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How Phoney Is Duke Oil?

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By: Ibelema Jumbo

For the average Nigerian consumer of petrol, which is officially referred to as Premium Motor Spirit (PMS), the experiences of the past three weeks must have been extremely harrowing.
The scarcity of PMS, ostensibly caused by the importation of contaminated product, had resulted in long queues at many fuel retail outlets across the country with the litre price reportedly reaching from the normal N165 to as high as N400 in some states. Even more disturbing was news of the damages which the tainted import had caused to vehicles and power engines of some early buyers.
According to Mele Kyari, group managing director of the Nigerian National Petroleum Company Limited (NNPC), his firm had received a report from one of its quality inspectors on January 20 2022, indicating that there were emulsion particles in the PMS cargoes shipped to the country from Antwerp in Belgium. It was said to have been laced with about 20 per cent methanol – a prohibited substance in Nigeria’s fuel imports.
He claimed that the adulterated petrol was imported by the NNPC’s Direct Sale Direct Purchase (DSDP) suppliers, namely MRS Oil, Emadeb/Hyde/AY Maikifi/Brittania-U Consortium, Oando and Duke Oil. Explaining further, he said that under this DSDP crude-swap scheme, selected overseas refiners, international traders and Nigerian oil marketing firms were allocated petroleum quantities in exchange for the delivery of an equal value of PMS and other refined products to NNPC.
But MRS had earlier disputed this, insisting that Duke Oil was the sole importer of petroleum products into Nigeria on behalf of NNPC, its parent company; and that the dirty fuel was distributed to the various retailing companies by the oil behemoth.
Surely, one can recall that during its operation, the above products importation arrangement came with a nationally televised open-bidding system where eligible firms were selected. But that was until about three years ago when the oil-sector regulator announced that only its Duke Oil would carry on the importation of fuel into Nigeria.
This had followed the discovery of sharp practices by the licensed oil importers, leading to the shipment and distribution of poor quality products in the country. So, how come the same NNPC is the very one releasing a list of private fuel importers? Again, is it likely that Duke Oil and the other three firms fingered by Kyari may have conspired to source their supplies from the same ‘dubious’ Belgian refiner?
In fact, the latest embarrassment is what would most certainly visit any major oil-producing country with four dormant refineries but whose leaders and retired oil executives would rather build private fuel storage depots and prefer that the country continues to import petroleum products than rehabilitate the refineries for the nation’s overall benefit.
However, that is not the focus of this write-up. Instead, my concern here is that the verbal smackdown between these oil-sector giants has thrown up something very important but which, I’m afraid, might get drowned by the enduring hullabaloo. It pertains to the suspected shady establishment of Duke Oil 32 years ago during the regime of General Ibrahim Babangida.
Reports emanating from the dirty fuel brouhaha have it that, as the trading arm of NNPC, Duke Oil Company Inc was registered in Panama under the Spanish name ‘Sociedad Anonima’, which in English translates to Anonymous Society. This simply suggests that its promoters had elected to remain faceless ab initio. And let us also be reminded that this Central American country has always been notorious as a safe haven for money launderers.
It, therefore, calls to question the reason a state oil corporation like NNPC would opt to float a subsidiary firm with secret shareholders and also pick a sleazy enclave for its registration.
Until 2019, Duke Oil was said to have registered and operated an offshoot in London. Known as Duke Oil Services, the new firm has relocated to Dubai apparently to draw close to Asia which is fast becoming the main destination for Nigeria’s petroleum exports.
If indeed Duke Oil was registered with a hazy ownership structure, it then means that a few faceless individuals had, over the years, consistently withdrawn and shared among themselves profits that had accrued to the firm from its diverse lucrative transactions. And this may also explain part of why NNPC is often reported to have operated in breach of the federal government’s Treasury Single Account (TSA) framework.
Given such circumstances, therefore, would anybody still hold the opinion that Lamido Sanusi, as Central Bank governor, was crying wolf where there was none when he claimed that the sum of N20 billion was missing from the NNPC coffers?
The story of Nigeria’s oil and gas industry is replete with sordid tales of local players and their expatriate collaborators perpetually devising schemes to rip the nation off through bogus companies and shady contracts. Recent examples include the Process & Industrial Development (P&ID) case for which an overseas court ordered the Nigeria government to pay an accumulated sum of $9.6 billion in 2017 over a failed gas development contract. Nigeria has since appealed the judgment while insisting that the entire contract was a scam.
We surely could not have forgotten the OPL 245 saga popularly tagged the Malabu Oil scandal involving Shell and ENI’s transfer of $1.1 billion through the federal government to some accounts controlled by a former Petroleum Minister, Dan Etete.
Or need I remind us of the shadowy Mexican syndicate of suspected international fraudsters which reportedly insisted on being paid for exposing the alleged collusion of some Nigerian top officials with foreigners to sell 48 million barrels of crude oil already shipped out of the country?
May God save this nation.

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Rivers Politics: Lere Olayinka’s Cocktail Of Lies

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In a calculated attempt to tarnish the reputation of Governor Siminalayi Fubara, Lere Olayinka, the self-styled Senior Special Assistant on Public Communication and Social Media to FCT Minister, Nyesom Wike, stormed News Central TV with a cocktail of lies, half-truths and unfortunate distortions. This desperate smear campaign demands a bold response to expose the true mastermind behind the political turbulence rocking Rivers State. Olayinka harped on the current situation of the Rivers State House of Assembly, highlighting the presence of only three (3) active members. Yet, he conveniently glossed over the real story of Martin Amaewhule and his co-defectors who cowardly abandoned their constituencies and their mandates by defecting to the APC without due consultation. These former legislators, by law, automatically vacated their seats, but Olayinka lacks the courage to admit this truth.
When asked about Wike’s involvement in Rivers State’s political turmoil, Olayinka could not deny the undeniable. Wike is not only a major player in this crisis but also its architect. His meddlesome tendencies and attempts to control the state from Abuja have been met with stiff resistance from Rivers people who are fed-up with his overreach. Olayinka’s claim that Wike elevated Governor Fubara from “a mere cashier” to governor reeks of pettiness. It is an insult to Fubara’s track record of service and to the Rivers people who overwhelmingly voted for him. The truth is, Governor Fubara was instrumental to any success Wike claims during his time as governor, especially in financial prudence and project execution, Olayinka can challenge me to a debate if in doubt. Mr. Olayinka falsely accused Governor Fubara of disobeying President Bola Ahmed Tinubu.
The irony, however, is glaring. The real defiance came from those who President Tinubu called his “newborn babies,” only to disown him days later. Aside the impeachment attempt, Wike’s ill-advised push for these individuals to defect to the APC is at the root of the political mess they currently face. Olayinka’s admission that Fubara is the governor and wields the “red biro” underscores one truth: Governor Siminalayi Fubara is in Charge. While his employer may attempt to pull the strings of discord, Rivers people have declared unequivocally that the era of external interference is over. Sir Fubara is taking bold steps to restore dignity and prioritise the state’s interests. Also, Olayinka’s attempt to draw parallels between Rivers State and Kogi State only highlights his lack of understanding of Rivers politics. Rivers people are not Kogi people.
They will not accept a situation where commissioners or key appointments are dictated from only one man, as Wike attempted to do. Rivers people have spoken, and their stance is non-negotiable. Olayinka’s laughable claim that Governor Fubara is dining with those who opposed his emergence shows a lack of political depth. Almost everyone standing with Wike today—including Magnus Abe and Chidi Lloyd—at one time opposed his own governorship bid. Politics evolves and alliances shift. Governor Fubara is focused on governance, not on petty vendettas. Assuming, without conceding, that Governor Fubara did not address Rivers people during the campaign, the blame lies squarely on Wike, who perhaps never allowed him to speak. He almost succeeded in extending this overbearing tendencies into the governance of the state, but Rivers people are saying “No” to this meddlesome interference.
The glaring contradictions in Olayinka’s rhetoric can tell you why Fayose failed woefully in Ekiti State despite all his noise. Just like his principal, Olayinka has mastered the art of bluster without substance. When pressed on what Wike wants from Governor Fubara that he is not getting, Olayinka could not provide an answer. The truth is simple: Wike desires absolute control, but Governor Fubara and Rivers people have drawn the line. Olayinka’s interview on News Central TV was nothing but a desperate attempt to deflect attention from Wike’s political blunders and meddlesome tendencies. The records are clear: Governor Fubara is focused on the interests of Rivers people, while Wike and his cronies remain trapped in a web of personal ambition. The good news is that Rivers people know the truth. Governor Fubara is acting decisively and Rivers State is moving forward under his leadership. No amount of propaganda or falsehoods can change this fact.

John Martins
Martins wrote in from Port Harcourt.

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Opinion

Fubara @ 50: Golden Sparkles And Magic Bullet

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Men and women of goodwill are celebrating remarkable milestones in the life of Rivers State Governor, Sir Siminalayi Fubara. He turned 50 on January 28, 2025. His unwavering dedication, focus on excellence, effective advocacy beyond a single-focus “magic bullet” to governance with integrated approach that recognises multiple interrelated drivers of governance change, truly inspire the people. Rivers State is the second largest economy in Nigeria. It is hub of oil and the gas industry, and remains a major contributor to the country’s wealth. It is over such strong, powerful and strategical state, Governor Fubara superintends. At 50 years, he is gold sparkles and in a season of exhilarating jubilee. In 2024, his administration hosted investment summits. Manifest results now show inflow of multiplicity of foreign investments. Strategic partnership festers and the growth of Rivers economy is sustained. Investors enjoy tax moratoriums and land title issuance.
Jollification drumbeats are intense. Fulsome sound. Overreached with symphonic echoes. Scintillated strumming. The strings. Stroke of dexterity and bellowing melody, all so enthralling. Whether in Rivers or elsewhere in Nigeria, you will wriggle waists, do joyful handclaps or leap with hope-filled heart. Feet will do the hopping. There is comforting peace. The glean. A bland. Emphatically, Rivers people bare their hearts of gratitude to God. He enthroned Governor Fubara at at an auspicious time. The people are better off today than ever. The brutish political crisis erupted like a thief at night but was hushed by a watchful watchman. Because it is contained, the people are happier. More 3,066 persons got empowered with N3.6 billion loan facility on a single-digit interest rate of 7.5per cent per annum. It was made possible by a partnership between Rivers government and Bank of Industry (BOI). It offers support to small businesses, drives economic growth, promotes job creation and wealth generation efforts. Ultimately, it is to improve the standard of living of the citizens.
Happier citizenry. Civil and public servants got statutory promotion with consequential salary paid after being stagnated on a grade level for over a decade. In December 2023 and 2024, Christmas bonuses of N100,000 apiece, was paid to each worker, a gesture also extended to retirees. Governor Fubara is a leader with a pure human and godly heart. He had not confronted political violence with violence. No shade of political witch-hunting. No arrest on trumped-up charges. No politically motivated assassinations witnessed. The most insulted by political opponents. His reliance on God is legendary in a wild field of conscienceless political maneuverings, spewing of contradictory lies, threaded thickets of threats, mounted conspiracies to truncate governance and levels of insistence to cause stampede that intend to force a surrendering of the will of the people. All, came to nought. They have become like the mountains before Zerubbabel melting into wax.
What is seen is not indentured servitude. Governor Fubara stands in the gates firmly, defusing violet plots against the mandate of Rivers people. Steadied governance, ensured protection of life and property in a peaceful State. There is messianic balm, sufficiently applied to offer a soothing to frightened hearts, and calmed troubled nerves. Of course, nobody with a decent grasp of the complexity and deep-rooted nature of the crisis will believe that it will be resolved so easily. But you will need to know this also. Governor Fubara was born on a Tuesday in Opobo Town and bears unique traits of people born on Tuesday. Of note is his persistence on chosen course, strives with conviction and wholeheartedly drives on until desirable success is achieved. He is solidly courageous, shares no tent with fear because he must take the risks required to reaching his goals, which is why he faces the challenges head-on.
He is calm though, but makes no mistake about his dogged fighting spirit, calculative and straightforward spirit that wins squarely, and fairly. Four critical priority areas are at focus; healthcare, education, agriculture and road infrastructure development. He must win too, in truly empowering the people to attain quality living. In improving public sector education, the investment is holistic, almost equal attention given to basic education, post-primary education and tertiary education. Personnel, not less than 1000 apiece, are employed into universal basic education and post-primary levels. Staff recruitment done at Ignatius Ajuru University of Education and at Captain Elechi Amadi Polytechnic. A new Rivers State College of Education is in the offing plus 3000 more teachers to be recruited to improve the teacher: learners’ ratio.
Modern learning infrastructure and essential instructional materials are distributed to nursery, primary, and junior secondary schools in the 23 local government areas, which included Teachers’ notebooks, smart-board pens, dusters and marker pens, writing pens, textbooks covering all subjects, Phonetics textbooks, varieties of storybooks, records and diaries for junior secondary schools, school attendance registers. The health sector has received historic investments. 25 general hospitals have capacity strengthened to provide regular, quality healthcare. More health facilities like four zonal hospitals in Bori, Ahoada, Degema, and Omoku towns in four local government areas being remodelled, expanded and upgraded. A modern psychiatric hospital is nearing completion and will be equipped to provide dedicated neuro-psychiatric services. Already, 1,000 personnel are employed by the Rivers State Health Management Board while another 1,000 are engaged by the Rivers State University Teaching Hospital (RSUTH). This will bridge manpower gap.
There is a comprehensive agriculture transformation support programme pursued with the N31 billion allocated in 2025 budget to achieve food security, enhance job creation and facilitate economic growth. Some legacy road projects included the 15.6 km Port Harcourt Ring road and 12.5km Trans-Kalabari Highway Road. These critical infrastructure consolidate development efforts. Truly, at 50, Governor Fubara will have moments for deep reflection and be genuinely propelled to express gratitude to God for divine benevolence. He stands between dreams and aspirations, some achieved, others yet pursued. What is more, in these 50 years, he has given it his all, and still eager to grasp opportunities to live to fullest while delivering more quality service to the state, country and humanity.

Tamunobarabi Ibulubo
Ibulubo is of the Rivers State Television (RSTV), Port Harcourt.

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Nigeria’s Electricity Sector: Need For Restructuring

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In mid October, 2024, our national electricity grid suffered three collapses just within a week, throwing many states of Nigeria in total blackouts. Right from independence, Nigeria has always set agendas for attaining steady electricity, but ends up failing to achieve that noble objective. The perennial challenge of providing reliable electricity across Nigeria is however no puzzle beyond humans, yet the sector remains backward, notwithstanding series of reforms and public expenditures. But at the centre of the failures from all past reforms, is a common factor – the reluctance by government, whether deliberate or inadvertent, to extricate itself from the operational lines of the business. The presence of Nigerian government in any business process, especially where it monopolistically occupies vital operational linkage, has proven to create bottlenecks that stifle efficiencies, and defeat the overall objectives.
This was evident in the telecommunications sector, as it is in the petroleum and power sectors. Take for instance, the current policy framework that overshadowes electricity business across Nigeria, where in the name of privatisation, government deliberately butchered off, and separately sold vital organs of the national electricity industry, in an arrangement where the generating companies (GenCos) do not have licences to transmit and distribute generated power, and distribution companies (DisCos) have no licences to produce the sole commodity they sell, while the federal government through the Transmission Company of Nigeria (TCN), monopolistically retains transmission trades between GenCos and DisCos.The insertion of TCN between the private businesses of power generation and distribution, destroys benefits derivable from privatising electricity productions in Nigeria.
With the GenCos and DisCos answerable to the separate managements while the TCN reports to the Federal Ministry of Power, Works and Housing, it is obvious that the unbreakable chain of commands needed for seamless business operations was designed for disarray. Besides, government also solely holds the stakes in gas supplies needed for much of Nigeria’s 16,384 MegaWatts installed capacity. Due to inadequacy of gas supplies, the GenCos produce about 8,415MW, out of which, due to TCN’s inefficiency, only about 4,000MW get to DisCos. However, among the three loosely bound entities in Nigeria’s unholy marriage of electricity production, the GenCos appear more upbeat at investing for increased capacity but are dragged by delivery challenges from the TCN on the one hand, and poor revenue returns from the DisCos, on the other.
The failure of TCN to deploy modern surveillance and field data acquisition technologies to maintain network reliability, has left its facilities prone to vandalism. It does not encourage GenCos who take the major production risks that they can not deal directly with consumers. In the prevailing situation in which DisCos, being closest to power consumers harvest the collective revenue, the opaque nature of that crucial assignment as currently being conducted, gives room for under-reporting.The electricity business like any other, should project transparent prospects of profits to inspire undertakings in investment risks, and it is only operational frameworks that assure investors of end-to-end process integrity that can encourage the deployment of total commitments. Discos’ obvious reluctance at metering, nor upgrading distribution facilities for efficiency, gives no incentives to GenCos to increase investments in power generation.
It does not also help that TCN’s Market Operations (MO) department passes revenue trickles from DisCos, unto GenCos without enforcing collection transparency on the former. Most of Nigeria’s electricity transmission network infrastructure were installed more than 50 years ago. Since inheriting the transmission assets in the 2005 privatisation, and further restructuring in 2013, TCN’s Transmission Service Provider (TSP) department which is responsible for grid construction and maintenance has not done much to expand network capacity in readiness for increased generation. Neither has its System Operations (SO) department, responsible for stabilising operations, upgraded its frequency management and switching capabilities, but still relies on manual switching instead of investing in Supervisory Control and Data Acquisition (SCADA) systems that respond swiftly to changing grid frequencies.
It was not surprising therefore that a usual process fluctuation that came from uploading increased power generation into the national grid had overwhelmed SO’s manual switching capability, leading to the grid collapse of October, although Minster of Power alluded to the fact that the inability of TCN’s aged infrastructure to absorb extra power caused explosions at Jebba sub-station, leading to instabilities that collapsed the grid. Which ever be the case, the buck stops at the TCN, and by extension at government. One may then question the benefits derivable from contracts signed by the Buhari administration with Siemens of Germany in 2019. System automation is undeniably the core expertise of Siemens, and the deployment of the company’s switches would have handled grid fluctuations to prevent any collapse. Despite the huge budget allocations that go into the ministry of power, it is obvious that government processes – encumbered by bureaucracy, politics, paucity of funds and lack of business savvy – is entangling TCN’s abilities at keeping pace with its private partners.
So why should government create such a clog in the wheels of progress? Moreso, it has never been known that government declared financial profits from its years of investments in the power sector, nor are the social benefits apparent. Rather than hold unto an asset that continuously drains scarce finances at no benefits, while creating bottlenecks to processes, government should completely hands-off the industry, focus on its regulatory roles, and draw tax accruals. According to estimates by the World Bank, the failure of reliable power supplies in Nigeria costs yearly losses of $29 billion to companies who had to produce their own power, and is a major reason most companies close down in the country, or have migrated elsewhere, despite our human resource potentials and Nigeria being a huge market. The current Nigeria Electricity Supply Industry (NESI) structure, in which government-owned TCN is sandwiched between disunited GenCos and DisCos, is causing conflict of interests, unsustainable and ensures a tie of stagnation.
The electricity production framework should be restructured, even if it means partitioning the national grid, into a form that gives power companies combined and seamless abilities to generate, transmit and distribute power directly to their consumers, as being experimented by the Geometric Group in Aba.

Joseph Nwankwor

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