Two of Nigeria’s most influential oil and gas unions , the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) have strongly opposed the Federal Government’s reported plan to sell significant stakes in joint venture (JV) assets managed by the Nigerian National Petroleum Company Limited (NNPCL).
At a joint press briefing in Abuja on Tuesday, PENGASSAN President Festus Osifo and NUPENG President Williams Akporeha warned that the proposed divestment of 30–35% government stakes could destabilise the economy, weaken the oil industry and jeopardize workers’ welfare.
“A Threat to Nigeria’s Economic Future”
The unions argued that while the sale might generate quick revenue, it would come at the cost of Nigeria’s long-term economic security. They cautioned that stripping NNPCL of key assets could bankrupt the company, shrink its contributions to the national budget, and impair its ability to meet obligations such as salaries and welfare.
“You cannot mortgage the future of Nigerians for temporary gains,” Osifo declared.
Concerns Over Policy Inconsistency
The controversy follows President Bola Tinubu’s directive last month for a reassessment of the Petroleum Industry Act (PIA), particularly the NNPC’s 30% management fee and 30% frontier exploration deduction.
Union leaders warned that frequent policy shifts, including possible amendments to the PIA a law passed after decades of debate could create more uncertainty in the oil sector and scare away investors.
Akporeha stressed:
“The PIA was passed after years of struggle. Investors are just beginning to adapt to it. Now, the government wants to amend it again? That is a dangerous signal.”
“Every Oil Well Belongs to Nigerians”
Highlighting previous divestments by international oil companies like ENI’s Agip, ExxonMobil, and Shell, Osifo noted that local firms such as Oando and Seplat have taken over many assets. He warned that further government divestment would weaken NNPCL’s ability to manage resources effectively.
“The NNPCL manages JV assets on behalf of the Federation. Every oil well belongs to the Nigerian people collectively, not just the Federal Government. If these stakes are sold, the federation loses, and our national oil company will be too weak to deliver,” he argued.
A Call to President Tinubu
Both unions urged President Tinubu to personally intervene and halt the plan. They specifically called on him to caution key stakeholders, including the Minister of Finance, the NNPCL Board Chairman, and the Group Chief Executive Officer of NNPCL.
“If these proposals succeed, Nigeria will struggle to generate the revenue required to fund its budget. This is a recipe for crisis, and we will resist it,” Osifo warned.
While they stopped short of announcing a strike, the unions made it clear they are ready to “fight with everything” to prevent the sale.
Labour’s Final Word
The unions concluded by accusing the government of inconsistency and prioritizing short-term cash over national interest. They warned that weakening NNPCL would not only erode Nigeria’s economic foundation but also risk triggering widespread industrial unrest.
“Whoever mooted this idea , whether from the Ministry of Petroleum, Ministry of Finance, NNPCL, or even the Presidency , we reject it 100 per cent,” Osifo said.
Akporeha added:
“Every serious oil-producing nation protects its national oil company. Here, we are doing the opposite.”
