President Tinubu Sacks NNPC Boss Mele Kyari Amid Fuel Saga With Dangote
- President Bola Tinubu has sacked Mele Kyari from his position as the GCEO of the NNPC and all board members appointed in 2023
- The president subsequently announced the appointment of Bayo Ojulari as the new boss of the NNPC and Kyari's replacement
- Aside from Ojulari, the President also appointed new executive and non-executive board members to lead the national oil company
Aso-Rock, Abuja - President of Nigeria, Bola Tinubu, has sacked Mele Kyari as Nigerian National Petroleum Company (NNPC) boss and appointed Bashir Bayo Ojulari as the new GCEO and Ahmadu Musa Kida as the non-executive chairman.
The president also sacked all board members who were appointed alongside Kyari in November 2023. This latest development happened amid the ongoing saga between NNPC Limited and Dangote Refinery, a major privately owned refinery in Nigeria.
The NNPC earlier agreed to sell Nigeria's crude oil to the refinery in naira, with the hope of stabilising the currency and reducing fuel prices in Nigeria.
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NNPC ends crude for naira deal with Dangote
However, the deal ended a month ago, and the two companies did not renew the contract, which has led to an increase in the price of fuel.
Retailers are now importing fuel rather than buying from Dangote, with the private refinery also selling in dollars following the end of the deal.
On April 2, the presidency announced a major shakeup in Nigeria's major oil company as Tinubu's administration sacked all the board members and made fresh appointments.
Before now, there were speculations that Kyari would be sacked, which grew after he reached retirement age. However, the President did not appear ready to remove the NNPC boss at the time.
However, after Kyari's sacking, Adedapo Segun, who took over the role of Chief Financial Officer from Umaru Isa Ajiya last November, has been appointed to the oil firm's new board.
Tinubu appoints six board members for NNPC
Six board members, who are non-executive directors, represent the country's geopolitical zones. They include Bello Rabiu (North West), Yusuf Usman (North East) and Babs Omotowa, a former managing director of the Nigerian Liquified Natural Gas, who represents North Central.
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President Tinubu also appointed Austin Avuru as a non-executive director from the South-South, David Ige as a non-executive director from the South West, and Henry Obih as a non-executive director from the South East.
Lydia Shehu Jafiya, a permanent secretary of the Federal Ministry of Finance, will represent the ministry on the new board, while Aminu Said Ahmed will represent the Ministry of Petroleum Resources.
The full statement regarding the new NNPC structure is included below:
NNPC Shakeup: Expert predicts downstream sector reforms
Financial analyst David Olujinmi has shared insights on the recent NNPC leadership shakeup and its potential impact on Nigeria’s forex and fuel imports.
"We're yet to see the direction of the new board. It's still early days," Olujinmi told Legit.ng.
He noted that with “technocrats” now in charge, key changes are expected.
"We should see a shaking up in the downstream sector," he said.
However, Olujinmi pointed out that upstream operations may take greater priority under the new leadership.
"Although it's expected that the upstream business unit of the NNPC will take more priority," the analyst added.
I'm cautiously optimistic, says economic analyst
Also reacting, Kelvin Emmanuel, an economic analyst and known critic of the Kyari-led NNPCL, described President Tinubu's decision as an excellent one, though he said he is cautiously optimistic about the future.
He posted on X:
"The decision of the President to sack Mele Kyari and the entire board of NNPCL is an excellent one that was long overdue. I am cautiously optimistic about the future,
"The President should also fire the Authority Chief Executive of NMDPRA and constitute a non-executive board for the agency."
Former governor Fayose backs Kyari's sack
Peter Ayodele Fayose, a former governor of Ekiti state and opposition politician, also backed Kyari's sack.
"Removal of the NNPCL CEO, Mele Kyari, is a welcome development. It is the smartest move ever by President Tinubu.
"It is hoped that this will bring a better lease of life to the NNPCL in particular and Nigerians in general.
"This same courage to wield the big stick should also be extended to other system with system so rotten as the NNPCL," Fayose said on X.
How Tinubu marked Mele Kyari's birthday
Legit.ng previously reported that President Bola Tinubu sent a congratulatory message to Kyari, now the former NNPC boss, on his 60th birthday.
In a statement from the presidency, Tinubu praised the diligence of Kyari in transforming Nigeria's national oil firm into a profitable entity.
The president described Kyari as a good example of his Renewed Hope Agenda, citing his achievement of creating more opportunities in the NNPC.
Editorial assistant Ololade Olatimehin provided exclusive commentary from a financial analyst for this report.
Nurudeen Lawal, head of the Politics and Current Affairs desk, contributed to the report by highlighting the reactions of Kelvin Emmanuel, a critic of Kyari, and Peter Ayodele Fayose, the former Ekiti state governor.
Proofreading by James Ojo, copy editor at Legit.ng.
