THE Nigerian National Petroleum Company Limited (NNPCL) has hinted at its plans to resume the drilling of crude oil in the northern part of Nigeria.
The Group Chief Executive Officer (GCEO) of NNPCL, Bayo Ojulari, reportedly said in an interview with BBC Hausa on Monday, May 12.
The drilling activities are to resume at the Kolmani oil field, located on the border between Bauchi and Gombe States, nearly after two years of inactivity at the site.
According to Ojulari, preparations were underway to relaunch the project, which initially began during the administration of former President Muhammadu Buhari.
“We will continue to work with the government in Kolmani and other areas. Besides the oil drilling work, we will also ensure that we complete the gas pipeline project from Ajaokuta to Kano.
“The projects would allow the previously closed businesses to be reopened so that they could continue to operate and open new ones,” he was quoted to have said.
The ICIR reports that former President Muhammadu Buhari had in November 2022 flagged off the Kolmani Integrated Development Project (KIPRO) situated in the boundary of Bauchi and Gombe states.
In his chat with BBC, however, Ojulari emphasised that NNPCL is now ready to revive the project.
He believes the project if revived, is expected to contribute significantly to the nation’s oil production and offer new economic opportunities for the region.
NNPCL’s plans to resume drilling in the North come at a critical time when the country faces economic challenges.
The ICIR has, in a recent report, spotlighted that Nigeria has not been meeting its crude oil production benchmark, and this has been negatively impacting its revenue from oil and frustration the execution of national projects.
Expressing concern over the revenue being generated from the sale of oil and gas, he said the proceeds would be used to continue the projects.
He stressed that with global oil prices dropping, Nigeria would not receive the anticipated revenue from such initiatives.
The NNPCL boss, during the interview, also hinted at the company’s plan to continue with the Ajaokuta–Kaduna–Kano (AKK) gas pipeline project.
“After completing the projects, companies that were closed will surely reopen and new companies will spring up too.
“We will continue from next month and people will start witnessing the commencement of the project by God’s will,” Ojulari said.
Commenting on the issues between the NNPCL and Dangote Refinery, Ojulari said both companies have resolved to collaborate.
He assured that the pump price of petrol would reduce once new supplies are procured at lower costs, explaining that oil marketers purchased the current stock at high prices, hence the high cost of the product.