BusinessDay
Nigeria's leading finance and market intelligence news report.

Explore every means to end fuel importation, Kyari charges subsidiary

The group managing director of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, has charged members of the Board of the NNPC Greenfield Refinery Limited (NGRL), to explore all available options to end the current challenge of petroleum products importation.

Kyari gave the charge Thursday during the inauguration of the Board of the newly incorporated subsidiary of the Corporation, NNPC Greenfield Refinery Limited (NGRL), at the NNPC Towers, Abuja.

The NNPC Greenfield Refinery Limited is a subsidiary of the Corporation set up in December 2020 with a mandate to oversee the establishment and operation of new refineries.

The GMD, who doubles as chairman of the NGRL Board, challenged members of the Board to focus on profitability in order to remain afloat and avoid liquidation.

“As a business, this is a big opportunity for us and this company’s balance sheet must change positively. Going forward, with the Petroleum Industry Act (PIA), I can tell you that if you continue to post negative for three years, you are out. So, there is really no excuse”, Kyari stated.

He urged the Board and Management Team of the new company to set up a proper structure with the required skills, technology, and financing to drive the company’s operations, stressing that he was optimistic that the company would be able to achieve its mandate.

Read also: NNPC, CMEC, GE seal deal for 50MW Maiduguri Power Project

“Our company must grow and we can’t do well except we are able to process our products whether it is the liquid or gas. If we don’t monetize it then we have done nothing. This is really a new chapter and we are committed to making it work,” he said.

The NNPC helmsman stated that all the Corporation’s initiatives in the areas of new refineries, condensate refineries, and equity acquisition in credible private refineries were geared towards ensuring energy security for the country.

The Alternate Chairman of the Board and Group Executive Director, Refinery and Petrochemicals, Engr. Mustapha Yakubu, in his remarks, declared that the operations of the company would be guided by the principles of cost-effectiveness in line with the new Petroleum Industry Act (PIA), noting that profitability would be the key focus.

Speaking in a similar vein, the group general manager, Greenfield Refineries and Project Division (GRPD), and managing director of the NGRL, Bege Talson, disclosed that the Division was working with third party investors to establish Greenfield, modular, and condensate refineries with a combined capacity of 250,000barrels per stream day (bpsd).

Other members of the Board include group executive director, Finance & Accounts, Umar Ajiya; managing director of the Nigerian Gas Company (NGC), Oluwaseyi Omotowa; managing director of NNPC Retail, Elizabeth Aliyuda; managing director of the Nigerian Petroleum Development Company (NPDC), Muhammad Ali-Zarah; and Tolulope Olubommo as Company secretary and legal adviser.

Whatsapp mobile

Get real time updates directly on you device, subscribe now.