IN a bold move aimed at revitalising Nigeria’s struggling oil sector, President Bola Tinubu has dismissed the entire board of the Nigerian National Petroleum Company (NNPC) Limited and appointed former Shell executive Bayo Ojulari as its new group chief executive officer.
The sweeping changes, announced Wednesday, saw the exit of Mele Kyari, who had served as group chief executive, along with board chairman Pius Akinyelure — a close ally of Tinubu — and other members of the leadership. The president’s office confirmed the overhaul in a statement issued by media adviser Bayo Onanuga, who described the restructuring as crucial to driving operational efficiency and economic reform.
According to AFP, the decision is part of Tinubu’s broader economic agenda to revive investor confidence and restructure the oil sector, which has long been marred by allegations of corruption, inefficiency and political interference.
New leadership, new mandate
Bayo Ojulari, previously the managing director of Shell Nigeria Exploration and Production Company (SNEPCO), now steps in with a tall order. The new board is tasked with scaling up oil output, curbing rampant theft, reviving moribund refineries, and fostering strategic partnerships that can lift Nigeria’s oil-dependent economy out of stagnation.
Onanuga said the reconstituted board is expected to play a key role in increasing daily crude production to bridge the government’s revenue shortfall, while also supporting local demand and diversifying Nigeria’s gas economy.
Nigeria’s oil production dropped below 1 million barrels per day in 2023. The Tinubu administration now aims to double that to 2 million barrels daily by 2027, with NNPC expected to contribute at least 10 percent of that target.
Mixed reactions
Not everyone is convinced the change will bring lasting impact. Economist and commentator Kelvin Emmanuel told AFP that the NNPC’s performance under the previous board had been dismal, calling the shake-up ‘long overdue’.
‘The failure of NNPC has direct bearing on Nigeria’s economic woes,’ Emmanuel said, stressing that deep structural reforms are needed to turn the company around.
Still, some insiders urged caution, saying the dismissals were not an indictment of Kyari’s tenure. One official cited Kyari’s efforts to restart local refining capacity as noteworthy, even as broader reforms were deemed necessary.
Political undercurrents
Ojulari’s appointment has stirred conversation around ethnic representation within Tinubu’s administration. Although he hails from north-central Nigeria and is a Muslim, Ojulari belongs to the Yoruba ethnic group — the same as Tinubu — fuelling claims of regional favouritism from opposition figures.
‘This is going to provoke reactions, especially from northern politicians,’ said Ikemesit Effiong of SBM Intelligence. He warned that while leadership changes are often framed as reforms, frequent reshuffles may create uncertainty for investors.
Effiong added: ‘If every board change comes with a portfolio review, that’s not a sustainable way to run a company the size of NNPC.’
Despite the concerns, Tinubu’s administration appears intent on delivering reforms that can finally unlock the potential of Nigeria’s oil wealth, which has for decades failed to lift millions out of poverty.
