NNPC Restarts Oil Drilling in North, Settles Dispute with Dangote Refinery

The Nigerian National Petroleum Company Limited (NNPCL) has confirmed it will resume crude oil drilling in northern Nigeria, while also announcing that its long-standing feud with the Dangote Refinery has been peacefully resolved.

This development marks a renewed phase in Nigeria’s energy expansion efforts and oil sector cooperation.

According to Bayo Ojulari, the newly appointed Group Chief Executive Officer of NNPCL, the Kolmani drilling project—located on the boundary between Bauchi and Gombe states—will soon return to active operations.

The project is part of a broader national energy infrastructure plan that also includes the continuation of work on the Ajaokuta–Kaduna–Kano (AKK) gas pipeline.

“NNPC will continue oil drilling in the Kolmani field and will continue the work on the AKK gas pipeline from Ajaokuta to Kaduna to Kano. The companies working on the projects will continue, and new ones are also welcome,” Ojulari stated.

He emphasized the importance of these energy projects in driving inclusive economic growth.

“The projects are critical in boosting the economy, and the impact will be felt by all Nigerians. By next month, people will begin to see. We will start work on the AKK gas pipeline and the Kalmoni,” he added.

The Kolmani field came into national focus in 2019 when NNPCL announced the discovery of hydrocarbon deposits at the Kolmani River II Well in the Upper Benue Trough, within the Gongola Basin.

This became the first major oil find in Northern Nigeria, paving the way for the Kolmani Integrated Development Project—a strategic initiative expected to attract foreign investment and create thousands of jobs.

By 2022, the government had launched commercial drilling in the area.

The site is estimated to hold more than one billion barrels of crude oil and 500 billion cubic feet of natural gas, with investment pledges already exceeding $3 billion.

On another front, Mr. Ojulari confirmed that NNPCL has mended its rocky relationship with the Dangote Group, following a period of tension linked to disputes under former NNPCL leadership, particularly regarding the controversial Naira-for-Crude exchange framework.

“We, as Nigerians, must hail Dangote’s courageous efforts. Whatever he is investing, he is doing it in Africa. We have addressed the feud between the NNPC and the Dangote Refinery. Very soon, people will start seeing the impact,” he said.

Ojulari also disclosed that independent marketers can now source fuel directly from the Dangote Refinery, a move expected to stabilize local fuel supply and reduce friction in the distribution chain.

“It won’t be in the news anymore that NNPC and Dangote are fighting; now, we are working together for the interests of Nigerians,” he concluded.

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