By Adewole Kehinde
There have been a series of “pull him down” sponsored publications by Sahara Reporters on the oil czar, Mele Kyari, for just no reason, in my opinion.
Mele Kyari is, no doubt, a blessing to the Nigeria National Petroleum Company Limited. Aside from nailing the coffin of corruption in the old NNPC, he made profits for the corporation before transforming it into an investor-friendly company backed by PIA.
Those of us who call him the rescuer of the national oil firm may have a good reason for doing so. Mallam Mele Kyari, Group Chief Executive Officer of the Nigeria National Petroleum Company Limited, supervised the radical transformation of the corporation from a full-fledged government entity that operated at a loss for 44 years to a profit-making, private sector-tailored outfit.
A geologist by training, Kyari joined the NNPC in 1991 and served in various capacities until he was appointed the 19th Group Managing Director of the Corporation in July 2019.
Aside from being a fellow of the Nigerian Association of Petroleum Explorationists, he is also Nigeria’s representative to the Organization of Petroleum Exporting Countries and the Economic Commission Board.
Kyari successfully managed the direct sales and direct purchase arrangements of petroleum products to ensure energy security. He also championed the Extractive Industries Transparency Initiative and Open Government Partnership principles, promoted the passage of the Petroleum Industry Act, declared the corporation’s first profit in 44 years, and resolved the decade-long disputes to unlock the deepwater.
Furthermore, he introduced cost discipline, rehabilitated ailing refineries and other critical downstream infrastructure, deepened domestic gas utilization, and encouraged public disclosure of NNPC accounts.
Other achievements include rallying shareholders to take the final investment decision for NLNG Train 7, transforming the corporation into a world-class organization, and leading concerted efforts in driving environmental policies for cleaner energy.
On June 15, 2021, the ground-breaking ceremony for the NLNG Train 7 Project was conducted, signalling the commencement of construction work on the project. NNPC also successfully flagged off the construction of the Ajaokuta-Kaduna-Kano (AKK) gas pipeline project on June 30, 2020. The project is an integral part of the Trans-Nigeria Gas Pipeline, with a capacity to transport about 2.2 billion cubic feet of gas per day.
Mallam Kyari also led the Corporation to achieve a $300 million reduction in the cost of the AKK Gas Pipeline contract via contract renegotiation from the initial $2.8 billion.
Additional major strides in the gas sector were witnessed in 2020 with the commissioning of the Oredo Integrated Gas Handling Facility and the Liquefied Petroleum Gas Storage and Dispensing Unit.
The facilities are wholly owned and constructed by the Nigerian Petroleum Development Company to address domestic gas supply challenges. The facilities currently deliver over 200 million standard cubic feet of dry gas per day and 330 metric tons of liquefied petroleum gas (cooking gas), which is equivalent to 16 20-ton LPG trucks per day in the domestic market.
On April 22, 2021, the Kyari-led NNPC executed a Gas Development Agreement for the Oil Mining Lease (OML) 143 with its partner, Sterling Oil Exploration and Production Company. The project will boost the nation’s gas production by 1.2 trillion cubic feet. At present, major work is being done in the rehabilitation and overhaul of refineries for optimal results. It is expected that the completion of this exercise, in phases, would change the trajectory of the supply chain for petroleum products in the country.
The fight against oil theft, which Kyari waged relentlessly with the engagement of a private security outfit to monitor pipelines, has been yielding results, with Nigeria’s crude oil production rising to 1.5 million barrels per day.
Unlike in the past when efficiency was compromised by tardiness, Mele Kyari is focused on delivering his mandate for the NNPC Limited and the oil and gas industry is no doubt the better for it while Nigerians are the ultimate beneficiary.
Who is afraid of the giant steps being taken by the Mele Kyari-led NNPC Limited that is sponsoring a series of fake and unsubstantiated news against a formidable team in NNPC Limited?
Adewole Kehinde is an Energy Fellow at the Abuja Chamber of Commerce and Industry, Policy Center, Abuja. He can be reached at 08166240846, kennyadewole@gmail.com
