The New Nigeria Development Company (NNDC) owned by the 19 northern state governments has disclosed plans to commence exploration for oil and gas in the Lake Chad region in North East next year.
Addressing journalists shortly after the NNDC’s Annual General Meeting in Kaduna, the Board Chairman, Alh. Bashir Mohammed Dalhatu regretted that the insecurity in the North-East has affected the take-off of the exploration.
Dalhatu said, “Oil and gas blocks have been discovered in the North, but for security challenges in the North-east, exploration will have gone far.
“But we have since re-engaged our people to be totally committed to the exploration and exploitation of both oil and gas resources. We believe that will boost revival of economy in the region.”
Asked when the exploration will commence, the NNDC’s chairman said, “We are commencing the exploration within 2016, because we are talking with technical partners that would help us explore for the resources.”
According to him, the company was able to post profit despite the political instability and the activities of insurgency in northern parts of the country.
He said the continuous decline in government revenue which resulted in reduction of foriegn reserves as well as devaluation of the naira posed challenges to the operations of NNDC.
He said despite the tough operating environment and the continuous security challenges, the company remained resolute and focused on realizing its objectives.
The chairman said the operating income of the company increased by 42 percent from N651.2 million to N923.9 million while a 73 percent increase was recorded in operating profit before tax from N137.2 million to N237.2 million.
He said further increases were recorded in earnings per share of 87 percent from 16.7 kobo to 31.2 kobo and 4.4 percent net assets per share from N14.1 to N18.5 when compared with results of the preceding year of 2014.
-Leadership
