Headline
NNPC To Discontinue Crude Swap, Targets Cash Payments For Petrol Imports

With the removal of subsidy on petrol in the country, the Nigerian National Petroleum Company Limited (NNPC) is set to discontinue crude oil swap in favour of cash payments for petrol imports.
To this effect, the company is is winding down crude oil swap contracts with traders and will pay cash for petrol imports as private companies could begin importing petrol as soon as this month, Reuters reports.
This means that NNPC is in the process of ending crude swap contracts with traders. Instead of exchanging crude oil for refined petroleum products, the state-oil company will now make cash payments for petrol imports.
The move is part of President Bola Tinubu’s plans to deregulate the petrol market and reduce the burden on government finances, the statement said.
President Bola Tinubu on Monday during his inauguration announced that “subsidy is gone” sending the market into a tailspin as those who had the products quickly shut their pumps and long queues emerged across the nation.
NNPC has been importing petrol from consortiums of foreign and local trading firms and repaying them with crude oil via what is known as Direct Sale Direct Purchase (DSDP) contracts since 2016 because it does not have enough cash to pay for the purchases, the statement said.
“In the last four months, we practically terminated all DSDP contracts. And we now have an arm’s-length process where we can pay cash for the imports,” Mele Kyari, group chief executive officer, NNPC told Reuters in an interview late on Saturday.
“This is the first time NNPC has said it is terminating crude swap contracts. By importing less gasoline as private companies import the bulk, NNPC will be able to pay for its purchases in cash.”
Nigeria is Africa’s biggest crude producer but imports most of its refined products after running down its refineries. Nigeria’s petrol import bill hit N5.2 trillion in 2022, the highest in six years, as the quest by the country to wean itself off imported fuel drags.
A significant drop in oil production last year coupled with high global fuel prices due to the war in Ukraine pushed NNPC’s debt to traders higher. It owed the consortiums about $2 billion, a September 2022 NNPC report to the Federation Account Allocation Committee shows, the statement said.
“An industry source with direct knowledge of the matter said NNPC was still allocating crude for fuel swaps for July loading, though less than in previous months. In its report detailing March crude oil loadings, NNPC also allocated crude to the swap contracts held by the consortiums,” Reuters said.
Kyari told Reuters that NNPC’s monopoly on petrol supplies was ending and private firms could start importing as early as this month.
“Nigeria’s total crude and condensate output was at 1.56 million barrels a day (bpd) as of Friday. Nigeria has struggled to meet its Organization of Petroleum Exporting Countries (OPEC) oil quota of 1.742 million bpd due to grand oil theft and illegal refining,” Kyari said.
That has raised doubts on whether Nigeria can meet supplies for the 650,000-bpd newly commissioned Dangote Refinery. NNPC has a contract to supply 300,000 bpd to the refinery.
Headline
Diphtheria: Children at risk as 7,202 cases are confirmed in Nigeria

A staggering 7,202 cases of diphtheria, a highly contagious bacterial infection that can be fatal without treatment, were confirmed in Nigeria last week.
The outbreak has been particularly severe among children under 14, with three-quarters of cases (73.6%) in this age group.
Most cases have been recorded in Kano state, Nigeria’s second most populous state. In the past three months, there have been 453 deaths from diphtheria in Nigeria.
Diphtheria is a vaccine-preventable disease, but low vaccination rates in Nigeria have made the outbreak possible. Only 42% of children under 15 in Nigeria are fully protected from diphtheria.
Diphtheria symptoms begin with a sore throat and fever. In severe cases, the bacteria produce a toxin that can block the airway, causing difficulty breathing and swallowing. The toxin can also spread to other body parts, causing heart kidney problems and nerve damage.
Save the Children is launching a wide-scale health response in the three most impacted states of Kano, Yobe, and Katsina. The organization is deploying expert health and supply chain staff to help overstretched clinics detect and treat diphtheria cases and to support mass vaccination campaigns.
However, Save the Children warns that a mass vaccination campaign will only be successful if the vaccine shortage is urgently addressed.
Severe shortages in Nigeria of the required vaccine and the antitoxin needed to treat the disease mean that the situation could continue to escalate, placing many children at risk of severe illness and death.
Headline
WHO releases $16m to tackle cholera, says Director-General

The World Health Organisation (WHO) has released 16 million dollars from the WHO Contingency Fund for Emergencies to tackle cholera.
Dr Tedros Ghebreyesus, WHO Director-General said this during an online news conference.
Ghebreyesus said that the organisation was providing essential supplies, coordinating the on the ground response with partners, supporting countries to detect, prevent and treat cholera, and informing people how to protect themselves.
“To support this work, we have appealed for 160 million dollars, and we have released more than 16 million dollars from the WHO Contingency Fund for Emergencies.
“But the real solution to cholera lies in ensuring everyone has access to safe water and sanitation, which is an internationally recognized human right,” he said.
According to him, in the previous week, WHO published new data showing that cases reported in 2022 were more than double those in 2021.
He said that the preliminary data for 2023 suggested was likely to be even worse.
“So far, 28 countries have reported cases in 2023 compared with 16 during the same period in 2022.
“The countries with the most concerning outbreaks right now are Ethiopia, Haiti, Iraq and Sudan.
“Significant progress has been made in countries in Southern Africa, including Malawi, Mozambique and Zimbabwe, but these countries remain at risk as the rainy season approaches,” Ghebreyesus said.
According to him, the worst affected countries and communities are poor, without access to safe drinking water or toilets.
He said that they also face shortages of oral cholera vaccine and other supplies, as well as overstretched health workers, who are dealing with multiple disease outbreaks and other health emergencies.
On COVID-19, Ghebreyesus said that as the northern hemisphere winter approaches, the organisation continued to see concerning trends.
He said that among the relatively few countries that report them, both hospitalisations and ICU admissions have increased in the past 28 days, particularly in the Americas and Europe.
WHO boss said that meanwhile, vaccination levels among the most at-risk groups remained worryingly low.
“Two-thirds of the world’s population has received a complete primary series, but only one-third has received an additional, or “booster” dose.
“COVID-19 may no longer be the acute crisis it was two years ago, but that does not mean we can ignore it,” he said.
According to him, countries invested so much in building their systems to respond to COVID-19.
He urged countries to sustain those systems, to ensure people can be protected, tested and treated for COVID-19 and other infectious threats.
“That means sustaining systems for collaborative surveillance, community protection, safe and scalable care, access to countermeasures and coordination,” he said.
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