Harmonisation Of NIPCO, Mobil Oil Operations Begins
•Venkatapathy (third left) speaking at the event. With him (from left) are Group Executive Director, Legal Services Paul Obi, Mobil Managing Director Tunji Oyebanji and Group Executive Director, Corporate Services Alhaji Abdulkadir Aminu. • Mobil retail outlets now II Plc
With the completion of acquisition of 60 per cent ExxonMobil’s shares in Mobil Oil Nigeria (MON) Plc, following statutory approvals from the Securities and Exchange Commission (SEC) and the Nigerian Stock Exchange (NSE), NIPCo Plc has begun harmonising the operations of the two firms.
Its Group Managing Director, Mr. Venkataraman Venkatapathy, said though each of the entities would function independently, the management would review the two business models with the intention to synchronise and harmonise their operations. Venkatapathy told reporters in Lagos that management would ensure adherence to the Mobil brand, while complying with ExxonMobil’s global standards.
He said: “NIPCo Plc, an indigenous Nigerian downstream oil and gas company, is pleased to announce the successful acquisition of 60 per cent stake in Mobil Oil Nigeria Plc (MON), following due statutory approvals from the Securities and Exchange Commission and the Nigerian Stock Exchange.
“With the acquisition now completed, NIPCo will review the two existing business models with intent to synchronise and harmonise their operations. NIPCo intends ultimately, that each of the entities will remain and function independently. Running the two entities separately will engender financial and strategic merits.
“Focus will now be placed on expansion of the retail footprint under the Mobil brand. Concerted efforts will be deployed towards promoting the Mobil brand of lubricants in Nigeria to ensure that it captures a much larger national market share, whilst ensuring that it continues to retain its pivotal position as the premium lubricant brand in Nigeria.”
According to him, NIPCo will rigorously sustain and follow Exxon Mobil’s code of conduct, ethos and drive for operational excellence. Mobil Oil Nigeria will now be trading and transacting business with a new name that will be called II Plc (double 1Plc).
He said NIPCO was delighted to be part of the 41,000 shareholders of Mobil Oil Plc, adding that the acquisition shall usher in stability, prosperity, sustainability and growth. In due course, NIPCo shall, in furtherance of its agreement with ExxonMobil, change the name of Mobil Oil Plc to II Plc while retaining the Mobil logo.
NIPCO had on October 19, 2016, aquired 60 per cent stake in Mobil Oil Plc, and in March 2017, completed the acquisition of ExxonMobil’s stake in Mobil Oil Nigeria Plc in a deal put at N90 billion and one of the biggest in the downstream sector in recent years.