The Rules of the Nigerian Stock Exchange (the “NSE” or “Exchange”) on Board Meetings and General Meetings (“Rules”) as approved by the Securities and Exchange Commission (“SEC”)1 are intended to guide directors and trustees of listed companies in ensuring compliance with the standards set by Nigerian company laws as regards their fiduciary duties of skill, care and diligence.

One of the time honored pillars upon which rest the concept of modern Justice is captured in the Latin maxim, “audi alteram partem” which when translated means “hear the other Party”. This rule of natural justice ensures that equal opportunity and protection is afforded the competing interests and rights of the contending Parties. To achieve this, a party commencing a suit placed before Court for adjudication has an obligation to ensure that all Processes filed by him, in the suit, gets to the attention of the Defendant by proper service.

The highpoint of the Nigerian power sector reform process had hitherto been the November 2013 handover of successor Power Holding Company of Nigeria (“PHCN”) utilities to private sector investors. Not since the passage of the Electric Power Sector Reform Act in 2005 (“EPSRA”), had the Federal Government of Nigeria shown its firm commitment to true liberalization in the sector. In anticipation of a privatized electricity market, investors made good their commitments for the balance of the purchase price for the respective PHCN assets and moved to consummate all relevant Industry Agreements.

Undoubtedly, Section 131(d) of the Constitution of the Federal Republic of Nigeria, 1999 (as amended) prescribes a School Leaving Certificate or its equivalent as the minimum educational qualification for candidates contesting election to the office of the President of the Federal Republic of Nigeria. It stipulates that candidates must be “educated up to at least school leaving Certificate Level or its equivalent”. Said section provides inter alia:

The word ‘condominium’ refers to a building or complex of buildings containing a number of individually owned units. Each unit is deemed land with each unit owner having the full title to the apartment and a collective right of use of the common facilities on the property such as the elevators, gym, spa, lobby, swimming pool, parking lot, rooftop, stairway, etc. This innovative system of home ownership differs from an apartment building which is owned by one person or a corporate entity but is leased out to people who do not own their own units.

In the wake of a spiraling downward trend in the price of crude oil, which now stands around US$60 per barrel, Exploration and Production Companies (E&Ps) are pushing to cut down on their costs and postponing some projects. On the international scene, we see some oil majors such as Royal Dutch Shell and ConocoPhillips announcing spending cuts whilst British Petroleum (BP) and Chevron have announced job slashes and in the case of Chevron, the postponement of its drilling budget.

The Nigerian Stock Exchange (NSE), in a bid towards safeguarding against influence on Issuers by interested persons, issued the Rules Governing Transactions with Related Parties or Interested Persons (the “Rules”).

A Critical Analysis of Institutional Reforms in Nigeria’s Oil and Gas Industry

This article first appeared in “Legal Energy” a column in the Nigeria Energy Intelligence.

1. Introduction

The first part of the article focused on institutional elements of the latest Nigerian Federal Government reform proposals. This part focuses on the operational aspects and reviews issues relating to licensing and environmental issues.