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  • More heads to roll in NNPCL, subsidiaries as Ojulari assumes office

    More heads to roll in NNPCL, subsidiaries as Ojulari assumes office

    There are indications that more heads will roll in the Nigerian National Petroleum Company Limited, NNPCL and its subsidiaries as Engineer Bayo Ojulari yesterday assumed office as the new Group Chief Executive Officer.

    This was even as the management and staff of NNPC Ltd welcomed the appointment of a new GCEO Officer and Board of Directors for the company by President Bola Ahmed Tinubu.

    However, checks Vanguard showed that the reorganisation would start from the corporate headquarters to the subsidiaries, including Upstream, Gas and Power, new Energy, Downstream and Non-Energy businesses.
    The checks indicated that the reorganisation would be targeted at ensuring that round pegs are placed into round holes based on the commitment of the new leadership to achieve national goals and objectives in the oil and gas industry.

    It was confirmed that the businesses to be impacted include the NNPC E&P Limited (NEPL), NNPC Upstream Investment Management Services (NUIMS), NNPC Energy Services Limited (EnServ), NNPC Engineering and Technical Company (NETCO), NNPC New Energy Limited (NNEL), NNPC Gas Infrastructure Company (NGIC), NNPC Gas Marketing Limited (NGML), and NNPC Gas & Power Investment Services (NGPIS).

    They also include NNPC Trading Limited (NTL) NNPC Retail Limited (NRL), NNPC Shipping Limited (NSL), NNPC RefChem Limited (NRCL), NNPC Downstream Investment Services (NDIS), Nigerian Pipelines and Storage Company Limited (NPSC), National Energy Reserve Management Company (NERMC), NNPC Non-Energy Investment Services (NNIS), NNPC Foundation Limited/Gte, NNPC Academy, NNPC Properties Limited (NPL), and Health Maintenance Organization (HMO) and Research Technology and Innovation (RTI).

    Experts set agenda for oil, gas development

    Meanwhile, in an interview with Vanguard, Prof Wumi Iledare, Executive Director of Emmanuel Egbogah Foundation, called on the new team to revisit the Naira for Crude deal with local refineries.

    He said: “Second is selling NNPCL shares to the public with a limit to what individuals can buy and restricting corporate buyers. Third, divest some JV shares in divested IOC shares.

    “Fourth, rekindle, restructure, and rebound NNPC Limited along the intent of the PIA. Fifth, disavow agency mindset to please the branch instead of the federation and focus on the commercial mandate in the law.

    “Sixth, promote economy of scale mentality. Seventh and perhaps most important, encourage more recruitment, training and capacity building to increase productivity.”

    Prof. Iledare commended the former GCEO, Mele Kyari for his contributions toward the development of the industry, adding that with their rich professional background and experiences, the new team would likely deliver value to the NNPCL and Nigeria’s oil and gas industry.

    Similarly, the Chief Executive Officer, CEO, Centre for the Promotion of Private Enterprise, CPPE, Dr. Muda Yusuf, said: “The quality of the governance and management of our oil and gas sector has been the bane of our economic progress over the past few decades. The country has not been able to leverage the huge oil and gas resources to advance our economic development frontiers as many other oil producing countries have done.

    “Our peers as oil producing countries have done much better – UAE, Norway, Saudi Arabia etc. We have largely succeeded in building a huge rent economy around our oil and gas sector.

    “In all of these, our national oil company [NNPC] is a very strategic institution. If we must change the narrative, we must get it right with the governance and management of the NNPC.

    “Recent changes in the NNPC signal the commitment of the present administration to chart a new course. The new management team is populated by professionals with a proven record of performance in the private sector segment of the oil and gas sector. They are therefore expected to change the face of the sector. We would like to see an NNPC that is comparable to its peers like Saudi Aramco, China National Petroleum Corporation, PETRONAS etc.

    “We expect to see a dramatic improvement in corporate governance, better optimisation of oil and gas assets, a PPP investment framework that would drive efficiency, productivity and profitability.

    “We would also like to see an end to refineries that have become a huge burden rather than assets on the economy. Above all is the imperative of fostering the highest standards of corporate governance. The listing of the NNPC Limited on both national and international stock exchanges would reinforce the desired corporate governance standards.

    “However, all of these would be difficult to achieve if the political environment does not complement the realisation of this vision. It is therefore very critical that the independence of the new NNPC is guaranteed with zero tolerance for interference from the Political leadership, the national assembly and the bureaucracy. These are critical success factors.”

    NNPCL Embraces New Team

    In a statement, the Chief Corporate Communications Officer, NNPCL, Olufemi Soneye, said: “The Management and staff of NNPC Ltd have welcomed the appointment of a new Group Chief Executive Officer, Mr. Bayo Ojulari, and Board of Directors for the Company by President Bola Ahmed Tinubu.

    “We extend our profound appreciation to the outgoing GCEO, Mr. Mele Kyari, and the former Board Members for their selfless and dedicated service to the Company and to the nation.

    “Mr. Kyari’s leadership and tireless efforts have left an indelible mark on NNPC Ltd., and we are sincerely grateful for his outstanding contributions. We wish him and all departing Board Members continued success and fulfilment in their future endeavours.”

  • Import licenses: Court dismisses NNPCL’s objection, okays Dangote’s suit for hearing

    Import licenses: Court dismisses NNPCL’s objection, okays Dangote’s suit for hearing

    ABUJA — A Federal High Court sitting in Abuja, on Tuesday, dismissed as lacking in merit, an application the Nigerian National Petroleum Corporation Limited, NNPCL, filed to query its jurisdiction to hear the suit that was brought against it by Dangote Petroleum Refinery and Petrochemicals FZE.

    The suit marked FHC/ABJ/CS/1324/2024 seeks to nullify the licenses the Nigeria Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, issued to enable the NNPCL and other marketers, to import refined petroleum products into the country.

    Other defendants in the matter are AYM Shafa Limited; A. A. Rano Limited; T. Time Petroleum Limited; 2015 Petroleum Limited; as well as Matrix Petroleum Services Limited.

    The plaintiff, Dangote Refinery, had insisted that it was wrong to issue licences for importation of petroleum products such as Automotive Gas Oil (AGO) and Jet Fuel (aviation turbine fuel) into Nigeria when there is no shortfall in its own local production.

    Aside from praying the court to award N100 billion in damages against the NMDPRA for issuing import licenses, the plaintiff applied for an order of injunction to restrain the 1st defendant (NMDPRA) from further issuing and/or renewing import licenses to the 2nd to 7th defendants or other companies for the purpose of importing petroleum products.

    Meanwhile, before the matter could be heard, the NNPCL filed a preliminary objection to challenge the competence of the suit and the jurisdiction of the court to hear it.

    Arguing that the plaintiff sued a non-existing party, it noted that what was listed as the 2nd defendant in the matter was ‘NNPC’, an entity that is currently non-existent.

    Consequently, NNPCL urged the court to strike out its name from the suit, even as it challenged the locus standi (legal right) of the plaintiff to file the action it described as “premature.”

    “The 2nd defendant is not a competent party. The plaintiff’s suit is incompetent. This honourable court lacks the jurisdiction to hear this suit,” the NNPCL argued.

    However, in his ruling on Tuesday, Justice Inyang Ekwo dismissed the objection for want of merit.n

    The court further granted an application the plaintiff filed to amend the suit to reflect the proper name of the NNPCL.

    In a related ruling, the court dismissed an application the Federal Competition and Consumer Protection Commission, FCCPC, filed to be joined as a defendant in the suit.

    The court held the the dispute before it could be effectively determined without the FCCPC which it said was not a relevant or necessary party.

  • NNPCL and Dangote are proudly Nigerian

    NNPCL and Dangote are proudly Nigerian

    We see the ongoing controversy over the refined products of the Nigerian National Petroleum Company Limited, NNPCL, and Dangote Refinery, DR, as a celebration of the full restoration of petroleum products refining capacity to the Nigerian domestic market after decades of dependence on importation.

    In August 2024, Dangote Refinery, the 650,000 barrels per day largest single-train refining factory in the world, started test-running the sale of its products to marketers. The NNPCL, under Mele Kyari, pleasantly shocked most Nigerians a few months later in November 2024 when it also beat the odds and reopened its refurbished Port Harcourt Refinery. It immediately set its eyes on the completion of its Warri and Kaduna refineries.

    For the first time in years, the last Christmas and New Year season went without fuel scarcity. As our refineries continue to expand their capacities, the sufferings our people routinely underwent will hopefully become things of the past.

    The controversy arose when some social media influencers started comparing the perceived qualities of Dangote and NNPCL products. Of particular note was the viral social media post where an individual claimed his experiment proved that Dangote petrol “lasted longer”. That is a complete fallacy.

    There are peculiarities of our renascent refined products market that we need to take note of and be properly informed. In the first place, there is no market “war” between Dangote and NNPCL. Though they are private or independent businesses, the Nigerian people through the Federal Government, own shares in them. They equally belong to all of us. They are proudly Nigerian.

    It is totally wrong to say only a particular company or select group of marketers pick their products from any domestic refiner. The NNPCL has already informed the public that even their outlets in some parts of the country, especially the Lagos area, sell Dangote products because it is cheaper than coming all the way to Port Harcourt to load. Pretty much every marketer in that part of the country buy and sell Dangote. They also mainly patronise NNPCL for the same reason in the Port Harcourt areas.

    We strongly believe that the laws and realities of the marketplace will force all products refined in Nigeria, including those of the oncoming refineries, to find their niches and thrive within and outside Nigeria.

    We must desist from manufacturing frictions among providers of essential goods and services. This hurts the economy. We may unwittingly be straying into the territory of economic sabotage, which carries a price within the law. The market is an open space, and people should feel free to exploit it without being hoodwinked or cajoled.

    We also call on the Federal Government to rehabilitate our pipeline networks and depots. This will bring down costs and foster ease of doing business in the petroleum sector.

  • Court to rule on NNPCL’s objection against Dangote Refinery suit

    Court to rule on NNPCL’s objection against Dangote Refinery suit

    A Federal High Court in Abuja on Wednesday, fixed March 18 for ruling on the Nigeria National Petroleum Company Limited (NNPCL)’s preliminary objection against a suit filed by the Dangote Petroleum Refinery and Petrochemicals FZE over oil import licence dispute.

    Justice Inyang Ekwo fixed the date after counsel to the NNPCL,, Ademola Abimbola, SAN, and lawyer to Dangote Refinery, John Ibrahim, SAN, presented their arguments and adopted their processes for and against the suit.

    Recall that Justice Ekwo had, on Thursday, fixed today for the hearing of the NNPCL’s preliminary objection after Ibrahim told the court that they were yet to file their response to the application.

    Upon resumed hearing on Wednesday, Abimbola.informed the court that the matter was scheduled for hearing of their objection and he said they were ready to proceed.

    Ibrahim, who said they had filed their counter affidavit in opposition to the objection, said he was ready to move their application too.

    Moving the application, Abimbola said their notice of preliminary objection, dated and filed on Nov. 15, 2024, sought an order striking out the suit for lack of jurisdiction or in the alternative, an order striking out the name of the company from the suit.

    He said an affidavit and a written address were in support of the application.

    The lawyer said upon receipt of the refinery’s counter affidavit, they filed a further affidavit on Feb. 3 in response and a reply on points of law.

    He prayed the court to either strike out the suit or the name of the NNPCL from the suit.

    Responding, Ibrahim said a five-paragraph counter affidavit, dated Jan. 31, was filed with a written address.

    He adopted the processes and urged the court to dismiss the NNPCL’s preliminary objection for being unnecessary.

    After listening to the parties, Justice Ekwo adjourned the matter until March 18 for ruling.

    NAN observes that while Emeka Akabuogu appeared for the 1st defendant; Ahmed Raji, SAN, represented the 3rd, 4th and 7th defendants; while Divine Oguru appeared for 5th and 6th defendants respectively.

    Meanwhile, Olanrewaju Oshinaike appeared for a party seeking to be joined (Federal Competition and Consumer Protection Commission) in the suit.

    NAN reports that Dangote Refinery had sued the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Nigeria National Petroleum Corporation Limited (NNPCL) as 1st and 2nd defendants.

    Also joined in the suit are AYM Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited.

    The oil company, through its lawyer, Ogwu Onoja, SAN, prayed the court to nullify import licences issued by NMDPRA to the NNPCL and the five other companies for the purpose of importing refined petroleum products.

    The company (plaintiff) also prayed the court to declare that NMDPRA was in violation of Sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing licenses for the importation of petroleum products.

    It stated that such licenses should only be issued in circumstances where there is a petroleum product shortfall.

    It equally sought a N100 billion in damages against NMDPRA for allegedly continuing to issue import licences to NNPCL and the five companies for importing petroleum products, among other reliefs.

    The NNPCL, in its preliminary objection, prayed the court to strike out the case for being incompetent.

    The NNPCL argued that the suit was premature and it disclosed no cause of action against it.

    “This honourable court lacks the jurisdiction to hear this suit,” the NNPCL said.

    In the affidavit in support of the application deposed to by Isiaka Popoola, a clerk in the law firm of Afe Babalola & Co, counsel to the NNPCL, he said one of their lawyers, Esther Longe who perused Dangote’s originating summons, affidavit and written address told him that an examination of the processes showed that NNPC as sued by the refinery was non-existent entity.

    Popoola averred that the court lacked jurisdiction over the 2nd defendant sued as Nigeria National Petroleum Corporation Limited (NNPCL).

    “A simple search on the CAC website shows that there is no entity called “Nigeria National Petroleum Corporation Limited (NNPC).”

    According to Popoola, the 2nd defendant/objector is not one and the same with the 2nd defendant sued by the plaintiff.

    He urged the court to strike out the suit.

    Also, the NMDPRA, in its counter affidavit deposed to by Idris Musa, a Senior Regulatory Officer in the office, prayed the court to dismiss the suit as it was misconceived, unmeritorious and incompetent.

    Musa argued that Dangote Refinery is not entitled to any of the reliefs sought.

    The official, in the application dated and filed Dec. 13, 2024, said the current production of Dangote Refinery

    is yet to meet the national daily petroleum products sufficiency requirement.

    He said based on this and in compliance with Section 317 [9] of the PIA (Petroleum Industry Act), NMDPRA issued licences to import petroleum products to bridge product shortfalls to companies with good track records of international products trading.

    Besides, he said the agency is also mandated to promote competition and prevent abuse of dominant market positions and unhealthy monopoly in the oil and gas sector.

    He denied the allegation that NMDPRA is partaking in any purported “grand conspiracy and concerted efforts” against the refinery, describing it as “an allegation for which the plaintiff has provided no facts or evidence in support.”

    The oil marketers, in a joint counter affidavit filed on Nov. 5, 2024, told the court that granting Dangote’s application would spell doom for the country’s oil sector.

    According to them, the plan to monopolise the oil sector is a recipe for disaster in the country.

    The three marketers; AYM Shafa Limited, A. A. Rano Limited and Matrix Petroleum Services Limited, in their response, said the plaintiff did not produce adequate petroleum products for the daily consumption of Nigerians.

    Besides, they argued that there was nothing placed before the court to prove the contrary

  • NNPCL disobeys court order on cluster establishment, says Rivers community

    NNPCL disobeys court order on cluster establishment, says Rivers community

    The Bukuma community in Rivers has decried the alleged refusal of Nigerian National Petroleum Corporations Limited’s (NNPCL) to implement a 2021 court judgement on cluster issue.

    The Paramount Ruler of Bukuma, King Precious Elekima, made this known during an interview with Newsmen in Port Harcourt on Thursday.

    Bukuma, in Degema Local Government Area of Rivers is hosting an oil and gas field, housing 10 oil wells.

    The oil field was operated by Shell Petroleum and Development Company (SPDC) before Eroton Exploration and Protection Limited took it over but later handed it over to NNPCL.

    Elekima explained that the cluster arrangement began in 2007 as a resolution mechanism for communal clashes in the area.

    “The government and oil companies operating in the area established clusters to address disputes between the warring communities at the time,” he said.

    ‘’However, Bukuma, the hosting the oil and gas field, was grouped with 16 other communities in the cluster.’’

    Elekima alleged that the 16 communities which, he described, as having no valid take in the cluster, bound together to deny Bukuma the benefits it deserved as the host community.

    “As a result, the Bukuma people decided to demand their own cluster from Eroton.

    “Our community, hosting the oil wellhead and being the most impacted by oil extraction, deserved its own cluster, but Eroton refused,” he stated.

    The traditional ruler said that after their request was ignored, the community sought legal redress, and tho court ruled in their favour, mandating the establishment of a cluster for Bukuma.

    He said that Eroton did not implement the judgement before NNPCL took over and created NNPC Eighteen Operating Limited (NEOL) to oversee the operations of the wells.

    “The community met with NNPCL to implement the court order, but the company refused to comply and has remained adamant till this day,” Elekima said.

    He urged NNPCL not to be engaging with individuals in the community to give the false impression that it had reconciled with Bukuma.

    The paramount ruler urged the government to hold NNPC accountable for not allowing the host community to receive its deserved cluster.

    “We are being exploited, perhaps because the Bukuma people are a minority group with no influential figures in government or society.

    “This neglect has left the community grossly underdeveloped, even though it hosts a major oil field in the Niger Delta that generates significant revenue for the country,” he lamented.

    Elekima said that the recent explosion at the wellhead 008, which spilled crude oil into the community, has worsened living conditions in Bukuma.

    He reiterated the community’s support of the investigation into the fire incident and expressed confidence that it would identify the perpetrators and bring them to justice.

    “Bukuma people support the investigation because we are peaceful and law-abiding and do not engage in sabotage.

    “We do not dispute NNPCL’s claim that vandals destroyed its wellhead, and we fully support investigations into the fire incident.

    “The community sympathises with NNPCL over the incident and assures that we will never encourage any form of illegal bunkering or vandalism of oil facilities,” he stated.

    He underscored the importance of the damaged wellhead, describing it as one of the largest oil wells contributing to Federal Government revenue for national development.

    “We have always stood with the Federal Government in its fight against oil theft, illegal bunkering, and vandalism.

    “Therefore, we should not be held responsible for the destruction of the facility,” he added.

    The paramount ruler welcomed the involvement of Tantita Security Services, an independent security outfit, in the investigation, but he cautioned NNPCL to be vigilant during the process.

    “NNPC should be cautious in investigation, not to allow any individual to exploit the situation to advance personal interests related to chieftaincy, kingship, or land disputes.

    “The company should ensure that such individuals do not take advantage of the situation to frame innocent people,” he cautioned.

  • ICYMI: Senate Projects ₦100 Trillion Budget for 2026 Amid Revenue Challenges

    ICYMI: Senate Projects ₦100 Trillion Budget for 2026 Amid Revenue Challenges

    The Nigerian Senate has projected a staggering N100 trillion aggregate expenditure for the 2026 fiscal year. This ambitious figure was revealed by Senator Solomon Ademola, Chairman of the Senate Committee on Appropriation, during a stakeholders’ interactive session on the 2025 Appropriation Bill.

    This revelation and projection towards the 2026 budget underscores the government’s ambitious plans for economic growth while acknowledging the significant hurdles in revenue generation.

    Ademola highlighted the ongoing efforts to free up government revenue currently held by organizations like the Nigerian National Petroleum Corporation (NNPCL).

    He emphasized, “A lot of revenue has been held hostage by no other person than organizations like the NNPCL who still believe that there are still some elements of subsidy that are being treated as an operational expense in their documents.”

    The Senator acknowledged the current challenges in meeting budgetary targets, stating, “We found out that we projected revenue of certain amounts and at the end of the day we can’t meet the target. To bridge the gap, we have to go and borrow. So it will add more to the deficit you are seeing.”

    However, Ademola expressed optimism about the future, stating, “By next year when we are gathered here, we will start having a budget of a minimum of about 100 trillion naira.”

    This projection, while ambitious, reflects the government’s determination to address critical infrastructure needs and stimulate economic growth.

    Senate President Godswill Akpabio emphasized the importance of making the 2025 budget a “living document” that prioritizes the welfare of Nigerians. He urged all stakeholders to collaborate and ensure that every naira spent is invested wisely in the nation’s prosperity.

    “This is not an ordinary assembly, and this is not an ordinary moment,” Akpabio declared. “For we are not gathered here merely as legislators, public servants, or citizens, but as custodians of Nigeria’s destiny, stewards of its promise, and architects of its future.”

    The 2026 budget projection underscores the significant economic challenges facing Nigeria. While the government aims for ambitious growth, addressing revenue constraints and ensuring efficient resource allocation will be crucial to achieving these goals.

  • NNPCL Restores Production of 275,000 BPD

    NNPCL Restores Production of 275,000 BPD

    The Nigerian National Petroleum Company Limited (NNPC Ltd) has agreed with TotalEnergies, Petroleum and Natural Gas Senior Staff Association (PENGASSAN) and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) to suspend the ongoing strike which has led to the immediate restoration of 275,000 barrels of oil per day production.
    Chief Corporate Commissions Officer ,NNPC Ltd, Olufemi Soneye who made this known in a press release said the peace deal was made on 12th November, 2023.
    According to him, a communiqué was issued by NNPC Ltd and signed by the unions involved.
    He said ” In a communiqué issued at the end of a marathon negotiation session chaired by Oritsemeyiwa Eyesan, Executive Vice President, Upstream, NNPC Ltd., all parties committed to resolving all the issues within an agreed framework”.
    ” The communiqué was jointly signed by TotalEnergies MD/CEO Matthieu Bouyer, PENGASSAN President, Comrade Festus Osifo, and NUPENG President, Comrade Williams Akporegha. It was witnessed by NNPC Ltd.’s, EVP Upstream Oritsemeyiwa Eyesan and Chief Upstream Investment Officer, NNPC Upstream Investment Management Services, Bala Wunti. Also in attendance was Victor Bandele, Deputy Managing Director, TotalEnergies”.