… expands petrol stations to 400, targets 45 CNG stations nationwide
Oredola Adeola
NIPCO Plc has in its financial performance for the year ended December 31, 2025, posted a turnover of N1.979 trillion, Profit Before Tax of N17.271 billion, and Profit After Tax of N12.227 billion, as the company moves to deepen its growth strategy with a £28.7 million equity investment in Savannah Energy Plc, signaling a major transition into Nigeria’s upstream and midstream gas space.
The performance and strategic shift were disclosed in separate statements by Chief Bestman Anekwe, Chairman of NIPCO Plc, and Mr. Suresh Kumar, Managing Director/CEO, at the company’s 22nd Annual General Meeting held at the weekend in Abuja.
According to the Chairman, Chief Anekwe, the Board of Directors has recommended a dividend payout of N1.501 billion, representing N8.00 per ordinary share, subject to shareholders’ approval and applicable withholding tax.
He noted that the payout reflects the company’s commitment to rewarding investors despite prevailing sector challenges, stating that “this dividend of 800 kobo per share demonstrates the Company’s resolve to consistently grow shareholders’ return on investment.”
Kumar, said NIPCO has already secured approximately 19.4 per cent of Savannah Energy’s enlarged share capital and is advancing plans to increase its stake to about 25 per cent, with potential to reach 26.5 per cent.
The investment represents one of the most significant strategic pivots by a downstream player in recent years, positioning NIPCO to capture value across the upstream, midstream, and downstream segments of Nigeria’s evolving energy value chain.
Kumar noted that the company’s expansion drive comes amid sweeping changes in Nigeria’s petroleum sector, particularly the full deregulation of the downstream market and the transition to market-based petrol pricing.
He said the policy shift is unlocking competition and efficiency, while also compelling operators to adopt new strategies to remain competitive.
He further referenced the 650,000 barrels-per-day Dangote Refinery as a game-changing development expected to redefine supply dynamics, pricing structures, and regional trade flows across West Africa.
As part of its transition strategy, NIPCO is deepening its footprint in the gas segment through its subsidiary, NIPCO Gas Limited.
The company currently operates 25 compressed natural gas (CNG) stations nationwide, with an additional 20 under construction, and has facilitated the conversion of over 8,000 vehicles to CNG.
Through partnerships with NNPC Gas Marketing Limited and the Presidential CNG Initiative, the company is rolling out 35 additional stations targeting over 200,000 vehicles daily, reinforcing its role in Nigeria’s push for cleaner and more affordable transportation fuels.
NIPCO also holds long-term gas distribution licences covering Ibadan, Benin City, and the Lekki Free Trade Zone, providing exclusivity for infrastructure development in these key economic corridors.
Despite its upstream ambitions, the company continues to consolidate its downstream leadership, expanding its retail network to over 400 outlets nationwide, with additional stations under development.
In the LPG segment, NIPCO maintains a storage capacity of about 19,500 metric tonnes and 10 loading bays capable of trucking more than 4,000 tonnes daily, supporting increased access to cleaner cooking energy.
NIPCO has also extended its investment footprint beyond energy through its majority stake in Capital Hotels Plc, owners of Abuja Continental Hotel, as part of a broader diversification strategy.
The facility, formerly Sheraton Abuja, is undergoing phased renovation and repositioning, with plans to establish a hospitality academy in partnership with the Federal Government.
