THE NATION TUESDAY, MAY 8, 2012
17
ENERGY
‘Firms should increase training in modern geosciences’ T
HE provision of more training opportunities in modern geosciences tools and technology for interns and graduates is a task that major oil and gas companies in the country should be committed to. This is to increase potential employees’ (graduates and interns) competency in using data and information to generate appropriate geosciences maps, thereby bridging the gaps between industry practice and academic theories. The Nigerian Association of Petroleum Explorationists (NAPE) stated this at its just-concluded Sixth mini-conference for tertiary institutions at the Obafemi Awolowo University (OAU), Ile Ife. The Chairman NAPE-University Assistance Programme (UAP) Dr Wasiu Odufisan said if the bar of the quality of geosciences education is to be raised in the country, there is the need to supplement aca-
By Bidemi Bakare
demic knowledge in subject-areas with the industry’s training via field experience, organised lectures, seminars and workshops for graduates and interns. He said NAPE, for instance, has continued to provide students with more practical training expectations through its joint technical meetings conducted on campus and awards for best-presenters of technical papers, judged against industry standards. With support from stakeholders including the oil majors and associations such as NAPE, Odufisan said the industry would be better off as new findings through drilling from the shelf to the basin would be discovered.
He said it was because NAPE recognises the need to enhance the industry that has prompted it to continue to bring together through its bi-annual leadership forum, policy makers including the government, industry practitioners and the academics to explore ways to further improve geosciences education in the country. He enjoined stakeholders to continue to collaborate and network to ensure that the knowledge of finding and producing hydrocarbon is shared to increase national capacity and technical base security. All these efforts for training new sets of geo-scientists, according to him, are to ensure that the industry does not run out of the idea of finding oil.
He, however, advised the government to demonstrate more commitment through effective funding and revision of geosciences curriculum in the country to meet acceptable standard compared to the United States. On the relevance and benefits of the mini-conference, he said it provided students the opportunity to learn the art and skills of delivering effective technical presentations to meet the industry standards. At the end of the confab, he said the best six oral presenters and the best three poster presenters were given sponsorship to attend and participate at the forthcoming International Conference and Exhibition in Lagos. He said sponsorship is being
•Mayowa Afe, NAPE President
sought for the best oral presenter and his supervisor to attend the American Association of Petroleum Geologists (AAPG) convention in the US in 2013.
Middle East oil poised for tight summer
T
•Power transmission facility
Dubai hosts World Energy Forum Oct.
T
HE ‘Global City of Dubai’ will host the World Energy Forum (WEF) from October 22-24, 2012 . The event is under the patronage of Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and monarch of Dubai, The Founder and Executive President of the Africa Asia Scholars Global Network (AASGON), Abdul ‘Dewale Mohammed has been appointed World Energy Forum 2012 Representative for the United Kingdom, ASEAN Countries (Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam) and some African countries, the Federal Republic of Nigeria in particular. By his appointment Abdul Mohammed has been mandated to co-ordinate the promotion, planning and marketing of WEF2012 in the specified regions, oversee the production and distribution of the WEF2012 ‘Golden Book’ 120-page full colour Souvenir Publication, the Promotional DVD, Commemorative Stamp, Coin and Postcards as well as organise its Dubai International Friendly Polo Tournament
and promote the BeyonceKnowles International Concert at the 25,000 seated capacity Dubai Stadium, a supporting activity of WEF2012. The United Nations has designated this year as the International Year of Sustainable Energy for All to create a global platform for sustainable energy. WEF2012 promotes worldwide discussions and outcomes on the issue. Making history in October, Dubai will become the first city to host the World Energy Forum outside of the United Nations Headquarters. This world class event will to a large extent enhance a global awareness of Dubai’s Integrated Energy Strategy 2030. As part of preparations for the event, a Pre-Conference Luncheon Reception will be held in Abuja, Nigeria to mark this year’s UN World Environment Day (WED) in June and similar Pre-Conference events will be held in Jakarta, Indonesia and in London, UK in July to celebrate this year’s World Population Day (WPD). The WEF2012 Pre-Conference UN World Environment and Population Days seek to raise awareness of global environ-
mental and population issues such as renewable energy and climate change. The WEF2012, which holds at the Dubai International Convention Centre, in the United Arab Emirates, has tremendous opportunities to offer by providing an excellent platform and exposure that will maximise the anticipated benefits to prospective corporate sponsors, exhibitors and advertisers as well as participants. According to Prof. Harold Hyun-Suk Oh, President/Chairman of WEF, “World Energy Forum does not meet for the sake of meeting but is creating a global conversation searching for answers and practical solutions by inspiring technological innovations and research as well as facilitating political will to meet the challenges facing humanity. Therefore, a World Energy Forum conference separates itself from sectarian, partisan, purely commercial, and some regional-specific gatherings in that it embraces all energy sources whatever forms they may be found and welcomes all to participate in an open debate for humanity’s sustainable future.”
HE Middle East oil market is braced for a tightening third quarter as soaring power generation demand is set to curb Saudi Arabia’s exports and Western sanctions could deprive the market of Iranian supplies. But although tighter supplies should push Gulf oil premiums higher and could lift the Singapore ship fuel bunkering market, fears of regional fuel oil shortage are unfounded, traders and analysts in the Middle East and in Asia say. “Saudi Arabia is likely to remain a large net exporter of fuel oil, with much of this going to Asia,” Riyadh-based HSBC analyst John Tottie said. “As we go into the summer season, the import of lower-sulphur fuel oil may increase, just as it did in 2011. Yet, the kingdom is likely to remain a large exporter of high-sulphur fuel oil, given the high fuel oil yield of Saudi’s oil refineries.” Barclays Capital said in a note last week that Saudi plans to slash crude use for power generation may turn it into a net importer of fuel oil this summer. “With Iranian volumes likely to be curtailed severely following the sanctions and with the risk that Saudi Arabia turns into a net importer of fuel oil, more than 1 mt (million ton) of fuel oil exports are at risk of being lost from the market,” London-based analyst Mishwin Mahesh said. Asia-based traders who also rely on Middle East oil do not expect major shortages as they anticipate increased oil shipments into East Asia from other producers. Industry players still point to Western arbitrage cargoes as remaining the main bearish factor for East Asia’s fuel oil market. “Together those two factors fall in supplies from Saudi and Iran could be very bullish,” a Singapore-based trader said. “But it will also depends on Singapore strength.” Asia’s oil market fell sharply in early March under the weight of heavy supplies and slow demand. Spot cash premiums for the 180 cst and 380-cst grades have since improved to above $2 a metric ton (1.1023 tons) though, recovering from a discount low of 10 cents and 50 cents respectively as Western imports fell to three-year low levels in April. Saudi Arabia’s plan to reduce direct crude burn for power generation and rely more on natural gas and fuel imports this summer could result in a drastic drop in
its monthly average fuel oil exports of around 500,000 to 600,000 metric tons. But several Gulf-based traders say the drop in supply from the leading fuel oil exporter was unlikely to shock the market, thanks to ample Saudi stocks and alternative fuels. “They have been building inventories of gasoil, which they will use in summer,” one-Gulf based fuel oil trader said. “It also depends on how much gas they can obtain from the fields. In the end, crude burning may not be much less, but just a bit less,” he said. “They have other options than fuel oil.” Uncertainty over temperaturedriven electricity demand, or how much will be met with gas, make it impossible to predict how much fuel oil will be burnt by Saudi Arabia but there is wide agreement that fuel oil exports will fall. “In the end their available supplies will fall, but I think they will still be able to export,” a second Gulf-based fuel oil trader said. Iran Issues The availability of supplies from the other major Middle Eastern oil exporter Iran could take a hit from the US-led sanctions. Western sanctions aimed to deter Iran pursuing its nuclear program may not specifically ban purchasing Iranian fuel oil, but financing and shipping difficulties make overall trade with Iran almost impossible. “Already, a few of Iran’s existing fuel oil lifters have been sanctioned by the U.S. government, and as long as the sanctions exist, these volumes are likely to find it difficult to access consumer markets in the Far East,” Barclays said in its note. While there is a consensus that July 1 will mark a much tighter era for Iran to export crude and oil products, some traders still believe the sanctions have never been watertight. “It will end up one way or the other in either Singapore or in China,” a trader said. Record volumes of Iranian fuel oil flowed into East Asia in 2011, even though there were some sanctions already in place, making up nearly eight per cent of the seven-million metric tons monthly inflow into East Asia, the world’s biggest fuel oil market. The region typically gets two grades - the National Iranian Oil Co’s (NIOC) straight-run 280-cst, mainly used as feedstock in refineries, and the cracked 380-cst as bunkering fuel.