique battle against the pathogens, are the data scientists in concert with the healthcare workers armed with data. This approach in my view will save the continent millions of lives, jobs and the continents vulnerable economy.
Tale of two localities: Hubei & New York
With only 404 COVID-19 (0.07% of the population) cases Singapore has proven more adept at handling this pandemic than New York. Despite a greater distance from the epicenter (Hubei Province), New York has 2.3 times more cases compared to Singapore, relative to the population. With 81,281 cases out of 1.4 billion people it’s hard to deny that China got it right.
Hubei province with 60M people had 67,801 cases. This infection rate of 0.1% remain less than New York. Wuhan, the COVID-19 epicenter had about two-thirds of all China’s cases is about to lift the lead and resume life as normal. While the western world is grappling with this pandemic, it seems there are many lessons to learn from the east. Given the technological advancements of the west and advances in medicine I couldn’t help but wonder. First off let’s examine previous pandemics.
We have been down this road before
During the 14th to 19th century the world was dealt with the Black Death. This disease that was spread by body lice started in Italy and spread across Europe to France, Spain, Portugal, Scotland, and Scandinavia among others. This pandemic is estimated to have killed up to 60% of Europe which was an estimate of 450 million people in the 14th century.
Like COVID-19 today, the smallpox pandemic was equally class-blind killing the rich and poor alike. This plague is estimated to have decimated close to 30 million Mexicans by 1568 which was way before the arrival of Hernan Cortes. Despite the Spaniards having a superior army, the microscopic ally (smallpox) that Cortes army unwillingly brought from Europe helped take down the Aztec empire. This disease spread along trade routes in Asia, Africa, and Europe, eventually reaching the Americas. Smallpox is estimated to have killed 300 million people in the 20th century alone. It’s also estimate that fatality rate was 30% of those infected.
Wherever it began, the 1918 flu pandemic lasted just 15 months but was the deadliest disease outbreak in human history, killing between 50 million and 100 million people worldwide, according to the most widely cited analysis. The effect of the flu pandemic was so severe that the average life span in the US was depressed by 10 years.
It’s information not isolation
Clearly, without airplanes or cruise ships we have seen diseases spreading from east to west Europe and across continents. This means that closing our boarders isn’t the permanent solution. Germany took in about 50 Italian COVID-19 patients to help with the treatment. German’s gesture speaks to the power of collaboration and sharing of information that has proven to be the best weapon against these pathogen. Sweden has not closed its borders or its schools. Neither has it closed non-essential businesses or banned gatherings of more than two people, like the U.K. and Germany. Sweden has taken the unorthodox approach of simply informing and trusting the citizens.
Sweden’s 10 million strong population has reported 3,700 cases and only 110 deaths, while New York reports about ten times the rates of death and infections while population difference is only double. This phenomenon further shows that isolation isn’t the true solution.
Over the years we have seen doctors win the battle against the pathogens one time too many. The secret lies in the fact that while pathogens rely on blind mutations, the doctors have been armed with the powerful scientific analysis born of information. Third world countries have always struggled to deal with the likes of Ebola due to the non-data driven approach. This present danger posed by COVID-19 presents the third world a chance to examine novel ways of fighting pandemics and epidemics. I will term the information driven approach as the Asia approach.
We have seen time and again that the Asian nations of China, Singapore and Taiwan and others have proven more efficient at handling the pandemic. Africa political philosophies happen to be more aligned with those of Asia than those of the west. In a world where a virus can travel first class on KLM to Africa and infect millions, information becomes the only tool available to combat this. The US strongly adheres to privacy laws and that makes collection of pertinent data much more difficult. Perhaps, it’s time to examine the modification of these laws during such gruesome times. I imagine people are willing to temporarily trade privacy for life.
Data is the most lethal ammunition in this war
In Beijing, “Beijing Cares” app has been integrated into the permeating WeChat app. People under quarantine are made to input their daily temperature and health status into the app. When the isolation period is over, a “healthy status” page is generated, which users can flash at buildings and malls to gain entry. The Chinese government also releases details about patients’ travel history – via text messages on the mobile phone and state-managed websites – so the public can avoid places where the virus was once active.
South Korea took more aggressive steps by deploying a innovative system using data such as surveillance camera footage and credit card transactions of confirmed COVID-19 patients to recreate their movements. Max Kim of the MIT Technology review reported that the Ministry of the Interior and Safety using their Corona-100m (Co100) app, that allows those who have been ordered not to leave home to stay in contact with case workers and report on their progress. The app will also use GPS to keep track of their location to make sure they are not breaking their quarantine. Additionally, the app allows users to see how close they are to places that COVID-19 patients have visited before testing positive. As if that’s not enough, the app also shares when the person tested positive, their nationality, gender and age.
Taiwan went further to implement mobile phone electronic fencing. This location tracking platform ensures that those quarantined remain at home. The primary intent here is to ensure those infected aren’t running around spreading the virus. When one leaves their home or turns the phone off the police and local authority will be alerted and the person will be visited within 15 minutes. Officials also call twice a day to ensure the phone isn’t left at home by the infected person. Fact remains that the virus doesn’t travel from place to place but humans take the virus from one place to another.
Can we sacrifice our privacy to save our lives?
I know the mentioned slants would run afoul of privacy laws in the west. However, this is perhaps the most ideal time for African countries to come up with the Infection Protection Act akin to the German version being modified to deal with COVID-19. MTN group has close to 244 million subscribers while Vodacom has over 110 million. All together close to 750 million people in Africa have cellphones. The solution to the war with COVID-19 and future pandemics hinges on leveraging data and technology to complement the doctor’s efforts. The World Health Organization (WHO), Director-General Tedros Ghebreyesus said “the steps China took to fight the virus at its epicenter were a good way of stopping its spread.” African must act fast and swiftly. This is ultimately a sprint and not a marathon.
Remember that worry is like a rocking chair: It gives you something to do but never gets you anywhere. Instead adhere to the known protocols such as social distancing, washing hands often, cough into your elbows,stay home
Smart Africa Launches Africa Wide Coordinated Response to the Coronavirus Pandemic
March 31, 2020 | 0 Comments
Smart Africa, a bold and innovative commitment from African Heads of State and Government to accelerate sustainable socioeconomic development , has launched a continent-wide technology based coordinated impact response to the coronavirus (COVID-19) pandemic for Africa.
Kigali,Rwanda., March 27, 2020 – Smart Africa has launched a continent-wide technology based coordinated impact response to the coronavirus (COVID-19) pandemic for Africa. This response is aimed at bringing together the 30 member states under the Smart Africa Alliance and the 40 private sector members of the Alliance to coordinate efforts to stem the pandemic in Africa.
In order to tackle this unprecedented crisis, by its magnitude and its impact on society, the Smart Africa Secretariat seeks to support digital health services projects that aim at improving and accelerating the African governments response to the challenges of the Coronavirus (COVID-19) pandemic.
The projects under the initiative are aimed at assisting African countries to:
- Assess individual risk and guide decision making;
- Assist African populations in finding nearby testing sites;
- Provide reliable updates and alerts from public health authorities;
- Report on community status;
- Track and report transmissions.
Moreover, to ensure that the efforts are relevant to the African context, critical technological parameters are considered as below:
- A solution available via web, application (iOS, Android, Windows), USSD, and other messaging platforms;
- Data collection from diverse points such as individual smartphones or terminals at public facilities (e.g. testing terminals at border controls, testing terminals by medical authorities, etc.);
- A reporting dashboard accessible to the admin with relevant data – specific rights depending on the status of the admin (e.g. public authorities, medical authorities) will be established;
- Anonymized data (no personal information including name, ID, address recorded on the system) generated by use of the solution can be published in real-time through a database accessible with an API and map interface on a public website for public health authorities to monitor;
- Reliably informative content available in local languages in various formats (written – vocal with Interactive Voice Recognition technology) – e.g. prevention practices, isolation practices, closest health facilities, additional one-on-on support, etc.;
- Assessment and guidance compliance to the World Health Organization (“WHO”), national and local public health guidelines and include exposures, symptoms of illness, and underlying health status.
“There are numerous international interventions to the coronavirus pandemic but so far very few that are relevant to the immediate African context. We are bringing a credible and coordinated technology based African response which must go beyond our 30 member countries to the entirety of the African continent. The aim is to save lives and we must all do our part,” said Mr. Lacina Koné, Director General of Smart Africa.
The response will be initiated through a call for proposals which will involve numerous stakeholders across Africa. Once initiated the response by governments to the pandemic is expected to be coordinated, efficient and to save lives.
About Smart Africa
SMART Africa is a bold and innovative commitment from African Heads of State and Government to accelerate sustainable socioeconomic development on the continent, ushering Africa into a knowledge economy through affordable access to Broadband and usage of Information and Communications Technologies.
The Transform Africa Summit held in Kigali, Rwanda on 28th-31st October 2013 culminated in the adoption of the Smart Africa Manifesto document by seven (7) African Heads of States (Rwanda, Kenya, Uganda, South Sudan, Mali, Gabon, Burkina Faso) in which they committed to provide leadership in accelerating socio-economic development through ICT’s.
EnergyNet responds to COVID-19 pandemic
March 31, 2020 | 0 Comments
EnergyNet recognises these are uncertain and difficult times for individuals, organisations and countries across the world.
Managing Director Simon Gosling commented: “We extend to you, your colleagues and families our best wishes and support as we move towards this ‘new normal’ in the coming weeks. Myself and the EnergyNet team are on hand to support the aef community in whatever way we can during this difficult time.”
He goes on to address plans for the Africa Energy Forum, currently scheduled to take place in Barcelona, Spain from 30th June – 3rd July:
“We’re examining the advice of the authorities before making a final decision on what actions we should be taking in the best interests of our aef attendees. We therefore ask you to bear with us whilst we make our decision which we promise to do as soon as possible.
We’re very much aware of the impact of our actions on the aef community, and want to take the time to get it right as we know this decision will affect many of you.”
If the event were to be postponed, attendees who had already purchased a ticket or sponsorship package would be able to roll this over onto the new dates. If for any reason attendees were unable to make the new dates this would be rolled over onto aef 2021.
EnergyNet is monitoring the coronavirus/COVID-19 situation on a daily basis and will keep the community informed of any developments. In the meantime for additional questions please email firstname.lastname@example.org
EnergyNet: a video message
Covid-19 Kenya: Is it fear or obedience?
March 31, 2020 | 0 Comments
By Samuel Ouma
Kenya is one of the countries grappling to contain the spread of coronavirus, a dreaded disease that is wreaking havoc on the entire world.
Fifty coronavirus cases and one death have been confirmed in the East African country since the first case was reported on March 13. In order to curb the spread of the virus, the government of Kenya has put in place safety measures the latest being dusk to dawn curfew.
The local authority had banned public gatherings; schools, pubs, churches and large markets had been closed, sports events and political rallies halted and international flights in and out the country suspended.
Kenyans have also been urged to work from home while keeping social distance, minimizing movements and practising high level of hygiene by washing their hands regularly using alcohol-based sanitizer or soap and water.
Cashless transaction has been encouraged after the mobile operators and local banks lowered the online transaction fees. Sending amount less than Ksh.1, 000 ($10) using M-PESA, a service provided by the dominant Telco in the country, Safaricom is absolutely free for the next two months among many others.
Number of passengers using a single vehicle at a time has been limited. A 14-seater vehicle is required to carry 8 passengers, 25-seaters to carry 15 and buses whose seating capacity is 30 and above is allowed to have 60-per cent sitting capacity.
While issuing updates on the virus on Monday, the Health Cabinet Secretary Mutahi Kagwe also asked those dwelling in Urban particularly Nairobi to halt all their travel plans to rural areas. He said urban to rural movements will expose the elders to the contagious disease.
In addition, those from the upcountry were told not to visit the capital until the situation is contained. Thirty four out of 50 cases are in Nairobi as per the report released by the minister.
“Those who stay in Nairobi should not travel up country during this period, statistics indicate that the elderly Kenyan population lives in the rural areas, we would like to urge those who stay in Nairobi to stay in Nairobi,” He said.
Something mysterious caught the attention of our team, which is in Nairobi. Our reporter on Tuesday toured the streets of the capital and the revelations will leave you in shock.
The ever busy streets were devoid of people and many shops were closed. The hooting of vehicles and loud voices of touts filled the air as the available people try to keep a distance from each other. All banks located in the city were opened, but the customers’ seats were half empty.
The next stop was at Gikomba market, Kenya’s largest hub for second hand clothes. The situation was more less the same. Many stalls were empty and the young guys who stand along the corridors hawking clothes were countable.
These are some of the responses from the business men and women from the market.
“Demands for our products are low, we hope the solution for this problem will be found and everything will be back to normal,” said kids’ attires seller.
His colleague added, “People have stayed away because of fear of attracting the virus. We have decided to take risk in order to feed our families and pay our bills.”
“This coronavirus is horrifying, the cases are creasing everyday and we don’t know who is next,” noted a fishmonger.
There were numerous spots for hand washing instituted by the entrepreneurs.
Kenyan neighbours Uganda yesterday declared a total lockdown for 14 days to control the spread of covid-19 which has been reported in 199 nations causing thousands deaths.
Angola, Senegal, Cameroon, Ghana and Nigeria among the most hard hit amid Covid-19 and oil price plunge
March 31, 2020 | 0 Comments
|The African Energy Chamber analyses the most vulnerable African countries amid the Covid-19 pandemic and low oil price.|
JOHANNESBURG, South Africa, March 31, 2020/ — Angola revises national budget and suspends CAPEX; Senegal’s first oil development faces debt arrangement challenges; Nigeria poised for a major revenue loss; Analysts predict Ghana will get half its projected revenue; Cameroon can expect to see a three percent drop in economic growth.
African oil-producing and reliant countries have been among the most hard hit by the COVID-19 pandemic and declining oil price. In particular, Senegal, Nigeria and Angola continue to face new challenges each day amid the threat of economic fallout.
In 2020, the Angolan government led by H.E. President João Lourenço, had set out to focus on economic diversification and uplift the country from nearly five years of recession. However, in the face of the oil price slump, the oil-reliant country has slowed the implementation of its planned economic reform strategy, which had included the privatization of state-owned companies and plans to reduce public debt to less than 60 percent of GDP by 2022 from approximately 90 percent in 2018 and, over 100 percent in 2019.
In response to the current market instability, the Angolan government which relies heavily on oil revenue has declared a state of emergency and made the decision to review its national budget. With this, it will object its budget on a reference oil price of $35 per barrel maximum – a significant cut from the initially drawn up $55 per barrel, Finance Minister Vera Davis de Sousa revealed on Friday, explaining that the country’s oil production is expected to tumble to 1.36 million barrels per day(bpd).
Further, Davis de Sousa shared that Angola would also be freezing 30 percent of its goods and services budget and its CAPEX would be suspended pending completion of the budget review. Meanwhile, the Angolan sovereign wealth fund has agreed to offer $1.5 billion on condition of future repayments through increased tax in the Bank of Angola’s growing debts.
“In this time, the Angolan economy will be best served by swift government action,” said NJ Ayuk, Executive Chairman of the African Energy Chamber. “With the finance minister already confirming that the country’s economy will shrink by 1.21 percent this year, signally a fifth year of recession, Angola needs a solid action plan that involves intense renegotiation strategies with domestic and foreign creditors, if it is to make it out on the other side,” he added.
Since discovering oil and gas in 2014, the West African country emerged as a major player in the global oil and gas industry, with it moving rapidly on setting up a new Petroleum code in 2019, creating new entities such as COS-Petrogaz and revising local content regulations. As a result, the country has enjoyed increased foreign investment and entry of international majors. However, global market turbulence has had a hard knock-on effect on Senegal’s promising oil future.
In particular, the country’s first oil development, the $4.2 billion Sangomar deepwater offshore project has suffered immense pressure as project partner FAR Ltd fails to finalize debt arrangements. Citing current environment as a major contributor, FAR said: “the company’s ability to close the Sangomar Project debt arrangements that were ongoing during this time have been compromised such that the lead banks to the senior facility have now confirmed that they cannot complete the syndication in the current environment,” adding that neither the junior nor mezzanine facilities that were being arranged will be able to be completed for the foreseeable future. Project operator, Woodside and partner Cairn, continue to explore other options to see through project development.
The current global environment also stands to slow down the country’s other activities in the sector specifically, the country’s first offshore licensing round which was launched earlier this year by the national oil company, PETROSEN as a means to further push the countries exploration and production.
Though the government is yet to share incentives for companies to continue activities, it has set up a fund to support the local economy.
“Senegal is undoubtedly one of the most promising oil and gas producers Africa has to offer. Led by H.E. President Macky Sall, the country is primed for new growth and investment. Despite what is happening in the global market, we hope to see Senegal build on its eight oil and gas discoveries, and enjoy first oil from the Sangomar oil field and first gas from BP’s Greater Tortue Ahmeyim LNG project,” said NJ Ayuk, Executive Chairman of the African Energy Chamber.
As it stands, Senegal has also seen Cairn Energy reduce its planned investment to below $330 million from the initial forecast of $400 million.
Nigeria is projected to suffer substantial revenue losses. With it having planned for an oil price of $57 in 2020, the low oil price presents massive struggles for Africa’s largest oil producer. To this point, Group Managing Director of the Nigerian National Petroleum Corporation, Mele Kyari said at a crude oil price of $22 per barrel, high-cost oil producers like Nigeria should count themselves out of the business.
To this, the Atlantic Council has predicted that COVID-19 would cause the country to suffer the biggest lost in the continent with $15.4bn, representing about 4% of the nation’s GDP, a fair assessment considering the country has over $58bn in oil projects set to suffer delays or cancellations.
Though the country is yet to announce incentives for continued oil exploration and production, it is set on protecting its oil production which contributes generously to its economy. Specifically, the country’s petroleum regulator has, according to Reuters, ordered oil and gas companies to reduce their offshore workforce and move to 28-day staff rotations in order to avoid the spread of coronavirus.
“Nigeria is at risk to suffer the biggest loss. With the low oil price pushing the country to cut its budget and companies to reduce their CAPEX, the global is waiting to see Nigeria’s next move,” said NJ Ayuk, “Although it is hard to see the light for Nigeria, with the commitment of companies and resilience of the government, the country can certainly weather the storm, “ he added.
The fall in oil prices coupled with COVID-19 has also had heavy impacts on Ghana’s oil industry, which has been on a path of steady growth for over 10 years since Kosmos Energy’s oil discovery west of Cape Three Points in the country’s offshore. And, more recently, Springfield Group’s historic 1.5 billion barrels.
Having set a benchmark of $58.66 oil price per barrel until the end of 2020, Ghana’s projected oil revenue is set to take a hit, with analysts already predicting the country will get half its projected revenue.
Oil production activity is also expected to see delays as Tullow Oil revises production targets and terminates the drilling contract with Maersk Drilling for the Maersk Venturer drillship offshore Ghana.
“If prices should stay around the US$30 mark, then the government is less likely to get half of the revenue that it projected. Already, we’ve seen Tullow cut back it’s production. So aside the international fall in crude oil price that we have to match with in selling our own bit of oil that we get as a country, production is also falling in our own shores,” said Paa Kwasi Anamua Sakyi, Executive Director at the Institute for Energy Security.
According to an analysis of the economic and financial impacts released by the Press Secretariat of the CEMAC Economic and Financial Reforms Programme, Cameroon can expect a three percent drop in growth in light of the global crisis.
Operations in the oil also stand to be affected with the country already seeing a turn. Specifically, with companies such as Tower resources declaring force-majeur on its development in the Thali block in the country’s offshore. The company also revealed that activity on the NJOM-3 offshore well may also be suspended.
Although the government has not announced any incentives for continued activity in the sector, it has acknowledged the non-oil commodities that will contribute the most to the country’s economic decline.
Now is an extremely challenging time for African oil development, the African Energy Chamber encourages Africa’s oil producing countries to adapt to the changes, implement incentives and plan for the future. This global crisis can only be worked through with continued commitment, support and collaboration.
*Africa Energy Chamber
Gambian leader Describes New Constitution as All-inclusive
March 31, 2020 | 0 Comments
By Bakary Ceesay
State House, Banjul, March 30, 2020 – President Adama Barrow has said that the new Constitution, premised on strong foundations and all-inclusiveness, will provide a safe haven for all citizens to enjoy the path to peace, freedom and prosperity.
The President made this remark in receiving the draft new Constitution presented by the Constitutional Review Commission (CRC) at the State House on Monday.
The drafting process took the 11-member Commission, headed by Justice Cherno Jallow, under two years to consult, draft, review and submit a validated new Constitution to His Excellency, President Adama Barrow.
The exercise was meant to provide Gambians with a constitutional framework to enjoy their rights as citizens of the country.
“This springs off from the belief that every Gambian should comfortably relate to the Constitution, and that our institutions must be structured for sustained performance,” President Barrow said at a ceremony attended by Speaker of the National Assembly, Chief Justice of The Gambia and a cross section of Cabinet Ministers.
He added that it would promote and nurture best practices, as well as to maintain the country’s values as a nation.
“Accommodating our diversity allows us all to enjoy the fundamentals of democracy, freedom and the rule of law,” he maintained, noting that the new Constitution will allow Government to focus on development, and create the environment for all to enjoy their citizenship and realise their full potentials.
The Attorney General and Minister of Justice, Abubacarr Tambadou described the submission of the new Constitution by the CRC as progress that is “most profound and satisfying” for him.
He said a number of Bills tabled before the National Assembly for enactment, on top of this new Constitution, will radically transform the legal landscape of the country, particularly with respect to the country’s criminal justice system.
“[It] marks another fulfilled promise to the people of this country. You promised a new Constitution within two years and you have delivered on your promise. It is now up to us, the Gambian people, to uphold our part of the bargain,” Aboubacarr Tambadou said.
In June 2018 the eleven-member Constitutional Review Commission was sworn into office and mandated to execute their assignment in two phases: First, to review the 1997 Constitution of the Republic of The Gambia and write a new Constitution; second, to prepare a report with regard to the new Constitution.
The CRC Chairperson, Justice Cherno Jallow reported that they adhered to these statutorily established functions and exercised their discretionary powers “in a fair and balanced manner”, bearing in mind at all times matters that it considered to be in the best interest and future of The Gambia.
“Constitution-building is a serious business,” said Chairman Jallow. “But it is also a herculean task, especially when the drafters of the new Constitution are confronted with tons of wishes and aspirations for inclusion in that Constitution,” he added.
Mr. Jallow said when President Barrow tasked them to review the 1997 Constitution, he was emphatic about the need to develop a Constitution that will serve the test of time. Hence they were grateful to be given both the strength and the commitment to achieve this for their country and as their leader expected of them.
Mozambique: President Nyusi declares state of emergency
March 30, 2020 | 0 Comments
By Jorge dos Santos*
Mozambique should be in a state of emergency from 00:00 on 1 April, for 30 days in response to Covid-19, mozambican president Filipe Nyusi announced on Monday night saying that he himself submitted the proposal to parliament hoping it should be ratified on Tuesday.
In a statement to the nation, Nyusi also announced new measures to be implemented in the framework of strengthening prevention against the new coronavirus. Mozambique has a record of eight confirmed cases, of which six were imported cases of the virus and two were transmitted locally.
The measures include 14 days obligatory quarantine for all people who have recently travelled outside the country or who have had contact with confirmed cases of covid-19; a ban on any public or private event, such as religious worship, cultural, recreational, sporting, political, associative, tourist or any other idol except for unavoidable issues of State or social;
The internal circulation of people in any part of the national territory has been limited as well as the entry of people at land borders, airports and ports except for reasons of State interest or transport of goods and merchandise related to health.
Nyusi also said that commercial establishments of entertainment or similar should be closed; There should be monitoring of the prices of essential goods for the population including those necessary for the prevention and combat of the pandemic; The industrial sector is now oriented to the production of inputs necessary to combat the Covid-19.
Sustainable fiscal and monetary policy measures should also be adopted to support the private sector to face the economic impact of the pandemic and to introduce labour turnover or other modalities according to the specificity of the public and private sectors as well as to ensure the implementation of the prevention measures announced by the Ministry of Health in all public and private institutions.
Nyusi admitted that, although the measures are phase 3, and not lockdown, they are extreme and called for people to obey unconditionally.
“Stay home and break the network of the disease spreading,” he said.
Equatorial Guinea shortlists companies for Key Energy Projects under its Year of Investment
March 30, 2020 | 0 Comments
|The decision was adopted during a meeting on March 19th, 2020|
MALABO, Equatorial Guinea, March 30, 2020/ — The Board of Directors of the Ministry of Mines and Hydrocarbons (MMH) of Equatorial Guinea has selected and revealed the key companies shortlisted for the execution of its landmark projects under its ongoing Year of Investment. The decision was adopted during a meeting on March 19th, 2020.
At Punta Europa, where most of Equatorial Guinea’s gas and energy activities are currently located, the country is building a modular refinery, storage tanks and a methanol-to-derivatives plant. Interested companies for the modular refinery include American oil company Marathon Oil, a Spanish-Russian consortium of Selquimica International with Engineering and Energy, and British company Rosslyn Energy.
The latter is also interested in the development of the Storage Tanks, along with British company Orange Resources Worldwide and the China Communications Construction Company.
Finally, the Methanol-to-Derivatives project has attracted the interest of South African company Pan African Energy, Nigerian company Bugabi Group, and Danish catalysis company Haldor Topsoe.
At Kogo South of the nation’s economic capital Bata, the second Modular Refinery project has attracted the interest of Egyptian company Petrojet, British company Rosslyn Energy, the Spanish-Russian consortium of Selquimica International with Engineering and Energy, and UAE-based SDLE International DMCC. Meanwhile, South African company Grindstone Resources and Omani company MSS LLC are both shortlisted for the gold refinery project and the Minerals Industrial Zone.
While the MMH is still registering interest from additional players, including Chinese companies, these are the shortlisted potential investors for these projects so far.
“Equatorial Guinea has postponed most investment conferences under its Year of Investment in 2020 due to the ongoing pandemic of coronavirus, but we keep working with our team and our partners on having all these projects break ground as soon as possible. These are landmark infrastructure development projects that will ensure the sustainable growth of our hydrocarbons and minerals industry, create jobs and generate income for the state and citizens for decades to come,” commented H.E. Gabriel Mbaga Obiang Lima, Minister of Mines and Hydrocarbons.
*African Energy Chamber