Maybe you are one of those that are really bothered about the functions of NNPC, this article will give you a simple explanation of what you are looking for. You will also get to find other important information about the corporation. You can also check out the functions of the Department of Petroleum Resources (DPR) to get a better synergy of the two.
Nigerian National Petroleum Corporation (NNPC)
NNPC is an acronym which stands for Nigerian Petroleum Corporation. It is the corporation in charge of Nigeria’s oil industry, and through which the Federal Government of Nigeria, governs the activities of the country’s petroleum industry.
The corporation is in charge of exploration activities and is also have the powers to operate in the refining industry, petrochemicals, and transportation of products and marketing.
NNPC also manages all joint businesses between the Nigerian federal government and other foreign multinational corporations, which include Royal Dutch Shell, Agip, ExxonMobil, Total S.A, Chevron, and Texaco (now merged with Chevron). These collaborations enable the government to conduct petroleum exploration and production.
The Nigerian National Petroleum Corporation was established as a merger of the Nigerian National Oil Corporation and the Federal Ministry of Mines and Steel on the 1st of April, 1977. Between the years 1978 and 1989, the corporation had constructed refineries in Warri, Port Harcourt, and Kaduna. NNPC also took over the 35,000-barrel Shell Refinery established in Port Harcourt in 1965.
Functions of NNPC
The Nigerian National Petroleum Corporation was created for the purpose of adding value to the nations hydrocarbon resources for the benefit of the nation’s economy and their stakeholders.
So, what is the main function of NNPC?
The functions of NNPC include:
- To oversee the development of the oil sector in the production process
- To determine and fix the price of products
- To ensure a regular supply of products
- To govern all activities in the oil production industry
- To supervise all operations of the Gas production industry
- Management of all joint activities between the Nigerian Federal government and foreign corporations
- Undertake research in the oil sector
- In charge of renewable energy
- The NNPC handles business information such as investment opportunities and profits
- Serves as a consultancy firm to the Nigerian government and other related industries in issues concerning oil and gas
- In charge of the refining sector
- In charge of engineering and technology divisions
- Engaging in activities to support the development of the local economies in all areas in which the operator operates.
- NNPC has sole responsibility for upstream and downstream developments
- NNPC is charged with regulating and supervising the oil industry on behalf of the Nigerian Government
So, that is the major functions of the NNPC in case you are yet to know. Feel free to subscribe to this site to get more facts about Nigeria sent directly into your email address. Use the subscription form found on this page to enter your email and then subscribe.