The Nigerian National Petroleum Company Limited (NNPCL) has transferred all its retained assets to OVH Energy Marketing Limited, the operator of Oando Petroleum and a company owned by President Bola Ahmed Tinubu’s nephew Wale Tinubu.
Recall that in October 2022, the NNPCL announced it had acquired OVH Energy Marketing, owner and operator of the Oando downstream assets from Nueoil Energy Limited a month after Nueoil Energy acquired OVH, which would.
This transaction allowed the NNPCL to capitalise on the already existing success of OVH and create an opportunity for the state-owned company to utilise the business model of Oando service outlets nationwide.
However, NNPCL, OVH and Nueoil filed a joint petition before Justice C.J. Aneke of the Federal High Court in Lagos on 24 June, asking the court to grant eight orders including the dissolution of NNPC Retail and Nueoil without being wound up
The assets acquired from the company, which operates Oando filling stations, also include a reception jetty with 240,000 metric tonnes monthly capacity and eight liquefied petroleum gas plants, three lube blending plants, three aviation depots, and 12 warehouses.
Justice Aneke granted all the prayers of the petitioners, ordering that the merger be effective from 1 January. The court also mandated that all necessary incidental, consequential, and supplemental orders be made to ensure the full and effective implementation of the merger.
The court also made the following orders to carry the merger into effect.
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“That an order is hereby made that all assets (including all tax attributes, unutilised capital allowances, tax losses, withholding tax credits and other refunds available, but excluding the 2nd petitioner’s shares in the 3rd petitioner), liabilities and business undertakings, including real property and intellectual property rights of the 1st and 2nd petitioners be transferred to the 3rd petitioner subject to the terms and conditions set out in the scheme without any further act or deed.
“That an order is hereby made that the entire share capital of the 1st and 2nd petitioners be cancelled. That an order is hereby made that all legal proceedings, claims and litigations pending or contemplated by or against the 1st and 2nd petitioners be continued by or against the 3rd petitioner after the scheme becomes effective.
“That an order is hereby made that the 1st and 2nd petitioners be dissolved without being wound up. That an order is hereby made that the resultant company from the scheme shall be the 3rd petitioner,” the judge ruled.
The ruling signifies that NNPC retail, which is currently responsible for importing virtually all of Nigeria’s petrol, no longer exists and is now wholly owned by OVH Energy Marketing Limited.
NNPC Speaks
Olufemi Soneye, the chief corporate communications officer of NNPC Ltd, confirmed the court order.
He said the mandate of NNPC Retail and the working conditions of its staff remain unchanged.
“The working conditions of NNPC Retail staff remain unchanged following the court order. The mandate of NNPC Retail also remains consistent, ensuring energy security across its retail outlets nationwide and continuing to serve its customers effectively,” Soneye told PREMIUM TIMES.
Workers at NNPC Retail also told the newspaper that they are aware of the court order and the gazette but are yet to be officially informed.
“I am aware of the gazette, it’s criminal,” one staff member told this newspaper. “They have not informed us officially about it. It is part of their plans to take over the company.”
“Nothing has changed in the working conditions of NNPC Retail. You see, it’s a gradual process for them to take over NNPC retail; that’s their plan,” the aggrieved staff member said, asking not to be named for fear of victimisation.
Olufemi Soneye, the chief corporate communications officer of NNPC Ltd, confirmed the court order to PREMIUM TIMES.
He said the mandate of NNPC Retail and the working conditions of its staff remain unchanged.
“The working conditions of NNPC Retail staff remain unchanged following the court order. The mandate of NNPC Retail also remains consistent, ensuring energy security across its retail outlets nationwide and continuing to serve its customers effectively,” Mr Soneye wrote in a text response to our enquiry.
Workers at NNPC Retail told PREMIUM TIMES that they are aware of the court order and the gazette but are yet to be officially informed.
“I am aware of the gazette, it’s criminal,” one staff member told this newspaper. “They have not informed us officially about it. It is part of their plans to take over the company.”
“Nothing has changed in the working conditions of NNPC Retail. You see, it’s a gradual process for them to take over NNPC retail; that’s their plan,” the aggrieved staff member said, asking not to be named for fear of victimisation.
Atiku accuses Tinubu of mortgaging Nigerians’ future
Meanwhile, former Vice President, Atiku Abubakar yesterday accused President Tinubu of mortgaging the oil industry to his family and associates, citing the alleged control of OVH, an oil industry operator, by Oando Plc, owned by Wale Tinubu.
Atiku said he believed that even after Tinubu leaves office, it would be nearly impossible to break the shackles, comparing Tinubu’s alleged integration of his business interests into Lagos’ public enterprises to his current attempts at the federal level.
In a statement by his media aide, Paul Ibe, Atiku argued that , “Just as Alpha Beta, Primero, and others act as Tinubu’s proxies in Lagos, managing critical sectors and generating revenue for him and his family, he has begun to replicate this at the federal level.”
He expressed astonishment at the operations of the NNPC and how the government-owned oil company has allegedly put its retail arm under the control of OVH, a company in which he said Oando, led by Wale Tinubu, owns 49 per cent.
Atiku regretted that his intention to privatise the NNPC and increase its transparency has been overshadowed by what he described as the criminal hijack of the NNPC by corporate cabals around the current president.
“In October 2022, just five months before the elections, the NNPC Retail controversially announced it had acquired OVH and all its filling stations. NNPC already had about 550 filling stations across the country but claimed it was enhancing its capacity by acquiring OVH, which had only 94 stations and 100 others leased.
“The NNPC did not disclose the purchase price of OVH or the terms of the acquisition. A Freedom of Information (FOI) request by Premium Times was also rejected by the NNPC, which claimed to be a private company despite still being government-owned.
“Following this dubious deal, Mele Kyari, was controversially retained as NNPC Group Chief Executive Officer despite his incompetence. Tinubu then appointed his former boss at Mobil, turned ally, Pius Akinyelure, as NNPC Chairman, while he himself took on the role of Minister of Petroleum.
“In a move that defies economic logic, OVH, previously owned by NNPC Retail, has now acquired NNPC Retail. This absurd situation means that Wale Tinubu’s Oando now owns 49 per cent of NNPC Retail.
“Moreover, Nigeria paid Wale Tinubu a significant sum to facilitate the Tinubu family’s acquisition of the national oil company. This represents a clear case of illogical business transactions and abuse of office by President Tinubu, who has prevented NNPC from becoming a public liability company as stipulated by the Petroleum Industry Act (PIA),” he alleged.
Atiku acknowledged that the NNPC and its leadership were under legislative investigation but expressed scepticism about the process’ credibility due to the vested interests of those conducting the investigation.
“Senator Opeyemi Bamidele, who is heading the National Assembly panel, is a known supporter of Tinubu. He served as a commissioner under Tinubu in Lagos State and publicly calls him his godfather.
“Given that Tinubu is the petroleum minister, he should be held responsible for the sector’s issues. I doubt Bamidele will conduct a thorough investigation that might implicate his patron,” Atiku said.
