Abuja, Feb. 28, 2024: The Indigenous Petroleum Producers (IPPG) says International Oil Companies (IOCs) divestment signals expediential growth of the indigenous companies and participation in the energy sector.
Mr Abdulrazaq Isa, Chairman, IPPG/Waltersmith Group said this at the on-going 7th Nigeria International Energy Summit (NIES 2024) officially declared open on Tuesday at Presidential Banquet hall Abuja.
“In the light of the IOCs divestment in Nigeria it is evident that an unprecedented transformation shift is on-going.
“It signals expediential growth of the indigenous companies’ participation in the country’s energy sector which will lead to increase empowerment, economic growth and sustainable management of Nigeria’s hydrocarbon resources.
“Indigenous operators will gain incremental expertise, leading to capacity growth in the industry,’’ Isa said.
Isa said in overall, the divestment of oil and gas assets to indigenous operators in Nigeria would foster greater sustainability, prosperity and inclusivity within the industry and broader economy.
He said as this new dawn emerged for the industry, driven by the indigenous operators, energy security as well as accelerated value capture from Nigeria’s hydrocarbon assets, socio-economic development and transformation of citizens must remain a priority.
“It is on this very important note that the IPPG is passionately praying for expedited conclusion and closure of the divestment processes.
“The current status where the sellers have signalled full intentions to leave, whereas the buyers are yet to effectively take over the operations of the assets, is very detrimental to the sector and the country.
“The industry would be most appreciative of the prompt intervention of government to untangle all issues and diligently fast track all relevant approvals,’’ he said.
The IPPG boss commended the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), led by its Commission Chief Executive, Mr Gbenga Komolafe for putting in place a robust framework to guide the divestment process.
The global summit is being convened by the Federal Government as its official energy, oil and gas event, with the Nigerian National Petroleum Company Limited (NNPC Ltd) as the national host.
The summit which will hold from Feb. 26 to March 1.has its theme as ‘`Navigating the new energy world order: Security, Transition, and Finance.’’
