NNPC TO BE RESTRUCTURED INTO 7 UNITS AND 20 COMPANIES

 Kachikwu said: “The president has approved the final phase of the restructuring of the NNPC, under that phase it is not so much different from what we have now but we have restructured ourselves into four key business components: the upstream, which is what you used to call the Exploration and Production (E&P), the downstream, which is what you called the Commercial and Investment (C&I), the gas power market, which is basically a pullout from the E&P, the refinery group, which is basically the three refineries, and of course the ventures, which is every other small company here and there that did not have a sense of direction.

  He listed some of the subsidiaries under the divisions to include Upstream: the Nigerian Petroleum development Company (NPDC) and Integrated Data Services Limited (IDSL); Downstream Retail: Nigerian Product Marketing Company (NPMC), which was formerly PPMC, (NPSC); Gas and Power: Nigerian Gas Pipeline and Transportation Company (NGPTC), Nigerian Gas Marketing Company (NGMC), and gas and power investment; and the Refineries: Warri Refining and Petrochemical Company (WRPC), Kaduna Refining and Petrochemical Company (KRPC), and Port Harcourt Refining and Petrochemical Company (PHRC).

 “Obviously, for the co-located refineries which are the new ones, we are targeting to see that we are able to finish within two to three years and if we do that, we will have excess capacity of refined products and bear in mind that Dangote is also bringing on-stream his own refinery.” Speaking to the media on the rationale for the restructuring of NNPC, especially the creation of the 20 new companies or new business units (NBUs), Kachikwu said it was done to prepare them for private sector participation.