PENGASSAN, NUPENG Reject FG’s Plan To Sell Assets

By Bukola Kayode

The Petroleum and Natural Gas Senior Staff Association of Nigeria and the Nigeria Union of Petroleum and Natural Gas Workers have jointly rejected the Federal Government’s plan to sell valuable assets managed by Nigerian National Petroleum Company Limited (NNPCL).

At a joint press briefing held in Abuja on Tuesday, PENGASSAN President, Festus Osifo, and his NUPENG counterpart, Williams Akporeha, rejected the proposal to sell stakes in JV assets. These assets include 30–35 per cent. Currently, the Federal Government holds between 55 and 60 percent of such assets through NNPCL.

At a joint press briefing in Abuja, PENGASSAN President, Festus Osifo, and the NUPENG President, Williams Akporeha, rejected the proposal to reduce government stakes in JV assets by as much as 30–35 per cent. Currently, the Federal Government holds between 55 and 60 per cent of such assets through NNPCL.

The unions, however, argue that the planned sale would bring quick cash, but at the expense of Nigeria’s long-term economic security. They cautioned that reducing government holdings in critical oil assets could bankrupt NNPCL, impair its ability to meet obligations such as salaries and welfare packages, and shrink its contributions to the national budget.

Osifo further argued that the planned divestment would cripple NNPC’s ability to sustain its operations. He recalled previous divestments by international oil companies, including ENI’s Agip subsidiary, ExxonMobil, and Shell, whose Nigerian assets were acquired by domestic firms such as Oando and Seplat.

“The NNPCL manages JV assets on behalf of the Federation. Every oil well belongs to the Nigerian people collectively, not just the Federal Government. If these stakes are sold, the federation loses, and the national oil company will be too weak to deliver,” he insisted.

“The PIA was passed after years of struggle. Investors are just beginning to adapt to it. Now, the government wants to amend it again? That is a dangerous signal,” Akporeha said. According to him, every serious oil-producing nation protects its national oil company. “Here, we are doing the opposite, stripping ours of its strength,” he added.

The unions demanded that President Tinubu personally halt the divestment plan and rein in officials pushing for changes. They specifically urged him to call the Minister of Finance, the NNPCL Board Chairman, and the Group Chief Executive Officer of NNPCL to order.