NIPCO Plc Reports Impressive N780 Billion Turnover For 2023, Expands LPG Infrastructure

By Oluwabukola Jimoh ــ Last Update 20 August 2024

NIPCO Plc, a key player in Nigeria's oil and gas sector, has reported a substantial turnover of N780 billion for the year 2023, showcasing its robust performance and strategic growth. This financial milestone highlights the company's effective initiatives and operational efficiency, solidifying its market position.

At the 20th Annual General Meeting held at Abuja Continental Hotel, FCT, Abuja, on the 10th of August, Managing Director/CEO Suresh Kumar addressed shareholders and stakeholders, emphasizing NIPCO’s significant progress, particularly in the Liquefied Petroleum Gas (LPG) sector. Kumar announced a proposed dividend payout of N938.3 million for the year, translating to N5 per 50K share, a move that underscores NIPCO’s commitment to rewarding its shareholders and maintaining investor confidence.

"I am delighted to welcome you to the 20th Annual General Meeting of your company," Kumar stated. "Today’s event marks another turning point in the history of NIPCO PLC and underscores our continuous drive to meet the yearnings and aspirations of our promoters."

Kumar highlighted NIPCO’s remarkable strides in expanding its LPG infrastructure, with over 70 outlets operational across Nigeria in 2023. The company plans to increase this number to 100 by 2024, further broadening its reach. "We have broadened our spread in the LPG sector to several states through our massive skid deployment and other ancillary infrastructure," he noted. "Our aim is to enhance access to the product at market-friendly rates."

Despite a challenging operating environment characterized by foreign exchange volatility, rising inflation, and fluctuating petroleum prices on the international market, NIPCO has maintained its growth trajectory. In addition to its LPG expansion, NIPCO Gas Ltd, a subsidiary of the company, oversees a network of operational Compressed Natural Gas (CNG) stations and has recently commissioned a CNG Mother facility in Oron, Akwa Ibom State, along with several other CNG stations nationwide.

"Our technical competence and field experience will bolster the renewed vigor on CNG adaptation and amplify its positive impact on the nation’s economy," Kumar stated, highlighting that NIPCO has successfully converted over 8,000 vehicles to operate on CNG. This effort aligns with the company’s broader mission to enhance energy access and contribute to Nigeria’s economic sustainability.

From the perspective of LPG in Nigeria we think this broods well for Nigeria especially in the LPG sector that needs more investment and focus.

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Oluwabukola Jimoh

Oluwabukola Jimoh is a dynamic academic writer and captivating energy blogger. She is able to delve into intricate subjects with an insatiable thirst for knowledge, crafting thought-provoking essays that engage and enlighten her readers.