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Bold vision promises new dawn for Nigeria’s ailing petrochemical industry

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Estimated to hold 37 billion barrels of proven oil reserves, Nigeria is the second biggest oil-rich country in Africa, after Libya. The exploitation of these resources has been in the hands of the Nigerian National Petroleum Corporation (NNPC) that was established in 1977 as a merger of the Nigerian National Oil Corporation and the Federal Ministry of Mines and Steel. NNPC by law manages the joint venture between the Nigerian Government and international oil companies such as Shell, Agip, ExxonMobil, Total and Chevron.

Despite its rich resources, at present Nigeria’s state-dominated oil industry is declining, afflicted by systemic corruption, starved for international investment, and hit hard by weak oil prices. Despite that malaise, oil remains the country’s chief source of income.

A choice of paths

What many considered a watershed moment for the industry occurred earlier this year in the country’s election with two conflicting strategies for the development of the industry put forward by the two candidates.

The incumbent, Muhammadu Buhari’s planned to retain a nationalized oil industry under the NNPC banner while the vision of his opponent, Atiku Abubakar, was to sell off aging refineries to private buyers to liberalise the economy. In the end Buhari won a tight contest.

The importance of the oil and gas sector for the state cannot be underestimated with more than half of its revenue along with 85 per cent of its export revenue coming from the sector. Despite the 40 billion barrels of oil under its control, Nigeria’s ageing infrastructure can only produce around 2.5 million barrels of crude oil per day.

Adding to this malady is the state of its mid-stream and downstream infrastructure that many believe is in even worse condition than its upstream assets.  The refineries dotted around the Niger Delta region are at present producing less than half of the 500,000 barrel per day capacity, with this figure dropping to almost ten per cent late last year.

New beginnings for NNPC

The man charged with implementing the president’s policy is Mallam Mele Kolo Kyari, who took on the role of group managing director of the Nigerian National Petroleum Corporation (NNPC) early this year. He quickly vowed to reverse the trend of petroleum imports into Nigeria by improving the existing refineries and encouraging private sector investment in the refineries.

“We must end the trend of fuel importation as an oil producing country,” he said at a press conference shortly after taking on the role. “We will deliver on the rehabilitation of the four refineries within the life of this administration and support the private sector to build refineries. We will support the Dangote refinery to come on stream on schedule and we will transform Nigeria into a net exporter of petroleum products by 2023”.

He added that the government’s target of raising crude oil production and reserves to three million barrels per day and 40 billion barrels respectively was possible and that he would galvanise the corporation to achieve it by 2023.

When it comes to rooting out the corruption that has plagued the industry in Nigeria he pointed out how much NNPC had changed over the past three years from the old image of a corruption-laden organisation, stressing that he would continue to entrench the culture of accountability in the affairs of the corporation.

“We are going to work to remove every element of discretion from our processes, because discretion is one of the greatest enablers of corruption”, he said. “NNPC will not be opaque, we’ll be transparent to all so that at the end of the day everyone will be in a position to assess us and say what we have done right or wrong”.

Support from OPEC

The Secretary General of the Organization of the Petroleum Exporting Countries (OPEC), Mohammed Sanusi Barkindo, has commended the NNPC for its ongoing reforms aimed at changing the fortunes of the corporation for the better.

“I am glad that you continue to march on with your projects despite the downturn in the Industry, he said. “We have seen the Industry globally suffer in terms of contraction in investment which affected capacity. You have not only been able to stay on course, but you also continue with these projects which are critical for the development of the corporation and the industry in Nigeria.”

“To lead such a sensitive and capital-intensive industry like oil and gas, you must have transparency and accountability as one of your core principles in order to drive change. I am glad I have known Mele Kyari for a very long time. He is a very capable and straightforward individual with a high level of integrity even as a very junior officer. So, he has a track record. I remain confident that together with his team, and with the support of government, he will accomplish the task”.

Building a Nigerian giant

Key to this strategy of reducing imports is the Dangote refinery that is under construction near Lagos. The 650,000 barrels per day (bpd) integrated refinery and petrochemical project will be Africa’s biggest oil refinery and the world’s biggest single-train facility upon completion in 2020. The facility will be able to process a variety of light and medium grades of crude to produce Euro-V quality clean fuels including gasoline and diesel as well as jet fuel and polypropylene.

Nigeria in focus at Africa Oil Week

Relations between South Africa and Nigeria have been strained in recent months after several days of riots in South Africa in September that mainly targeted foreign-owned, including Nigerian, businesses.

But following a visit to South Africa by Nigeria’s President Muhammadu Buhari tensions have eased. A further sign of the improving relationship is the visit of Nigeria’s Minister of State for Petroleum Resources, Timipre Sylva, to Africa Oil Week (Africa-OilWeek.com), the minister proclaiming himself being excited to be travelling to South Africa.

As the largest upstream event on the continent, Africa Oil Week has enjoyed attendance from the industry’s highest-level decision makers for over 25 years. This year is no different, with Nigeria’s brand new NPCC GMD making his international debut at the 2019 conference in Cape Town this November (4-8).

Mallam Melee Kyari will be setting out the future vision of the NNPC under his leadership and participating in a session titled ‘Atlantic Transform Margin (Liberia to Nigeria)’, where he will provide a deep insight into the current operating landscape in some of the most highly sought-after regions.

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National Issues

Tinubu vows intelligence-led rescue of abducted Oyo pupils, teachers

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President Bola Tinubu on Monday assured residents of Oyo State that ongoing efforts to rescue abducted pupils and teachers in Oriire Local Government Area would be intelligence-driven, coordinated and sustained.

The President said the Federal Government would deploy every lawful means, including kinetic and non-kinetic measures, to ensure the safe return of the victims abducted during the May 15, 2026 attack in Esiele and Yawota communities.

“Our rescue efforts will be intelligence-led, careful, coordinated, and sustained. We will deploy every lawful tool available, both kinetic and non-kinetic, to ensure our children and teachers are safely returned home,” Tinubu stated in a statement posted on his X handle on Monday.

The President also expressed sorrow over the killing of a school teacher during the abduction and extended condolences to his wife, Mrs Mary Oyedokun, and the bereaved family.

“I also extend my deepest condolences to Mrs Mary Oyedokun, the wife of the late school teacher and her family. Their sacrifice will not be forgotten, and his family will not be abandoned,” he said.

Tinubu stressed that children should never be exposed to the trauma of abduction, noting that no parent should endure the pain associated with such incidents.

“No child should be taken from the safety of a classroom. No parent should have to endure this anguish,” the President added.

He assured affected communities that efforts to secure the release of the abducted pupils and teachers would remain sustained and intelligence-driven.

The statement comes amid growing concerns over insecurity in schools and rural communities following the abduction, which prompted the Federal Government to dispatch a high-powered delegation to the affected communities in Oriire Local Government Area.

The delegation included the Chief of Staff to the President, Femi Gbajabiamila; the National Security Adviser, Nuhu Ribadu; the Minister of Defence; and the Inspector-General of Police, Kayode Egbetokun, alongside other senior government and security officials.

Tinubu further disclosed that he had approved additional security measures, including the deployment of a specialised security unit equipped with advanced rescue capabilities to intensify efforts towards the safe return of the victims.

“I have also directed the deployment of a specialised security unit with advanced rescue capabilities to intensify efforts to secure the safe return of the abducted pupils and teachers,” he stated.

The President also revealed that the Federal Government, in collaboration with the Oyo State Government, was mobilising 1,000 forest guards to improve surveillance in forest corridors frequently exploited by criminal elements.

According to him, the initiative would be complemented by broader operational measures aimed at strengthening rescue operations and preventing future attacks.

Tinubu added that a request for the establishment of a military base in the affected area was receiving urgent consideration as part of efforts to bolster security.

Authorities have continued rescue operations amid rising concerns over the safety of schools and rural settlements, insisting that efforts remain focused on securing the release of the abducted victims and preventing a recurrence.

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48 alleged terror financiers named by FG {SEE FULL LIST}

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The Federal Government, on Saturday, published a list of 48 individuals and entities allegedly linked to terrorism financing in Nigeria, naming suspects with reported ties to outlawed groups including the Indigenous People of Biafra, Ansaru, and the Islamic State West Africa Province.

The list was released by the Nigeria Sanctions Committee as part of intensified efforts to disrupt financial networks sustaining terrorist activities across the country.

In a statement accompanying the publication, the committee said the designation of the individuals and organisations was in line with Nigeria’s legal and international obligations to combat terrorism financing.

“The Nigeria Sanctions Committee has approved the designation of the following individuals and entities for their alleged involvement in terrorism financing,” the statement read.

It added, “The action is pursuant to relevant laws and regulations aimed at identifying and freezing assets of persons and organisations linked to terrorist activities.”

The committee explained that the move was targeted at dismantling the financial backbone of insurgent and extremist groups operating within and beyond Nigeria’s borders.

Among those listed are individuals reportedly associated with the Indigenous People of Biafra, a proscribed separatist group; Ansaru, a faction linked to Al-Qaeda; and the Islamic State West Africa Province, one of the most active terrorist groups in the region.

Security experts have repeatedly stressed that cutting off funding sources remains a critical strategy in weakening terrorist operations.

Speaking on the development, a senior government official familiar with the process said the publication sends a strong signal about Nigeria’s resolve to confront terrorism at its roots.

“This is not just about naming names; it is about choking the financial lifelines of terror networks. Once funding is disrupted, their operational capacity is significantly weakened,” the source said.

The committee further noted that relevant authorities and financial institutions have been directed to take necessary steps in enforcing sanctions, including the identification and freezing of assets linked to the designated persons and entities.

“The public is also advised to remain vigilant and report suspicious financial activities to appropriate authorities,” the statement added.

The Federal Government reiterated its commitment to safeguarding national security, insisting that individuals or groups found culpable would face the full weight of the law.

As of the time of filing this report, detailed breakdowns of the sanctions and timelines for enforcement were yet to be made public.

 

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Tinubu declares nationwide security emergency, orders massive recruitment

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Amid rising killings and a wave of mass abductions by gunmen and suspected terrorists across the country, President Bola Tinubu on Wednesday declared a nationwide security emergency.

The President, in a statement personally signed and released in Abuja, also ordered an immediate expansion of the manpower of the Armed Forces and the Nigeria Police Force as the Federal Government rushes to halt the worsening insecurity.

“Today, in view of the emerging security situation, I have decided to declare a nationwide security emergency and order additional recruitment into the Armed Forces,” Tinubu said.

“By this declaration, the police and the army are authorised to recruit more personnel. The police will recruit an additional 20,000 officers, bringing the total to 50,000.”

Tinubu explained that he had already approved upgrades of police training facilities nationwide and authorised the use of selected National Youth Service Corps camps as police training depots.

He added that officers withdrawn from VIP guard duties would undergo “crash training” before being redeployed to areas battling heightened insecurity.

The President also directed the Department of State Services to immediately deploy all trained forest guards to flush out terrorists and bandits hiding in forests across the country. The DSS was further authorised to recruit additional personnel.

“There will be no more hiding places for agents of evil. This is a national emergency. We are deploying more boots on the ground, especially in vulnerable communities. The times require all hands on deck. As Nigerians, we must all get involved in securing our nation,” he said.

Tinubu commended security agencies for jointly securing the release of 24 abducted schoolgirls in Kebbi State and 38 worshippers in Kwara State. He assured that efforts were ongoing to rescue students of Catholic schools in Niger State and other kidnapped Nigerians still in captivity.

“To the leadership and rank and file of our Armed Forces, I commend your courage and sacrifice. This is a challenging moment for our nation and for the military itself. I charge you to remain resolute, restore peace across all theatres of operation, and uphold the highest standards of discipline. There must be no compromise, no collusion, and no negligence,” he added.

The President announced that the Federal Government would support state governments operating community-based security outfits.

Tinubu also urged the National Assembly to begin reviewing laws that would allow states seeking to establish their own police forces to do so.

He warned states against maintaining boarding schools in remote areas without adequate security and advised churches and mosques in vulnerable areas to engage security agencies when organising large gatherings.

On the lingering farmer–herder clashes, Tinubu restated that the newly created Ministry of Livestock Development would provide long-term solutions. He appealed to herders to embrace ranching, end open grazing, and surrender illegal weapons.

“I sympathise with the families who have lost their loved ones in recent attacks on soft targets in Kebbi, Borno, Zamfara, Niger, Yobe, and Kwara states. I also pay tribute to our brave soldiers who have made the ultimate sacrifice, including Brigadier-General Musa Uba,” he said.

Warning criminal groups not to undermine the state, Tinubu emphasised that his administration possessed the resolve and capacity to secure the country.

“Fellow compatriots, I urge you not to give in to fear or despair. Stand firm to defend our freedom and values. Our administration will continue to guarantee peaceful co-existence and preserve our union.”

He called on citizens to remain vigilant, report suspicious activities, and cooperate with security agencies.

Tinubu’s declaration came amid nationwide outrage after the killing of at least five people in Kebbi and Kwara states, and the abduction of over 300 schoolchildren from Government Girls Comprehensive Secondary School, Maga, in Kebbi State, and St Mary’s Catholic School, Papiri, in Niger State.

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