PAPER REVIEW

VICTORY FOR LABOUR AS WAGE TALKS CONTINUE TODAY

The Federal Government and organised Labour appear to have adopted a waiting game in their bid to resolve the crisis generated by the delayed implementation of the minimum wage. At the resumed talks on Sunday which lasted five hours, Minister of Labour and Productivity, Emeka Wogu, who briefed the media on the outcome of the meeting, said the parley would resume for further discussions on the way forward. Wogu said: “Both government and Labour have agreed to meet again on Tuesday (today) for further discussion.” But speaking outside the venue, Acting General Secretary of the Nigeria Labour Congress (NLC), Owei Lakemfa, claimed government has agreed to pay the wage bill across board. Lakemfa hinted that what would be discussed today would be the modalities for the implementation of the minimum wage. He said: “There are no contentious issues now. Government has agreed to pay across board and everybody will benefit from the wage. It is a very simple thing. We are having negotiation. It is not about dictatorship and so we will agree on some facts and we need to further look at what to do. There is nothing strange about that. We are human beings.” Lakemfa dispelled the notion that workers might lose confidence in the NLC leadership for not standing firm on the negotiation so far. He stated: “The people know we are representing them and Nigerian workers know that we will never sellout.” But there were conflicting signals as to what transpired at the meeting since no concrete agreement was reached.

MARKET OPENS WITH 0.37% RISE

The Nigerian Stock Exchange (NSE) All-Share Index rose by 0.37 per cent to close at 23,916.90 just as some companies reported impressive results for the half year ended June 30, 2011. The benchmark gauge, which fell for three days last week, closed at 23,916.90 when trading opened for the week Monday. Similarly, the market capitalisation of equities added N28 billion, rising from N7.622 trillion to close at N7.650 trillion. Market operators attributed the positive move partly to investors’ reactions to some of the results announced by the companies, which showed higher profitability. Meanwhile, investors traded 268.308 million shares valued at N2.143 billion in 5,080 deals led by the banking sub-sector with 180.051 million shares worth N1.639 billion exchanged in 2,901 deals. The Nigerian Stock Exchange (NSE) All-Share Index rose by 0.37 per cent to close at 23,916.90 just as some companies reported impressive results for the half year ended June 30, 2011. The benchmark gauge, which fell for three days last week, closed at 23,916.90 when trading opened for the week Monday. Similarly, the market capitalisation of equities added N28 billion, rising from N7.622 trillion to close at N7.650 trillion

FG MOVES TO ACTUALISE $28BN GREENFIELD REFINERIES

The Federal Government is making moves to begin the construction of three Greenfield refineries worth $28bn, as its representatives will in the next two weeks meet with consultants in the United Kingdom to discuss the projects’ detailed feasibility study, which was completed last month. The Group Managing Director, Nigerian National Petroleum Corporation, Mr. Austen Oniwon, said that after discussing the study, financiers of the projects would be engaged, while the contractors would also have access to the feasibility study. Oniwon, who disclosed this in Abuja on Monday at the opening of the Society of Petroleum Engineers’ Annual Conference and Exhibition, said that there were huge opportunities in the monetisation of the nation’s abundant oil and gas resources through joint ventures with partners. The NNPC had last year signed a Memorandum of Understanding with the China State Construction Engineering Corporation for the construction of three Greenfield refineries and a petrochemical plant in Nigeria. Under the terms of the agreement, 80 per cent of the projects’ cost will be funded with a term loan to be provided by the China Export Credit Insurance Corporation and a consortium of Chinese banks led by the Industrial and Commercial Bank of China, the world’s largest bank. On the rehabilitation of the existing refineries, Oniwon said, “We have given ourselves 24 months to rehabilitate the three refineries.  “We are starting with the Port Harcourt refinery, and we have engaged JGC of Japan, which is partnering Tecnimont of Italy, and they are at present in talks with the hope that by the second or third quarter of next year, they will move into the Port Harcourt refinery and commence rehabilitation.”