NNPC Overhauls Investment Model: No More Pledging of Crude, Focus Shifts to Growth Capital

• Ojulari introduces game-changing strategy to attract investment without mortgaging barrels

In a significant shift from decades-old financing practices, the Nigerian National Petroleum Company Limited (NNPC Ltd) has abolished the model of pledging crude oil barrels for infrastructure loans. Under the leadership of its Group Managing Director, Engr Bashir Bayo Ojulari, the company is now embracing investment partnerships anchored on incremental growth and long-term value creation.

“Anybody that wants to do business with NNPC today, please, don’t come asking for barrels,” Ojulari said. “Let’s talk about how you will invest in growing production. Then we share the benefits of that growth.”

Ojulari made the declaration during a fireside chat at the ongoing NOG Energy week in Abuja. , detailing the company’s strategic roadmap, whilst describing the shift as a fundamental transformation in the way NNPC engages with the finance and investment community.

Historically, NNPC had relied on forward-selling barrels of crude oil to finance infrastructure, leaving limited room for reinvestment or growth. The new strategy moves away from that model to capital formation through performance-linked partnerships, leveraging NNPC’s reformed corporate structure under the Petroleum Industry Act (PIA).

“It’s about being commercially viable, like any other private company,” he said. “We are now focused on paying taxes, royalties, and dividends. That accountability unlocks access to smarter capital.”

Ojulari revealed that NNPC already has over $2 billion in investment proposals on his desk, many of which reflect growing interest from African and global financial institutions. By redefining its risk-sharing approach, NNPC aims to become an attractive investment partner, not just a government-backed operator.

To support this shift, NNPC has also undertaken a significant internal overhaul, including recruitment of over 80 experts from competing companies, establishment of dedicated IPO and “marketplace” strategy teams, and plans to begin issuing quarterly performance reports by Q3 2025.

The investment model pivot is part of NNPC’s broader mission to position itself as a top-tier exploration and production company in Africa, with aspirations to compete alongside global giants like Petrobras, Aramco, and ADNOC.

“We’re focused on incremental growth, not mortgaging future barrels. This is a sustainable strategy—one that creates long-term value for Nigeria,” Ojulari affirmed.

This strategic overhaul marks a new chapter in Nigeria’s petroleum narrative—one where barrels are no longer the bargaining chip but the building blocks for a diversified, investment-ready energy future.