He also explained that the exercise would also ensure that Nigerian crude did not become a major contributor to the instability in the price of oil in the international market.
NIGERIAN National Petroleum Corporation (NNPC) has conducted the public opening of bids tendered by Nigerian and international companies for the purchase of Nigeria’s crude oil grade.
According to the News Agency of Nigeria (NAN) 278 local and international companies submitted bids for the purchase of the nation’s crude oil grade.
The NNPC, in a bid to ensure transparency in the conduct of its business, had also conducted an open public bidding for 101 Nigerian and multi-national companies for the award of Offshore Processing Arrangements (OPA).
The corporation had also conducted public bidding for 91 companies for the award of NNPC’s Coastal, Bunkering Vessels Service.
Prices of Nigeria’s crude oil grades have recorded significant decline over the last two weeks, fuelling concerns over the ability of the country to meet its revenue target and fund its budget.
NNPC’s Group General Manager, Crude Oil Marketing Division, Mr Mele Kyari, explained that the public opening of the bid was designed to ensure the optimisation of value of the nation’s crude.
He said the aim was also to ensure the emergence of credible and reliable customers to the purchase of Nigerian crude oil.
Kyari explained that the process would also ensure that the ultimate end users of the crude had access to it.
He said: “So our objective is to cut down that number and cutting down the number means that you have to come down to the region of 15 or 16.Once you are able to do that as a market strategy, then you need to sell to people in groups.“