Washington DC, USA — April 23, 2025
The Federal Government has initiated plans to conduct a forensic audit of the Nigerian National Petroleum Company Limited (NNPCL), in a bid to promote transparency and reposition the state-owned oil firm for optimal performance.
Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, made the disclosure at the Nigerian Investor Forum, held on the sidelines of the ongoing International Monetary Fund (IMF) and World Bank Spring Meetings in Washington DC.
Addressing investors from prominent global financial institutions, including J.P. Morgan, Edun outlined key economic reforms aimed at restoring investor confidence and boosting Nigeria’s fiscal position. He emphasized the administration’s commitment to accountability in the oil sector, describing the audit as a critical step toward understanding past financial practices at the NNPCL.
“There’s a forensic audit of NNPCL underway so that we can really understand what has happened in the past. As of now, a reconciliation exercise is ongoing,” Edun said.
The minister also referenced the recent leadership shake-up at the NNPCL as part of broader efforts to improve operational efficiency and increase oil output. He noted that while the removal of fuel subsidy shifted a significant burden from the government to NNPCL, the company has since submitted claims for outstanding arrears.
“Part of that burden shifted from the government’s budget to NNPCL. So, they have a legitimate claim and there are some arrears that need to be paid. But it’s a two-sided issue, hence the reconciliation exercise,” he said.
He stressed that the company’s core mandate remains to increase crude oil production and foreign exchange earnings, ultimately generating higher revenues for the Federation.
The development comes amid renewed public demand for greater scrutiny of NNPCL’s operations under its former leadership. Stakeholders have frequently raised concerns over opaque oil-backed financial arrangements.
In a significant move on April 2, 2025, President Bola Tinubu approved a reconstitution of the NNPCL board. Bayo Ojulari was appointed as the new Group Chief Executive Officer, succeeding Mele Kyari, while Ahmadu Musa Kida replaced Pius Akinyelure as the non-executive Chairman.
The audit and leadership changes signal the administration’s renewed commitment to reforming Nigeria’s oil sector, a critical pillar of the nation’s economy.
