NNPC, IOCs Sign Agreements To Generate $500bn Revenue

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The Nigerian National Petroleum Company Limited and international oil companies operating in Nigeria, on Friday, signed various agreements that would ensure the production of about 10 billion barrels of crude oil and generate over $500bn revenue to all parties involved.

NNPC officials and their counterparts from the IOCs including Shell, Chevron, Texaco, Sinopec, Sapetro, Esso Exploration and Production Nigeria Limited, among others, renewed their agreements in five Oil Mining Leases, OMLs, that included OMLs 128, 130,132, 133, and 138.

NNPC, IOCs Sign Agreements To Generate $500bn Revenue

The agreements renewed by the parties were Production Sharing Contracts as well as Dispute Resolution Agreements, among others, at a signing ceremony held at the Abuja headquarters of NNPC.

Speaking at the event, the Group General Manager, National Petroleum Investment Management Services, Bala Wunti, said, “Cumulatively we hope to produce and monetise over 10 billion barrels of oil with these signatures that we had today.

“And this by no means will give significant revenue for all the parties. We expect over $500bn of revenue for all the stakeholders.”

Earlier, the Group Chief Executive Officer, NNPC, Mele Kyari, had explained that the Petroleum Industry Act 2021 gave NNPC the legal backing to renegotiate all its existing PSCs in conformance to the provisions of the new Act within a one-year period.