- Fox Petroleum Group will invest $7.5 billion into NNPCL in the next three years
- The money will facilitate operations across the petroleum sector in the country
- It is believed that the funding will serve as an enabler of the Petroleum Industry Act
Legit.ng journalist Zainab Iwayemi has over three years of experience covering the Economy, Technology, and Capital Market.
The Nigerian National Petroleum Company Limited (NNPCL) has secured $7.5 billion from Fox Petroleum Group.
The funding will be injected in three years to facilitate the company's operation across the upstream, mainstream, and downstream petroleum sectors.
The Guardian reports that in a statement signed by its representative, Yomi Sola Falana, the company said the development comes from confidence in the present administration.
Move to position Nigeria
It noted that President Bola Tinubu has continued to demonstrate commitment moves toward job creation, contributing to the development of host communities, increasing oil and gas production and reserves, and boosting federal revenues.
Falana said the development will further position Nigeria as investment destination for foreign investors.
Fox Petroleum's projects entail global operations in India and the upcoming Oman-India Pipeline.
Its focus on LNG projects signals a strategic shift in response to market dynamics.
The company said the money will help to support the NNPCL's growth in line with the enacted Petroleum Industry Act (PIA).
Fox said the investment details will be revealed after a closed-door meeting with the president.
The company added that the deal matches the company's goal of acquiring, investing in, and operating energy-producing assets in Nigeria.
Anxiety as NNPCL fails to remit $6.9 billion to FG amid oil boom, firm swaps $7.1bn worth of crude
Legit.ng earlier reported that NNPC Limited could not remit $6.923 billion to the federation account and traded about $7.108 billion worth of crude oil under its Direct Sale Purchase (DSDO) scheme in 2021.
The oil firm also owes $13.591 million in outstanding taxes to the Federal Inland Revenue Service (FIRS).
In comparison, unpaid federation revenue to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) amounts to $8.251 billion as of December 31, 2022.
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