PICTURE: Registrar General of CAC, Garba Abubakar (R), supported by NNPC GMD, Mele Kyari, to present the certificate of Incorporation of NNPC Limited to President Muhammadu Buhari in Abuja on Friday
The incorporation of the Nigerian National Petroleum Company (NNPC) Limited in line with provisions of the recently enacted Petroleum Industry Act (PIA) has been completed with a minimum share capital of N200 billion, the Corporate Affairs Commission (CAC) has said.
The Registrar General, Corporate Affairs Commission, Garba Abubakar, disclosed this in Abuja on Friday at the formal presentation of the Certificate of Incorporation of the new company to President Muhammadu Buhari at the presidential villa.
On August 16, 2021,
President Buhari signed the Petroleum Industry Act (PIA), 2021, into law, giving Nigerians a brand new regulatory and legal framework for the country’s petroleum industry.
The PIA replaces the outdated and archaic Petroleum law of 1969, which regulated the operations of the country’s petroleum industry, along with the support of several ministering circulars that guided award of licenses and other aspects of the industry activities.
Section 53(1) of the Petroleum Industry Act 2021 requires the President, who doubles as the Minister of Petroleum Resources, to cause for the incorporation of the NNPC Limited within six months of the enactment of the PIA.
In consultation with the Minister of Finance, the President was expected to direct the incorporation of the new company with a nominal initial share capital for its formal takeoff.
Under the new arrangement, the NNPC Limited would function as an independent public company limited by shares, with a new orientation as a commercial entity driven by a business mindset to operate competively with their contemporaries within and outside Nigeria, make profit and declare benefits and interests to its investors.
At the presentation ceremony organized by the Management of the NNPC Limited led by the Group Managing Director, Mele Kyari, the Registrar of the CAC said the NNPC’s initial share capital puts the company at the top position as the highest in the country.
Abubakar told the President that the registration of the company was completed within 24 hour on September 22, 2021 using the Commission’s electronic registration platform.
In his remarks, President Buhari commended the NNPC Limited for its new status, urging its management to ensure it made the best use of the opportunity by ensuring the capital was deployed effectively in investments that would grow and expand its portfolio of activities.
Buhari pledged to continue to support the company to realize its full potentials, adding that the prosperity ans growth of the NNPC was strategic to the overall economic development of the country and the people.