In a historic move to transform Nigeria's oil sector, President Bola Ahmed Tinubu has appointed experienced former Shell executive Bayo Ojulari as the Group Chief Executive Officer (GCEO) of the Nigerian National Petroleum Company Limited (NNPCL). The appointment is a central part of a comprehensive strategy to reform the oil sector, which has been plagued by corruption, environmental damage, and operational inefficiency for decades.
Bayo Ojulari: A Profile of Experience
Bayo Ojulari brings a wealth of experience to his new role. His career in the oil and gas industry has spanned several decades, and he has held strategic positions both in Nigeria and overseas. Ojulari started working with Shell Nigeria in 1991 and rose through the ranks to become Managing Director of Shell Nigeria Exploration and Production Company (SNEPCo) in 2015, a position he still held till 2021. His work at Shell was marked by invaluable contributions to deepwater exploration and production, both of which have enormous potentials in Nigeria (Premium Times).
In January 2024, Ojulari took up the position of Executive Vice President and Chief Operating Officer of Renaissance Africa Energy Company, further widening his strategic and operating experience in the energy sector. His appointment as the GCEO of NNPCL on April 2, 2025, places him in a role to leverage this rich experience to drive the much-anticipated reforms in Nigeria's oil sector (Premium Times).
Strategic Reforms and Objectives
President Tinubu's decision to remove all the leadership of NNPCL, including the board, demonstrates the administration's determination to revamp the oil sector. Ojulari is the GCEO in the new 11-member board, with Ahmadu Musa Kida serving as the non-executive chairman. The restructuring aims to foster efficiency, investment, and transparency within the sector (Sahara Reporters).
One of the highest priorities of the new government is to increase Nigeria's oil production. The government has ambitious targets, aiming to increase production to 2 million barrels per day (bpd) by 2027 and 3 million bpd by 2030. The targets are part of a broader strategy to increase Nigeria's position in the global oil market and ensure the country's oil wealth is translated into sustainable economic development (Energy Connects).
However, achieving these objectives is confronted with enormous challenges. Nigeria's production of crude oil declined by 30,000 bpd in January 2025, lowering the overall production to 1.495 million bpd. This shortfall highlights the need for immediate and effective interventions to revive the industry (Business Day).
Redressing Environmental and Social Issues
Beyond production targets, the new government has the tall order of addressing environmental and social issues surrounding oil exploration. The Niger Delta people, particularly in regions like Ogoniland, have suffered the adverse effects of oil activities, including environmental degradation and social tension. There is growing pressure for adequate environmental cleanup and sustainable development initiatives to improve the livelihood of host communities (FT).
The government's efforts at implementing measures for pollution control and clean-up are central to improving relations with host communities and ensuring the future of Nigeria's oil industry. Oil spillage, gas flaring, and destruction of farmlands are a major point of irritation for Nigerians whose survival depends on the land. Ojulari's leadership will be put to the test as he navigates through these challenges and strives to implement policies that prioritize both environmental sustainability and production efficiency.
Global Context and Future Outlook
The appointment of Ojulari and the reforms are set against the backdrop of global trends in the energy industry across the world. The world oil majors are focusing on renewable energy sources, and the globe is agitating for the reduction of carbon emissions. Nigeria, with its reliance on oil income, is vulnerable to these global trends, which demand diversification of the economy and investment in renewable technologies.
Besides, the success of the reforms will depend on how the nation is able to draw both domestic and international investments. Infrastructure in the oil industry, including refineries, requires massive upgrades to attain production targets. How the new administration is able to overcome these challenges, make effective policies, and take stakeholders along will be most critical in determining the future direction of the industry.
Conclusion
Bayo Ojulari's appointment as GCEO of NNPCL is coming at a critical time in Nigeria's attempt to transform its oil industry. With the level of experience he is bringing on board and the government's resolve to achieve ambitious production and environmental goals, there is cautious optimism about the prospects for positive change. However, achieving these objectives will require concerted effort to overcome the industry's multifaceted challenges like infrastructure deficits, environmental problems, and the vagaries of global energy markets.
As Nigeria's largest oil-producing nation in Africa, the fortunes of this reform will resonate well beyond the Nigerian economy but for the entire global energy industry. If successful, the reforms can usher in a new era of efficiency, transparency, and environmental responsibility in Nigeria's oil industry.