Says it’s not under political pressure, may consider joint venture model
The Nigerian National Petroleum Company Limited (NNPCL) has vowed to revive the country’s refineries despite what it described as sustained attacks on its reform agenda.
The oil firm said it was scouting for $60 billion in fresh investment as part of plans to raise its refining capacity to 500,000 barrels per day by the end of the decade.
The state-owned company said the strategy also includes ramping up crude oil output to three million barrels per day, alongside major gas infrastructure projects designed to anchor industrial growth.
Group Chief Executive Officer of the company, Bayo Ojulari, who stated this, yesterday, when he received a delegation of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), led by its President, Festus Osifo, in his office in Abuja, said that he and his team had been under vociferous attacks over the ongoing reforms in the oil and gas industry.
He also said the NNPCL management was not under pressure from President Bola Tinubu to record unsustainable feats, saying: “The President doesn’t pressure me to do the wrong thing. That is why we are looking at the baseline to ensure that whatever we are doing, the refineries work well. We don’t want to pretend and just do a quick fix because there is pressure on us.”
Ojulari also debunked the popular opinion that the Port Harcourt Refinery is two, explaining that the refinery is a single one that has two components.
According to him, instituting a set of reforms in a sector that is volatile and highly regulated will be met with stiff resistance by beneficiaries of the hitherto inefficient system, hence the barrage of attacks on the company’s management.
Also, during a courtesy visit by the Nigeria Extractive Industries Transparency Initiative (NEITI) to NNPCL, Ojulari said the firm would ensure necessary reforms in the energy sector despite opposition.
Ojulari also said the Ajaokuta–Kaduna–Kano (AKK) gas pipeline had been positioned as a flagship undertaking to unlock new businesses, power generation opportunities and industrial parks, as well as expand compressed natural gas (CNG) utilisation.
He emphasised that the pipeline is not an end, but a catalyst for wider economic activity, with teams already engaging customers and off-takers to prepare for its operation. Ojulari also said the company is preparing to list its shares on the Nigerian Stock Exchange as part of its long- term reform agenda.
According to him, the management has framed transparency as the bedrock of this ambition, pointing to the reinstatement of monthly financial and operational disclosures and a review of internal reporting processes aimed at improving accuracy and accountability.
He stressed that his administration, in office for five months, had focused on reviving the nation’s refineries on a sustainable and profitable basis, using the Incorporated Joint Venture (IJV) model.
The NNPCL boss, while acknowledging PENGASSAN’s support, urged Nigerians to be patient with the reforms, assuring that the outcome would be in the national interest.
In his remark, the President of PENGASSAN, Festus Osifo, lauded the NNPCL management for putting in place a Collective Bargaining Agreement (CBA) that is acceptable to the NNPCL staff.
He said: “This is the first time in the history of NNPCL that we are having procedural as part of the CBA. We wish to thank the exemplary leadership that you have brought about. The workers are quite happy.
“Our pipelines are now working. Also, crude oil theft has significantly reduced, leading to increased production. As PENGASSAN, we assure you that we are solidly behind you
Osifo, who noted the rise in the daily production of crude oil, attributed the feat to a reduction in oil theft and the restoration of pipelines. The PENGASSAN boss, therefore, urged the company to reduce its stakes in the refineries to accommodate majority ownership by the private sector.
This, according to him, will reduce political interference in the running of the refineries.
