Seplat, Nestle leads on NSE

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…As Firms, households, individuals lose billions as traffic worsens in Apapa, environs***

Transactions on the Nigerian Stock Exchange (NSE) maintained a positive sentiment on Tuesday with Seplat leading the gainers’ table, growing by N57.90 to close at N769 per share.

Nestle came second with a growth of N44.80 to close at N1,495, while
Mobil Oil appreciated by N8.70 to close at N183.

Dangote Cement added N3.20k to close at N239, while Cadbury grew by 50k to close at N13 per share.

Consequently, the All-Share Index closed higher, appreciating by 342.72 points or 0.88 per cent to close at 39,187.04 as against 38,844.32 points on Monday.

In the same vein, the market capitalisation which opened at N14.071 billion inched N117 billion to close at N14.188 trillion.

On the other hand, Guinness topped the losers’ chart, dropping by N2.75 to close at N97 per share.

Nigerian Breweries trailed with a loss of 90k to close at N117.10, while NASCON shed 90k to close at N23.10 per share.

Flour Mills depreciated by 70k to close at N32.30, while Dangote Sugar decreased by 40k to close at N19.50 per share.

However, United Capital was the most active stock during the day, trading 82.66 million shares worth N262.66 million.

Dangote Sugar followed with an account of 56.89 million shares valued at N1.19 billion, while Africa Prudential Registrar traded 49.57 million shares worth N213.16 million.

Guaranty Trust Bank sold 45.28 million shares worth N1.92 billion, while United Bank for Africa sold 13.57 million shares valued at N150.77 million.

NAN reports that a total of 341.48 million shares valued at N5.19 billion were traded by investors in 3,769 deals, a decrease of 43.39 per cent.

This was against a turnover of 603.17 million shares worth N3.89 billion traded in 3,832 deals.

In the meantime, the lingering gridlock along Oshodi , Apapa Express way has taken a turn for the worse as heavy duty trucks and fuel tanks have totally blocked passage on the road. The situation is such that both motorists and commuters now trek to their respective destinations.

Investigations showed that the situation is worsened by the directive on intake of empty containers to the port by the management of the Nigerian Ports Authority, NPA, thus resulting in complete shutdown of traffic along the Tin-can/ Cele axis of the Oshodi-Apapa expressway. Recall that the Managing Director of NPA, Hadiza Bala-Usman had directed Port managers to stop receiving containers directly from importers and their agents from this week. Specifically, Shipping companies were asked to provide holding bays for their empty containers while Port Managers were asked to receive empty containers coming from each shipping company’s holding bay to be allowed access into the port from this week. Assistant General Manager in charge of Corporate and Strategic Communications of NPA, Isa Suwaid, told Vanguard that he is not aware of the effect of the directive of the Mile2 axis of the Oshodi-Apapa expressway. Suwaid said that the shipping companies have been told long ago and they claimed to have started using their holding bay.

Traffic management

The situation is worsened by the near absence of traffic control officials on the ever-busy expressway. Interestingly, the few traffic control officials and policemen including officials of the Federal Road Safety corps, FRSC, seen on the road are busy openly collecting monies in various denominations from the recalcitrant truck and commercial bus drivers thus abandoning their duties. In the past one week, the road has been permanently blocked from second rainbow to Trinity bus stop forcing road users to not only ply the opposite lane but, drive freely against traffic thereby endangering lives of pedestrians and other motorists. Worse still, the congestion at Berger yard and Berger Suya axis towards Kirikiri town has continued unabated to the extent that motorists are forced to ply the only single lane in the opposite direction. Unfortunately, this single lane is always blocked at night making it impossible for road users to drive freely.

Police intervention

Following this development, it was gathered that Lagos state Commissioner of Police, yesterday, summoned all the Area commanders and Divisional Police officers in charge of the area and gave them matching orders to clear the gridlock by creating free passage way on the service lanes in order to ensure that the suffering of motorists and commuters was abated. Police sources said that the Commissioner of Police who recognised the lingering gridlock along the expressway also assured that the efforts of security agencies involved in clearing the traffic congestion will soon pay off while anybody caught compromising in his duties will be seriously dealt with. Meanwhile, it was gathered that the police boss also directed that security be strengthened in the area. As at 5.30pm, All the Divisional police Officers along the route and their team were seen patrolling the area and clearing traffic as directed by the commissioner of police. Their quick intervention paid off as the roads were cleared for free flow of traffic. Speaking with Vanguard over the phone later, the state police boss, Imohimi Edgal assured that the momentum will be sustained. Consequently, many stakeholders, including workers, transporters, business owners and business owners disclosed to Vanguard in different interviews that they have lost billions of naira.

Tank farms, owners

It was gathered as many as 36 tank farms are located in the area, including  A – Z Petroleum Products Limited, owned by businessman, Dr. Alexander Okafor,  Acorn Plc, owned by Mr. Kolapo Lawson, Chairman, Ecobank Transnational Incorporated (ETI) and Vice Chairman, Vitamalt Plc, MRS Oil and Gas Limited, whose Chairman is Sayyu Dantata, Africa’s richest man, Aliko Dangote’s cousin. Others include Fredrick Obateru Akinruntan, the traditional ruler of Ugbo Kingdom, a town in Ilaje Local Government, Ondo State, is the founder of Obat Oil. Olajide Omokore while Igho Charles Sanomi, is believed to be the face behind Taleveras Group of Companies. Bovas Group has Bamidele O. Samson, an architect, as a co-founder. Fatgbems Petroleum Company Limited has Fatai Gbemisola as its founder. Folawiyo Energy Limited is owned by late business mogul, Wahab Iyanda Folawiyo, while Heyden Petroleum Limited has Dapo Abiodun, Senatorial candidate in the 2015 election in Ogun East, as its Chairman. Honeywell Oil and Gas Limited, has Oba Otudeko, Chairman of Honeywell Group, as founder. The late patriarch of the Ibru family, Michael Ibru was the founder of Ibafon Oil Limited. Ibeto Petrochemicals Industries Limited is the brainchild of businessman, Cletus Ibeto, who is also into cement production. Integrated Oil and Gas Limited, is owned by Captain Emmanuel Ihenacho, former Minister of Internal Affairs. Lister Oil Limited is owned by Independent petroleum marketers, while Swift Oil Limited and Techno Oil Limited are owned by entrepreneurs, Tunji Durosinmi Etti and Nkechi Obi, respectively. Businessman Ifeanyi Patrick Uba, is the founder of Capital Oil and Gas Industries Limited. Some other companies that have tank farms in Lagos include Cleanserve Integrated Energy Solutions Limited, Dee Jones Petroleum and Gas Limited, Energy Destinations Limited, Eterna Plc, Eurafric Oil and Coastal Services, First Deepwater Discovery Limited, First Nigeria Independent Oil Company Limited, Gulf Treasures Limited, Hensmor Nigeria Limited, Index Petrolube Africa Limited, Integrated Oil and Gas Limited. Lister Oil Limited, Oil Force Nigeria Limited, Rahamaniyya Oil and Gas Limited, Sahara Energy Resources Limited, Sea Petroleum and Gas Company Limited, Star Synergy Petroleum Limited, Valeska BV Limited, West African Bitumen Company Limited and Zenon Petroleum and Gas Limited, owned by Femi Otedola also have tank farms in the area. Holding bay Investigations by Vanguard showed that some tank farm owners, including NIPCo have since established holding bays or parking spaces for tankers coming to lift fuel from their premises, others do not.

Approval

The Department of Petroleum Resources, DPR, had in an email to Vanguard stated that the tank farms were duly issued with licences to establish their facilities in the area. The Department indicated that EIA is a requirement for approval to construct a depot anywhere in the country and that the downstream investors were not exempted from it. DPR also stated that there was no indication in the EIA that the operations of jetties and depots would culminate in the blockage of roads. Consequently, it noted that measures were not put in place to mitigate such impact on roads. It stated that: ‘’While the DPR makes sure that depots have the facilities and space to carter for trucks in their premises, it is not responsible for traffic management and control on the roads. ‘’There are organisations at local, state and federal levels that have the statutory responsibility for traffic control and management. The issues of tankers or any other vehicle violating traffic regulations should be, rightfully directed to them. ‘’We have resident representatives in most of the depots. We conduct risk-based inspections at regular intervals in addition to the annual comprehensive inspection for renewal of every operational depot’s licence.”

Additional report from Vanguard