The Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), Bayo Ojulari, has announced that oil drilling activities will resume in the northern region of Nigeria, marking a revival of a much-anticipated project that had stalled for over two years.
Ojulari disclosed the development in a recent interview with BBC News Hausa, reassuring residents of the region that the NNPCL remains committed to harnessing the area’s hydrocarbon potential.
He specifically referenced the Kolmani oil fields, located along the Bauchi-Gombe border, where exploratory drilling had been initiated under the administration of former President Muhammadu Buhari in 2022.
“We will continue with the oil drilling in Kolmani and other places. After the oil drilling, we will also ensure that we complete the gas pipeline from Ajaokuta to Kano,” Ojulari said.
The project had generated significant excitement in the North, as it promised to reposition the region as a new oil-producing zone akin to the Niger Delta. However, progress slowed significantly without any clear explanation, leaving citizens and stakeholders concerned.
Ojulari, who hails from the North himself, urged calm among residents and promised that drilling operations and infrastructure projects like the critical Ajaokuta-Kano Gas Pipeline would resume under his leadership.
“This will bring benefits to the region, which will lead to everyone benefiting because wealth will increase. Therefore, we must return and continue this project,” he said.
The renewed drilling efforts come more than two years after Buhari launched the Kolmani Integrated Development Project—Nigeria’s first commercial crude exploration in the North. Located in the Gongola Basin, the site was projected to house oil wells, gas processing facilities, and even a proposed refinery.
In early 2023, the NNPCL also announced plans to begin oil exploration in Nasarawa State, further boosting expectations for Northern Nigeria’s economic diversification. However, that effort has also remained on hold.
Ojulari’s comments now signal a reinvigorated commitment to actualising these prospects, with potential implications for job creation, regional development, and national revenue diversification.
Ojulari also addressed another pressing issue: the strained relationship between NNPCL and the Dangote Petroleum Refinery, the $20 billion facility touted as a solution to Nigeria’s refining challenges.
Under the previous NNPCL leadership, tensions had escalated—particularly around crude oil supply terms. In March 2025, the NNPC reportedly halted a naira-for-crude supply arrangement with the refinery, leading to fuel shortages and price hikes across the country. The government later reversed the decision, directing that the crude exchange continue.
Ojulari confirmed that he had begun mending fences with Dangote Group Chairman Aliko Dangote, emphasising the need for cooperation to guarantee energy security for Nigerians.
“We sat down and talked about the conflict. From now on, we will work together to achieve progress… There will be no more disputes between NNPC and Dangote refinery. We will join hands for the benefit of Nigeria,” he said.
On the broader oil economy, Ojulari acknowledged the challenges posed by the recent slump in global crude prices, which have impacted Nigeria’s projected revenues.
“The budget was drawn with the prediction that if oil were sold, money would be available to be used for national development projects,” he explained.
He added that the NNPC was now focused on cost efficiency to improve profit margins even in a low-price environment.
“If we can reduce the operation costs, it is possible that the income we will get from selling oil and gas will be enough for us,” Ojulari said.
Ojulari’s comments reflect a broader strategic shift within the NNPC under his leadership—one aimed at restarting stalled projects, rebuilding industry partnerships, and navigating economic headwinds.
His dual focus on reviving Northern exploration and de-escalating tensions with private refineries suggests a more collaborative, pragmatic approach, especially as Nigeria battles to increase domestic refining capacity and reduce reliance on imported petroleum products.
As oil remains central to the nation’s economic future, stakeholders will be closely watching whether Ojulari’s conciliatory tone and action-oriented plans can translate into real progress across both old frontiers and new partnerships.
