The Nigerian National Petroleum Company Limited (NNPCL) says it is preparing to take Final Investment Decisions (FIDs) on four major projects before the end of 2025 — marking its most ambitious capital push in years.
The move signals a fresh direction under the new executive management team appointed by President Bola Tinubu to reposition the state oil company after years of underperformance and controversy.
The development was announced in the company’s “April 2025 Monthly Report Summary” released on June 12 via its official X (formerly Twitter) handle. The report highlighted key operational metrics, strategic initiatives, and financial results, showing that NNPCL is banking on major infrastructure and upstream investments to reverse recent setbacks and revitalize Nigeria’s oil and gas sector.
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The four projects expected to reach FID by the fourth quarter of 2025 include the Ntokon Development Project (OML 102), the Crude Oil Production Expansion Project (OML 29), a set of gas development initiatives across OMLs 30 and 42, and the long-delayed Brass Fertilizer Project. The fertilizer plant, in particular, is expected to enhance domestic supply, reduce Nigeria’s reliance on imports, and contribute to agricultural productivity.
These investments represent the first serious move by the new NNPCL management under the leadership of Group Chief Executive Officer (GCEO), Bashir Bayo Ojulari, who was appointed by Tinubu in March 2025. Ojulari, a former Shell executive and energy transition expert, was chosen to lead the restructuring of Nigeria’s largest government-owned enterprise following criticisms of its poor transparency, weak revenue performance, and failure to meet OPEC production quotas under former boss Mele Kyari.
President Tinubu’s decision to overhaul NNPCL’s top management came after a series of oil theft scandals, falling exports, and concerns from international partners about the company’s credibility. Verheijen’s appointment was accompanied by the nomination of other new board members and technical advisers, with the presidency vowing to give the company a commercially viable structure and end its history of waste and mismanagement.
Production Slips While Gas Output Improves
In the April report, NNPCL said crude oil and condensate output fell to 1.61 million barrels per day, down from 1.67 million barrels per day in January. However, natural gas output saw a boost, rising to 7,354 million standard cubic feet per day in April from 7,120 mmscf/d in February, driven by upstream improvements and pipeline reliability.
On the financial side, the company reported N5.89 trillion in revenue for the month, with a profit after tax of N748 billion. For the first quarter of 2025, statutory payments totaled N4.225 trillion. While these numbers may suggest progress, oil analysts remain cautious, noting that the figures are unaudited and exclude volumes from independent producers, which are tracked separately by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
The company also reported the completion of critical technical works on the OB3 and AKK gas pipeline corridors — two long-delayed infrastructure projects considered vital to unlocking Nigeria’s domestic gas market. OB3, which links gas supplies from the East to the West, is now said to be 95% complete, while the Ajaokuta–Kaduna–Kano (AKK) pipeline has reached 70% completion. These projects had stalled for years due to funding constraints and engineering setbacks, including the difficult River Niger crossings, which have now reportedly been resolved.
Elsewhere, NNPCL announced the completion of Turnaround Maintenance on four major upstream assets: OMLs 18, 58, 118, and 133. In the refining sector, facilities in Port Harcourt, Warri, and Kaduna are undergoing further review, although the company stopped short of giving timelines for when any of the plants would resume operations.
Under its social impact initiative via the NNPC Foundation, the company said 531 National Youth Service Corps (NYSC) members received solar business starter packs through its youth empowerment programme. In addition, 83 ICT trainees and 170 creative industry beneficiaries were equipped with business kits. The foundation also facilitated 2,005 cataract surgeries and rehabilitated three hospital wards at the National Orthopaedic Hospital, Igbobi.
The push for Final Investment Decisions is a crucial indicator of investor confidence, especially after years of stagnation in Nigeria’s upstream oil sector. NNPCL’s new leadership is hoping to reframe the company’s image, attract new capital, and realign operations with the government’s larger agenda of economic reform and energy transition.
However, observers say the success of these ambitions will depend on how well NNPCL navigates lingering risks, including insecurity in oil-producing regions, pipeline vandalism, and a legacy of opaque contracting and fiscal leakages. With declining crude oil production and mounting global pressure for cleaner energy, the company’s ability to execute these FIDs will be seen as a litmus test for the Tinubu administration’s broader reforms in the oil and gas sector.