NNPC TO COMMENCE REVIEW OF DEEP OFFSHORE PRODUCTION AGREEMENTS

The Group Managing Director of Nigerian National Petroleum Corporation ( NNPC) Dr Ibe Kaichukwu was in France with Nigerian President Buhari and met with the top Government officials and Ceo's of Total and other French Oil companies. He explained to the French that the time has come for the review of some of the agreements Nigeria had with oil companies dating back 20 years and therefore there is the need to review them to accommodate current realities. He also urged France to step up it's game and compete for investments in Nigeria which the likes of India,China,Germany and others are already doing. He stated that in the weeks and months ahead the NNPC would be re-negotiating the contracts to extract as much benefit as possible for Nigeria. He noted that though the PSC agreements are firm contracts which should be adhered to, the NNPC is allowed to make use of the window which creates space for re-negotiation. “We intend to begin the process of the re-negotiation of the PSCs to see what value chain and improvements we can have from these contracts,” he said.