Total to Sell $20 Billion of Assets as It Raises Output Goal

Total HQ, France

Total SA, Europe’s third-largest oil company, plans to sell as much as $20 billion in assets to raise cash for oil and gas projects.
Total said it would try to sell $15 billion to $20 billion of assets between 2012 and 2014 to cement “active portfolio management,” according to a statement. Chief Executive Officer Christophe de Margerie said the outlook for cash flow gave the company scope to increase dividends and invest in output.
Total has increased the pace of acquisitions and asset sales in recent years to shuffle its portfolio and raise production. The French explorer is following BP Plc which has a target to sell $38 billion of assets by the end of 2013 and has completed about $32 billion so far. Total completed $15 billion of asset sales in 2010 and 2011, including in European refining capacity and shares in drugs maker Sanofi.
The French explorer has also pledged to step up and make “bolder” the search for oil and gas. This strategy has seen Total move into so-called frontier nations including French Guiana and Kenya, while continuing to invest in large production projects in Kazakhstan, Canada andAustralia.

Output Target

Total said today it expects to increase output an average of 3 percent a year from 2011 to 2015, compared with an earlier goal of 2.5 percent a year, according to a statement. Paris- based Total gave a longer-term target for the first time, saying production will reach about 3 million barrels of oil equivalent a day in 2017. This compares with 2.35 million barrels of oil equivalent last year.
“The production targets are a stretch,” said Stuart Joyner, an analyst at Investec Securities Ltd. in London. “It’s aggressive for a company with this portfolio and I wouldn’t be surprised to see them undershoot.”
Production fell 2 percent in the second quarter to 2.26 million barrels a day after a U.K. North Sea gas leak prompted the shutdown of the Elgin and Franklin platforms in March, while production in Nigeria and Yemen was also disrupted. Total said today it expects the field to start again by the end of the year.
“For the 3 million barrel a day target by 2017, you should note that 70 percent of the projects are either in production or in development,” said Patrick de la Chevardiere, Total’s chief financial officer, at an investor day in London. The company’s newer projects are more profitable than the rest of its portfolio, he said.

Bold Exploration

“Total’s bold exploration program is focused on high-risk, high-reward prospects, and new acreage has added to the potential for giant discoveries,” the company said. Total announced today it had acquired a 40 percent stake in the offshore Rovuma Basin in Mozambique from Petronas.
Total’s exploration permits in Angola’s Kwanza basin, Ivory Coast, Uruguay’s Block 14 and French Guiana are at the heart of the “mirror concept” of the Atlantic Ocean where geologists speculate reserves on either side of the South American and African coasts mirror each other, Total said today.
The French company plans to drill wells or prepare seismic studies on these permits next year and in 2014, according to today’s presentation. Another promising area is the foothills of Iraq, it said.

Beefed Up

“They’ve really beefed up their exploration and are taking more risk than in the past,” said Iain Reid, an analyst at Jefferies Group Inc. in London. “The Mozambique acreage looks promising.”
The company, which plans to accelerate free cash flow growth between 2015 and 2017, said the restructuring of its refining and chemicals division that’s under way will add $650 million a year to net results by 2015. Refining profits are about $60 a ton at present, de la Chevardiere said.
The Iraqi government hasn’t taken action against Total after the company agreed to take exploration acreage in the country’s Kurdistan region, de la Chevardiere said.
BusinessNews

Leadership: Key factor to a better Nigeria

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Orji Uzor Kalu
It gives me great pleasure to be here today to present this paper on Leadership: Key Factor to a Better Nigeria.
I am glad that Great Ife, as this university is popularly called, is contributing its own quota towards evolving a better country through this annual Professor D. A. Ijalaye Lecture Series. The Ivory Tower, apart from being the bulwark of imparting knowledge, should also be a veritable profiler and analyser of our national situation, so that workable solutions can be proffered towards the different malaise plaguing the country. I am glad OAU has not taken a back seat in this area.
At 52, there has been consensus of opinion over the years that the problem of our country is largely leadership. Professor Chinua Achebe put it succinctly in his seminal work. ‘The Trouble with Nigeria’, published in 1983: “The trouble with Nigeria is simply and squarely a failure of leadership. There is nothing basically wrong with the Nigerian character. There is nothing wrong with the Nigerian land or climate or water, or anything else. The Nigerian problem is the unwillingness or inability of its leaders to rise to the responsibility, to the challenge of personal example, which is the hallmark of true leadership.” Prof Achebe gave this lamentation almost 30 years ago. Before then, the same diagnosis had been made by many commentators about Nigeria, and till today, the same thing is being said. It means our country is in the grip of bad leadership, and until we extricate ourselves from that evil grip, we will not make much progress.
Dr. Nnamdi Azikiwe, in his 5th independence speech to the nation in 1965, noted that, “The leaders of our various communities are servants of the people of Nigeria. They were selected to strengthen the bonds of national unity. Their main task is to promote understanding among the various tribes of Nigeria. So long as they faithfully do this, so long shall they have proved themselves capable of enduring the complicated problems of leadership in Nigeria.”
It grieves my heart when disparaging remarks are made about leadership in Nigeria. And what makes it more tragic is that, usually, the remarks are true. Dr. Dozie Ikedife, former president of Ohanaeze Ndi Igbo had been asked his opinion on leadership in Nigeria by a newspaper a couple of years back. His response: “Please don’t make me cry. Nigeria has no leader.”
Don’t you feel like crying too at such comment? A country of about 160 million people, blessed with great natural and human resources, yet we have no leader. Sad. Quite sad.
Mr. Herman Cohen, one time United States Assistant Secretary’ of State for Africa, also had this to say about leadership in our country: “Nigerian leadership since 1999 has been disappointing.”
This kind of comment breaks one’s hearts. But the regrettable thing is that the comments are true.
But should we then stay in the valley of sorrow and despondency- bemoaning Nigeria’s fate forever? For 52 years, we have been lamenting. What then is the way forward? That is why I am glad that the Obafemi Awolowo University, Ile-Ife, is part of the search for solution, through a forum like this.
General Ibrahim Babangida in his 27th independence speech, in 1987, noted that his regime was in agreement with the principle that a leader who wishes to convert the people must commune with them. Such leaders, he noted, however, needs rebirth. They must themselves undergo a new mode of existence as well as share the same experience with the people.
Having established that leadership is a problem in our country, my approach in this presentation will be to look at the various definitions of leadership, and apply them to the Nigerian condition, and proffer solutions to the leadership problem.
DEFINITIONS OF LEADERSHIP
Robert K. Greendeaf in his book “The servant as a leader’ noted that “foresight is the ‘lead’ that the leader has, once he loses this lead and events start to force his hand, he is a leader in name only. He is not leading, he is reacting to immediate events and he probably will not remain for long as the leader.”
Also, James A. Autry, in his book. ‘The Servant Leader’, has this to say: “Leadership is not about controlling people. It is about caring for people and being a useful resource for people… Leadership is not about being boss, it is about being present for people and building a community at work… Leadership requires love. It is a calling, not just a job but a calling.”
Sometime in this country, we had a president who called himself a servant leader. Yes, President Umaru Musa Yar’Adua had a good vision, a good approach to leadership in Nigeria. He wanted to be a servant leader, somebody who will love Nigerians, and serve them with all his might. But there was a problem. His health. If my good friend, Umaru Yar’Adua had been healthier, he would have served Nigeria very creditably. But he died in office, and we are still where we are today, groping for direction, like the children of Israel in the wilderness for 40 years.
General John J. Pershing of the U.S Army, describes leadership this way: “A competent leader can get efficient service from poor troops, while on the contrary, an incapable leader can demoralize the best of troops.”
This shows that everything is about leadership. Even if the ‘followership’ has problems, is weak, reluctant or uncooperative, a good leader can marshal them out of stupor and lethargy. Sadly, we have not seen much of this in Nigeria.
Let me quote Professor Achebe again, in his treatise on leadership: “Leadership is a sacred trust like the priesthood in civilized humane religions.  No one gets into it lightly or unadvisedly, because it demands qualities of mind and discipline of body. Anyone who offers himself or herself or is offered to society for leadership must be aware of the unusually high demands of the role, and should, if in any doubt whatsoever, firmly refuse the promptings.”
Now I consider this quite weighty and thought provoking. Leadership is a sacred trust, just like the priesthood. In other words, you hold leadership at the behest of the people. Without the people’s trust and support, you lose the moral right to be a leader. Why then do our leaders roll out cocktails of anti- people policies, particularly in a democracy? Leaders must listen to the people, engage with them, and formulate policies that will promote their wellbeing.  Otherwise, such leaders betray the sacred trust of their offices and position.
Again, Prof Achebe says no one gets into leadership lightly or unadvisedly, because it demands qualities of mind and discipline of body. In other words, leadership is something you plan for, you get groomed for, and consciously go into. But in Nigeria, we see that such is not largely the case. Even when some of us tried to groom successors, we discovered that we were grooming monsters that were willing to kick us out of office before they learn the qualities of leadership. Let’s consider some of our past and present leaders, and how they ascended into office.
In 1966, the military struck through Major Kaduna Nzeogwu, and some other young military officers. At the end of it all, they could not seize the reins of power. It was Major-General J.T.U. Aguiyi-lronsi who became head of state. Did he prepare for power? No. It was just thrust on him by fate.
In 1976, the military struck again, through Lt. Col. Buka Sukar Dimka, and the head of state, the charismatic and inspiring Murtala Muhammed, was assassinated. The then Chief of Staff Supreme Headquarters, Gen. Olusegun Obasanjo, became head of state. Was he ready for the responsibility? No. In fact, according to Gen. T. Y. Danjuma, the then Chief of Army Staff, Obasanjo had to both be cajoled and threatened, before he accepted the responsibility of being head of state.
In 1979, Alhaji Shehu Shagari wanted to just be a senator. He ended as president, unprepared for the big task.
Chief Ernest Shonekan was a corporate chieftain al the UAC. Ruling Nigeria was the farthest thing from his mind. In 1993, he was drafted into office as leader of the Interim National Government (ING).
In 1999, Olusegun Obasanjo had just returned from prison, when he was drafted into leadership again. I remember he said: “how many ‘P’s do you want to make out of me? I have been President, I have been Prisoner, yet you want me to be President again.” Obasanjo ruled for 8 years, despite not being prepared to be president initially and even planned for a third term.
And, my friend, Umaru Yar’Adua? He had been governor in Katsina for 8 years, and according to him, he was preparing to go back to the classroom to teach Chemistry. Suddenly he was drafted to be president.
Goodluck Ebele Jonathan had become Bayelsa State governor when his former principal, D.S.P Alamieyeseigha was impeached. All he wanted in 2007 was to get a full term in office as governor. But he was drafted to be Vice President, and within three years, had become president.
Why does Nigeria get reluctant leaders? Is this country cursed or jinxed? Why do those who scrupulously prepare for leadership never get it? We know of Chief Obafemi Awolowo, “the best president we never had.” We know of Bashorun M.K.O. Abiola, the man who wanted us to bid farewell to poverty. We know of many others who had prepared and groomed themselves for leadership. They never got it. But the reluctant ones get shoved into office and power. What is the matter with Nigeria? Researchers in our academia, please help look into this, and tell us what the problem is.
The grand old African icon, Nelson Mandela of South Africa, says of leadership: “Lead from the front – but don’t leave your base behind.”  Again, Mandela says, “Quitting is leading too.”
Quitting is leading. Sadly, many African leaders do not appreciate and understand this. One of Mandela’s greatest legacies today, is the fact that he left just after one term. It has positioned him as a globally respected icon. But what do we get in Africa, particularly in Nigeria? Attempt to subvert the constitution, and sit tight in office. At great cost, we fought the attempt by Obasanjo to extend his term in office beyond 2007, after he had fulfilled the constitutionally prescribed maximum of two terms, not minding the fact that he had told Nigerians in his first independence speech as a civilian president in 1999, that “Political leaders, from the President to the lowest local government councilor, are invested with immense power. That power can be, and is often abused. It is the quality of compassion that imposes limits on the powerful, and compels them to realize that leadership that is not selfless service is hollow and not of God.” Till today, some of us are still paying heavy price in terms of economic losses, for stopping him from getting a third term.
We have also had sit tight rulers in other African countries, like Togo (Gnassingbe Eyadema), in Cameroon (first Ahamdu Ahidjo, now Paul Biya), in Gabon (Omar Bongo), in Zaire (Mobutu Sese Seko), in Libya (Muamar Qaddafi), and in many other countries. Why do they never learn the Mandela lesson?
“Quitting is leading too.” If you find yourself incapable of discharging the duties and responsibilities of your office, then quit. If the entire country is complaining about your tenure in office, quit. Throw in the towel. If the country is about to break into pieces under you, bow out gracefully. We must learn to quit when we are unable to discharge the trust, which leadership is. Quitting is leading too, according to Mandela.
In this great citadel of learning, I want to talk my heart out, but I’m constrained by time. However, permit me to quote some other notable experts on leadership, so that we might draw inspiration from them for our country:
Peter Drucker, in the forward to the Drucker Foundation’s “The Leader of the Future” sums up leadership this way: “The only definition of a leader is someone who has followers.” To gain followers requires influence.
John C Maxwell, in “The 21 Irrefutable Laws of Leadership” sums up his definition of leadership this way: “Leadership is influence – nothing more, nothing less.” This moves beyond defining the leader, to looking at the ability of the leader to influence others.
Warren Bennis’ definition of leadership is focused much more on the individual capability of the leader: “Leadership is a function of knowing yourself, having a vision that is well communicated, building trust among colleagues, and taking effective action to realize your own leadership potential.”
Roman Catholic Diocese of Rochester: For the purposes of the Leadership Development Process of the Diocese of Rochester, their leadership definition is “the process of influencing the behavior of other people toward group goals in a way that fully respects their freedom.”
Final words
I must not conclude without quoting a former House of Representatives member, and former two-time governor of Abia State, Orji Uzor Kalu, on leadership. In the book, “Orji Kalu: Leadership Lessons From A Master Strategist” yours truly is quoted this way: “In leadership, you can’t always run faster than the people you are leading… While a good leader should not be led by the people, he also must not ignore the people. There must always be a meeting point… I see leadership as both inborn and acquired through some form of tutelage or through experience. You can be born a leader. You can also be groomed as a leader.”
Again General Ibrahim Babangida in his 31st independence speech in 1991, noted that “We believe and do affirm that what the nation requires is a leadership that recognizes the problems at the roots of our national life; a leadership which decides to risk its will and reputation to solving these problems. We hold firmly to the belief that our Nigeria of tomorrow is precious enough for us to sacrifice our today.”
Ladies and Gentlemen, Moses groomed Joshua as a leader. Paul groomed Timothy. Jesus groomed the apostles. But sadly, many of our leaders in Nigeria are never groomed.   They just suddenly find themselves in power, and begin to grope in the dark. That is the problem with Nigeria.
Leadership is making a difference. It is treating people right. It is recreating yourself, accepting responsibility, matching your words with action.  Leadership involves having a clear direction, being a Chief Strategist, the ability to inspire hope, and being the Chief Servant.
Leadership is integrity, it is creating a positive image, it is having the right positive attitude. It is also about grooming people, and developing your successor. As it is said, there is no success without a successor. Nigeria currently has problem with many of these requirements on leadership. But we should not lose hope. Better days will come. We will get out of the wilderness; we will get to our Canaan, a land flowing with milk and honey. When we get leadership right, we will also get Nigeria right. The day will come. And we hope it will be soon.
We can have good leaders, if we so want. The truth about the life we live today is what Jimmy Cliff sang in one of his songs: “You can make it if you really want, but you must try, try and try, you will succeed at last.”
I thank you all for listening.
. Being a paper presented by Dr. Orji Uzor Kalu, former Abia State Governor, at the Professor U. A. Ijalaye Annual Lecture at the Obafemi Awolowo University on September 20, 2012.

The Sun

Nigeria’s monthly phone calls to hit N106bn – Investigation

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By BISI OLALEYE
Nigeria’s telecommunications subscribers monthly expenditure on mobile phone calls, according to checks, would soon hit a whopping N106.1 billion by the end of December, 2012. The call expenditure forecast is a conservative calculation based on the current industry Average Revenue Per User (ARPU) and the projection by experts in the industry that stipulated that active telecoms subscribers would have grown higher than what the telecoms companies currently have on their respective networks.
Former Executive Vice Chairman, Nigerian Communications Commission (NCC), Ernest Ndukwe, has predicted during the Nigerian Telecoms Awards, organized by Logica Group recently, that active telephone subscriptions in the country would surpass 105 million in the next three months, including December 2012. However, according to the latest statistics for the month of July 2012, released by the NCC, there are about 103 million telecoms subscribers currently on all the telecoms networks in the country.
While the industry ARPU in Nigeria was estimated at around N1,011, according to the Business Monitor International Limited (BMI), and subscriber base of 103 million in the month of July, the outgoings by Nigerian subscribers in July was conservatively valued at N104 billion monthly. ARPU is the financial benchmark used globally by telecoms companies to measure the average monthly or yearly revenue generated from an average subscriber. The expenditure increased from N100 billion in January 2012 when active industry subscriber base was estimated at 99 million by the NCC, to reach N104 billion in seven months after into the month of July when subscriber base hit 103 million.
With the industry projection by Ndukwe on the industry records,telcos will have 105 million active telecoms subscribers by the end of December, 2012, and with industry ARPU of N1,011, Nigerians subscribers are billed to spend an average of N106 billion monthly. The projected expenditure is also equivalent to the average monthly revenue from phone calls, which will accrue to the telecoms firms, including the Global System for Mobile Communications networks such as MTN, Globacom, Airtel, Etisalat; the Code Division Multiple Access operators of Visafone, Capcom (MultiLinks , Starcoms), dormant Zoom Mobile, as well as the fixed line operators.
Elaborating on the boom in subscriber growth since 2011 telecoms deregulation that was undertaken by the Federal Government, Ndukwe said no one was in a position to predict in those early days of GSM licensing, the full potential of the market and the speed at which the Nigerian telecom network would grow. However, he stressed that, “Today, the figure for active subscribers in the mobile networks is around 100 million lines and is likely to surpass 105 million by end of December 2012. “Nigeria has transited from what I described as the telecommunications dark ages before 2000 to a telecommunication revolution age that has opened up new possibilities and frontiers across our political social and economic landscape."
The Sun

Lokoja floods: Thousands of motorists stranded on Abuja-Lokoja road

Some of the travelers have been stranded in Lokoja for two days.
Thousands of motorists plying the Abuja-Lokoja road were struck on Saturday as a major section of the road was flooded.
Eye witness reports say hundreds of cars, commercial buses, and articulated trucks, travelling along the road stood still causing traffic congestion. The floods are reported to have started since Thursday but got worse by Saturday.
The worst hit part of the Lokoja-Abuja road, PREMIUM TIMES learnt, is the Adankolo, ganaja, and jameta bridge axis.
The flooding of the bridge has already caused some residents to go into canoe business, using canoes to ferry locals across the water.
Some motorists travelling along the road, who spoke to PREMIUM TIMES, towards Northern Nigeria said they would have to divert their vehicles to the dreaded alternative routes of Oturpo-Markudi or Ilorin-Morkwa.
However, the rush for the diversion has caused the link road to those alternative routes to be blocked.

Checks at hotels in Lokoja show that many of the rooms were booked, with hotel owners benefitting from the flooded road as several stranded travelers opted to spend the night in Lokoja, while the traffic jam continued. Some of the travelers lodged in Lokoja hotels since Friday evening when the heavy traffic commenced.
Hotels such as Nostalgia Hotels and Diato Hotels within Lokoja metropolis were fully booked.
The flood also displaced hundreds of residents in the city. Residents of Kabawa old market quarters in Lokoja were seen fleeing with property that could be salvaged from the flood, which has submerged several houses and left many people homeless.
Officials of the National Emergency Management Agency, NEMA, were seen at flood scenes trying to assist victims.
A NEMA official, who identified himself as Mallam Isa said efforts were being to see made to ensure that those displaced were taken care of.
“We were in Government house till midnight (early Saturday morning) trying to sort things out,” Mr. Isa said.
Mr. Isa said Kogi State authorities seemed overwhelmed by the magnitude and effects of the flood and have “issued a red alert statement to motorists and commuters to stay off the affected areas; and asked motorists to look for alternative routes.”
Premium Times

What Nigerians don’t know about IBB, Buhari’s oil industry management – David-West

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By AKEEB ALARAPE
The nation’s oil sector has got more than enough scandals in the last two years, with stunning revelations on how the resources of the country ended up in private pockets. Two-time former Minister of Petroleum Resources, Prof Tam David-West, took a retrospective look at how the rot started, in this no-holds-barred exclusive interview.
It’s nine months after subsidy removal. How would you assess this?
The country is worse for it because it is all fraud. If we are looking at the subsidy alone, President Goodluck Jonathan will know that he has performed very badly. I have documents to show that Jonathan was initially opposed to the figure Okonjo-Iweala gave him. I have the document. But it was slammed down his throat. I am opposed to subsidy and I have been vindicated. There is no subsidy. The government has even confirmed my position and that of Muhammadu Buhari. Before that time, the late Gani Fawehinmi had written a booklet on subsidy. The government has changed the figure of the amount they get from subsidy 10 times. I said this at the Gani Fawehinmi lecture. The figure has changed 10 times in quantum and like amoeba, changing its shape.
All the money Okonjo-Iweala claimed to have been recovered, were they lost in the first place? Okonjo-Iweala has only recovered the fraud. Later, she will say they are paying oil marketers over N500 million of subsidy. Let her organise a national debate that there is a subsidy and not a charade. If you forget about Tam David-West, can she also ignore an expert in oil and gas, Dr. Ngene Agbo, who was head of Petroleum Department at the University of Ibadan (UI) before? He is now in Dallas Texas.
He wrote, and it was published in the newspapers, that fuel must not cost more than N36 per litre. In fact, when they were to remove the subsidy on January 1, he wrote again that IMF asked them to do so. I have the document. So, there is no subsidy and the action of the government has shown that.
The bottom line is for government to build refineries. Nigeria could, at best, build 20 refineries in two years. The money is there. If we build at least five more refineries before Jonathan lives, petrol prices will come down because we are not going to import fuel anymore. That is the type of legacy he should leave behind.

Could you tell us about your relationship with Buhari and Babangida?
I worked with Buhari, but when Buhari was overthrown, Babangida brought me back. I was to come back to Ibadan, but Sani Abacha pleaded with me to stay. It was Abacha who made me change my mind. Abacha was my friend for over 30 years. We all served at Rivers State when I was commissioner for education under Zamani Lekwot.
He (Abacha) was the Brigade Commander and we were good friends till he died. Therefore, when Buhari was overthrown, I was brought back.  So, I know Babangida, I know Buhari. Any time I meet any new person in my life, as a friend, I do what I call personality profile. I will try to know the person’s strength and weakness. That profile guides me.
People will not know that I was closer to Babangida than Buhari. While Babangida called me a pet name ‘TD,’ Buhari called me Professor. My relationship with Buhari was very official; my relationship with Babangida was both official and personal. So, I was closer to Babangida than Buhari when I was in government. I never visited Buhari at Dodan Barracks, except for official purposes. I visited Dodan Barracks many times on unofficial purposes to see Babangida. His great wife, Maryam, in her grave, can confirm this.

How would you assess Babangida’s performance in the oil industry?
What I am going to say about both of them  is not because Buhari wants to become president or I am known to be an unapologetic Buhari supporter. I am not supporting Buhari out of sentiment but out of fact and figures. I had been talking about the mess in the oil industry in several newspapers interviews since 1994. I have been consistent about it. So, whatever I am saying about these two Nigerians I am saying it very objectively and without any regret and I challenge anybody to contradict what I am going to say.
Yes, the Babangida government ruined the oil industry. How did he do it? How many people in Nigeria know these dirty millionaires? Dirty millionaires because the money they are getting is dirty money. How many people know the conditions to lift the Nigerian oil? I mean strict conditions, which were there before Buhari. He was oil minister before and I also inherited the conditions. Nigerians will be shocked that one can lift Nigerian oil now as if one goes to market to buy palm oil or groundnut oil.
Babangida broke all the rules. Buhari operated them and I operated them during our time. Oil makes up over 90 per cent of all the money Nigeria has outside, that is foreign receipts. Also, oil makes up about 80 per cent of our annual budget. So, why must we be careless about it?
To lift Nigerian oil, these are the conditions set down, which Babangida broke. One, you must be an end user. By end user, it means we don’t give oil to people who will resell at Rotterdam. You must get a refinery. If you don’t have refinery, which you must or should, you should show a contract that you have a long time contract with a refinery at least 10 years. Then, you must deposit with the Nigerian National Petroleum Corporation (NNPC) three consecutive annual audit report of your company before you could be allowed to sign the contract to lift oil. This is to show that such company is healthy. Then, you must be prepared to pay a non-refundable $1million to NNPC as proof of good faith. All these rules were broken. No one in Nigeria even heard about them again.
Also, you must not sell to South Africa because of apartheid. Your company must show a staff strength of at least 20 people. These are the conditions you must fulfill before you can lift Nigerian oil. Babangida broke all of them under the funny name of liberaliaation. When he broke the rules, he made it easy for a lot of people to jump into lifting of Nigerian oil, to the detriment of the country. That was the beginning of the disaster. Why did he break the rules? Did he break them in the interest of the nation or in the interest of some people? I cannot prejudge. I leave him (Babangida) to his conscience and God. Secondly, all oil revenues must be paid into the Federation Account. Babangida broke that too. Why is that so? Every month, the Commissioners for Finance from all the states came to Lagos in those days; we always sat and shared the money we were paid.
Within the Gulf War too, while we had $1.2billion, Babangida established a parallel account that was called ‘Dedicated Account.’ The Dedicated Account was run by only himself and the then Governor of Central Bank, the late Alhaji Uba Ahmed. Ahmed was a very good man. I still honour him. But it was an executive decision. Nobody had a say on how the account was used. So, in addition to the Federation Account, that by law, all proceeds of oil must go into, Babangida set up a parallel account he called Dedicated Account, which he lodged extra $1.2 billion Gulf War windfall.
When the Gulf War started, I wrote an article that oil price would go up because it was all common sense. The oil market is very volatile. If there is problem in Iraq or Iran, the market fixtures say that oil that will come from those countries cannot come to the market.
So, there is artificial scarcity and oil prices go up. I wrote it then that we should invest the money to offset our foreign debts, as Kuwaiti did. Kuwaiti has one of the best oil management in the whole world. Another issue in the oil industry then was the increase in the price of fuel. Then, we started talking about subsidy. In Buhari’s time, we were exporting fuel in thousands of litres.
What would you say about rot in the oil industry, as regards operations of businessmen?
The Babangida government made it easier for them to have their ways in the camouflage of allowing indigenous participation. Indigenous participation is good but in what form? Oil industry is a very expensive business. I once told the late business mogul, M.K.O. Abiola, in those days that with all the money he had he could not build a refinery on his own. I told him he has to get foreign partners with him for support.
No Nigerian millionaire could build a refinery, as at that time. I don’t know what is operating now. So, the result of what Babangida did is that corruption became rampant. I have no evidence to say Babangida himself is corrupt, but his government’s activities suggested that a lot of things done then increased corruption.
Another thing he did was that the Federal Executive Council (FEC) used to meet every Wednesday. It was sacrosanct. In Buhari’s time, the federal executive met regularly every week. Babangida stopped it. What I am saying can be supported with facts and figures. I can face the world with them. Babangida cancelled weekly meeting of the federal executive council, where decisions were taken for the country. It was like saying the parliament may not meet but the president can issue laws. That was what it means.
The federal executive only met when he (Babangida) wanted it to meet. I have evidence to show that. There are also great men and women that served with me and can confirm whether what I am saying is true or not. Ministers were asked to come down to seek approval for contracts. Any contract up to N10 million could be discussed with Babangida personally. They didn’t need to discuss it at the weekly federal executive council. Just come down to him and discuss.
All I am saying are true and I stake my honour on them. Anybody can check this fact with ministers that served at the time I am talking about.  For us then N10 million was a lot of money. So, if a minister had three contracts to discuss, that would be N30 million. Just a discussion between a minister and the Head of State; both agreed and just go.
What attempt did successive governments made to address this?
You see successive government also saw the bad sides of the disruptions but they could not stop it because they benefited from it. The solution is for Nigerians not only to talk but to act. They should stop voting against their conscience. They should look at the candidates and reject any candidate that has a history of corruption. If a corrupt candidate gets to power, he will form a confraternity of corrupt people and they steal more and more of Nigerian money.
Are we not ashamed that Nigeria cannot pay N18, 000 minimum wage, yet the same country is paying N1 billion for food allowance of the President and Vice-President from the oil money? To me, with good leadership, all these would stop. What is good leadership? A leadership that harnesses the blessings that God has showered on Nigeria, for the benefit of Nigerians, is a discipline leadership. A good leader is the one that cares for the ordinary man and not the big man.
Why is this so? It is the nature in every society, whether America or Africa, anywhere, the poor people are more in numbers than the rich people. That is what I would call the social pyramid. Every community is structured like a pyramid. Only a few people are on top. As one is coming down the pyramid, one is confronted with army of the people.
So, the poor people in every community are the numerous and at the bottom of the pyramid. Therefore, if you do something that helps the poor, you are doing the work of God. If a leader makes policies that make the people happy, such leader is doing the work of God because God loves poor people so much that he creates so many of them everywhere.
Why are you an ardent Buhari supporter?
Buhari is one of the cleanest men I have ever met in my life. If anybody wants me to dislike Buhari, such person should give me an example of his corruption. I will run away from him totally. But right now, there is no evidence. On the contrary, the more they attack him on this issue of corruption, the more they are making him Gold bier. I will give two examples.
One, Babangida thought Buhari was making a lot of money on counter trading, so he set up two independent bodies to investigate counter trading. One of the bodies was headed by J.K. Randle, while the second was headed by Prof. Aboyade of blessed memory. None of them found anything against Buhari. None. I attested before the two bodies.
Great Aboyade commission was digging into Buhari’s counter trading, J.K. Randle, who’s still alive, did the same thing. But both of them produced reports that showed that counter trading was so clean and was making so much money for Nigeria. Then two, soon after Obasanjo was sworn in, there was a social function for him in Lagos or so, then surprisingly, some people tried to praise Buhari, Obasanjo said: ‘don’t praise him, I have not probed him.’ It was after that incident that Obasanjo set up Dr. Haroun’s probe panel of the Petroleum Trust Fund (PTF). Haroun probed PTF inside out.
Buhari was discovered to be as clean as snow. You know, why he agreed to be the head of PTF was not to condone what Abacha was doing then, but he saw it as a way of serving the country and he did well. I have the record. Haroun came out and said PTF account was audited every year while Federal Government account was not audited in 36 years.
You know Babangida detained Buhari for 40 months after he overthrew him. Buhari’s mother died while he was in detention and as a Muslim, I expected Babangida to rise above politics and allow Buhari to go bury his mother. If he was released, I am sure he wouldn’t have run away. Buhari was not allowed to go  bury his mother. But in the night after the woman was buried, Babangida released Buhari. His son died, the same thing happened.
Anyway, after Buhari came out of detention, he told Babangida to tell the world about his corruption. The records are there. The same thing happened with the PTF. He told Obasanjo to publish the report of the panel, but Obasanjo could not publish it because it was a certificate of honour for Buhari. If that Haroun’s report had any page in it that indicted Buhari, Obasanjo would have used that to disqualify Buhari from contesting against him.
Buhari is clean. He is not corrupt. To show how Buhari loves Nigeria, he doesn’t like spending Nigerian money frivolously. When he overthrew Shehu Shagari, Buhari never changed any chair or curtain in Dodan Barracks. Buhari used what Shagari was using until he left.
As minister, our total pocket money under Buhari was N200 per month. You could spend less than N200 without accounting for it, but anything above N200, you must account for it. When he increased the money to N250, we clapped for him at the executive council.
Now, as a former governor of the defunct north-eastern state, former minister of petroleum, former head of state, former executive chairman of PTF, Buhari has no house in Abuja. If he goes to Abuja, he stays in a private hotel. He has no house either uphill or downhill, apart from his house in Kaduna.
What’s your view about money paid to ex-militant leaders to secure oil pipeline?
I read the story and the justification of Asari Dokubo on the money. I read all the rubbishes on it. You see, Jonathan cannot be a better Niger Deltan than me. In the case of Niger Delta militants, I have a curious position. Asari Dokubo used to be with me here in Ibadan. I have a book coming out on him. He changed from Christianity to Islam to qualify him for training in Libya. I have the document. Soboma, who died, was also my cousin.
So, I was surrounded by ex-militants. I cannot do anything against them, which is not proper. But is it right for Jonathan to have paid that money to Dokubo, Tompolo and Ateke Tom? If Jonathan has done some research he would know that Asari Dokubo has no followers anymore. He claimed he has 4, 000 people. Did Jonathan tell him to bring out that 4, 000 people? I know that the other time Asari Dokubo went to Port-Harcourt, he hired people to follow him. My book is coming with more details on this.
On the surface, what Jonathan has done looks as the right thing but if one digs down into it, it is very questionable. It is a good idea to get local militants to secure oil pipelines, but there is this other question. First, they are paying them millions. Asari Dokubo is collecting N9 million for 4, 000 followers. But did Jonathan see this 4, 000 personnel or their list? I am saying as of now, Asari Dokubo has no followers. His people fought against him and they had left him. So, to me, all the principles on the surface are attractive but when one looks at the nitty-gritty, it is questionable.
Asari Dokubo has never got a paid job in his life. He dropped out of the university twice, first at the University of Calabar. So, what message are we sending to the younger generation? That if they take arms against their country and fellow countrymen, they will be compensated? A vice-chancellor salary is about N1 million now and a dropout is being paid N9 million.
Ateke Tom is now permanently in Abuja. Has Jonathan confirmed how much control he has in the Niger Delta area? The only person that I can say has presence in the area is Tompolo. So, the government should come out with facts and figures on this action. Secondly, the President is indicting himself. He is the Commander-in-Chief, as the Chief Security Officer of Nigeria. The constitution says the security of individuals in the state is strictly the responsibility of the state. Is the President saying that the SSS, the Army, the Navy, the Air Force and all other security bodies in the country cannot do what Asari Dokubo and the rest are doing? Why can’t they complement one another?
What do you think of Jonathan?
Let me say what I have said repeatedly. I have nothing personal against President Goodluck Jonathan. I have never met him before and I don’t know whether I want to meet him. But the problem with him is that he believes so much on praises of sycophants. According to Senator Fulbright, an American statesman, in his book, ‘The Arrogance of Power,’ he said to criticise one’s country (leader) is to do it a favour or also pay it a compliment.
It is a favour because it will make the leader to do better than he is doing. It is a compliment because it expresses a belief that he can do better. So, if I say he is not doing well, I expect him to do better. I have already complimented it, that he has the potentials to do better but he is not doing well. So, criticism is more act of patriotism than mere adulation.
Whatever areas I take to score Jonathan, I will not give him a pass mark. Security is worst in our history. Corruption is the worst. In fact, corruption is worst now.  I don’t need anything from Jonathan as a person. All I need from him is to do well, so that the Ijaw will be proud. Another thing is that after Jonathan, an Ijaw man will not smell Aso Rock in our lifetime.
Why would they allow an Ijaw man there when the first one they gave to us, messed it up? Long and short, Jonathan has not done well. If Jonathan is an examination paper for me to mark, in A grade, he is out. I will not give him B; I will not give him C. I will give him D. The totality is that he has not done well and the earlier he realises this the better.
What would you say about South-South forum?
The south-South forum or Southern Peoples Assembly is nonsense. As far as I am concerned, the people there are knowledgeable people, but I can’t help feeling that the groups were formed to collect money from Jonathan. When Odili was South-South president, the same Edwin Clark and the late MT Mbu were at loggerhead, leading two groups of South-South assembly.
Now, the South-South said it has endorsed Jonathan for 2015 and he is clapping? They don’t like him. Anybody that can say that to him is an enemy based on these reasons. One, he has spent only the second year of the first term. Any Ijaw man that wants to help you should make you to perform very well now.
Are you saying you don’t support President Jonathan’s plan for 2015?
He is going to fail. I can swear before Almighty God and all the things that Ijaw people believe, I have heard knowledgeable Ijaw people say he should not try it; it’s not good for us. Already, the country is more split now than ever in our history. The dichotomies are showing more and more now. If a minority man has come, he has a sacred duty to put it together.
One of the greatest speeches in our history is Tafawa Balewa’s speech in the Parliament entitled ‘Unity in Diversity.’ It was a fantastic speech. That is what the President is supposed to do, so that when he leaves another minority man would have a chance. Right now, if Jonathan leaves another minority man, especially an Ijaw, would not have a chance, because he has messed it up. If he is doing well, does he need the South-South Forum to tell him that he is doing well? If he is doing well, the whole country will tell him that he is doing well. He doesn’t need a South-South Forum.
The South-South Forum is a disadvantage for him. Why is it that the South-South Forum is endorsing him for 2015? He should sit down and think. If he is doing well, I will be the first to write an article to praise him. I can even go to Abuja to congratulate him.
The Sun

Northern Reps plan to throw out PIB

by John Ameh

Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke

Efforts to pass the Petroleum Industry Bill into law may be scuttled at the National Assembly as findings indicated on Sunday that members of the House of Representatives from the North had resolved to “kill” it.

The PUNCH gathered that the lawmakers had reportedly taken a position to use the “majority block vote” of the region, cutting across political party lines, to defeat their colleagues from the South.

Southern lawmakers are the most vocal supporters of the bill, a signal to how they will vote when the contentious bill is debated on the floor of the House.

The North has a superior numerical strength over other parts of the country in the House.

The North-West, North-East and North-Central have a combined membership of around 191 out of the 360 legislators.

Members are already studying the bill ahead of an expected “stormy debate.”

However, The PUNCH learnt that the northerners would approach the debate with a “ready position” to oppose the PIB.

Investigations indicated that at least 51 lawmakers from the North travelled to Accra, Ghana, during the just-concluded annual recess of the House to hold a conference on the PIB.

“There were 51 members on the team that went to Ghana; one of them is a principal officer of the House.

“Their mission was to dissect the bill and take a position on it. Their position is simple, to throw out the bill”, a senior legislator, who knew about the conference, disclosed to The PUNCH in Abuja on Sunday.

It was gathered that the 51 lawmakers, said to be “outspoken”, were allegedly carefully selected to argue the position of the North during the debate.

Investigations showed that the northerners feared that the PIB was a ploy to deny them the benefits accruing from the oil and gas industry by “concentrating the sector in the hands of programmed private interest groups.”

He said, “They are also not comfortable with the messenger of the bill (Minister of Petroleum Resources, Mrs. Deziani Alison-Madueke), who has vested awesome powers in her office, using this bill.

“The PIB has given the minister so much power to decide everything that will happen in the proposed unbundling of the sector.

“Looking at the bill, the minister has more powers than Mr. President. In any case, they have never liked this minister.

This is coming on the heels of promises by the Speaker of the House, Mr. Aminu Tambuwal, that the passage of the PIB would be one of the major engagements of the House this legislative year.

“Consistent with the Legislative Agenda of the House, there are bills that the House should attend to expeditiously.

“Such bills include constitutional amendment bills on the budget; the Petroleum Industry Bill, review of the Police and Security Agencies Acts, Bills to deal with unacceptably high unemployment situation in Nigeria,” the speaker had stated in a speech to welcome lawmakers from the recess on September 18.

When the views of the Chairman, House Committee on Media and Public Affairs, Mr. Zakari Mohammed, were sought, he said it was “not true” that northern legislators had resolved to kill the bill.

Mohammed told our correspondent that he expected that all members would comply with the speaker’s call to consider the PIB as a “very important bill to our economy.”

He added, “It is not true that any group has resolved to kill this bill; we have all agreed that this is an important bill that has to be passed.

“However, we won’t pass it the way it came.

“We will discuss it dispassionately and pass it, bearing in mind the fact that this bill is very important to Nigerians.”

It will be recalled that after facing several hiccups at the sixth Assembly, the PIB passed first and second readings at the House but was thrown out at the Committee of the Whole.

The highlights of the bill include the power vested in the Minister of Petrolum Resources.

For example Section 5 of the bill states, “The Minister of Petroleum Resources shall be responsible for the co-ordination of the activities of the petroleum industry and shall exercise general supervision over all operations and all institutions in the industry.”

Section 116 of the bill, which makes provision for the establishment of the Petroleum Host Communities Fund. The fund, according to the bill, will be used for “the development of the economic and social infrastructure of the communities within the petroleum producing area.”

The Punch

2015, GOVERNANCE AND POLITICS

NOT less than 20 of the 40 ministers in the cabinet of President Goodluck Jonathan are reported to be oiling their political machinery in readiness for the 2015 elections. They are believed to have their eyes on the governorship of their respective states. It cannot be a moot point that the pursuit of the governorship aspirations of those cabinet members will, in their scale of priorities, take precedence over their ministerial duties. The direct corollary of this is that they have not been giving their best in their different portfolios. The decision of the President to ask each of the ministers to sign a performance contract cannot be unconnected with their level of performance which he must have found less than satisfactory.
ALSO recently, a former Nigerian ambassador to Switzerland, Mr Yahaya Kwande, who is a prominent member of the ruling People’s Democratic Party (PDP), was reported as saying that a political pressure group, the People’s Democratic Movement (PDM), was being revived to checkmate the alleged plan of Jonathan to contest for the Presidency in 2015. Kwande was quoted as saying that Jonathan had to find another political platform other than the PDP if he wanted to vie for the Presidency when his current term expires. And on their own part, Jonathan’s supporters have at different times , harped on his constitutional right to seek a second term in office. There have been similar reports of comments, arguments and political activities which convey the impression that the primary focus of the political class is power and not service.
POLITICS in Nigeria of today appears to be assuming a totally different dimension from what it should be. It is no longer being seen as a periodic activity for the purpose of taking control of political power so as to render service to the people. The utterances and conduct of so many politicians in present-day Nigeria strongly suggests that their mission in partisan politics is not power for the purpose of governance but for personal aggrandisement. There is a glaring indication that Nigerian politicians are becoming unabashedly preoccupied with selfish rather than people’s interests. Politics is being played as if it is an end in itself and not a means to an end.
IT is worrying that Nigerian politicians are yet to put the 2011 elections behind them. While those who lost out at the different levels of the electoral process are still bellyaching, those who emerged victorious are gloating over the sweetness of their electoral success. The direct consequence of this is that less than necessary attention is being given to the primary business of governance. At the different levels, the approach to governance has been largely lackadaisical as the sharing of the spoils of office appears to be on the front burner. The opposition, on their part, have not been coming up with constructive ideas that can present them as viable alternatives. Political affiliation is not based on the programmes and policies of political parties but on whatever platform can offer the brightest chance of electoral success.
SINCE return to civilian administration in 1999, the delivery of the dividends of democracy has been one cliché that is being constantly mouthed by politicians in the course of their stump speeches. The prevailing state of affairs has shown a near-total failure to deliver on the promises made. The expected improvements in the various facets of national life have not materialised. The bulk of available resources has been ending up in the pockets of a handful of people. In the midst of excruciating poverty, a tiny minority lives in obscene opulence. The unrestricted access to the treasury remains the major attraction to political power and this is why the struggle for political offices has become desperate and ruthless. In spite of the resources at the county’s disposal, the vast majority of the population lives in squalor.
IT should be a matter for serious concern to the current political class that the first and second republics, which were roundly condemned after their overthrow by the military, have now become reference points in political organisation and good governance. The politicians of those days played politics during election periods and devoted their time to governance thereafter. Nothing was hidden from the public about what they earned as salaries and allowances. The situation today is a complete contrast. Governance has been relegated to the background because political office holders have chosen to commit the greater part of their time to political calculations and intrigues. Preparations for the next election now take the pride of place to the detriment of the primary purpose of politics which is service to the people. The resources that should be committed to the welfare of the people are being used to secure and sustain political support.
WE fervently hope that the political class will accord governance the deserved priority and elevate service above self. 2015 is three long years away. The political intrigues that emanate from nocturnal meetings will not serve the people’s interests. Only efficient management and dedicated service can bring about the desired development.
Tribune Editorial