Tag Archives: wikileaks nigeria

WikiLeaks: UK government’s initiative for Nigerian business


Below are selected WikiLeaks extracts on the UK government’s plans for ‘responsible’ Nigerian business

SUBJECT: NIGERIA: UK INITIATIVE TO OFFER CLEAN DEVELOPMENT

MECHANISMS

1. Summary. Following numerous consultations with senior Nigerian political and industry leaders, the UK government is moving forward with an initiative to facilitate responsible business development in Nigeria. Implemented by the Department of Energy and Climate Change (DECC), the program aims to provide training and high-level coordination to Nigerian policy-makers and corporate leaders, to improve Nigerian companies’ capacity in policy development, regulatory control and communication and to help develop Nigerian industry, especially the energy sector, in an environmentally friendly manner. The program is currently vetting potential participants and will begin training in March 2010. End summary.

Clean Development Mechanisms —————————-

2. The UK’s Department of Energy and Climate Change’s new program will partner Nigerian policy-makers and industry leaders with senior UK officials to share best practices and offer practical support for the clean development of Nigerian industries, particularly the energy sector. The UK Department for Business will assist in partnering UK corporations with Nigerian counterparts and oversee the advancement of clean development projects.

3. The program plans to partner up to fifty senior Nigerian corporate managers with senior UK government and regulatory department officials to impart best practices in policy development, regulatory practices, commercial contracts, communication and technical skills. Nigerian Business leaders participating in the program will also work with experienced UK-based corporations, especially in the UK oil and gas sector.

Training Goals ————–

4. DECC-provided policy development training will include stakeholder relationship management, principles of transparency, effective consultation procedures and public relations management in an effort to bolster the efficacy of the processes which Nigerian managers use to develop corporate policy.

5. Regulatory Best Practices training will include regulation and pricing workshops, technical standards workshops and systems design and management. This aspect is designed to educate prospective regulatory managers in industry about the core concepts and skills they will need to ensure an effective relationship with regulatory agencies. 6. DECC hopes to establish a Nigerian body with a clear policy framework to provide local assistance and coordination for the program, for which funding has been approved. Program managers have already held a number of high-level consultations on the project with Nigerian counterparts in London and Abuja. The program is currently vetting potential participants with the help of Nigerian regulatory agencies and seeks to begin implementation in early 2010. The program includes the possibility of a UK trade mission to Nigeria by Summer 2010. Visit London’s Classified Website: XXXXXXXXXXXX

WikiLeaks: Chinese oil companies not welcome in Nigeria


Extract from a Wikileaks cable on the lack of trust in Chinese oil companies presence in Nigeria. Statements about corruption and alleged difficulties in working for Chinese companies:

“Two xxxxxxxxxxxx officials recently volunteered that Chinese oil companies had made a lot of mistakes in Nigeria and neither official welcomed their presence. Nigeria National Petroleum Company (NNPC) xxxxxxxxxxx said on xxxxxxxxxxxx the NNPC is aware of how the Chinese have behaved in the Sudan and Chad and that the Chinese do not know how to deal with a democratic government. xxxxxxxxxxxx complained on November 11 that there is no recourse when dealing with the Chinese and that the Chinese do not respect local laws. The poor image of the Chinese helps to explain why they were never a serious threat to the renewal of the international oil companies’ (IOCs) oil mining licenses (OMLs).

——————-

ruffled feathers…

——————-

2. (C) Nigeria National Petroleum Company (NNPC) xxxxxxxxxxxx discussed the Chinese oil companies’ recent attempts to obtain deep water oil mining leases (OMLs) with Economic Counselor and Trade and Investment Specialist on November 13. xxxxxxxxxxxx said that Shell Nigeria had opened the door for the Chinese by resisting GON efforts to pass the proposed Petroleum Industry Bill (PIB) and telling the National Assembly that the “Nigerian oil industry would be dead” if the PIB passed. “So they brought in the Chinese,” xxxxxxxxxxxx said.

3. (C) Asked about how the Chinese handled themselves in Nigeria, xxxxxxxxxxxx said, “the Chinese are very aggressive because they need the oil.” “They came in with big money,” he said, “and they were ready with large loans with low interest rates.” But the Chinese also made some mistakes. First, xxxxxxxxxxxx said, “We know what had happened in the Sudan and Chad and we know enough about them to know where we want them and where we don’t.” At the same time, xxxxxxxxxxxx said, “No one really desires to see the IOCs go when we have worked with them so long. Long-term friendships develop, a lot is learned from them, and we know how they do business.”

4. (C) Second, xxxxxxxxxxxx said, “Their oil companies are run by the Chinese government and they do not know how to deal with the Chinese government and they do not know how to deal with a democratic government. For example, the Chinese told the NNPC officials which fields they wanted and the NNPC officials had to say, ‘No, this field is operated by someone.'” The Chinese acted dumbfounded and said, “You mean we can’t have it?” “The PIB did not come from nowhere,” xxxxxxxxxxxx explained. Much consultation occurred before the GON presented the PIB to the National Assembly and all that was not going to be undone because of a Chinese official. “The Chinese caused the problem,” he summarized, “and they ruffled a lot of feathers.” xxxxxxxxxxxxadded that Gazprom of Russia had used a similar approach. “We are lucky we have a democratic government” he said, “Under the military, the Chinese and Russians would be here.”

—————————-

…and no forwarding address

—————————-

5. (C) xxxxxxxxxxxx colleagues also told visiting Coordinator for International Energy Affairs (S/CIEA) David Goldwyn and his delegation on November 11 that he and his union colleagues did not want the Chinese in the Nigerian oil sector. Goldwyn was asking about the problems faced by xxxxxxxxxxxx said, “The Chinese are here and that is a huge problem!” “xxxxxxxxxxxx have a list of the worst five countries to work for,” xxxxxxxxxxxx said, “and they are on that list.” xxxxxxxxxxxx explained that xxxxxxxxxxxx had experienced a problem with ExxonMobil when they “wrongfully fired a worker.” xxxxxxxxxxxx applied pressure through the U.S. steel workers and the worker in question was given a choice of being re-hired or compensated and xxxxxxxxxxxx chose the latter. “If xxxxxxxxxxxx a problem with a Chinese company,” xxxxxxxxxxxx complained, “who can xxxxxxxxxxxx to?” (COMMENT: Nigerian xxxxxxxxxxxx have complained to Labor Officer that the Chinese do not have industrial relations representatives or any formal human resources process other than the immediate supervisor who does the hiring and firing. Dealing with non-English-speaking Chinese officials also hinders constructive interaction. END COMMENT).

6. (C) xxxxxxxxxxxx later elaborated by alleging that Chinese labor practices were not good so no one wants to be part of it. “Look at the Chinese mining companies in Zambia,” xxxxxxxxxxxx said, “the labor unions there had to chase them out.” xxxxxxxxxxxx noted that corrupt people in China were put to death, but overseas they quickly adapt to the local environment, including adopting corrupt practices. “The Chinese have no respect for local laws,” xxxxxxxxxxxx said, “and they compromise a lot of things, including safety.”

7. (C) Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) xxxxxxxxxxxx said the Chinese were the first to bribe local officials to win contracts and get around local laws. By contrast, xxxxxxxxxxxx said xxxxxxxxxxxx played by the rules and was above-board. “xxxxxxxxxxxx proud of xxxxxxxxxxxx company in that respect,” xxxxxxxxxxxx said. (See reftel for additional background on Goldwyn’s meeting with the xxxxxxxxxxxx).

——-

comment

——-

8. (C) The poor image of the Chinese helps to explain why they never seriously threatened renewal of the IOCs’ oil mining licenses (OMLs), the first of which the GON signed with ExxonMobil on November 20. Most of the remainder will be signed in the coming weeks. Minister of State for Petroleum Resources Odein Ajumogobia told the joint GON-ExxonMobil press conference on the same day that, “There was never any consideration of selling or trading one firm for another.” But he also said that, “NNPC has a right to relinquish any part of its equity to any third party that expresses interest and it is in that regard that the discussions with the Chinese have been carrying on.” The GON owns 60 percent of all the joint ventures with the IOCs (55 percent in the case of Shell). So, the NNPC and the IOCs could still end up having minority Chinese partners –whether they like it or not.

9. (U) Embassy coordinated this telegram with ConGen Lagos.Sanders”

WikiLeaks: Cables discuss possible electoral reform


Selected extracts from the WikiLeaks site on electoral reform, working with “ineffective” state governors and the federal government:

Foreign Office West and Southern Africa DAS-equivalent Janet Douglas told PDAS Carter July 22 that relative stability in West Africa and a UK budget crunch had meant a reduced UK presence and programming in West Africa, but agreed that Briton Edwin Dyer’s June murder in Mali by AQIM had been a “game changer.

Strongly endorsing greater U.S.-UK dialogue on Nigeria at the desk officer and technical levels, Douglas agreed that it was important to focus on the critical areas of electoral reform, constitutional succession, and corruption issues with the federal government. Assistance should be back-loaded, as the Nigeria government has the resources to begin initiatives but lacks the political will.

On the elections, Douglas agreed there is great potential for violence and that while the elections will likely be “bad,” it will be important to deal with governance and democracy as a process. She agreed that working with local civil society organization in the run-up to the elections on both conflict mitigation and transparency issues would be important.

She also supported working with individual states and governors, corrupt and ineffective as they may be, because they were providing an avenue of engagement and were more effective than the current, largely leaderless federal government.

AQIM =Al-Qaeda in the Islamic Maghreb




							

WikiLeaks: Nigerian Oil: Bribes and piracy part 1


Selected Extracts from the WikiLeaks site on oil concerns,piracy, bribery and worries about Yar’Adua’s declining health:

(S/NF) SUMMARY: Shell's regional executive vice president for
Africa Ann Pickard and government relations representative Peter 
Francis met with the Ambassador on January 27 in Abuja and provided
an update on problems in the oil and gas sector. Pickard said that
things were going from bad to worse, especially the security
situation. She said that Nigeria now had one of the highest negative
ratings for maritime operations, creating problems for Shell in
hiring oil tankers to load, as tanker operators will work only under
highly selective conditions. Last year there were about 80 piracy
attacks on land and water combined. This year already 15 have been
tallied, which includes 3 for Shell and 3 for Exxon. On corruption,
Pickard said that Nigerian entities control the lifting of many oil
cargoes and there are some "very interesting" people lifting oil.
Oil buyers would pay NNPC GMD Yar'Adua, Chief Economic Advisor Yakubu 
and the First Lady Turai Yar'Adualarge bribes to lift oil. Pickard
also reported an instance of the Attorney General Aondoakaa allegedly
soliciting a $20 million bribe to sign a document. The International
Oil Companies (IOC) are quite concerned about the "very flawed" new
petroleum sector energy bill. The IOCs will be asking U.S., Dutch,
and U.K. COMs to convey points on the bill to GON policymakers.
Pickard agreed that the President's health is a guessing game. She
said that in her recent meetings with Yar'Auda he seems alert, though
very drawn in the face, thin, and frail. Her information is that the
President was not in danger of dying soon, but also was unlikely to
ever fully recover from his ailments. (Note: see septel on oil/energy
sector issues for the Ambassador's meeting with the new Minister of
Petroleum Resources. End Note). END SUMMARY.
- - - - - - - - -
FROM BAD TO WORSE
- - - - - - - - - 

3. (C) The Ambassador took the opportunity to share with Pickard that
the Mission was in the midst of completing its Strategic Plan and
asked Pickard where she thought Nigeria was headed. Pickard said that
things were going from bad to worse, especially in terms of security.
She said that Nigeria now had the highest negative rating for
maritime security, creating problems for Shell in hiring oil tankers
to load; tankers will work only under highly selective conditions.
She also noted that late on the evening of Saturday January 17,
Nigerian militants attacked and boarded two vessels at a Shell crude
oil loading platform in Bonny and took eight crew members hostage.
Standard procedure on the tanker was followed: the ship went into
immediate lock down; there were no injuries or fatalities from the
boarding. The eight Nigerian crew members who were taken hostage were
later released. The pirates who went through the sections of the
boat to which they were able to gain access, smashing and stealing
computers, electronics, and personal items of the crew members. The
second vessel was a tug boat towing a supply vessel from Bonny to
Calabar. Last year there were about 80 incidents of piracy; this
year already 15 had been tallied, which includes 3 for Shell and 3
for Exxon. GON officials have told Shell to "hire more security."
The price of doing business in the oil and gas sector in Nigeria
continues to climb she concluded. [Note: The International Maritime
Bureau (IMB), a division of the International Chamber of Commerce -
www icc-ccs org - reports that the waters off the Gulf of Guinea
(Nigeria) remain the second worst, with 40 incidents in 2008 to the
Horn of Africa (Somalia) with 42 recorded incidents. The IMB notes
that in 2009 the Horn of Africa will be more intense as Spring comes
due to the large number of foreign warships in the region on active
patrol to ensure the safety and security of vessels. The same
increased security is not expected for Nigeria in 2009. End Note]

(to be continued)

WikiLeaks: Dead president’s dodgy dealings and his very own “Mr. Fix It”


Below is another extract from Wikileaks on dead President Yar’Adua’s close relationship with “rumoured smuggler” Dahiru Mangal and his “dirty” dealings.

1. (S//NF) SUMMARY: XXXXXXXXXXXX alleged a close
association between President Yar,Adua and Katsina native
and rumored smuggler Dahiru Mangal. XXXXXXXXXXXX claimed Mangal
is the President's "Mr. Fix It," taking care of "anything
filthy" Yar'Adua needs done in addition to smuggling items
for several wealthy Nigerian businessmen through Niger into
Kano. Another Kano business contact corroborated XXXXXXXXXXXX 's
allegations, but observed that Mangal no longer deals openly
in illicit activity since Yar'Adua named him a special
advisor earlier this month. As well, XXXXXXXXXXXX maintained that
he had been approached by a man claiming to represent First
Lady Turai Yar'Adua and seeking an USD 2 million pay-off.
While Post cannot independently authenticate these
allegations of corruption by the President or First Lady,
Post has heard rumors of an emergent "Katsina clique" in the
Presidential Villa. END SUMMARY. 

2. (S//NF) Kano real estate entrepreneur and longtime Mission
contact XXXXXXXXXXXX told PolOff February
10 that Katsina native Dahiru Mangal, who XXXXXXXXXXXX contends
deals in illicit smuggling of goods into Nigeria, is also
known as President Yar'Adua's "Mr. Fix It." XXXXXXXXXXXX alleged
a close association between the President and Mangal, dating
to the former's tenure as governor of Katsina, and claimed
the latter remains to this day Yar'Adua's "go-to man" to
accomplish "anything filthy that Yar'Adua needs done."
Mangal, XXXXXXXXXXXX said, is also the "go-to" for any wealthy
Nigerian, who wants to import "just about anything" into
Nigeria. He declined to state whether Mangal smuggled
weapons, drugs, or persons into Nigeria. (On February 17,
PolOff queried another Kano business contact, who
corroborated XXXXXXXXXXXX 's accusations, however claimed Mangal no
longer goes by "Mr. Fix It" since Yar'Adua officially named
him a special advisor earlier this month. Allegedly,
Yar'Adua instructed Mangal to cease any illicit activity if
Mangal wished to enjoy official recognition by the President.
The contact implied this may connote, inter alia, that
Yar'Adua desires to maintain at least the appearance of
respect for rule of law, and thus, does not want any of his
close advisors openly involved in suspect activity.) 

3. (S//NF) XXXXXXXXXXXX told PolOff XXXXXXXXXXXX
several Nigerian businessmen who have employed Mangal's
services over the past several years. Reportedly, Mangal owns a warehouse across
the Niger border (likely close to the Katsina border with
Jibiyya and Maradi) in which he stores hundreds of 40-foot
shipping containers. XXXXXXXXXXXX claimed Mangal is able to
import goods from around the world, including China. In
return, Mangal requests a flat fee of 2 million naira (USD
17,000), excluding the cost of goods. Approximately 100
containers per month are brought into Kano, and goods are
then delivered to clients or sold in Kano's Kurmi market. 

4. (S//NF) Mangal also operates several legitimate
businesses, XXXXXXXXXXXX asserted, including Mangal Airlines. The
National Hajj Commission of Nigeria contracted Kabo,
Bellview, Meridian, and Mangal Airlines for the December 2007
hajj operations, which transported approximately 100,000
Nigerians to Saudi Arabia for the annual pilgrimage. (Note:
Many Nigerian Muslims have criticized the GON's handling of
the 2007 hajj claiming several thousand Nigerians were left
stranded in Saudi Arabia and could not return to Nigeria,
except without extraordinary hardship, and several others
were never airlifted from Nigeria at all. End Note.) 

5. (S//NF) Moreover, XXXXXXXXXXXX said XXXXXXXXXXXX
XXXXXXXXXXXX had been approached recently by a man claiming to speak on
behalf of First Lady Turai Yar'Adua. The person, who arrived
at the meeting with XXXXXXXXXXXX in a Peugeot with a
"presidential" license plate, told XXXXXXXXXXXX the First Lady
would "allow" them to construct the homes so long as she is
given an advance payment of 250 million naira (USD 2
million). XXXXXXXXXXXX said he was willing to offer the First 

ABUJA 00000320 002 OF 002 

Lady twenty plots of land instead, to which the presumed
emissary grimaced. The negotiations, XXXXXXXXXXXX told PolOff,
continue. 

6. (C//NF) NOTE: During a late January conversation with
PolOff, XXXXXXXXXXXXX said XXXXXXXXXXXXX
purchased an USD 10 million house in central London
approximately 7 years ago, XXXXXXXXXXXXX.
This house apparently was excluded from President
Yar,Adua,s public declaration of assets in June 2007, which
put his total wealth at approximately USD 7 million. END
NOTE. 

7. (S//NF) COMMENT: While XXXXXXXXXXXX is a trusted, longtime
Mission contact who has provided veracious information in the
past, we cannot independently confirm his statements
regarding Mangal or the First Lady. Certainly, the man who
approached XXXXXXXXXXXXX seeking a pay-off may simply have been
attempting to exploit the First Lady's name for personal
enrichment. We have heard rumors of the emergence of a
"Katsina clique" in the Villa -- a group of individuals from
the President's home state of Katsina who reportedly
constitute Yar'Adua's inner circle and increasingly, control
access to him. The surfacing of this group may be a
corrollary to Yar'Adua's lack of national exposure (and
hence, his deficiently broad support base) and his inability
thus far to stamp his authority on the ruling People's
Democratic Party. Rumors abound alleging that the First
Lady, Special Advisor Tanimu Yakubu, and Minister of
Agriculture Sayyadi Ruma are involved in corrupt practices.
Reports of both the First Lady and Yakubu's taste for the
high life and tendencies toward illicit enrichment surfaced
during a December 2007 debrief by XXXXXXXXXXXXX
outlined problems he saw in the Villa and cases XXXXXXXXXXXXX
was closely watching (Ref A).
Several contacts from XXXXXXXXXXXXX, moreover, maintain that while
the President "appeared incorruptible" during his tenure as
governor, his wife siphoned off millions in public funds for
private use. Post will closely monitor these accusations and
report any new developments. END COMMENT.
SANDERS