TheNewsGuru

Tag: NNPC

  • The morbid, brazen heist at NNPC – By Pius Mordi

    The morbid, brazen heist at NNPC – By Pius Mordi

    Let’s cut President Bola Tinubu some slack. Yes, he is also the Minister of Petroleum. But he cannot be everywhere or know everything. That is why he has a Chief of Staff and designated somebody a Minister of State for Petroleum Resources.

    As Chief of Staff, Femi Gbajabiamila is virtually the alternate president. He determines what the president will handle or read, who he sees and what subject to address.

    For Heineken Lokpobiri, Petroleum Resources is his primary assignment. He only has to report to his principal, the President. Yet, the heist recently unraveled at the state oil company, Nigerian National Petroleum Company Limited (NNPCL), was so brazenly executed.

    Even before Mele Kyari was appointed by former President Muhammadu Buhari, they knew how the oil industry was in rot and how the recurring issue of turn around maintenance of the long dilapidated refineries had become a drain pipe where NNPC and its collaborators brazenly bled the nation without any fear of repercussions.

    In June 2023, President Bola Tinubu dissolved the boards of many parastatals, including those of NNPC, but Mele Kyari remained as Group Managing Director. Four months later in October, 14 chief executives of agencies of the federal government were sacked. Again, remained Kyari.

    It took the orchestrated campaign against Aliko Dangote and his mega refinery which had come on stream for NNPC to dominate the media space. Its top management sold pathetic tales of how Dangote products were substandard, a story that did not resonate with the people. Again, it took the failure of the campaign against Dangote Refinery and supply of petrol to the market almost seamlessly by the company for what was touted as the real rehabilitation of the long abandoned refineries to begin.

    Then from a loss of N803 billion in 2018, brought further down to N1.7 billion in 2019, NNPC posted an unprecedented and first ever operational surplus, what it called ‘profit’ of N287 billion in 2020. The following year, the ‘profit’ went up to N674.19 billion.

    It was a turnaround that may have impressed Tinubu to approve the TAM of the moribund refineries against the backdrop of the compelling argument by NNPC technocrats that it was unhealthy and dangerous for Dangote Refinery to be the sole producer of refined products in the country.

    In the latest round of round tripping and merry go round in the name of TAM, $3 billion was approved for the streaming of the refineries in Warri, Port Harcourt and Kaduna. Kyari and his team knew it would be a tough sell to make Nigerians buy into the tale of successful resuscitation of the refineries and were prepared to fight back.

    When former President Olusegun Obasanjo led criticism of the incredulous claim by Kyari that “trucks have began loading petroleum products which include Premium Motor Spirit (PMS) or petrol, Automotive Gas Oil (AGO) or diesel and Household Kerosene (HHK) or Kerosene, while other products slates were to be dispatched as well”, he was invited to tour the refineries. Kyari arranged extensive media tours to convince Nigerians that the hoax was real.

    All that changed on April 3, 2025 with the sack of Mele Kyari for the Pandora Box to be opened. The purported rehabilitation of the refineries was a well scripted hoax. No TAM was carried out in any of the refineries as had been the case in previous exercises. It was a daring trick from their old book on frauds.

    Since the refineries were systematically destroyed, NNPC has been a huge crime scene, a stupendous criminal organisation where the management teams took turns to rip the country off.

    It did not matter that Nigerians were having a nightmare dealing with the perennial fuel scarcity for over 20 years that had cost many lives. What mattered was what they made out of the people’s discomfort.

    According to the Economic and Financial Crimes Commission (EFCC), over N80 billion was stashed in the account of the managing directors of one of the refineries. That was just funds that had been tracked. The property and other investments from the heist are yet to be tracked.

    As horrendous as it is, it is not just about Kyari and his bunch of journeymen. It had been going on over the decades. And not only at NNPC. When Kyari was left on the job at the time 14 CEOs were sacked, it did not add up. There was no logic to that decision.

    Beyond the NNPC itself, a network of high octane manoeuvre characterises decisions in the oil industry.

    Dismissing apparently misleading reports that he had been detained, Kyari dared the security agencies to bring it on. He knew what he was saying. The rot he inherited had been going on well before his time as GMD. What happened under his watch had been going on decades before his time. Nothing happened to the perpetrators at the time and there is no reason his case will be different.

    It will be very exciting to probe and prosecute persons that will be indicted in mindless looting in the name of TAM. It is desirable. But the chain of people that will be implicated will weigh too much on the system for a thorough and transparent investigation to be conducted. Nigerians should be spared the trauma of periodic scandals in the oil behemoth.

    If only late President Umaru Yar’Adua had not cancelled the privatisation of the refineries carried out by his predecessor, Chief Obasanjo. President Tinubu should take the bold decision and privatise the assets this time.

    If the saying that government has no business in business is true, it finds full expression in NNPC. Any arrangement that will wean the refineries from the control of NNPC will bring a new era of stability and competition to the refining industry, the argument, perhaps, used to impress Tinubu into releasing the $3 billion has now gone down the drain.

  • NNPCL Leadership: Agenda for faltering oil giant – By Dakuku Peterside

    NNPCL Leadership: Agenda for faltering oil giant – By Dakuku Peterside

    The appointment of a new leadership team at the Nigerian National Petroleum Company Limited (NNPC Ltd.) has sparked fresh hope. However, history teaches us that leadership changes in Nigeria’s public institutions is often not a guarantee for remarkable positive changes . Each transition is seen as a potential turning point, yet the cycle of inefficiency, corruption  and mismanagement persists. This time, however, there is a distinguishing factor—NNPC Ltd. is now led by a technocratic board predominantly composed of industry professionals. This shift signals the possibility of meaningful change, but only if these experts can resist personal and corporate interests and genuinely serve national priorities. Will this be a turning point or another wasted opportunity? The answer will profoundly affect Nigeria’s economic stability and long-term economic health .

    As Nigeria’s national oil company, NNPC Ltd. wields significant influence, managing the country’s vast oil and gas resources. Its efficiency, or lack thereof, has far-reaching implications for government funding, economic stability, foreign exchange reserves, currency valuation, job creation, and investor confidence. A well-managed NNPC Ltd. could serve as the backbone of economic revival, while inefficiency could lead to a domino effect of economic crises. The Nigeria Extractive Industries Transparency Initiative (NEITI) reports that the country lost over $46 billion to oil theft and operational inefficiencies between 2009 and 2020, underscoring the potential impact of a well-managed NNPC Ltd.

    An ineffective NNPC Ltd. is not just a national disservice —it is an economic crisis in itself. The company’s mismanagement directly impacts the economy and national development projects.

    Globally, state-owned oil companies have been instrumental in their nations’ economic development. Saudi Aramco is the most profitable company in the world, surpassing tech giants like Apple and Microsoft, with a net income of $161.1 billion in 2022. Petrobras in Brazil has driven economic expansion through strategic investments and governance reforms, generating $35.7 billion in net profits in the same year. Equinor in Norway used oil revenues to establish a sovereign wealth fund valued at over $1.4 trillion, ensuring long-term economic stability. While these national oil companies fuel economic prosperity in their respective countries, NNPC Ltd. has struggled with inefficiency, corruption, and chronic underperformance. NNPC Ltd. has the potential to match these achievements, but only if it undergoes serious structural and operational reforms.

    A technocratic board raises expectations of professionalism and efficiency but also presents risks.  Many board members have vested interests in private oil and gas companies, creating a high risk of conflict of interest and policy decisions that serve personal gains over national development. Transparency International has consistently ranked Nigeria’s oil sector among the opaquest in the world, with corruption and vested interests undermining effective governance. To dispel these concerns, the new leadership must demonstrate an unwavering commitment to transparency, accountability, and ethical governance. Key questions must be addressed: Will their private interests precede national interests? Can they implement policies that might negatively impact their business associates? How will transparency and accountability be maintained in the decision-making process? The ability of this leadership team to separate personal gain from national duty will be a defining factor in its success or failure.

    Nigeria’s oil production costs, from 2023 data, are among the highest in the world. Saudi Arabia and Iraq produce oil at $10 per barrel, Russia and Norway at $20-$21 per barrel, while Nigeria produces at  between $40 and $48 per barrel. Security costs ,burdensome  logistics and infrastructure, inflated contracts and fraudulent procurement, and other corrupt practices contribute to these high production costs. The Cable, a Nigerian online publication quoting the National Security Adviser, Nuhu Ribadu, says that the country loses around 400,000 barrels of crude oil daily to theft and sabotage. By improving operational efficiency, adopting cutting edge technology and eliminating corruption, the new leadership could reduce the cost of production to $25-$30 per barrel—leading to a potential 75% increase in oil revenue.

    Nigeria has consistently failed to meet its OPEC production quotas due to large-scale oil theft, pipeline vandalism, community conflicts, and inefficiencies in NNPC Ltd.’s operations and management. Strengthening security measures in oil-producing regions, establishing clear community engagement frameworks, and improving operational efficiency through technology and management reforms are critical to addressing these issues. In 2024,the country struggled to produce a daily average of 1.4 million barrels per day , according to data from NUPRC, which is the industry regulator, due to these challenges. A key priority for the new leadership must be to secure and ramp up oil production. Addressing the complicity of some NNPC Ltd. and Nigeria Navy personnel in oil theft will be crucial.

    NNPC Ltd. is notorious for delays in making Final Investment Decisions (FID) due to bureaucratic red tape, layers of embedded interests and political interference, and over-reliance on joint venture models where NNPC Ltd. expects international oil companies to finance projects. A prime example is the stalled Brass LNG and Olokola LNG projects. One stakeholder attributed it to the nature of the joint venture model operated by NNPC. He likened it to a woman going to the market with her friend and banking on her friend to pay for both purchases. Here, the NNPC, which is the landlord, plans to be funded by the tenant, the field operator. The challenge is their refusal to comply with section 65  of Petroleum Industry Act (PIA) that has suggested that they migrate from unincorporated joint venture (uJV) to incorporated joint venture ( IJVCL) that will require joint upfront financing of projects at the beginning without the need of structure for ‘carry’ or cash calls”. The new leadership of NNPC must address this inefficiency and recklessness so that Nigeria and Nigerians can benefit from oil and gas resources. The former Minister of State for Petroleum Resources, Timipre Sylva, once described Nigeria’s investment delays as “crippling to sectoral growth.”

    Despite spending trillions of Naira on refinery maintenance, Nigeria’s four state-owned refineries remain non-functional.

    Between 2000 and 2020, according to House of Representatives  investigation committee reports, NNPC spent over $25 billion on refinery repairs without tangible results.  By today’s estimate, that money can be used to build 2 new refineries with a capacity of 225,000 bpd. NNNPC has the most inefficient refinery operations and expensive turnaround maintenance costs. The new leadership of NNPC has both a moral obligation and a national duty to make appropriate decisions on what to do with the refineries. Some national oil companies have sold off their refineries to focus on crude oil production and renewables , while others operate their refineries efficiently and generate profits. The key questions are: Should NNPC Ltd sell the refineries to private investors? Or should it reform its operational structures for greater efficiency and adopt a new refinery management model?

    For decades, corruption and mismanagement have plagued NNPC Ltd. Political actors have used the company as a cash cow, opaque procurement processes, and delayed and unreliable financial disclosures. It is estimated that one-third of NNPC’s revenue is used to service political commitments that have nothing to do with the national economy. NNPC has attempted publishing its financial report in the past three years since PIB. Stakeholders say it is more of a ceremonial ritual than any serious attempt to be transparent. Unlike its peers, NNPCL does not accompany its audited financial statements with comprehensive operational reports. Being more transparent and professional in NNPC’s management should be a topmost priority of the new leadership. To restore credibility, NNPC Ltd. must publish independently audited financial reports with full operational details, implement transparent procurement policies, establish zero-tolerance measures against corruption, and resist political interference in financial decisions.

    Nigeria has 203 trillion cubic feet of natural gas reserves, yet these remain largely untapped due to a lack of critical infrastructure and poor pricing policies that deter investment. How did other nations do it to earn optimally from gas resources? Qatar became the world’s largest LNG exporter, generating over $100 billion annually from gas sales. Trinidad & Tobago built a robust petrochemical industry using gas resources . Norway used gas revenues to develop a $1.4b sovereign wealth fund. These success stories demonstrate the transformative potential of natural gas when it is strategically managed and leveraged for comprehensive national development. Nigeria can draw valuable insights from these experiences to unlock the full potential of gas resources.  Investing in gas infrastructure development, reforming pricing policies to attract investors, and developing a clear gas commercialization strategy are essential steps toward unlocking Nigeria’s gas potential. As the International Energy Agency (IEA) points out, “Natural gas can be a bridge to sustainable energy security if managed efficiently.”

    To ensure long-term sustainability, NNPC Ltd. must optimize asset utilization, especially in crude oil exploration and  refinery operations, prioritize profit-driven decision-making over political interference, and streamline bureaucratic processes to boost efficiency. The company has attempted an Initial Public Offering (IPO) three times between 2018 and 2023, failing each time due to a lack of political will and transparency issues . Listing NNPC Ltd. on a foreign stock exchange such as New York or London could attract investors and strengthen corporate governance, following the examples of Saudi Aramco, Petronas, and Petrobras. Fast-tracking the promised Initial Public Offering (IPO) on major stock exchanges is essential.

    NNPC stands at a critical crossroads. With exemplary leadership and reforms, Nigeria’s economy can be transformed, global investment can be attracted, and the potential of its vast oil and gas resources can be maximized. However, if these necessary reforms are not implemented, history will repeat itself, and Nigeria will continue to suffer from inefficiencies and corruption. “Nigeria’s oil sector has the potential to be the backbone of our economy,” admitted  Mele Kyari, immediate past   Group CEO of NNPC Ltd., “but only if we make the hard decisions now.” The responsibility now lies with the new leadership: Will they seize this opportunity or squander it like their predecessors? Will this new leadership deliver, or will history repeat itself? That NNPC needs a serious course correction is no brainer. The coming on board of a new leadership is the right time to do a reset. The choices made today will define Nigeria’s economic trajectory for decades.

  • NNPCL announces new management team after Kyari sack

    NNPCL announces new management team after Kyari sack

    The new Group Chief Executive Officer (GCEO) of the Nigerian National Petroleum Company Ltd. (NNPCL), Mr Bayo Ojulari, has officially taken over the reins of the company from his predecessor, Mr Mele Kyari.

    Following the appointment of the new GCEO and Board of Directors, the NNPC Ltd. also announced the appointment of a new eight-man Senior Management Team.

    In a brief handover ceremony held at the NNPC Towers on Friday, the GCEO commended Kyari for his contributions to the growth of the NNPC Ltd. and his sterling service to the nation.

    Ojulari, in a statement by the NNPC Ltd. spokesperson, Mr Olufemi Soneye, said the objective of his management was to consolidate on the successes of his predecessor and take the company to the next level.

    He said he would rely on the cooperation of the management and staff of the company, as well as the counsel of his predecessor to achieve set targets.

    “I will be counting on your support. I will need it. I will be coming around to seek your counsel,” Ojulari said.
    Earlier in his remarks, Kyari congratulated Ojulari and thanked the management and staff of the company for their support while in office.

    He pledged to do everything within his power to support the new management to succeed, stressing that he was only a call away.

    In a similar development, following the appointment of the new GCEO and Board of Directors, the NNPC Ltd. also announced the appointment of a new eight-man Senior Management Team.

    Soneye said the team which would be headed by the GCEO, has Mr Rowland Ewubare as the Group Chief Operating Officer;  Mr Adedapo Segun as the Group Chief Financial Officer; and Mr Olalekan Ogunleye as Executive Vice President Gas, Power and New Energy.

    Other members of the team are: Udy Ntia as Executive Vice President Upstream; Mumuni Dangazau as Executive Vice President Downstream; Sophia Mbakwe as Executive Vice President Business Services; and

    Adesua Dozie, as Company Secretary and Chief Legal Officer.

    NAN reports that all appointments are with immediate effect.

  • Tinubu sacks Kyari as NNPC boss, reconstitutes board

    Tinubu sacks Kyari as NNPC boss, reconstitutes board

    President Bola Tinubu has approved the removal of Chief Pius Akinyelure, the chairman of the board of the Nigerian National Petroleum Company (NNPC) Ltd. and Malam Mele Kyari, the group chief executive officer.

    Kyari was replaced by Mr Bashir Ojulari as Group CEO and Akinyelure was replaced by Mr Ahmadu Kida as non-executive chairman, Mr Bayo Onanuga, his spokesman, said in a statement on Wednesday.

    Tinubu also removed all other board members appointed with Akinyelure and Kyari in November 2023.

    Mr Adedapo Segun, who replaced Umaru Ajiya as the chief financial officer last November, has been appointed to the new board.

    Six board members, non-executive directors, representing the country’s geopolitical zones are: Bello Rabiu, North West; Yusuf Usman, North East, and Babs Omotowa, a former managing director of the Nigerian Liquified Natural Gas (NLNG), who represents North Central.

    Tinubu also appointed Mr Austin Avuru as a non-executive director from the South-South, David Ige as a non-executive director from the South West, and Henry Obih as a non-executive director from the South East.

    Mrs Lydia Jafiya, permanent secretary of the Federal Ministry of Finance, will represent the ministry on the new board, while Aminu Ahmed will represent the Ministry of Petroleum Resources.

    The President invoked the powers granted under Section 59, subsection 2 of the Petroleum Industry Act, 2021, adding that all the appointments were with immediate effect.

    He said that the board’s restructuring was crucial for enhancing operational efficiency, and restoring investor confidence.

    Tinubu added that it would also boost local content, drive economic growth, and advance gas commercialisation and diversification.

    The President handed out an immediate action plan to the new board; to conduct a strategic portfolio review of NNPC-operated and Joint Venture Assets.

    He said this would ensure alignment with value maximisation objectives.

    Since 2023, the Tinubu administration has implemented oil sector reforms to attract investment. Last year, NNPC reported 17 billion dollars in new investments within the sector.

    “The administration now envisions increasing the investment to 30 billion dollars by 2027 and 60 billion dollars by 2030.

    ‘The Tinubu administration targets raising oil production to two million barrels daily by 2027 and three million daily by 2030.

    “Concurrently, the government wants gas production jacked to 8 billion cubic feet daily by 2027 and 10 billion cubic feet by 2030.”

    Tinubu charged the new board to elevate NNPC’s share of crude oil refining output to 200,000 barrels by 2027 and reach 500,000 by 2030.

    The new board chairman, Kida, from Borno, is an alumnus of Ahmadu Bello University, Zaria, where he received a degree in civil engineering in 1984.

    He also obtained a postgraduate diploma in petroleum engineering from the Institut Francaise du Petrol (IFP) in Paris

    He started his career in the oil industry at Elf Petroleum Nigeria and later joined Total Exploration and Production as a trainee engineer in 1985.

    Kida became Total Nigeria’s Deputy Managing Director of Deep Water Services in 2015. Last year, he became an Independent Non-Executive Director at Pan Ocean-Newcross Group.

    Apart from his oil industry career, Kida is a former basketballer and the president of the Nigerian Basketball Federation(NBBF) board.

    Ojulari, the new NNPC Ltd. Group CEO, hails from Kwara.

    Until his new appointment, he was Executive Vice President and Chief Operating Officer of Renaissance Africa Energy Company.

    Renaissance Africa Energy Company recently led a consortium of indigenous energy firms in the landmark acquisition of the entire equity holding in the Shell Petroleum Development Company of Nigeria (SPDC), worth 2.4 billion dollars.

    Like Kida, Ojulari is also an alumnus of Ahmadu Bello University, Zaria.

    He graduated with a degree in Mechanical Engineering.

    He worked for Elf Aquitaine as the first Nigerian process engineer to begin a stellar career in the oil sector.

    From Elf, he joined Shell Petroleum Development Company of Nigeria Ltd in 1991 as an associate production technologist.

    Apart from working in Nigeria, he worked in Europe and the Middle East in different capacities as a petroleum process and production engineer, strategic planner, field developer, and asset manager.

    In 2015, he became the managing director of Shell Nigeria Exploration and Production Company (SNEPCO).

    Tinubu thanked the old board members for their dedicated service to NNPC Ltd.

    He commended them for their efforts in rehabilitating the old Port Harcourt and Warri refineries, and wished them well in their future endeavours.

  • No explosion at Port Harcourt refinery, NNPC clarifies

    No explosion at Port Harcourt refinery, NNPC clarifies

    The Nigerian National Petroleum Company Limited (NNPC Ltd.) has refuted reports of an explosion at the Port Harcourt Refining Company (PHRC) in Rivers.

    The company, in a statement issued in Abuja on Wednesday by its Chief Corporate Communications Officer, Olufemi Soneye, clarified that what occurred was a flare incident, which has since been fully contained.

    Soneye said there was no danger or health hazard to staff, the surrounding communities, or the environment.

    “NNPC Ltd. urges the media and the public to disregard any reports suggesting an explosion at the refinery, as they are entirely false,” he said.

  • Downstream price war: Govt fuel price drops to N774/litre

    Downstream price war: Govt fuel price drops to N774/litre

    The landing cost of premium motor spirit dropped to N774.82 per litre, cheaper than the ex-depot price of Dangote Refinery’s fuel, which stood at N825 per litre.

    This is coming as price war in the downstream oil sector intensified on Tuesday as major oil marketers moved to offer a lower price against the gantry loading cost of N825 per litre set by Dangote Petroleum Refinery.

    This development followed a revelation by marketers that the landing cost of Premium Motor Spirit (petrol) imported into Nigeria has dropped to N774.72 per litre.

    Marketers said the continued price plunge may lead to a reduction in the pump prices of PMS to about N800 per litre.

    Dealers said the N774.72 per litre landing cost, which factors in various expenses including shipping, import duties, and exchange rates, is a considerable reduction of N50.28 from the N825 per litre offered at the loading gantry of the Dangote Petroleum Refinery.

    The situation, according to industry stakeholders, has ignited a price war, with retail marketers now opting to dump the refinery products for imported products on the basis of lower pricing.

    Findings also revealed that this decrease in landing cost is expected to influence the price at which petrol is sold to consumers and could increase marketers’ interest in returning to petrol imports.

    “Crude oil is a major component in the production of fuel, so a further reduction in its price would definitely warrant a drop in petrol price, and it is possible to drop to N800 per litre,” the National Publicity Secretary of the Independent Marketers Association of Nigeria, Chief Ukadike Chinedu, stated.

    Recall that last Monday, NNPC dropped its retail petrol price to N860 and N880 per litre from N945 and N965 in Lagos and Abuja, respectively.

    NNPC’s petrol price drop followed Dangote refinery’s retail fuel price reduction to N860 and N880 per litre across its retail partners.

    The refinery, in its second price reduction in the new year and the third one in a space of two months, reduced its ex-depot petrol price from N890 to N825 per litre to the delight of Nigerians.

    However, the reduction by NNPC, the country’s largest fuel supplier, sparked a wave of competitive pricing among private marketers seeking to capture the market share in an environment where consumers are highly sensitive to price fluctuations.

    The pain of the price reduction was more significant for petrol importers as they lost an average of N2.5bn daily and N75bn monthly due to the PMS price reduction.

    But in a swift business survival strategy, these marketers have now secured fresh products at a cheaper cost that is now detrimental to the operations of the refinery.

    According to the latest competency centre daily energy data released by the Major Energies Marketers Association of Nigeria and obtained by our correspondent on Tuesday, the on-spot estimated import parity into tanks has reduced to N774.82 per litre, a reduction of N152.56 or 16.5 per cent from the N927.48 per litre quoted on February 21, 2025 (the last energy data on petrol).

    The average cost for 30 days also dropped to N864.92 per litre, while on-the-spot sale at the NPSC terminal was N927.53.

    The document also noted that the price of Brent crude was benchmarked at $70.36 per barrel, down from $76.48 per barrel quoted on February 21, with an exchange rate of N1,517.24 per dollar. This price was calculated based on 38,000 metric tonnes by the marketers.

    This cost is viewed as an improvement for importers, providing private depot owners and independent marketers with an alternative route to profitability and the opportunity to source cheaper products

    Further checks revealed that private depots have effected a price change lower than marketers off taking products from the refinery.

    An analysis showed that AA RANO depot has reduced its loading cost to N830 per litre, MENJ Depot now sells at N830, MRS TINCAN sold its products at N830, WOSBAB gave its customers a price estimate of N832, AITEO gave a price of N832 and RAINOIL depot sold its products at N831 per litre.

    While marketers that bought two million litres from the Dangote refinery at N825 are selling at N835 per litre, indicating an N1 profit and N4 less than the price offered by private depots.

    On Monday, oil marketers under the aegis of the Petroleum Products Retail Outlet Owners Association of Nigeria condemned the constant reduction of fuel prices, saying marketers are still counting losses.

    Despite deregulation, PETROAN said there is a need for a regulation that will make it mandatory that prices can only be changed after six months.

  • NNPC clarifies Naira crude contract with Dangote Refinery

    NNPC clarifies Naira crude contract with Dangote Refinery

    The Nigerian National Petroleum Company Limited (NNPC Ltd.) says its contract with Dangote Refinery for the sale of crude oil in Naira was structured as a six-month agreement.

    The Chief Corporate Communications Officer, NNPC Ltd., Olufemi Soneye, on Monday in a statement said this was subject to availability, and expires at ending of March 2025.

    He said discussions were ongoing towards emplacing a new contract.

    The spokesperson explained that the clarification became necessary because of the recent reports on social media regarding the alleged unilateral termination of the crude oil sales agreement in Naira between NNPC and Dangote Refinery.

    “Under this arrangement, NNPC has made over 48 million barrels of crude oil available to Dangote Refinery since October 2024.

    “In aggregate, the NNPC has made over 84 million barrels of crude oil available to the Refinery since its commencement of operations in 2023.

    “NNPC Limited remains committed to supplying crude oil for local refining based on mutually agreed terms and conditions,” he said.

  • Motorists happy as NNPC reduces petrol price(See new price)

    Motorists happy as NNPC reduces petrol price(See new price)

    Motorists happy as the Nigerian National Petroleum Company Limited (NNPCL) has reduced the price of petrol at its retail stations from N960 to N945 per litre.

    The new price took effect on Thursday, February 13, following directives from the company.

    At an NNPC filling station in Ejigbo, attendants confirmed the price change, noting an increase in customer turnout and long queues.

    However, some consumers believe the reduction is too small to impact their expenses.

    The commercial driver at the station stated that he would not lower transport fares due to the slight difference in price.

    Other filling stations, including Ardova, Mobil, and Petrocam, have not made any changes.

    Ardova continues selling at N970 per litre, while Mobil and Petrocam sell at N960 and N970 per litre, respectively.

    This adjustment follows a similar move by MRS Oil Nigeria Plc, which recently set its petrol price at N925 per litre in Lagos. MRS also announced regional prices of N935 per litre in the South West, N945 per litre in the North, and N955 per litre in the South East.

    The recent price changes are linked to global energy trends and a drop in crude oil prices.

    Since the removal of fuel subsidies, petrol prices have fluctuated, reaching nearly N1000 per litre.

    When President Bola Ahmed Tinubu assumed office on May 29, 2023, the product was sold at N198 per litre.

  • How God turned me from Almajiri to CEO – NNPC MD, Mele Kyari opens up

    How God turned me from Almajiri to CEO – NNPC MD, Mele Kyari opens up

    Mele Kyari, the Group Chief Executive Officer (GCEO) of Nigeria National Petroleum Company Limited, has narrated how God transformed his life from a poor Almajiri pauper to the head of the national oil agency.

    TheNewsGuru reports that Kyari during his 60th birthday today (Wednesday, January 8) recalled that his life began as an Almajiri Pupil to becoming the CEO of Africa’s energy giant.

    Kyari, via his verified social media page commended former President Muhammadu Buhari and President Bola Tinubu for allowing him to serve the nation.

    “Allah, by his grace, spared my life to this exceptional day, making it my 60th year from birth, even much earlier on the Hijri calendar. I am profoundly grateful to my country for giving me the opportunity to grow from an Almajiri (Tsangaya) school pupil to become the CEO of Africa’s largest energy company. Even more particular, I deeply appreciate the exceptional privilege given to me by Presidents Muhammadu Buhari and Bola Ahmed Tinubu to serve as the last GMD of the NNPC and the pioneer CEO of the NNPC Ltd. Reflecting backwards alone can’t account for the profoundly eventful life I spent to this date, walking through good and bad times, travails and triumphs, pains and happiness, fails and successes and many more that only the sufficiency of Allah will explain. At this milestone, I feel the obligation to serve with even greater conviction and with elevated expectation of eternal recompense so deeply pleasing,” he said.

    Kyari also appreciated his family, friends, associates and colleagues at NNPC for their support. He asked for forgiveness from all those he offended.

    “I am hugely indebted to my family for being nearly absent for most of my later years serving our nation and the common good. My deep appreciation to my family, friends and associates, my colleagues at work and my teachers (western and of Almajiri extractions), and many unmentioned people who account for many of my accomplishments, unconditional support and my overall wellbeing. This is a turning point, and I seek forgiveness from anyone I might have hurt unintentionally or unavoidably,” he added.

  • Port Harcourt refinery fully operational – NNPC

    Port Harcourt refinery fully operational – NNPC

    The Nigerian National Petroleum Company Limited (NNPC Ltd.) says the old Port Harcourt refinery is fully operational and preparation for Saturday loading operation is currently ongoing.

    The NNPC Ltd. Chief Corporate Communications Officer, Olufemi Soneye, said this in a statement on Saturday in Abuja.

    Soneye advised members of the public to discountenance false media reports that the refinery which was re-streamed in November has been shut down.

    He described such reports as the figments of the imagination of those who want to create artificial scarcity and rip-off Nigerians.

    ”The attention of the NNPC Ltd. has been drawn to reports in a section of the media alleging that the Old Port Harcourt Refinery which was re-streamed has been shut down.

    “We wish to clarify that such reports are totally false as the refinery is fully operational as verified a few days ago by former Group Managing Directors (GMDs) of NNPC.

    “Preparation for the day’s loading operation is currently ongoing,” he said,” the spokesperson said.

    Recall that the 60,000 barrels per day (bpd) capacity refinery, which attained its mechanical completion in 2023, began its truck-out of petroleum products on Nov. 26, following its rehabilitation.

    That signaled the commencement of crude oil processing from the plant and Petroleum products delivery to market.

    The resumption of the refinery had followed a lot of skepticism and criticism from some critics who alleged that the rehabilitated refinery was a scam.

    Amid the controversy, some renowned Nigerians, marketers and society of engineers among others had toured the refinery and confirmed that it is operational.

    The refinery, which is the country’s oldest and biggest among the three government-owned refineries and located in the Niger Delta Region of Nigeria, began operation in 1965.

    NAN