The Federal Government will on July 1, 2022, fully commercialise the Nigerian National Petroleum Company (NNPC), Limited.
NNPC Group Managing Director (GMD), Malam Mele Kyari, disclosed this at the weekend during the launch of the National Petroleum Investment Management Services (NAPIMS) Electronic Materials Management Solution EMMS) and two ISO certifications in Abuja.
He revealed that as crude oil production dropped below 1.15million barrels per day on Friday, the Nigerian Navy launched a massive attack on crude oil thieves in the Niger Delta region.
He lamented that there is currently a massive destruction to the industry’s operations due to activities of vandals and criminals on the pipeline in the Niger Delta area.
According to him, “this has brought down our production as low as we have never seen before to less than 1.15mb/d because some criminals decided they should have some infractions on our pipelines.”
Kyari noted that the Electricity Material System that the NAPIMS launched yesterday should be able to respond with the best framework to contain the situation.
He said the essence of the Naval intervention was to ensure that any might available to the Nigerian Navy will be deployed with the support of the oil and gas industry.
The NNPC boss said the attack was to ensure the continuity of the progress of the industry business.
Kyari said: “Also as we speak now, the Nigerian Navy is launching a massive operation to contain oil theft in the Niger Delta region.
“The whole essence of that operation is to ensure that every asset available to the Nigerian Navy will be deployed with the support of the industry and NNPC in particular to make sure we arrest this situation.
“And I am confident that this will happen so that our businesses will continue.”
He disclosed that enormous cooperation between the NNPC and those the oil theft had impacted was ongoing.
The NNPC boss submitted that “I am very optimistic that in the next two to three weeks very measurable outcomes will come up so that our businesses can continue.”
Kyari revealed that the NNPC will become a fully commercialized and a CAMA company on 1st July, 2022.
He added that “We know this is good for our country and we know this is good for the industry.
“Today our data and processes are excellent but they can be better than excellent.
By 1st of July I am sure we are going to invite everyone here to join us to switch over to an entirely new company.”
He noted that the certification is not just in NAPIMS as every business will be certified with best practices in the industry.
The GMD said because the industry is in transition, there are challenges that are ongoing now such as crude oil theft and vandalism in the Niger Delta region.
He described it as a necessity for the industry to grow its gas potential, which NNPC is already pursuing with its partners to benefit from the opportunity in future.
In her remarks, the NNPC board chairman, Mrs. Magrane Okadigbo said that as a fully commercialized entity, the NNPC is poised to deliver dividends to stakeholders due to PIA.
She said the automation of these materials management processes will further reduce the clearing cost of the assets.
According to her, it will ensure industry exchange and designs with a view to a revenue generating system with an online direct payment and items purchased on the platform.
She noted that the NAPIMS standardization and digitalisation are key elements to the NNPC goal.
The board chairman pledged the support of his members to NNPC to succeed in delivering dividends to the over 200million Nigerians.
Speaking, the Minister of State for Petroleum Resources, Chief Timipre Sylva tasked the industry on more EMMS ISO certification.
