The Federal Government is considering a major restructuring of the Nigerian National Petroleum Company Limited (NNPC Ltd) as part of efforts to ramp up crude oil production, enhance transparency, and attract fresh investment into the energy sector.
According to government sources, the move aligns with President Bola Tinubu’s ongoing economic reforms aimed at stabilizing the energy industry and positioning NNPC Ltd for long-term profitability and competitiveness.
The proposed restructuring, which is still at the policy design stage, is expected to involve a review of the company’s operational framework, management structure, and investment strategies. Officials familiar with the discussions disclosed that the government intends to streamline overlapping departments, optimize joint venture operations, and strengthen accountability mechanisms.
Nigeria’s Minister of Petroleum Resources (Oil), Heineken Lokpobiri, recently emphasized that the administration’s priority is to raise production to at least 2 million barrels per day by 2027. “We are working closely with NNPC Ltd to remove bottlenecks and attract investments that will help us meet our targets. The restructuring will ensure the company operates more efficiently and profitably,” he said.
Similarly, Group Chief Executive Officer of NNPC Ltd, Engr. Bashir Bayo Ojulari, had earlier revealed that the company is redefining its business model to meet international standards and become investment-ready for a potential public offering beyond 2026. He reiterated that the company’s new direction focuses on growing production, monetizing gas, and deepening partnerships with global and domestic investors.
Industry analysts have welcomed the proposed reforms, noting that a more commercially oriented NNPC could help Nigeria address persistent challenges such as oil theft, underinvestment in infrastructure, and declining production levels.
However, some experts cautioned that structural reforms must be matched with policy stability, security in oil-producing regions, and clear fiscal incentives to sustain investor confidence.
If implemented, the restructuring of NNPC Ltd could mark a turning point for Nigeria’s oil sector unlocking growth, attracting global investment, and positioning the company as a competitive player in the global energy market.
