NNPC steps up IPO preparation, tackles governance and reporting gaps

The Nigerian National Petroleum Company Limited is moving closer to an initial public offering after completing a baseline readiness assessment and starting to fix governance and financial reporting gaps. Group Chief Executive Officer Bayo Bashir Ojulari said this in a Bloomberg interview on Tuesday, October 13, 2026.

Ojulari said NNPC had completed its preliminary assessment and was implementing corrective measures to meet listing requirements. The work is complex because NNPC operates across crude oil exploration and production, pipelines, refining, trading and retail distribution. That spread could make the listing process more complex than Dangote Petroleum Refinery's. It also means the company must decide whether to list individual units, consolidate operations or divest some assets.

Dangote IPO gets two-week extension

The NNPC update came as Dangote Petroleum Refinery and Petrochemicals FZE extended its $1.6 billion IPO by two weeks. The subscription deadline moved from October 13 to October 27 after approval from the Securities and Exchange Commission.

Ojulari said NNPC's advisers identified deficiencies, especially in financial reporting and corporate governance. "We've done the baseline assessment," he said. The company is implementing measures "to be IPO ready as soon as possible." He also said some assets may not fit an IPO. "There are some things that cannot even be IPOed," Ojulari said. "You have to decide whether you do a portfolio rationalization on them, consolidate them, or, you know, exit those items when that time comes."

Joint venture review and stake sales

Beyond the listing, NNPC is reviewing investments in joint ventures with domestic and international oil companies. The review includes the potential sale of up to 30% of its stakes in some ventures. Ojulari said a decision could come in early 2027 as NNPC evaluates proposals from existing partners and prospective foreign investors. The aim is to attract technical expertise and funding.

NNPC's IPO plan has been under consideration for years after its transition into a commercially driven entity under the Petroleum Industry Act 2021. In March 2025, Chief Finance and Investor Relations Officer Olugbenga Oluwaniyi said NNPC was in the final stages of preparing for a public listing and had begun selecting advisers. The company started an IPO readiness exercise covering investor relations, investment banking and advisory services.

In August 2026, President Bola Tinubu said his administration's economic reforms would eventually include listing NNPC shares on the Nigerian Exchange, allowing Nigerians and other investors to acquire ownership stakes. In September 2026, NNPC clarified it had not fixed a date for the IPO and that the final decision would rest with shareholders.

Profit falls 35.4% in first half of 2026

NNPC's IPO preparations are taking place amid weaker financial performance. The company remained profitable, but recorded a profit after tax of N2.28 trillion in the six months ended June 2026. That was a 35.4% decline from N3.53 trillion in the same period of 2025.

NNPC began 2026 with N385 billion profit in January. Earnings fell to N136 billion in February, its lowest monthly result in the period. Profit recovered to N276 billion in March and rose to N481 billion in April. It moderated to N462 billion in May before rebounding to N535 billion in June, the strongest monthly performance in the first half. The cumulative first-half profit of about N2.28 trillion represented a decline of N1.25 trillion from the corresponding period of 2025.

For investors watching the Nigerian capital market, NNPC's readiness work and Dangote's extended subscription window keep two major oil and gas listings in focus. NNPC has not fixed a date, and its shareholders will make the final call.