Nigeria and Russia firms on Thursday in Sochi, Russia, signed various Memorandum of Understanding (MoU), which will enable both countries’ oil giants, Nigerian National Petroleum Corporation (NNPC) and Russia’s Lukeoil to elevate commercial relationship to a government-to-government backed partnership.
This is just as another memorandum of Understanding(MoU), was signed with Russia for modernization, rehabilitation of existing Nigerian Railway Corporation (NRC) rolling stock-fleet and upgrading of workshops across the country.
With signing of the MoU, NNPC and Lukeoil will work together in upstream operations and revamp Nigeria’s refineries.
Group Managing Director of NNPC, Mele Kyari and Vagit Alekperov, President of leading Russian oil company, Lukeoil, signed the MoU, which entails cooperation in deep offshore exploration of oil in Nigeria, production, trading and refining.
The signing ceremony, which took place on the sidelines of the Russia-Africa Summit, was witnessed by the Minister of State for Petroleum, Timipre Sylva.
Earlier in his remarks at a meeting with Russian President Vladimir Lenin, President Muhammadu Buhari said Nigeria was prepared and willing to work with Russian businesses “to improve the efficiency of our oil and gas sector which provides us with the much-needed capital to invest in our security, infrastructure and economic diversification programmes”.
While taking note of the agreement between NNPC and Lukeoil, President Buhari gave an assurance that his administration will “ensure this initiative is implemented within the shortest possible time.”
The second MoU, also involves two Russian firms: Russian Joint Stock Company Russian Railway (JSCRR) and Transmash Holding, a private rolling stock manufacturing company.
The minister of Transportation Rotimi Amaechi, while signing the agreement on behalf of the government at the Russia-Africa Summit in Sochi said this would boost and fastrack the construction of the rail manufacturing company in Nigeria.
It would be recalled that the Nigerian government, gave the Chinese Civil Engineering Construction Company (CCECC) the nod to establish a rail manufacturing plant in the country.
The Minister reiterated that the present administration led by President Muhammadu Buhari was determined to ensure the development of a standard rail infrastructure in line with best practices.
Amaechi also noted that before the end of December, Nigeria will receive 20 locomotives and wagons which will be used for the Railway service on Lagos-Ibadan, Abuja-Kaduna and Itakpe-Warri rail line.
Stella Enenche, Abuja
