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Tag: Mele Kyari

  • Kyari debunks reports of NNPC pipeline explosion

    Malam Mele Kyari, Group Managing Director, Nigerian National Petroleum Corporation (NNPC), has debunked reports of an explosion on the Abura Crude Trunk line, operated by the Corporation.

    This was contained in a statement signed by NNPC spokesperson, Mr Ndu Ughamadu, on Saturday in Abuja.

    Ughamadu said Kyari faulted the reports shortly after teeing off the 2019 NNPC Upstream Golf Tournament in Benin City.

    The News Agency of Nigeria (NAN) recalls that there were alleged media reports that the pipeline, situated at Otu-Jeremi town in Ughelli, Delta, was engulfed in flames.

    The facility is NNPC’s Upstream subsidiary, operated by the Nigerian Petroleum Development Company (NPDC).

    Kyari described the incident as a mere rupture on one of the corporation’s pipeline, which would be fixed within three days.

    “It was not an explosion. It was a rupture on one of our pipelines. Our team of engineers have since moved to site. In three days, we should be able to fix it.

    “We have since contained the spill coming out of that pipeline. There was no fire anywhere on the pipeline. So there is no cause for alarm,” Kyari said.

    The GMD assured the public that the incident would have no negative impact on power supply; and called on host communities to disregard the rumour and go about their normal activities.

    He also stated that the Upstream Golf Tournament at Benin , would avail members of staff of various operations of the Corporation, the opportunity to work and maintain a healthy lifestyle through the game of golf.

    “Our operations require the support of all stakeholders to succeed.

    Read Also: NNPC fails to remit N77.92b, says NEITI

    “We see our relationship with Benin Golf Club as very crucial in helping us achieve our key targets of growing production, increasing the nation’s reserves and ensuring lasting peace in the Niger Delta,” he noted

    Earlier, Prince Aghatise Erediauwa, the Captain, Benin Golf Club, stated that that the NNPC had an age-long relationship with the Club in line with its Corporate Social Responsibility policy.

    “We are very honoured to have the GMD coming down here to tee off this year’s tournament even though he has a very tight schedule.

    “We are very pleased and we hope this relationship continues for years to come,’’ Eradiauwa was quoted in the statement as saying.

    More than 200 golfers across Nigeria are expected to participate in this year’s tournament, where there will be commissioning of some projects executed by the NNPC at the Benin Golf Course.

  • NNPC, Total to grow production reserves

    THE Nigerian National Petroleum Corporation (NNPC) and Total Nigeria have expressed readiness to work together to grow daily national crude oil and gas production and reserves to meet the national target of 40 billion barrels.

    Group Managing Director of NNPC, Mallam Mele Kyari, and Country Chair/Managing Director of Total Nigeria, Mr. Mike Sangster, made the commitment when the Total Nigeria chief led the top management team of his company on a business visit to the NNPC Towers in Abuja on Tuesday.

    Read Also: NNPC picks 15 firms to lift crude

    Kyari said Total Nigeria was one of the Corporation’s most important partners with visible outcomes, adding that the partnership would further grow national production and reserves going forward.

    “Total Nigeria in the last five years has very visible outcomes that we have seen and I assure you that we will work together to progress all efforts to grow production and national reserves. I also want to put on record that your downstream company has been very supportive in the supply of gasoline into our country,” Kyari said.

     

  • NEITI to engage NNPC regularly

    THE Nigeria Extractive Industries Transparency Initiative (NEITI) says its constant engagement with the Nigerian National Petroleum Corporation (NNPC) on its operations was based on its mandate to promote corporate ethics, transparency and accountability in the oil and gas industry.

    Its Executive Secretary, Waziri Adio made the clarification in Abuja while on a courtesy visit to the NNPC Group Managing Director, Mr. Mele Kyari.

    According to a statement, Adio advised Kyari and his team to publish the Corporation’s audited financial reports and expand on what had been achieved so far towards making NNPC’s operations open and accountable.

    He also reminded the GMD of the need for the NNPC to take up its full responsibility in the implementation of the new Extractive Industries Transparency Initiative (EITI) standards on Beneficial Ownership disclosure, Commodity trading, Mainstreaming and application of the 2019 EITI global standard approved in Paris, France.

    Read Also: NNPC to re-start Chad Basin oil search

    Adio said the impression that NEITI report was never complete without an attack on NNPC’s operations was a misconception the agency’s role as an anti-corruption watchdog in the oil, gas and mining sector.

    “We have nothing against the NNPC; we request that it runs an open, transparent and accountable process required to build public trust and citizens’ benefits of the abundant natural resources in the country,” he was quoted to have said in the statement.

  • NNPC to re-start Chad Basin oil search

    THE Nigerian National Petroleum Corporation (NNPC) on Tuesday expressed its preparedness to re-commence full oil search at the Chad Basin, Gongola and Benue Trough. It is therefore seeking for military support for the protection of its workers and high-tech equipment.

    Its Group Managing Director, Mallam Mele Kyari, spoke when he led top Management of the NNPC on a visit to the Chief of Defence Staff, Gen Gabriel Olonisakin, at his office in Abuja.

    The GMD also urged the public not to drag the Corporation into politics in the guise of requests for information under the Freedom of Information Act.

    He spoke during a courtesy visit by the Executive Secretary of the Nigeria Extractive Industries Transparency Initiative (NEITI), Mr. Waziri Adio, to the NNPC Towers in Abuja.

    A statement by the state-run oil firm, stated that due to the security challenges in the Chad Basin, Gongola and Benue Trough, the NNPC had not been able to mobilise fully to those areas of its important operations.

    He said: “Am visiting the Chief of Defence Staff as my first port of call following my appointment to seek for the support of the Armed Forces to help the NNPC in re-entering the Chad Basin, Gongola and Benue Trough to enable us carry out our mandate for national development. Your support in terms of providing full security for staff and equipment is critical to us.”

    He added that the Corporation equally required the military to intensify efforts in the protection of NNPC’s pipelines and Right of Way (RoW) across the nook and cranny of Nigeria.

    Kyari said  the NNPC was seriously challenged by the nefarious activities of pipeline vandals, petroleum products thieves and other economic saboteurs that breach the operations of the Corporation in various parts of the country.

    The GMD recounted the significance of NNPC’s contributions to the national economy, saying corporation’s synergy with the Military was critical to the wellbeing of the nation’s economic lifeline.

    Responding, Gen Olonisakin described the NNPC as a strategic corporation that would be given full military support to enable it deliver on its mandate to the people.

    “It is imperative for the Armed Forces and the NNPC to collaborate and synergise for the benefit of the country going by their various strategic roles to the nation. The Armed Forces operations, code named: Operation Wase and Operations Delta Safe, along with other operations, were geared towards protecting pipelines and various oil and gas facilities,” Gen Olanisakin averred.

    Read Also: NNPC spends N15.5b on pipelines maintenance

    He said the military and the NNPC had been working together and the visit of the GMD would further bolster the various operations to secure the oil and gas installations, adding that the military had devised several strategies to stem the tide of pipeline breaches in the country.

    Speaking on the FOI Act, Kyari said: “As you are aware, sometimes the requests are brazenly malicious, and they are laden with political undertones. NNPC finds it difficult to respond to such requests because it is mindful of falling into the trap of being drawn into politics or maligning others.”

    He said in keeping with its commitment to be accountable and transparent, the corporation would publish its audited accounts soon.

    On the disclosure of contracts and contractors as requested by the NEITI boss, he said the biggest contracts in the corporation’s portfolio currently are the products supply contracts under the Direct Sales Direct Purchase (DSDP) scheme, adding that details of the contracts and the contractors would also be made public within this month.

    He promised to make the monthly financial and operations reports more accessible by publishing the soft copies of the reports from January to May, 2019.

    The Executive Secretary of NEITI, Mr. Waziri Adio, congratulated Kyari on his appointment. He said: “This is a big opportunity you have been given to shape the direction of this country in a positive way and I believe you have the capacity to do that.”

     

     

  • Don’t drag NNPC into politics, Kyari warns public

    The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kyari, has urged the public to be wary of attempts to drag the corporation into politics in the guise of requests for information under the Freedom of Information law.

    The GMD made the call during a courtesy visit by the Executive Secretary of the Nigeria Extractive Industries Transparency Initiative, (NEITI), Mr. Waziri Adio, to the NNPC Towers in Abuja.

    A press release by the corporation’s spokesman, Mr. Ndu Ughamadu, quoted the GMD as saying that though the corporation was committed to transparency and accountability to the Nigerian people, a line must be drawn between genuine requests for information and malicious attempts to drag it into politics using the FOI law as a cover.

    “As you are aware, sometimes the requests are brazenly malicious, and they are laden with political undertones. NNPC finds it difficult to respond to such requests because it is mindful of falling into the trap of being drawn into politics or maligning others”, the GMD explained.

    He disclosed that in keeping with its commitment to be accountable and transparent, the corporation would publish its audited accounts soon.

    On the disclosure of contracts and contractors as requested by the NEITI boss, he said the biggest contracts in the corporation’s portfolio currently are the products supply contracts under the Direct Sales Direct Purchase (DSDP) scheme, adding that details of the contracts and the contractors would also be made public within this month.

    Read Also: NNPC explains increase in price of Kerosene

    He promised to make the monthly financial and operations reports more accessible by publishing the soft copies of the reports from January to May, 2019.

    On his part, the Executive Secretary of NEITI, Mr. Waziri Adio, congratulated Mallam Mele Kyari on his appointment, saying: “This is a big opportunity you have been given to shape the direction of this country in a positive way and I believe you have the capacity to do that”.

    He said he was particularly impressed with the corporation’s robust deployment of modern information and communication platforms, especially the website, which he noted could be used as a transparency tool through pro-active disclosures.

    He said he was committed to working with the NNPC because of the GMD’s track record of integrity.

    “The GMD is somebody we can vouch for, he is a transparency champion and I can’t remember any GMD’s appointment that has elicited as much goodwill as your appointment has generated”, he said.

     

  • Agenda for NNPC new chief Kyari

    Nigerian National Petroleum Corporation (NNPC) Group Managing Director Mr Mele Kyari has since assumed office, with the promise of enthroning transparency. Will he walk the talk? JOHN OFIKHENUA examines the challenges in the money-spinning agency.

     

    Nigerian National Petroleum Corporation (NNPC) Group Managing Director (GMD) Mele Kyari has made a promise others before him were unable to keep. He has promised to end the opacity permeating the entity since inception. He vowed to ensure accountability and transparency in the corporation after he assumed office on July 8. Identifying the position of the people in a social contract, he said: “It is a promise that we are going to be accountable to the citizens. The citizens will have access to what we are doing.”

    Kyari promised not to allow his interest to override the national interest in the management of the NNPC. He warned his family members to guard against accepting any gift on his behalf. At a point, he sounded very pious, as he said that someday, he would face his creator to render an account of the management of the corporation. His words: “I will stand before my creator and say I have done well.”

    However, these words have become the cliché that NNPC chiefs recite on mounting the saddle. What has been lacking is walking the talk. Analysts are of the view that Nigerians will take the acclaimed war against corruption seriously if Kyari announces the daily volume of Premium Motor Spirit (PMS) consumption in the country. This was the question that The Nation put to the Group General Manager, Group Public Affairs Division, Mr Ndu Ughamadu in a text message he is yet to receive the answer days after several other telephone calls. Is this the corporation’s no-go area? The last time, The Nation raised the question; the NNPC spokesman referred him to the Petroleum Product Pricing Regulatory Authority (PPPRA) that also avoided the question. In other words, until NNPC gathers the courage to state the volume of petrol that is consumed daily in the country, analysts would keep describing its corruption measure as a veneer of what it is.

    What casts a shadow of doubt on the fight against corruption in the corporation in the downstream sector is the bridging of the product. The agency, which the Federal Government saddles with this responsibility, is yet to live up to the concept of anti-corruption. Last week, marketers accused the Petroleum Equalisation Fund (PEF) of short-changing the marketers with the bridging payment. According to him, what the fund was paying was a far cry from the entitlements of the marketers.  The Independent Petroleum Marketers Association of Nigeria (IPMAN) has several times raised the alarm about the sharp practices that still characterise the lifting of products from the private depots. The association’s National Vice President, Alhaji Abubakar Maigandi, has always complained that the private depots sell the petrol that is ordinarily N133.28 per litre for as high as N141 per litre, making it difficult for the marketers to access the product. For fear of victimisation, the marketers always develop cold feet whenever the depots’ owners dare them to produce their tickets as evidence of malpractice.

    One of Kyari’s priorities is getting the four national refineries to work at optimum capacity before May 2023. His words: “I will follow it up to make sure that before the life of this administration expires, before Baba’s (President Muhammadu) tenure ends in 2023, we will deliver on the four refineries.”

    As good as the intention is, those familiar with the conditions of the refineries describe them as tattered rags that tear apart from the left-hand side while they are sown from the right-hand side. Therefore, the corporation has resolved that the Federal Government would not provide fund for its rehabilitation again. Kyari’s predecessor, Maikanti Baru, said in his valedictory ceremony that the corporation worked tirelessly on securing third-party financing for the rehabilitation of the four refineries.  What he refused to reveal was whether the third party financing is now readily available and the investors’ commitment to the rehabilitation project. He added that the NNPC also completed pre-visibility studies on new refineries and further fine-tuned the Eni/ Nigeria Agip Oil Company (NAOC) and Oando on the planned 150kb/d Greenfield Refineries in Bayelsa State. But how attractive will the business of revamping the facilities be to private investors? How fast will the construction of the refineries be to meet the timeline that Kyari has set for Nigeria to exit fuel importation and become an exporter of petrol? The accomplishment will certainly thrill Nigerians since it will be tantamount to sacrificing profit for national interest and charity. This is so because most investors still see government’s refusal to deregulate the petrol price as a major snag impeding them from activating their licenses for modular refineries.

    Of the several licences that the Department of Petroleum Resources (DPR) has awarded to investors, how many are now constructing their refineries? Exactly what is their barrier?  Kyari’s promise of product sufficiency is anchored on the Dangote Group that which is expected to debut next year. The total capacity of the refinery is 650,000 barrel per day, while the four national refineries have a combined capacity of 445,000 barrel per day. What volume of production is Kyari expecting from the licensees of modular refineries? Is the government ready to deregulate the pump price of petrol to jump-start private sector refining?

    Read Also: Photos: Buhari, Baru, Kyari meet in Abuja

    Yet, there is no hope that Nigerians would allow the government to attempt any deregulation of the product since present N145/litre has culminated in the general increase of everything in the market. Only on Monday, the Nigerian Labour Congress (NLC), Comrade Ayuba Wabba warned that “On our part, anything that will add cost to the consumers at this point, certainly, as a consumer and somebody that represents a large constituency, we will not be able to bear the cost.”

    Everything about Nigerian price mechanism is tied to the pump price of petroleum products to the extent that even when the pump prices dip, prices of other commodities hardly respond to the change proportionally. On this note, it is evident that the citizenry is prepared to die on the cross of a pump price. Therefore, exactly what measure will Kyari use to incentivise the investors that are expected revamp the old refineries and those building the new ones?

    From the Offshore Processing Agreement (OPA), the corporation under the management of the former GMD, Dr Ibe Kachikwu, adopted the Direct Sale and Direct Purchase (DSDP) for the sale and purchase of crude oil and refined products. To a reasonable extent, the implementation of the scheme has recorded some visible level of transparency in its bid opening exercises. The NNPC has to its credit the invitation of some anti-graft agencies, such as the Nigerian Extractive Industries Transparency Initiative (NEITI) Bureau of Public Procurement (BPP), Economic and Financial Crimes Commission (EFCC) and other Civil Society Organisations to witness the exercise.

    As transparent as this bid round has appeared, critics have always picked holes in the beneficial owners of the purchasers of the crude oil. Pundits still believe that the corporation must work hard towards the enactment or amendment of the Company and Allied Matter Act (CAMA) to disclose beneficial owners compulsory for whoever is involved in the crude oil and refined products deal. According to critics, as transparent as the bid exercise might seem, its organizers may be the ones lifting the crude and supplying the refined products to the corporation. In other words, the NNPC management cannot be exonerated from benefiting from the deal through proxies.

    Another question that also begs for an answer is the insistence on spinning oil out of the Kolmani River 2 in Bauchi and Gombe states. Although the corporation uses frontier basins exploration as an excuse for its insistent on discovering oil in the Lake Chad Basin, it is obvious that emphasis is on the Kolmani River 2 search. What lends credence to this submission is the fact that the impression that Baru gave at the spud in of the oil search on 2nd February 2019, was that the exploration was to last for 60 to 70 day. However, the last he said of it was that the “We have, also, been active in the Frontier Basins as exploratory activities progressed from seismic data acquisition, processing and interpretation to the drilling of the Kolmani River -2 well in the Benue Trough. The findings in the Kolmani River -1 by SNEPCO are being confirmed and a lot more interesting information is being revealed by the well as it approaches the total depth of 14,250ft.” In the spirit of transparency and accountability, the corporation would thrill many Nigerians with the disclosure of exactly how much it has spent on the search and the further expenses that it has incurred since the project has extended from 70 days to over 140 days.

    The cheapest means of writing his name in gold is for Kyari to direct the NNPC under his watch to truly be transparent.

  • NNPC dispels fuel scarcity rumour

    THE Nigerian National Petroleum Corporation (NNPC) has advised motorists and other petroleum products consumers to disregard reports about increase in petrol pump price. It said the statement of the Corporation’s Group Managing Director, Mallam Mele Kyari, at the National Assembly on Thursday did not suggest any plan to increase the price of the white product.

    NNPC in a statement said what the NNPC GMD stated during his engagement with the Senate President, Senator Ahmed Lawan on Thursday was that the price of petrol was abysmally low in Nigeria compared to what obtained in neighbouring West African countries.

    The statement noted that Kyari had observed at the event that the huge disparity in the pump price of petrol between Nigeria and her neighbours tended to encourage cross-border leakages, as he sought the support of the National Assembly to curb smuggling.

    Read Also: NNPC dispels rumour of imminent petrol scarcity

    NNPC  advised Nigerians to disregard the insinuation of a plan hike in the price of petrol, saying statutorily, NNPC was not even in a position to regulate the price of petroleum products, adding that NNPC role as an operator must be differentiated from that of any of the industry regulators.

    NNPC said as directed by relevant agencies of the government, the pump price of petrol remains N145 per litre.

    NNPC cautioned marketers not to sell petrol above N145 per litre following the disclaimed rumour.

    NNPC advised all to remain vigilant and volunteer information to the Department of Petroleum Resources (DPR), the industry regulator, or to any law enforcement agency around them, should any station sell petrol beyond N145 per litre.

     

  • Senate calls for timely remittance of funds by revenue agencies

    THE Senate on Wednesday urged revenue collecting agencies to ensure timely transfer of funds collected into the Federation Account.

    Senate President Dr Ahmad Lawan made the call in Abuja at a meeting with some of the revenue collecting agencies.

    Lawan also called for timely disbursement of funds to federal, states and local government councils after monthly allocation meetings.

    The agencies present at the meeting include Federal Inland Revenue Services (FIRS), Nigerian National Petroleum Corporation (NNPC), Department of Petroleum Resources (DPR) and Nigeria Customs Service (NCS) among others.

    He said timely collections and disbursement of funds would determine the attainment of the next levels of agenda of the federal government.

    He said the Senate is committed to passing the 2020 budget before the end of 2019, adding that timely disbursement funds would also facilitate the implementation of the budget.

    He said the Senate would look into factors militating against the timely transfer of funds into the federation account.

    He said the late transfer of funds affect the speedy implementation of the budget and ultimately stall the development of economic activities.

    Read Also: Senate tasks FG on domestic airlines

    Lawan said the Senate is determined to serve Nigerians, adding the National Assembly is ready to help resolve challenges affecting the agencies.

    “We have been voted to make Nigerians feel the impact of government, the economy must work, and it will work when collections and disbursement of funds are made.

    “But we are going to insist that the right things are done, the right thing is that you transfer the money in good time.

    “Call FACC meeting at the right time, Federal Ministry of Finance should disburse the resources to the MDAs at the right time,” Lawan said.

    The Nigerian National Petroleum Corporation (NNPC)  urged the Senate to ensure adequate funding of the oil and gas sector to guarantee sustainable revenue flow from the sector.

    Group Managing Director of the NNPC Mallam Mele Kyari stated that NNPC has introduced various projects aimed at integrating the oil and gas industry with the economy and called for more funding to achieve a sustainable growth in the industry.

    He also solicited the support of the Senate to curb cross-border smuggling of petroleum products, especially petrol, which he said was posing a challenge to the efforts of the corporation to ensure seamless supply and distribution of products in the counry.

    He commended the Senate for its support which he said, enabled the corporation to offset its cash-call arrears.

  • Four refineries to work by 2023, says NNPC boss

    With a promise to reactivate all four refineries before the expiration of President Muhammadu Buhari’s administration in 2023, Mele Kyari yesterday took the baton from Dr. Makanti Baru as the Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC).

    He also pledged his readiness to work towards the delivery of the Dangote Refinery by the first quarter of next year.

    Kyari plans to ensure that Nigeria achieves its production target of three million barrel per day and also grow its reserve to 40 million barrels.

    The four refineries – Port Harcourt Refinery & Petrochemical (1 & 2); Warri Refinery & Petrochemical and Kaduna Refinery & Petrochemical – have installed capacity to produce 445,000 barrels per day. They have been on and off for technical reasons.

    The NNPC chief said: “It is the intention of NNPC to support the industry to make sure we achieve production level of three million barrels per day and grow our reserves to at least 40 million barrels. We will achieve this and it is possible. I have already set the time for it. We will do it before 2023.”

    Kyari spoke at the amphitheater of the NNPC in Abuja, where Baru handed over to him.

    His words: “There is a legitimate expectation from Nigerians that why can we be oil producing country with four refineries and yet importing sometimes 100% of our requirement.

    “I will follow it up to make sure that before the life of this administration expires, before Baba’s (President Muhammadu) tenure ends in 2023, we will deliver on the four refineries.”

    The NNPC, under Kyari, will encourage private sector participation in revamping the refineries.

    “We support the Dangote Refinery to make sure they come on stream within the shortest time. I cannot say for them but the last information we had was that they will come on stream the first quarter of 2020. We will support them with everything possible to make sure it comes on stream,” the new chief said.

    Kyari said that with the modular refineries coming on board, Nigeria would become a net exporter of petroleum products at the expiration of President Buhari’s tenure.

    According to him, products can now be bought without going to NNPC but what is left is taking it from the gate into the tank. “At the end of the day, you will sit on your bed, buy petroleum product and deliver it to your filling station,” Kyari said.

    He spoke of fighting corruption, saying: “There will be no corruption where there is no discretion. We are going to work with the EFCC to take out corruption from our system. Leadership is about trust, I also know that there is eternal accountability we respond to. We will not make deliberate mistakes.”

    Read also: Issues before NNPC boss Kyari

    Continuing, he said that he would do his job with integrity without allowing his personal interest to betray him.

    Kyari hinged his decision to be upright in the discharge of his duty on the fact that he would one day give account of his stewardship to God.

    His words: “I will stand before my creator and say I have done well.”

    According to him, the corporation will henceforth become accountable to the citizens.

    He said: “It is a promise that we are going to be accountable to the citizens. The citizens will have access to what we are doing.”

    But putting a caveat, he said that unless on commercial value ground, “we will disclose every data. But we will discuss every data at the appointed time.”

    Warning his children, Kyari urged them not to accept any gift from anyone on his behalf.

    His words: “From today, if you accept gift from anyone, it is not for me; don’t give gift to members of my family. It is not for me.”

    Kyari said he never prayed for the job, stressing that the opportunity could only come from God. The NNPC boss said that there are other personnel with better grades and 40 PhD holders who are also qualified for the seat, but providence only saddled him with the responsibility.

    According to him, at a point in his service, his predecessor (Baru) was simply signing his requests without reading them because he had earned his trust.

    He has no illusion that the journey ahead would be easy.

    Baru, who became the 18th GMD of NNPC in 2016, told the Chairman of the Economic and Financial Crimes Commission (EFCC), Ibrahim Magu, that the corporation’s records under his watch were clean.

    He said:  ”I look back with pride, recalling that kerosene was gold, diesel a nightmare; nobody talks about them now.”

    Baru urged his successor to ensure regular audits of his books, reminding him of the need to focus on oil and gas development, especially in the frontier basins, and opening up of new fields.

    He said: “The new GMD should rigorously focus on the growth of oil and gas production and reserve through aggressive exploration campaign in the traditional basins and frontier basins, opening up of deep offshore through negotiation of fiscal terms.

    “You should focus on passionately continuing empathic community and stakeholder engagement in the Niger Delta and other areas of operations; continuing cost reduction initiatives and contracting cycle reduction; completion of negotiations of the new PSC terms and Renew licenses early, if necessary thereafter.”

    He also advised Kyari on the implementation of the PSC Dispute Settlement Agreements and the Gas Terms.

    Baru advised Kyari to focus on exploration to grow reserves in the Niger Delta, Frontier Basins and Deep Offshore.

    He spoke also on the completion of the cash call repayment and cash call exit programme.

    The former GMD urged Kyari to see to complete the migration to IJV in all the unincorporated JVs.

    Other areas that Baru counselled his successor to focus on included:

    • completion of the financing arrangements for NPDC assets (OMLs 65, 111, 119, 66 and 64).
    • re-entering and developing OMLs 13 and 11 discretionarily awarded to NPDC.
    • targeting growth to 500kbopd within existing assets while looking for new opportunities to surpass the target.

    Baru reminded Kyari that NNPC’s mission statement was changed to reflect the vision of transforming it into an energy company, in line with the prevailing trend in the industry and its forays into renewables and power.

    Baru wore a navy blue suit and a long cap with NNPC red, white, yellow and green logo.

    Kyari was dressed in a blue agbada and a cap to match. Upon the handover of the corporation to him, Baru crowned him with the symbolic NNPC transition cap.

    The change of bation was witnessed by 10 former GMDs as Festus Marinho; Funso Kupoluko; Dr. Thomas John; Joseph Darwa; Abubakar Yalam and Chambalain Oyinbo and others.

    Also present were: Ekiti State Governor Kayode Fayemi, Magu; Nigerian Extractive Industries Transparency Initiative (NEITI), Executive Secretary Dr. Waziri Adio; “Daily Trust” Publisher  Kabiru Yusuf and his “Leadership” counterpart, Nda Isaiah, among others.

  • Kyari, Baru inspect oil drilling operation in Bauchi, Gombe

    The outgoing Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, alongside his successor, Mr. Mele Kyari, at the weekend visited the oil drilling operation site in Kolmani River II well in Bauchi and Gombe states.

    Baru said President Muhammadu Buhari is committed to growing Nigeria’s hydrocarbon reserves through the exploration of the various inland basins across the country.

    A statement by the corporation’s Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, quoted Baru as saying: “Expanding frontier basins exploration is one of the most important projects for Mr. President. He is fully convinced that the inland basins exploration holds the key to the next step of growing Nigeria’s crude oil reserves.”

    The GMD noted that for an economy, which is heavily dependent on hydrocarbon production, there is need to continuously look for additional reserves to avoid depletion.

    “Naturally, oil reserves deplete over time, and if you don’t replenish them, you will one day wake up to realise that you have nothing left to explore from the ground,” Baru said.

    Read Also: NNPC promises more support for good cause

    He said the visit was part of the smooth transition at the corporation to fully brief Kyari on the progress of work at the drilling site.

    “I cannot hand over the NNPC without bringing the new GMD here for him to appreciate the kind of activities going on at the area. I am well-briefed but he needs to be on top of developments here too. And from his comments and observations, I am convinced he has already keyed into the project, as envisioned by Mr. President,” Baru said.

    The outgoing GMD said the visit with his successor brought a good omen to the Kolmani exploration site as the team of explorers recovered a “fish” stuck in a well at the depth of 13,400 feet after about three days of tedious and continuous “fishing”.

    In drilling parlance, “fishing” is the process of retrieving an item stuck in a well in the course of drilling, while a “fish” is simply the recovered item.

    Baru also lauded the professionalism of the exploration team in maintaining zero Loss Time Injury (LTI) during the operations.

    He noted that with the level of commitment and dedication he had seen in the exploration team, he could not wait for Mr. President to light the first flame at the area, signifying the potential discovery of hydrocarbons.