Nigeria National Petroleum Company Limited (NNPC Ltd) has revealed how it supported the establishment of Dangote Refineries by securing for it a loan of $1 billion during liquidity challenges thereby making it possible for the realization of the project
This revelation was made as part of strides being taken by NNPC in support of Public-Private Partnership in the development of oil and gas sector of the nation’s economy.
The NNPC Chief Corporate Communications Officer, Olufemi Soneye, made this disclosure in an opening remarks at the company’s “Energy Relations Stakeholder Engagement” program held on Monday in Abuja attended by its various categories of stakeholders.
According to Soneye, “A strategic decision to secure a $1 billion loan backed by NNPC’s crude was instrumental in supporting the Dangote Refinery during liquidity challenges, paving the way for the establishment of Nigeria’s first private refinery. This initiative underscores NNPC’s dedication to fostering public-private partnerships that drive national development.”
He further articulated groundbreaking milestones so far achieved which have redefined the trajectory of Nigeria’s oil and gas sector.
According to him, “The restart of the Port Harcourt Refinery marks a significant turning point in Nigeria’s quest for energy self-sufficiency, reaffirming the company’s commitment to revitalizing the nation’s refining capacity.
“NNPC has also championed the adoption of Compressed Natural Gas (CNG) as an alternative energy source, offering Nigerians a cleaner and more cost-effective solution amidst rising global energy costs.
“In a historic achievement, NNPC, under Kyari’s leadership, declared profit for the first time in decades, marking a significant financial turnaround. The company has already exceeded its profit projections for 2024, a testament to the transformative reforms he has implemented.
“Additionally, Kyari facilitated the $3 billion Gazelle loan, a critical intervention that helped stabilize the federation during a challenging foreign exchange crisis.”
Specifically on the stakeholders engagement, he explained that energy relations are the backbone of NNPC Ltd’s operations and strategic aspirations as an integrated energy company.
“In a rapidly evolving global energy landscape, fostering strong relationships with stakeholders across the value chain is not just a priority but a necessity for achieving our objectives.
“As your trusted partner, NNPC Ltd remains committed to fostering meaningful relationships, driving excellence, and delivering value across the energy value chain. This meeting underscores our shared vision to ensure energy security, economic growth, and environmental stewardship for the benefit of all” he assured.
While presenting a paper on “NNPC Ltd Transition, Post – PIA” Mr. Arinze Okafor, explained that the Company has moved from recording annual losses to declaration of profits adding that by 2025, it is certain that shareholders will receive dividends.
Citing PIA, he said NNPC must be self-funding, attaining profitability by 2024 and return dividends to shareholders thereafter.
In terms of Energy security, he said the Company supports and protects domestic consumption through active participation in strategic priority areas e.g., refining, storage and pipelines.
He further maintained that there are benefits for the effective partnerships and collaboration, enumerating that supporting NNPC Limited can offer the stakeholders in Nigeria’s energy sector several advantages
In terms of enhanced business opportunities, he said that collaborating with NNPC Limited provides stakeholders access to a broader market and potential contracts within the energy sector.
Apart from Strengthening community relations, he said that by partnering with NNPC, stakeholders can enhance their corporate social responsibility (CSR) initiatives and leverage NNPC’s extensive resources, including technical expertise and financial backing and contribute to sustain development.
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