Exclusive: NNPC Halts Free Allocation of Gas As Baru Sends Gas List To Buhari For Approval

Exclusive: NNPC Halts Free Allocation of Gas As Baru Sends Gas List To Buhari For Approval
July 23 20:47 2016 Print This Article

The era of free allocation of gas by previous management of the Nigeria National Petroleum Corporation (NNPC) to certain powerful individuals and companies in the country has been halted as the Group Managing Director (GMD) NNPC Dr. Maikanti Baru has sent the selected gas lists to President Muhammeadu Buhari for approval.

Our correspondent gathered that prior to this time gas liftings were fraudulently allocated to a class of select but powerful Nigerians, companies and international oil companies (IOCs).

A source in the oil and gas sector told our correspondent that “the first thing that Baru did when he assumed duty as the NNPC boss was to immediately send the lists to President Buhari for approval. The selected gas lists was in the possession of Kachikwu for several months and refused to pass them to Mr. President for reasons best known to him. But when Baru received the hand over notes from the former GMD, he immediately sent the lists to the President. This shows a man who wants to work and do the right thing in the industry”.

The source stated further that “the main worry for investors in the gas sector is the pricing. What the NNPC sets as the price is too high for any meaningful profit and those who are in the sector are appealing to the GMD to review it to make the sector more competitive and attractive to investors”.

Our correspondent’s finding reveals that President Buhari may approval the lists in the next few days to open the floodgate for “serious business in the sector”.

Some of the companies which benefitted from the fraudulent gas allocation in the past our correspondent’s investigations showed are Petrowest SA which had enjoyed allocation of Pentane Plus (owned by MRS Oil); F-Energy (Folawiyo Group) which was allocated OSO LPG; Runi Oil which got OSO LPG Domestic; West Africa LPG (owned by Sahara Group) which got Escravos LPG-Mix; Metropolitan (Unknown owner); which was allocated Pentane Plus and Worldwide Energy (owned by Trafigura) which got OSO LPG and Zanedo Petroleume (owned by Igho Sanomi) which got OSO LPG Domestic.

Others are Falcon Petroleum which got Pentane Plus; Sahara Group which got OSO LPG; Avedia Energy Resources which was allocated Escravos Mix and Tenoil (belonging to Tony Elumelu) which got Escravos Condensate.

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2 Comments

  1. Buddy Brighton
    July 25, 20:12 #1 Buddy Brighton

    The new list will be interesting. Nigerian would want to know who and who are on the list! It is hoped that a section of the country would not grab everything for themselves as they have done in other sectors. Hahahaha

    Reply to this comment
    • Gel Altar Ego
      July 28, 05:41 Gel Altar Ego

      It is now exclusively the turn of Alhaji this and that, just the Buhari way. You may not know who is on the list & no questions.

      Reply to this comment

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