Oil drilling to resume in North, says NNPCL GCEO

The Group Chief Executive of the Nigerian National Petroleum Company Limited, Bayo Ojulari, has disclosed that the state-owned energy firm would resume oil drilling in the northern part of the country.

Ojulari stated this in an interview with BBC News Hausa on Monday, as this comes over two years after the past administration of former President Muhammadu Buhari launched the crude oil drilling project on the border of Bauchi and Gombe states.

Ojulari said the suspended project will be resumed under his leadership. Recall that northerners had expressed joy over the plan by President Buhari to turn the region into an oil-rich zone like the Niger Delta. But the project failed to continue for undisclosed reasons.

But the new GCEO of the NNPC, Ojulari, urged residents of the region to calm down because the national oil firm will return to work, he told the BBC.

“We will continue with the oil drilling in Kolmani and other places. After the oil drilling, we will also ensure that we complete the gas pipeline from Ajaokuta to Kano,” Ojulari said.

According to him, these projects will allow previously closed companies to reopen so they can continue operating and open new ones. “This will bring benefits to the region, which will lead to everyone benefiting because wealth will increase. Therefore, we must return and continue this project,” he said.

Also, recall that in November 2022, Buhari launched a crude oil drilling project in the Kolmani area on the border of Bauchi and Gombe states in the northeast of the country, marking the first time that oil drilling had begun in the north.

After this, the NNPCL announced that crude oil drilling in Nasarawa State, located in the north-central part of the country, would commence in March 2023. However, this has yet to take place since then, even as Nigerians demand an explanation for the suspension of the project.

In the interview, Ojulari added that he is also a northerner, expressing surprise over the reaction of some northerners when his appointment was announced. He asked the northerners and the entire country to support him and to help him with prayers to successfully move the region and the country forward.

Peace with Dangote

Ojulari also stated in the interview that he had started taking steps to end the disagreement between the NNPC and the Dangote Petroleum Refinery.

While acknowledging the rift that existed between the previous leadership of the NNPC and the Dangote refinery, Ojulari disclosed that efforts are ongoing to build a mutually-beneficial relationship between the two companies for the good of the nation.

The PUNCH recalls that the NNPC and the Dangote refinery had been in stiff competition with each other since the refinery began operations last year, especially on crude supply.

In March, the NNPC under the former GCEO, Mele Kyari, halted the naira-for-crude deal with Dangote, leading to a rise in petroleum products before the Federal Government directed that the deal should continue indefinitely.

Speaking on the seemingly unhealthy rivalry, the new CEO of NNPC said peace is returning between the two organisations. Ojulari noted that Aliko Dangote made an effort, which he said was commendable.

He emphasised that the duo must work together to give Nigerians energy security in filling stations. “We sat down and talked about the conflict. From now on, we will work together to achieve progress as needed, so that people who seek fuel at filling stations can get it when they want it,” he said.

He added that if there is any problem or mistake, they will understand each other and fix it, “but there will be no more disputes between NNPC and Dangote refinery. We will join hands for the benefit of Nigeria.”

On oil prices, Ojulari stated that the global crude crash had resulted in the country not receiving the revenue it had projected.

He said, “The budget was drawn with the prediction that if oil were sold, money would be available to be used for national development projects.” However, he added that efforts were on to reduce the operating cost in the oil business.

“If we can reduce the operation costs, it is possible that the income we will get from selling oil and gas will be enough for us,” he stated.

SOURCE : PUNCH