Nigerians to Own Stake in NNPC Soon
The group managing director of the Nigerian National Petroleum Corporation (NNPC) Mele Kyari on Thursday declared that plans were ongoing to make the NNPC a public liability company via an initial public offer so that Nigerians can own stakes in it.
Speaking at a media briefing to explain the Profit after Tax of N287 billion made by the NNPC in 2020, announced earlier by President Muhammadu Buhari, Kyari attributed it to deliberate efforts to cut costs and its refrain from delving into toxic ventures.
He said: “The success came from doing things differently. When the incumbent administration came in 2015, a new operational template was installed which centres on cutting costs, increased transparency, etc. Buhari’s template led to what we have now. When I came, I continued from where my predecessor stopped.
“We were careful about what to invest in. This led to loss reduction in 2019 and a profit in 2020. It’s indeed a collective activity.
“We stopped buying what we didn’t need. We engaged our contractors to pull down costs by 30%. We also got logistics cost reduction, low borrowing cost and all that.
“The N287 billion is profit after tax. Either we add to it our capitalisation or decide what to do as the board decides”, he explained.
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