• Fri. Sep 30th, 2022

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NNPC Plans New Subsidiary for Commercial Bunkering Operations

The Nigerian National Petroleum Corporation (NNPC) has disclosed it would set up a new subsidiary company to undertake the business of commercial petroleum products bunkering on the waters of Nigeria.

It explained in a statement its Group General Manager, Public Affairs, Mr. Ndu Ughamadu, issued on Wednesday in Abuja that the move was aimed at consolidating its foothold on shipping business in Nigeria, as well as boost its profit margins.

Ughamadu, noted that plans to set up the subsidiary firm was disclosed by the Group General Manager, NNPC Shipping, Mrs. Aisha Katagum, in an interview she granted in the August edition of the corporation’s in-house journal – NNPC News.

Katagum, he stated, said the new subsidiary will provide refuelling services to ships and other ocean-going vessels, adding that business models to be adopted for this would be developed by the corporate planning department of the corporation.

“Actually, the NNPC Group Managing Director is also very keen on that. He has directed the Corporate Planning & Strategy (CP&S) Division to come up with a business model for us to see how it could operate,” the statement quoted Katagum to have said in the interview.

She explained the bunkering subsidiary was most likely going to be an incorporated company like Nidas, a subsidiary under NNPC Shippping, adding that the proposed company would likely be domiciled in the NNPC Shipping Division as well.

“I’m sure it’s going to be a big business because we have so many vessels that come into the West African coast. This year alone, over 120 vessels have brought imports for us,” she further stated.

The NNPC statement stated that Nikorma and Marine Logistics are two downstream subsidiaries under the NNPC Shipping Division, adding that while Nikorma engages in shipping and transportation of energy products, Marine Logistics on the other hand, provides logistics services to the crude and petroleum products and gas sub-sector with a mandate to effect demurrage reduction and ensure safe and efficient coastal distribution of petroleum products.

329 thoughts on “NNPC Plans New Subsidiary for Commercial Bunkering Operations”
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