The Nigerian National Petroleum Corporation, NNPC, says it is resolved to commence the review of the fiscal terms of its existing deep offshore Production Sharing Contracts, PSC, with some International Oil and Gas Companies operating in Nigeria.

Mr. Ibe Kachikwu, who is the Group Managing Director of the NNPC, disclosed in a statement from the Corporation in Abuja. He explained that the decision was got out of the need to seek benefits to Nigeria based on prevailing realities in the Oil and Gas sector.

Kachikwu, speaking at the France-Nigeria Business Forum organised to mark the State Visit of President Muhammadu Buhari to Paris, France said ”Žsome of the contracts were negotiated over 20 years ago and were overtaken by new realities in the industry.

He stated that the NNPC would be re-negotiating the contracts to extract as much benefit as possible for Nigeria in months ahead.

Kachikwu however stressed that in carrying out a review of the existing PSCs, care must be taken not to create an unfavourable atmosphere for investment as that may be counterproductive to the industry.

On the status of France-Nigeria relations in the industry, Kachikwu added that though the French have a firm presence in the Nigerian petroleum industry, there is more opportunities for French companies to rev up their presence in the refining areas where Nigeria currently needs support.

Kachikwu noted that President Buhari’s vision for the industry is absolutely on track, stating that, “It is being honed every day: there is focus, transparency and diversified income streams.”

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