Rejoinder: Memo to President Bola Ahmed Tinubu on NNPC

To me, the above referred Memo sounds like the rumblings of a novice in the operations of the Nigerian National Petroleum Corporation that is now translated into the Nigerian National Petroleum Company Limited (NNPCL), That the Petroleum Industrial Act (PIA), now guides the operations of the National Petroleum Company Limited is still not appreciated by some of our fellow Nigerian citizens is unfortunate.

 Sponsored media columns with inept presentations on strategic national issues such as this, and placed in an online called Guardian Nigerian, should be encapsulated with adequate data, that is educative and  informative indices that the Nigerian populace and the oil industry can digest on where Mallam Mele Kyari lapses negatively affected the Nation’s crude oil production quota.

In the first place, from the write- up, the reporter seems not to be in the know, on how NNPC operates. Else, he would have identified the operational deficiencies that led to the decline in Nigeria’s crude oil production quota under the leadership of Mele Kyari. 

This article should not be seen as defending the GMD, Mele Kyari, but is an honest attempt to put the facts straight. For the records, the Petroleum Industrial Bill has been in the National Assembly Chambers for decades. It was Kyari who drew the attention of the National Assembly to dust up the bill, debate on it and translated it into the Petroleum Industrial Act (PIA). Nobody can take that credit away from him, because the 8th National Assembly can attest to that.

The birth of the PIA and the benefits for the Nigerian nation alone deserves a standing ovation for Mallam Kyari for his steadfastness and doggedness I the pursuit of the objectives.

The scenarios that led to the rise in crude production level from 999 BPD to 1.111bpd in May 2023, can be attributed to Mele Kyari’s synergies through his TAPE Agenda. 

The problem in this part of the world is that, too much ethnic sentiments seem to becloud the rational reasoning of some of those who supposed to lead. Imagine what the author of that poisoning article said and I quote: a corporation driven by the trader mindset of the GMD and essentially an entity with no purpose beyond being a conduit for grand theft by a tiny cabal of mostly northern elites.

One undeniable fact about nemesis is that, those who live by the sword die by the sword. If you desire to destroy others in order to succeed, you will definitely meet destruction awaiting you at the gate of your success.

 

THE BIG NEWS FROM  NNPCL -    We Are  80% ready for IPO – kyari

 The Group Chief Executive Officer (GCEO), of the Nigerian National Petroleum Company Limited, (NNPCL), Mele Kyari has said that, the company is 80 per cent ready for an Initial Public Offer (IPO).

Kyari, said this while addressing ADIPEC and informed that, with the transition to a fully commercial model in 2021, NNPCL must perform better than its peers in the private sector. It will gradually transform from being a state owned to something wider, he said.

“ a move might either be an IPO, Kyari said, or selling equity in the company to a strategic investor. It’s a massive process that requires transformation, that requires an alignment with the realities of today,” he continued.

The NNPCL is now making money, But the question is “Is it making enough money?  The answer in No.”

The NNPCL is the largest corporation in Africa and the country has a growing middle class, demanding more and more energy. NNPC has a “clear strategy” for the transition, with a drive to diversify the supply of energy for consumers.

Nigerians must move away from the use of biomass in cooking, for instance, and towards cleaner natural gas. It’s an “absolute necessity”, Kyari said.

In addition to efforts to supply the domestic market, NNPCL has grand plans for exports. Kyari mentioned the West African Gas Pipeline (WAGP) and the Trans Saharan Gas Pipeline (TSGP) as key to making it work

“We are ramping up work on Train 7 (at Nigeria LNG) and giving a clear indication of a decision to proceed with more, we’re calling Train 8.” He also noted other smaller-scale LNG export opportunities.

It is not a lack of gas that is hampering NNPCL, Kyari noted. “It’s a lack of will.”

Nigeria has changed, he continued adding, “Very global partners are talking to us today about how to partner, how we build the gas.”

A number of countries are talking to NNPCL, he said. “In three, four years to come, Nigeria will be a hub of gas in West Africa.”

Among the sources of support, Afreximbank is working with NOCs to create an energy bank. “It’s almost done”, Kyari said. “We will have an institution to lend to us.”

Kyari did not speculate about additional projects from the IOCs in Nigeria, nor did he comment on the much delayed Seplat Energy deal.