The Nigerian National Petroleum Company Limited (NNPC Ltd) has responded to allegations of underhand dealings in the award of contracts for pipeline rehabilitation, stating that the contracts were awarded based on rigorous evaluation criteria and industry standards. The company issued a statement emphasizing its commitment to transparency and adherence to global best practices.
NNPC Ltd clarified that the contracts underwent a competitive tender process guided by Bureau of Public Procurement standards, Infrastructure Concession Regulatory Commission expertise, and active involvement of a Transaction Advisor. Additionally, representatives from NEITI and the Ministry of Justice were part of the project development team and the evaluation exercise.
The contracts were divided into four lots, with various consortium members involved, including both local and international companies. These contracts are Build, Operate, and Transfer agreements, with selected partners responsible for financing the rehabilitation without transferring control of the assets to any particular company.
NNPC Ltd's objective in awarding these contracts is to enhance the integrity and functionality of pipelines for efficient crude oil transportation to refineries and product distribution across Nigeria. The company affirmed that the ownership of these strategic national assets remains with NNPC Ltd, and their operation is in the interest of Nigeria's population of over 200 million people.
Recent media reports had alleged that NNPC Ltd awarded pipeline rehabilitation contracts to four oil companies, including two downstream retailers.
