By Obinna Uballa
Nigeria’s two leading oil unions, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), have rejected the Federal Government’s plan to sell its stakes in Joint Venture (JV) oil assets, warning that the move would mortgage the nation’s future.
At a joint world press conference in Abuja on Tuesday, PENGASSAN President, Festus Osifo, said the planned sale and proposed amendments to the Petroleum Industry Act (PIA) would destabilise the Nigerian National Petroleum Company Limited (NNPC Ltd.) and endanger the economy.
“The oil assets belong to the federation, not just the Federal Government. Any move to sell them amounts to mortgaging Nigeria’s future,” Osifo declared. “Government currently holds between 55 and 60 per cent stakes in JV assets. Selling them for quick cash will undermine foreign exchange earnings, weaken the naira, and plunge the nation into deficits.”
He argued that such a sale would also jeopardise the welfare of oil workers, stressing that NUPENG and PENGASSAN make up the largest workforce in NNPC Ltd.
On the PIA, Osifo faulted plans to strip the Ministry of Petroleum of its oversight role in NNPC Ltd., transferring control solely to the Ministry of Finance. “This is an aberration. Everywhere in the world, national oil companies report to petroleum ministries. We will resist any attempt to alter this structure,” he warned.
Instead of selling assets or tinkering with the PIA, Osifo urged the government to focus on raising crude oil output, saying Nigeria could easily grow production from 1.7 million barrels per day to above 3 million with the right policies.
NUPENG President, Williams Akporeha, echoed the opposition, insisting the move was unnecessary given that subsidy removal had already boosted revenues.
“They told us subsidy was draining funds. We supported its removal in the hope of better infrastructure and security. Now, with more revenue, why sell our remaining assets?” Akporeha queried.
He described the proposed PIA amendments as premature and damaging to investor confidence. “Investors need stability, not sudden changes. Every oil-producing nation has a strong national oil company to protect its interests. Why should Nigeria weaken its own NNPC?”
Both unions urged President Bola Tinubu to halt the proposed sale and amendments, warning that such actions could bankrupt NNPC, discourage investment, and compromise the future of the oil and gas industry.
