NNPC: I approved financing arrangements, not contracts…..Osinbajo

by | October 12, 2017 8:08 pm

Nigeria’s Vice President, Prof. Yemi Osinbajo, has declared that what he approved for the Nigerian National Petroleum Corporation were financing arrangements and not contracts.

The Vice President made the clarification after the ground-breaking of a multi-billion Naira historic Bonny-Bodo road project, in Bonny, Rivers State,

The Vice President Yemi Osinbajo, according to his media team, said he explained specifically that the approvals he granted to the NNPC while he was Acting President were for financing arrangements for the Joint Ventures between the corporation and IOCs, and not approvals for contracts.”

“These were financing loans. Of course, you know what the Joint Ventures are, with the lOCs, like Chevron, that had to procure. In some cases, NNPC and their Joint Venture partners have to secure loans and they need authorisation to secure those loans while the President was away”

“The law actually provides for those authorisations. So I did grant two of them and those were presidential approvals, but they are specifically for financing joint ventures and they are loans not contracts”

The clarification followed media enquiries on the NNPC Joint Venture financing arrangements,

Osinbajo, declared that as Acting President, he approved the recommendations after due diligence and adherence to established procedures.

“This was, of course, necessary to deal with huge backlog of unpaid cash calls which the Buhari administration inherited, and to incentivize much needed fresh investments in the oil and gas sector”

“Action necessary to deal with huge backlog of unpaid cash calls which Buhari adm inherited and also to incentivise much needed fresh investments in the oil & gas sector,”


Tony Ailemen, Abuja