The Extractive Industries Transparency Initiative (EITI), a global transparency organization, has called on the Nigerian National Petroleum Company Limited (NNPCL) to provide additional details regarding its 20% equity in the Dangote Petroleum Refinery. The request was made during a visit by the EITI delegation to Nigeria, emphasizing the need for transparency in NNPCL’s acquisition of a stake in the $20 billion refinery.
Alex Gordy, the EITI Technical Director, highlighted that NNPCL had not clarified the valuation of its equity interest in the Dangote refinery. He stressed the importance of accountability and urged the national oil firm to disclose the mode of payment for the equity, as currently, only information about payment through crude oil deliveries is in the public domain.
Gordy raised questions about how the valuation would take place, whether it would be based on market rates, and how it would impact NNPC oil production and deductions from federal government revenues.
Bady Balde, Deputy Executive Director of EITI, explained that the delegation’s visit was prompted by the recent validation of Nigeria’s extractive industry. He expressed concern about the absence of a consistent National Stakeholders Working Group (NSWG) for the Nigeria Extractive Industries Transparency Initiative (NEITI), emphasizing that stakeholder engagement was crucial for meaningful data.
The call for transparency in NNPCL’s equity stake in the Dangote refinery reflects the broader effort to ensure openness and accountability in Nigeria’s extractive industries.
