In a long awaited move to turnaround Nigeria’s oil and gas sector, President Bola Ahmed Tinubu has approved a sweeping reconstitution of the Nigerian National Petroleum Company ,NNPC, Limited board.
In a press statement by Mr Bayou Onanuga, this morning and made available to newsmen , “The changes, which involve the removal of key figures and the appointment of new leadership, are aimed at enhancing operational efficiency, boosting local content, and accelerating economic growth in the sector” , Says the President.
…What changed ?
President Tinubu has removed Chief Pius Akinyelure, the chairman of the NNPCL board, and Mallam Mele Kolo Kyari, the group chief executive officer, alongside all other members who were appointed with them in November 2023. These leadership changes are part of the administration’s efforts to inject fresh energy into the sector.
…NNPCL new leadership
The new 11-man board is led by Engineer Bashir Bayo Ojulari as the new Group CEO, and Ahmadu Musa Kida as the non-executive chairman. The new board is expected to oversee the implementation of reforms that will drive efficiency and maximize the value of Nigeria’s oil and gas resources.
Additionally, Adedapo Segun, who replaced Umaru Isa Ajiya as the chief financial officer in November 2023, has also been appointed to the new board. Other board members, representing various geopolitical zones, include:
Bello Rabiu (North West),
Yusuf Usman (North East),
Babs Omotowa, a former managing director of the Nigerian Liquefied Natural Gas (NLNG), representing North Central,
Austin Avuru (South-South),
David Ige (South West),
Henry Obih (South East).
Mrs Lydia Shehu Jafiya, the permanent secretary of the Federal Ministry of Finance, will represent the Ministry, while Aminu Said Ahmed will represent the Ministry of Petroleum Resources on the new board.
…New Strategic Mandate and Vision
The restructuring is a strategic move by the Tinubu administration to reform the oil and gas sector and achieve significant economic milestones. The immediate action plan for the new board includes:
Conducting a strategic portfolio review of NNPC-operated and Joint Venture assets to align operations with the goal of maximizing value.
Boosting local content, enhancing economic growth, and promoting gas commercialization to diversify Nigeria’s energy resources.
…Tinubu’s Vision for the Oil and Gas Sector
The Tinubu administration is committed to reforming Nigeria’s oil sector and driving sustainable growth. President Tinubu has set ambitious targets, which include:
Increasing oil production to 2 million barrels per day by 2027 and 3 million barrels daily by 2030.
Boosting gas production to 8 billion cubic feet per day by 2027 and 10 billion cubic feet daily by 2030.
Raising NNPC’s share of crude oil refining output to 200,000 barrels per day by 2027 and 500,000 barrels daily by 2030.
Furthermore, the administration aims to attract $30 billion in new investments in the oil and gas sector by 2027 and $60 billion by 2030.
Strengthening Investor Confidence
The overhaul is part of broader efforts to strengthen Nigeria’s oil and gas sector and make it more attractive to both local and international investors. Since 2023, the NNPC has already attracted $17 billion in new investments under the Tinubu administration, with the goal of significantly increasing this figure in the coming years.
President Tinubu’s reshuffling of the NNPC board marks a decisive step in his administration’s efforts to revamp Nigeria’s oil and gas sector. The new leadership will be tasked with implementing strategic reforms to increase investment, boost production, and ensure the sector’s sustainable growth in alignment with national economic goals.
