The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has called for urgent reforms in the country’s refineries, cautioning against political interference in the oil and gas sector.
PENGASSAN President, Mr. Festus Osifo, emphasised the need for reform at the 4th PENGASSAN and Labour Summit 2025 on Thursday in Abuja, themed “Building a Resilient Oil and Gas Sector in Nigeria: Advancing HSE, ESG, Investment and Incremental Production”.
PENGASSAN proposes that Nigeria’s refineries operate under a model similar to the Nigeria Liquefied Natural Gas (NLNG), where the government holds minority stakes while competent private operators take majority control for efficiency.
According to him, while Nigeria’s workforce possesses the expertise to manage refineries, the absence of proper tools and the persistence of political interference have led to inefficiency, waste, and recurring breakdowns.
“Government must divest majority control of the refineries, just as in the NLNG model, where private partners hold 51 per cent while government retains 49 per cent,” he said.
Osifo stressed that the government must divest majority control of the refineries, with private partners holding 51 per cent and government retaining 49 per cent.
He warned that Nigeria’s 37 billion barrels of crude reserves risk remaining underutilised if production continues to hover around two million barrels per day, urging authorities to intensify drilling and exploration.
PENGASSAN emphasised that oil revenues should be reinvested in infrastructure, education, and healthcare to promote diversification, citing Dubai’s transformation funded by Abu Dhabi’s oil wealth as a model Nigeria could replicate.
Osifo commended the recent marginal field bid round, describing it as the most transparent in Nigeria’s history, unlike previous politically influenced allocations that hindered development due to incompetence.
PENGASSAN condemned alleged anti-labour practices, singling out 11PLC for reportedly forcing workers to sign agreements barring union membership, and warned that it would resist any attempt to suppress workers’ rights.
The Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Mr. Felix Ogba, underscored the need for human capacity development as the bedrock of Nigeria’s oil and gas growth.
He highlighted the importance of equipping Nigerians with critical skills in engineering, safety, automation, and digital technologies.
