The black-tie event began with eclectic music and conversations for the evening, as the night opened up to a warm cocktail reception for guests and well-wishers of the distinguished; Oil Producers Trade Section (OPTS).
The noteworthy event was graced by dignitaries, captains of industries, chief executives, past and present chairs of the OPTS, and many noble guests present, to celebrate a huge milestone for a prominent sector. Fondly denoted as the oldest and most active subgroup of the Lagos Chamber of Commerce and Industry (LCCI), the recognition of the sector over the years dates back to the fledgling years of Nigeria’s sovereignty and its outstanding role in the oil and gas sector in Nigeria.
In attendance, was the Vice President of Nigeria, Prof Yemi Osinbajo SAN; President of the LCCI, Dr Michael Olawale-Cole; Group CEO, NNPC Limited, Mallam Mele K. Kyari; Chairman of the OPTS, Mr Rick Kennedy as represented by Mr Osagie Okunbor; Immediate past chairman of the OPTS, Mr Mike Sangster and the first indigenous president of the OPTS, Dr U.J Itsueli.
The milestone anniversary event examined; the historical perspective of the OPTS, its strengths and challenges, and opened up conversations about the future of the industry and renewable energy sources.
The Vice President, Prof Yemi Osinbajo, gave the leading conversation for the night while speaking on the Theme: Transitioning to Green Energy. In his speech, the VP examined the most consequential global subject of Climate Change and aligned with the leading proposal for countries and corporations to gradually reduce the use of high pollutants and alternatively, use renewable energy.
With a target date set at 2050 for most countries, the Vice President alluded to the disparity in the extended target date for Nigeria at 2060 for a number of reasons. In his speech, the Vice President underscored that unlike wealthier brother-countries in the global north, the developing world is faced with two, not one crisis – Climate Change and Extreme Poverty. He explained that there is a need to take into consideration, the peculiarities of African and developing countries when making a clear distinction between present reality and future possibilities of renewable energies.
A further dive into the speech and a noteworthy addition to the conversation revealed that African countries are the least emitters of Carbon today – with less than 1 per cent of cumulative CO2 emissions. He opined that: “We are the least emitters and not the worst emitters. Even if we tripled our emissions.”
Speaking on a way forward and the nation’s plan to reduce the use of high pollutants, Prof Yemi Osinbajo remarked:
“So far, our response plan has been the Energy Transition Plan. A comprehensive, data-driven and evidence-based plan to deal with the twin crises of climate change and energy poverty. The plan recognizes the role that natural gas must play in the short term to facilitate the establishment of baseload energy capacity and address the nation’s clean cooking deficit in form of LPG”.
The nation’s Vice President closed by saying that we must take quick and informed actions in our National interest. He reiterated that this includes: 1) Greater involvement in the crucial conversations to zero emissions and; 2) Getting involved in climate finance – especially the voluntary carbon markets.
The Group CEO of NNPC Limited, Mallam Mele Kyari as represented by Mr Dapo Segun, the Group General Manager, Treasury, NNPC Limited, delivered another leading conversation for the night.
Speaking on the way forward and growing investors’ confidence, the CEO began by highlighting the organization’s bold aspirations of becoming a dynamic global energy company. Pointing to the fact that this is fully reflected in its new corporate identity. In addition, the company boss reiterated the company’s firm focus on investing to grow production of oil and gas. However, more importantly gas and gas infrastructure development, while creating linkages to the market and expanding midstream value-adding opportunities.
As an additional value statement, Mallam Kyari, highlighted to future stakeholders and investors, the new Governance framework, which provides the company autonomy and opportunity for self-accounting.
Other noteworthy speeches for the night include, the speech delivered by the Chairman of Dubri Oil Company Limited and first indigenous Chairman OPTS Dr U.J Itsueli on: A Historical Perspective of the OPTS & the Future of the Industry.
Speaking on the fate of the oil industry, the former chair was confident in his projections that oil will be with us for quite a while, however, the way we handle it is going to change.
He emphasized the impact of oil in the agricultural sector for use in fertilizers, pesticides, solvent for plastics etc.
He however opines that the hopes of the oil industry surviving the future lie with the Petroleum Industry Act (PIA).
The remarkable evening ended with a vote of thanks by the Executive Director, OPTS Mr Bunmi Toyobo.
In his address, he thanked all distinguished guests and personalities present for joining the business event organized to mark the 60th anniversary of the group.
The ED closed by saying: “This celebration is to demonstrate our abiding faith in Nigeria as a group and belief in the boundless growth potentials of our country, given the enabling environment.”
Awards were presented to past and present chairmen of the OPTS – in recognition of their outstanding contribution to the Oil Producers and Trade Section.
About the OPTS
The OPTS began modestly in 1962 with only three founding member companies (Chevron, ExxonMobil, Shell).
A subgroup of the LCCI, the group was formed in response to the burgeoning oil and gas sector following the discovery of oil six years earlier in 1956.
Over the decades, it has evolved from an organization initially dominated by international oil companies to an all-inclusive 29-member group, out of which 21 are indigenous and home-grown.
Among other things, the OPTS is guided by the following principles:
- Observance of laws and regulations
- Integrity in business
- Health, safety, and the environment are all important considerations
- Social accountability
As a group, OPTS member companies account for about 90% of Nigeria’s oil production and contribute significantly to the domestic and export gas production and supply. Over the last decade, OPTS member companies accounted for 40-60% of government revenue and 85-95% of export earnings.
OPTS members have continued to invest in individual and group skill development to support exploration and production activities and strengthen the supply chain. This is in addition to a strong social investment program that spans Nigeria, with a focus on host communities.
