Former NNPC GMDs raise alarm over possible collapse of oil sector

Former Group Managing Directors of the Nigerian National Petroleum Corporation (NNPC) yesterday had a meeting in Abuja and declared that the current situation affecting Nigeria’s oil and gas sector was capable of leading to its total collapse if left unattended to, Leadership reports.

NNPC-towers large

The former GMDs, who attended the meeting included Dr. Maikanti Baru and his predecessors, including the immediate past GMD, who is also the current minister of State for Petroleum Resources, Dr. Ibe Kachikwu, Dr Edmund Daukoru, Chief Odoliyi Lolomari, Dr. Thomas M. A. John, Engr. Lawrence Amu, Dr. Jackson  E. Gaius-Obaseki, Engr. Funsho Kupolokun, Dr Abubakar Yar’Adua, and Dr. Joseph Thlama.

They noted that there was an urgent need for government and security agencies to refocus as well as engage the various host communities as well as established social and traditional structures to develop an actionable partnership framework toward finding a lasting solution to the present unrest in the Niger Delta. The former GMDs also advised that the refineries be rejuvenated using the Original Equipment Manufacturers (OEMs).

They further suggested that the refineries should be restructured to operate as an Incorporated Joint venture (IJV) similar to the Nigerian Liquefied Natural Gas (NLNG) model. The former GMDs were also worried about the level of NNPC’s debt profile and advised that as a matter of urgency, NNPC should establish the true state of its current financial status and immediately decide on the most appropriate capitalisation model.