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NNPC consolidates foothold on shipping business with ship refueling deals

As part of deepening business conglomerate, the Nigerian National Petroleum Corporation (NNPC) has unveiled plans to provide refueling services to ships and other ocean-going vessels via a new subsidiary.
In a statement, spokesman of the Corporation, Mr Ndu Ughamadu, said the move was to consolidate its foothold on the shipping business in Nigeria and boost profitability.
It said the Group General Manager, NNPC Shipping, Mrs. Aisha Katagum, disclosed this in the corporation’s in-house journal, stressing that the drive is very dear to the NNPC Group Managing Director (GMD), Dr Maikanti Baru.
NNPC averred that “Baru has directed the Corporate Planning and Strategy (CP&S) Division to come up with a business model for us to see how it could operate.”
Katagum revealed that the bunkering subsidiary is most likely going to be an incorporated company like Nidas, a subsidiary under NNPC Shippping Division.
She added that the proposed company would likely be domiciled in the NNPC Shipping Division too.
“I’m sure it’s going to be a big business because we have so many vessels that come into the West African Coast. This year alone, over 120 vessels have brought imports for us.” She said
Nikorma and Marine Logistics are two other downstream subsidiaries under the NNPC Shipping Division.
While Nikorma engages in shipping and transportation of energy products, Marine Logistics on the other hand, provides logistic services to the crude and petroleum products and gas sub-sector.
The Marine Logistics have the mandate to effect demurrage reduction and ensure safe and efficient coastal distribution of petroleum products.