The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Maikanti Baru has said that the Minister of State for Petroleum Resources, Ibe Kachikwu, is the strength to his administration.
In his end of the year message communicated by spokesman of the corporation, Ndu Ughamadu; Baru vowed to continue to find sustainable solution to the challenge posed by militancy in the Niger Delta.
The NNPC said it had created security management platforms that would enable it identify and evaluate risks, develop and superintend implementation of investigations, and aggregate and deploy necessary resources to guarantee peaceful business environment in the region.
Baru attributed the recent increase in the country’s oil and gas reserves to 37 billion barrels and 192Tcf respectively to the relative peace that was instituted in the Niger Delta.
He explained that over the year, NNPC adopted strategies to ensure the corporation’s operational profitability, citing the renegotiation of all existing contracts which had enabled his management team achieve substantial value realisation of between five per cent to 30 percent discounts.
“This singular effort alone translated to substantial cost savings in favour of NNPC,” Baru said.
Baru expressed delight in the completion of negotiations with NNPC JV partners towards the resolution of cash call funding challenges through payments of arrears that were owed the partners.
He said this feat was achieved by developing a clear payment plan as well as the pursuit of an alternative funding strategy, stressing that arrears of up to December, 2015 have been fully reconciled, with repayments plan also agreed upon.
He said the ultimate objective of the recently signed off agreements between NNPC and the JV Partners was to enable NNPC transit into an Incorporated Joint Venture (IJV) business model for all the current Joint Ventures, JVs.
The GMD said with the support of his staff, other industry critical stakeholders as well as the generality of Nigerians, NNPC was able to bring stability to petroleum products supply and distribution situation in the country.
“Today, motorists drive in and out of filling stations with ease. This would not have been achieved without the collective efforts of all of us,” he said.
Baru said NNPC had commenced the implementation of a 12-key business focus areas developed by his management team which he said would enhance the corporation’s business performance.
He expressed appreciation to President Muhammadu Buhari whom he said had provided enormous support to his team’s efforts to reposition NNPC while he equally gave kudos to Kachikwu whose able leadership, he reckoned, was strength to his team.
Baru took over as NNPC GMD from Kachikwu on July 4, 2016.
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