The Nigerian National Petroleum Company Limited (NNPCL) said it is not under political pressure in the course of its operations, despite mounting criticisms over ongoing reforms in the oil and gas sector.
Group Chief Executive Officer of NNPCL, Bayo Ojulari, stated this yesterday while receiving a delegation of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), led by its President, Festus Osifo, in Abuja.
Ojulari dismissed insinuations that President Bola Tinubu had pressured the management to deliver unsustainable results, stressing that his mandate was to ensure reforms that guarantee long-term sustainability.
“We know that the attacks will not stop anytime soon. All management members are undergoing one prosecution or the other. We are under serious attacks. But we will stay focused and continue to deliver on the President’s mandate. Our detractors will not win,” he said.
On the state of Nigeria’s refineries, Ojulari attributed their prolonged non-performance to years of neglect, despite the injection of about $3 billion into rehabilitation efforts.
He revealed that the Port Harcourt refinery was producing only about 40 per cent of crude pumped into it, incurring monthly losses of N300 million to N500 million.
According to him, a technical and commercial review of the facilities has been completed, with findings showing that the most viable option is to bring in professional international refiners for joint operation.
“We have concluded that the best way forward is to get a true professional refining company to join us to cooperate the refinery. We are negotiating with some international refiners on this model,” he confirmed.
Ojulari further clarified that the Port Harcourt refinery is a single facility with two components, countering the widespread belief that it comprises two separate refineries.
He acknowledged that reforms in such a volatile and highly regulated industry would attract stiff resistance, but insisted that NNPCL would only pursue sustainable reforms without political interference.
“The President has not put pressure on me to do the wrong thing. The mandate is to ensure sustainability. There is no negative political pressure for NNPCL to continue running at a loss,” he said.
On his part, PENGASSAN President Festus Osifo commended the Ojulari-led management for introducing a Collective Bargaining Agreement (CBA) acceptable to workers, describing it as the first of its kind in NNPCL’s history.
He also praised the company’s efforts in curbing oil theft and restoring pipelines, which he said had boosted daily crude production.
“We are happy that production is going up. Almost all the pipelines are no longer compromised. This did not come by sheer luck but by hard work,” he said.
Osifo, however, urged NNPCL to reduce its stakes in the refineries and allow majority private-sector ownership, arguing that such a move would further limit political interference and ensure efficiency.
