The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has once again urged the government to allow private sector companies to take the lead in managing the nation’s oil refineries. The association says this step is essential to improve efficiency and unlock Nigeria’s full oil and gas potential.
Speaking at the 4th PENGASSAN Energy and Labour Summit (PEARLS 2025) in Abuja, PENGASSAN President Comrade Festus Osifo emphasized that Nigeria’s refineries must function properly and suggested a model where the government retains minority ownership while experienced private firms handle operations.
“The refinery must work, but the government must divest. We have the talent in Nigeria, but we need the right support and operational model to succeed,” Osifo said, highlighting the need for technical expertise and reduced political interference.
Osifo pointed to the Nigeria LNG (NLNG) framework as an example, where the government holds 49 percent and private companies hold the remaining 51 percent, allowing experts to make majority decisions and run operations efficiently.
He also drew attention to Nigeria’s vast oil reserves of over 37 billion barrels, noting that current production of about two million barrels per day is far below potential. Boosting production, he said, is vital for national development.
Praising recent transparent marginal field bidding, Osifo criticized past allocations to politically connected individuals lacking technical expertise. He stressed that companies with the right skills and financial capacity could significantly contribute to the growth of the oil and gas sector.
The PENGASSAN President also condemned anti-union practices in the sector, warning companies against preventing workers from joining unions. “It is 2025, and such practices must stop, or we will take action,” he said.
The summit addressed broader concerns including policy stability, investment climate, and workforce welfare—factors PENGASSAN says are crucial for building a resilient and productive oil and gas industry in Nigeria.
