THE NATION WEDNESDAY, JANUARY 25, 2012
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BUSINESS NEWS Flight Schedule MONDAY - FRIDAY LAGOS – ABUJA Departure Arrival 1. Aero 06.50 08.10 2. Associated 07.00 09.30 3. Air Nigeria 07.00 08.20 4. IRS 07.00 08.20 5. Dana 07.02 08.22 6. Arik 07.15 08.15 7. Chanchangi 07.15 8. Air Nigeria 08.15 09.35 9. Dana 08.10 09.20 10. Aero 08.45 10.05 11. Arik 09.15 10.15 12. Chanchangi 10.00 11.00 13. IRS 11.15 12.35 14. Dana 12.06 12.26 15. Aero 12.20 13.30 16. Air Nigeria 13.25 14.45 17. Chanchangi 13.30 14.30 18. Arik 13.45 14.45 19. IRS 14.00 15.20 20. Aero 14.10 15.30 21. Air Nigeria 14.50 16.10 22. Dana 15.30 16.50 23. Chanchangi 15.30 16.30 24. Arik 15.50 16.50 25. Aero 16.00 17.20 26. IRS 16.30 17.50 27. Arik 16.50 17.50 28. Dana 17.10 18.30 29. Chanchangi 17.30 18.30 30. Air Nigeria 17.35 18.55 31. Air Nigeria (T/TH) 18.30 19.50 32. Arik 18.45 19.45 33. Aero 19.20 20.40 1. 2. 3. 4. 5. 6. 7. 8.
LAGOS – BENIN Arik 07.30 Associated 08.30 Aero 10.50 Arik 11.45 Associated 13.00 Aero 14.25 Arik 15.30 Associated 16.00
1. 2. 3. 4.
Arik Aero Arik Aero
1. Arik 2. Aero 1. 2. 3. 4.
LAGOS – CALABAR 07.30 11.20 12.50 16.00 LAGOS – JOS 10.55 11.15
LAGOS – KADUNA Aero 08.00 Chanchangi 10.00 Arik 10.00 Arik 15.10
08.30 09.10 11.50 12.45 13.40 15.20 16.30 16.40
Business, Kingsley Ojoh, said: “It is important to note that we must explore if we want to continue from where we stopped. Exploration is the key to this country’s future, it is important for exploration to be encouraged, because there is need for replenishment.” He said: “We were doing over 60 wells post independence, up till 1970 and now there is decline. What is going on is catastrophic. Exploration is going down because those wells you are seeing were based on exploration we have done in the past. If we don’t start aggressive exploration now, and delay putting them on stream, we have a future that may be jeopardised. “I don’t want to be the last generation that will experience exploration in Nigeria; there is necessity for the authority to take a decision that will harness instant exploration.There is need to promote aggressive exploration because production is cash flow basically, but exploration is the future. Compared to Brazil, Nigeria’s future is not as easy because there has been no reserve replacement.”
In his presentation, Onyejekwe said Shell has done a lot of investment in the industry including pioneering some technologies that have significantly boosted the industry performance, but noted that there is need for a stable operating environment. Onyejekwe said: “Investors don’t like uncertainties. They want stable terms and conditions. That’s particularly true in energy, where projects lead times are sometimes 10-year long and facilities operate for decades. Investors need the rule of law and respect for contracts, rules that allow investors to compete fairly in the market. They want good incentives and fair balance risks and rewards. “I believe the Petroleum Industry Bill (PIB) is central to Nigeria and in particular to deepwater offshore exploration and production activity. Recent events suggest that the government is about to redouble efforts at getting the PIB passed. This is good news. An investment-friendly bill will enable substantial coordination, will hold immense and enduring benefits for Nigeria, the oil and gas industry and of course Shell.”
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09.10 11.00 11.10 16.20
LAGOS – OWERRI Aero 07.30 Arik 07.30 Air Nigeria 13.40 14.00 Arik Arik 16.30
08.40 08.40 14.55 15.10 17.40
1. 2. 3. 4.
Arik Aero Arik Aero
LAGOS – WARRI 08.15 11.50 11.55 14.55
09.1 12.50 12.55 15.55
1. 2. 3. 4. 5. 6.
LAGOS – KANO Air Nigeria 07.10 IRS 08.00 Dana 08.10 Arik 12.20 IRS 14.00 IRS 18.15
08.50 09.45 09.40 14.00 15.45 19.55
LAGOS – OWERRI 07.20 14.00 16.30
08.30 15.10 17.40
LAGOS – UYO 10.35
11.35
LAGOS – MAIDUGURI 1. IRS 11.15 13.15 2. Arik 15.50 18.00 LAGOS – ILORIN 1. Overland 07.15
By Emeka Ugwuanyi
HE Basel III bank reforms in the works probably won’t prevent banks taking on excessive risk because they are too soft at influencing behaviour, the Governor of the Central Bank of Nigeria (CBN), Mallam Lamido Sanusi, said on Monday. Pointing to Nigeria’s own reforms, Sanusi told Dow Jones that regulators around the world should force banks to change, rather than trying to nudge them through measures such as higher capital requirements. He also said the Federal Government’s fuel subsidies aren’t “sustainable” because they foment corruption and deplete government coffers. Labour unions in a nationwide strike which began January 9, shut banks, businesses and ports, as petrol prices more than doubled from N65 ($0.40) a litre after the government scrapped fuel subsidies. The strike was suspended on January 16 after President Goodluck Jonathan reduced petrol-price to N97 a litre. The subsidies cost the government $8 billion last year, equivalent to all the revenue it received from the oil industry, Sanusi said during a speech in London.
12.15 12.45
1. 2. 3. 4. 5.
1. Dana
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PERATORS of the oil and gas industry in the country have expressed concern over the declining investment in the upstream sector of the industry, describing the situation as catastrophic. The level of investment in that sector, according to them, doesn’t guarantee energy for the future and that of oil and gas industry in the country. They noted that it is not in the interest of the country to deplete its oil reserves through continuous use without replenishment. Speaking at the four-day Offshore West Africa Conference and Exhibition (OWA 2012), which started yesterday in Abuja, the Managing Directors of Shell Nigeria Exploration and Production Company Limited (SNEPCo) Chike Onyejekwe and Total Exploration and Production Nigeria (TEPN), Guy Maurice, warned on the danger ahead and advised the government to encourage exploration for more oil to guarantee the future of the industry. Total chief, who was represented by the company’s Executive Director, Corporate Goesciences and
Global bank reforms too soft, says Sanusi
08.50 12.40 14.10 17.20
LAGOS – PORT HARCOURT (CIVIL) 1. Aero 07.15 08.35 2. Arik 07.15 08.35 3. Arik 09.00 10.20 4. Dana 09.27 10.40 5. Aero 10.50 12.30 6. Arik 11.40 13.00 7. Air Nigeria 12.00 13.10 8. IRS 13.30 15.00 9. Arik 14.00 15.20 10. Dana 15.03 16.20 11. Air Nigeria 16.00 17.10 12. Arik 16.10 17.30 13. Aero 16.15 17.30 14. Arik 17.10 18.30
1. Arik 2. Arik 3. Arik
Oil majors fret over declining investment in exploration
08.00
LAGOS – ABUJA SAT/SUN Arik 7.15; 10.20; 2.20; 5.20pm – 7.30; 9.15; 10.20; 2.20; 4.50; 6.45 Aero 07.30; 09.35; 13.10; 14.50; 20.20 – 07.30; 09.35; 13.10; 14.50; 20.20 Air Nigeria 08.15; 14.30; 17.15; 18.30 – 08.15; 13.30; 14.30; 17.15; 18.30
• From left: Minister, Foreign Affairs, Ambassador Olugbenga Ashiru; Otunba Michael Olasubomi Balogun, Group Chairman, First City Group; Otunba Bimbola Ashiru, Commissioner, Ministry of Commerce and Industry, Ogun State; Prof. Oluwatoyin Ashiru, Chief Executive Officer, Tricontinental Oil; at a special reception organised by Otunba Balogun in honour of the Ashirus in Lagos ... on Sunday.
SEC okays Union Bank’s Rights Issue extension
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HE Union Bank Rights Issue, which ended on January 20, has been extended by 21 days. It will now end on February 10, the Securities and Exchange Commission (SEC) has said. In a statement the Head, Corporate Affairs Department of the bank, Mr Francis Barde, said the the extension became necessary because of the one week strike embarked upon by the Nigeria Labour Congress (NLC), the Trade Union Congress (TUC) and the Civil Society Groups over the removal of the fuel subsidy. “The strike slowed us down and made it impossible for most of our shareholders to take their rights,” he said. Union Bank is offering about 1.41 billion ordinary shares of 50 kobo each at N6.81 per share in the ratio of five new ordinary shares for every nine ordinary shares held as at October 21, last year. The application list opened on December 14, 2011. Already, parties to the Union Rights Issue have expressed confidence that it would be a huge success. Managing Director, Union Capital Markets Limited, one of the issuing houses to the issue, Mr Tunde Yamah, said shareholders would be fully allotted their
By Tonia Osundolire
shares and any application for more would be considered. He said shareholders have been enthusiastic about picking their Rights, noting that the discount of 30 per cent and the prospects of increased holdings in a recapitalised leading bank are some of its benefits. Yamah added that shareholders, who are applying for more shares, could earn interest on their money if there are no more allotments for them. He said unqualified investors, have been making enquiries on opportunities to buy, which further illustrates their attractiveness. Yamah said the trading on the rights will open in the last week of the offer. He claimed the issue is the most attractive offer in the markets at the moment with the prospect of yielding above the money market instruments and other equities. Managing Director, Union Registrars Limited, the registrars to the issue, Mr Tunde Ayeni, said the interface between parties to the issue and shareholders confirmed that the latter have received their circulars. He, however, called on share-
holders who have any problem to visit any branch of the bank or Union Registrars. Ayeni added that the bank has provided extensive communication channels for shareholders to interact with the officials of the bank and parties to the issue in resolving any complaint. The bank’s Executive Director, Corporate, International and Investment Banking and Treasury, Mr Philip Ikeazor, said the bank would ensure that all shareholders have opportunity to pick their rights. ”We are desirous and eager to redeem our earlier pledge of giving opportunities to the existing shareholders to take up their rights in line with their clamour to do so during the recapitalisation process,” Ikeazor said. Citing subscription reports that showed a high enthusiasm among shareholders, he said the Rights Issue has started well and the bank has now firmly been placed on the path towards reclaiming its leadership position. He pointed out that the Rights Issue is the last phase of the bank’s recapitalisation programme as the bank has completed other steps including the reconstruction of its shares.
Dangote donates N18.7m to Kaduna, Gombe refugees
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HE Dangote Foundation yes terday said it had started the disbursement of funds and relief materials to 187 families in Kaduna and Gombe states. In a statement, the firm said this was in continuation of its humanitarian assistance to victims of postelection violence. The Dangote Foundation had earmarked about N350million for victims of post-election crisis in some parts of the North. The latest disbursement, which started on Monday, according to the statement, covers 120 Internally Displaced Persons (IDPs) in Kaduna and 67 in Gombe. The Foundation also distributed hundreds of household items including food items, such as Dangote Spaghetti, noodles and DanVita. Speaking at the camp, leader of the IDPs, Pastor Francis Tarzang said the refugees have been taking refuge in the Dan Kande police barracks in Kaduna since April 18, last year. He said the money will be used to rebuild the burnt houses of the victims and resettle them, while others will invest the money in businesses.