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132 Firms Bid For NNPC’s Crude Sales Contract
The Nigerian National Petroleum Corporation (NNPC), yesterday, opened the 2019 Direct Sale of Crude Oil and Direct Purchase (DSDP) to its local and international business partners, and potential off-takers and suppliers with 132 organisations indicating interest.
The Group Managing Director of NNPC, Dr Maikanti Baru, who set the process in motion, said the essence of the bidding was to ensure reputable qualified companies were engaged.
The 132 companies are bidding for about 14 billion liters of products under the DSDP scheme.
Baru explained that the process was to ensure that the selection of off-takers aligned with transparent and accountable procedures in compliance with the Public Procurement and Nigerian Content Acts.
“The third public bid opening ceremony for the DSDP tenders is fully in line.
“The DSDP scheme was introduced in 2016 with efficient and cost effective systems and processes to plug the value eroding loopholes of the January, 2015 OPC contracts.
“Since the inception of the DSDP scheme in 2016 until March, 2019, about 29.5million metric tons (39.6 billion liters) of petroleum products have been supplied under the scheme representing over 90 per cent of the national requirement.
“Through a transparent competitive bidding and evaluation process, the scheme has enlisted a robust supplier mix comprising of the big international players and strong Nigerian downstream companies for supply flexibility and local capacity development,” Baru said.
According to him, the scheme has over the years, ensured significant reduction in product demurrage cost in the range of 84 per cent and cost savings of about $2.2 billion.
He assured the bidders that all the bids would be given fair consideration.
The Group General Manager (GGM), Crude Oil Marketing Division, NNPC, Mele Kyari, said the bid process was open to all to optimise local participation.
Meanwhile, the Nigerian National Petroleum Corporation, NNPC, yesterday, disclosed that it has saved $2.2 billion since the introduction of the Direct Sales, Direct Purchase scheme, DSDP.
The DSDP scheme involves the NNPC allocating certain volume of crude oil to the successful companies, while the companies are required to bring in equivalent value of different petroleum products to the country.
Speaking at the DSDP bid opening ceremony in Abuja, Group Managing Director of the NNPC, Dr. Maikanti Baru, also disclosed that the agreement the NNPC was looking to enter into with the successful companies would involve about 14 billion litres of petroleum products per annum.
He stated that over the years, through a transparent competitive bidding and evaluation process, the DSDP scheme had enlisted a robust supplier mix, comprising big international players and strong Nigerian downstream companies for supply flexibility and local capacity development.
Baru said, “The scheme prides itself with a competitive pricing framework, that is lower than the Petroleum Products Pricing Regulatory Agency, PPPRA, benchmark, which over the years has ensured significant reduction in product demurrage cost in the range of 84 per cent and cost savings of about $2.2 billion.”
He added that 132 bids were received for the 2019/2020 programme, noting that the DSDP marks a milestone that aimed to maximise Nigeria’s crude oil for the benefit of all Nigerians. He stated that the programme was designed to plug loopholes recorded in previous Offshore Processing Arrangement deals, explaining that reputable and qualified companies would be engaged for the scheme.
According to Baru, credible, tested and compliant offtakers would be engaged for the scheme, as well as strong Nigerian downstream companies to ensure steady supply of petroleum products and also develop their capacity.
Also speaking, Group General Manager, Crude Oil Marketing Division of the NNPC, Mallam Mele Kyari, disclosed that the key objective was to eliminate corruption, adding that corruption cannot be eliminated without putting in place measured to eliminate opacity. He said, “We are trying to ensure that out processes are open to all the DSDP is an intervention 6to ensure unfettered supply of petroleum products.”
He said the scheme would ensure optimal value for Nigeria’s crude oil, ensure cost saving and also guarantee that it’s processes can be validated.
He noted that each of the partners must be able to demonstrate financial capacity to a minimum of $72 million as well as cognate experience in crude oil marketing and petroleum products import. He added that the NNPC, “would do its best efforts to conduct its own internal estimates, setting up minimum price levels.
This is not a highest or lowest bidder tender, because we know some prices are not realistic. “We want to ensure best value, secure products supply, encourage local participation and grow capacity of indigenous companies. These are the aims of the programme. The companies are expected to pay taxes to government, while we would get best and fair prices.”
News
Independence Anniversary: Nigeria Is A Failed Grandfather – Monarch
A first class traditional ruler in Rivers State, His Royal Majesty, King Aaron Ikuru, has described Nigeria at 65 as a grandfather who cannot provide leadership to other African Countries.
The monarch stated this in an interview at his palace in Ikuru Town, yesterday.
According to him, Nigeria would have been a developed country to set the pace in the whole of Africa, considering its numerous resources.
“Nigeria is a grandfather but not behaving as a grandfather. Our country, Nigeria, before and from the era of Independence was in the state of becoming a great country, but unfortunately is not becoming anything.
“We should be far ahead with what we have in the country. God blessed us, we have almost what it takes in terms of mineral resources, manpower amongst others that can drive speedy development in the country.
“If we’re able to harness all the things we have, even America by now would have respected us”, he said.
While blaming the past leaders of the country, the monarch called on the current leadership of the country to redouble efforts in order to narrow the differences in terms of development, exchange rate between naira and foreign currencies.
King Ikuru, who is also the Chairman of Andoni Area Traditional Rulers Council, however, lauded the efforts of the founding fathers, past leaders of the country for the achievements so far.
He also expressed optimism that Nigeria would be great, calling on the opinion leaders to shun tribalism and political intolerance in the country.
“If Nigeria should experience rapid development in all sectors, it means we must shun tribalism and political intolerance, the interest of our country must be our priority.
“We need to fight corruption vigorously, and leaders must show good example of discipline and integrity”, he said.
The monarch used the opportunity to wish Nigeria happy independence anniversary.
By: Enoch Epelle
News
FG begins payment of N32,000 pension increment to retirees – PTAD
The Pension Transitional Arrangement Directorate has announced the start of implementation of the new pension increments for pensioners under the Defined Benefit Scheme, saying the adjustments will be reflected in the September 2025 payroll cycle.
In a statement signed by Management and posted on its X handle, PTAD said the increase package includes a fixed N32,000 payment alongside percentage increases of 10.66% and 12.95% for eligible categories, which will benefit about 832,000 pensioners under its management.
Recall that PTAD in August announced President Bola Tinubu approved a series of measures, including new welfare benefits for pensioners under DBS.
The approval follows a formal request by PTAD’s Executive Secretary, Tolulope Odunaiya, seeking an emergency budgetary allocation to implement pension reforms and welfare benefits for the scheme’s retirees.
The measures include a N32,000 pension increment, percentage increases for pensioners of defunct and privatised agencies, pension harmonisation for all DBS pensioners, enrolment into the National Health Insurance Scheme, and the settlement of long-standing unfunded pension liabilities.
In a statement yesterday, PTAD said the partial release of N820.188 billion by the Federal Ministry of Finance from the emergency funding has made it possible for pensioners to begin receiving the enhanced payments immediately.
The statement read, “Further to the President’s approval of the emergency budgetary allocation for the payment of the new pension increment rates for Pensioners under the Defined Benefit Pension Scheme (DBS) that was earlier published by the Pension Transitional Arrangement Directorate on Friday, 8th August, 2025, the Directorate is delighted to announce the commencement of the implementation of the 832,000, 10.66% and 12.95% pension increment for eligible pensioners under the management of PTAD, in the September 2025 pension payroll cycle.
“This achievement has been made possible through the partial release of 820.188 billion by the Federal Ministry of Finance, from the initial 845 billion emergency funding approval granted by the Federal Government.
“This milestone clearly reaffirms the Federal Government’s dedication to safeguarding the welfare and entitlements of DBS Pensioners in line with the Renewed Hope Agenda.”
The directorate thanked President Bola Ahmed Tinubu for approving the emergency allocation.
It also acknowledged the role of the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun; the Minister of State for Finance, Dr Doris Uzoka-Anite; the Accountant-General of the Federation and key presidential aides and parliamentary committees for their “timely interventions” and support.
The statement also expressed appreciation to organised pension groups, including the Nigeria Union of Pensioners and the Federal Parastatals and Private Sector Pensioners Association of Nigeria, for their cooperation during negotiations and implementation planning.
“We further assure all our DBS Pensioners and Stakeholders that the Directorate will continue to collaborate with the relevant authorities towards release of the outstanding approved funds and subsequent fulfilment of all future obligations relating to the pension increments and the landmark reforms,” the statement added.
The DBS covers pensioners who retired before the introduction of the Contributory Pension Scheme in 2004, including those from defunct public institutions, privatised agencies, and treasury-funded parastatals.
Over the years, many have faced irregular payments, delayed harmonisation, and inadequate healthcare access, challenges that the new reforms are expected to address.
News
Nigeria At 65: NOA urges citizens to foster unity, progress
The National Orientation Agency (NOA) has urged Nigeria. citizens to remain united, peaceful to enhance development of the nation as it celebrates 65th independence anniversary.
Mr Mkpoutom Mkpoutom, Director of NOA in Akwa Ibom, gave the charge in Uyo yesterday while addressing newsmen and stakeholders to mark the anniversary.
Mkpoutom said it was essential to recognise that the strength of Nigeria lay in its diversity
“With over 250 ethnic groups and an array of languages, the nation embodies a unique blend of heritage.
“This diversity should be seen not as a dividing line but as a unifying force that propels the country toward progress.
“As Akwa Ibom embarks on another year, it is crucial for all citizens to foster a sense of unity and shared purpose.
“Embrace dialogue, understanding and collaborate with the Renewed Hope Agenda of President Bola Tinubu in its efforts to addressing pressing challenges like poverty, security, education, and healthcare, thereby paving way for a brighter future for all.”
The state director, however, appealed to Nigerians from all walks of life to renew their commitment to a more prosperous, peaceful, and equitable nation.
“Let this anniversary serve as a reminder of the collective strength that lies in every citizen,” he said.
He urged everyone to contribute positively to the development of a better society.
Mkpoutom urged the people and all citizens to honour the labours of heroes past, as they celebrated the present, while working diligently toward a future filled with hope and opportunities for generations to come.
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