In a significant shake-up of the Nigerian National Petroleum Company Limited (NNPCL), President Bola Tinubu has removed Mele Kyari and the entire board, citing unsatisfactory performance in meeting production targets. This decision, made on April 2, 2025, aims to revitalize Nigeria's oil and gas sector and enhance crude and gas output.

New Leadership Appointments

Tinubu appointed Bashir Ojulari as the new Group CEO, taking over from Kyari, who had led the company since 2019. The new 11-member board includes Musa Ahmadu-Kida as the non-executive chairman, along with representatives from Nigeria’s geopolitical zones to ensure diverse input and regional representation.

Motivation Behind the Reshuffle

Officials close to the presidency have indicated that the overhaul was necessary due to a perceived stagnation in the company’s operations. Tinubu’s Special Adviser on Information and Strategy, Bayo Onanuga, emphasized that the previous leadership had become part of the problem rather than the solution, necessitating a fresh direction with industry professionals who are not politicians.

“New blood is essential to jump-start production growth,” one official stated. The president has set ambitious performance metrics, including targets of 3 million barrels per day by 2030 and stabilizing at 2 million barrels per day by 2027.

Focus on Production and Refining

The new board is tasked with conducting a strategic review of NNPCL's assets, optimizing production capabilities, and addressing longstanding issues such as pipeline vandalism and underinvestment. Tinubu has also directed the board to elevate NNPCL's share of refining output significantly by 2027.

Industry Response

The restructuring has been positively received by various stakeholders in the oil and gas sector. The Independent Petroleum Marketers Association of Nigeria welcomed the changes, urging the new leadership to maximize refinery operations and restore investor confidence. Experts have echoed this sentiment, hoping the new appointments will lead to greater efficiency and transparency within the industry.

Conclusion and Future Outlook

As Nigeria strives to reclaim its position as Africa's leading oil producer, the new NNPCL leadership faces the dual challenge of improving production while enhancing the company's operational integrity. With high expectations from both the government and industry stakeholders, the success of this restructuring could significantly impact Nigeria's economic landscape in the coming years.