The Nigerian National Petroleum Company Ltd (NNPCL) and its Joint Venture (JV) partner, Chevron Nigeria Ltd (CNL), have concluded the conversion of five of its JV assets into the Petroleum Industry Act (PIA) terms.
This is contained in a statement issued to newspath through an electronic mail by the Chief Cooperate Communication Officer Olufemi Soneye.
The statement said the two partners signed the documents on the conversion of five (5) OMLs into four (4) PPLs and twenty-six (26) PMLs, in line with the new PIA terms, at a brief ceremony on Monday in Abuja.
It said the conversion is in line with the PIA 2021 provisions of transiting assets from the Petroleum Profit Tax (PPT) into PIA terms.
This according to the statement marks a significant step towards increasing domestic gas supply and expanding global market presence.
Speaking at the occasion, Group CEO NNPC Ltd, Mele Kyari, assured CNL that NNPC Ltd would sustain its partnership with the JV partner so as to create more value for both parties and expand Nigeria’s footprints in the domestic and export gas markets.
Also speaking, NNPC Ltd’s Executive Vice President, Upstream, Oritsemeyiwa Eyesan, said the conversion was a strategic move towards the successful implementation of the PIA.
NNPC Ltd’s Chief Upstream Investment Officer, Bala Wunti, noted that the assets conversion is expected to significantly boost crude oil production, with the two partners focusing on attaining the 165,000 barrels of oil per day (bopd) production target by year-end 2024.
He emphasized the continued importance of CNL’s operational philosophy in maintaining network stability and facilitating gas supply especially to the domestic market.