NNPC to Resume Oil Drilling in Northern Nigeria

by Amelia

The Nigerian National Petroleum Company Limited (NNPC Ltd.) will resume crude oil drilling operations in Northern Nigeria, over two years after the project was suspended. This was confirmed by the Group Chief Executive Officer of the NNPC, Bayo Ojulari, during an interview on Monday.

Ojulari, who recently assumed leadership of the state-owned oil company, stated that the drilling project—initially launched in November 2022 by former President Muhammadu Buhari at Kolmani, on the Bauchi-Gombe border—will recommence. He assured the northern population that the firm remains committed to its development goals in the region.

“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.

He noted that the revival of these projects would reactivate dormant businesses and stimulate the opening of new enterprises. “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 added.

The Kolmani project had initially sparked celebration in the north, as it marked the first-ever crude oil drilling in the region. However, the initiative stalled without public explanation. A subsequent plan to begin oil exploration in Nasarawa State by March 2023 also failed to materialize, prompting calls for accountability.

In his interview, Ojulari, a northerner himself, acknowledged the skepticism that followed his appointment. He urged northerners and Nigerians at large to support his leadership, both in prayer and in action, as he works to advance the country’s energy sector.

Ojulari also addressed ongoing tensions between NNPC Ltd. and the Dangote Petroleum Refinery, a rift that intensified under the previous leadership of Mele Kyari. The conflict, particularly over crude supply and the suspension of a naira-for-crude agreement, had caused supply disruptions and price hikes.

The new GCEO revealed that steps are being taken to repair the relationship. “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,” Ojulari said, commending efforts by Dangote to resolve the discord.

“There will be no more disputes between NNPC and Dangote refinery. We will join hands for the benefit of Nigeria,” he emphasized.

Commenting on the global oil market, Ojulari expressed concern over the decline in crude prices, which he said has hampered Nigeria’s revenue expectations. “The budget was drawn with the prediction that if oil were sold, money would be available to be used for national development projects,” he noted.

Nevertheless, Ojulari is optimistic that operational efficiency can offset some of the revenue shortfalls. “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 concluded.

Ojulari’s comments signal a renewed strategic direction for NNPC Ltd., one focused on regional inclusion, improved stakeholder relations, and operational sustainability.

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