The NNPC Engineering and Technical Company (NETCO), a subsidiary of the Nigerian National Petroleum Company Limited (NNPC Ltd.), has reported a 137% increase in operating profit for 2023.
In a statement, Chief Corporate Communications Officer NNPC Ltd. Abuja Olufemi Soneye said this significant growth was disclosed by Mr. Adedapo Segun, Chairman of NETCO’s Board of Directors and Executive Vice President, Downstream, NNPC Ltd., at the company’s 34th Annual General Meeting in Lagos.
Mr. Segun highlighted that NETCO achieved a 101% revenue increase in 2023, marking a turnaround from the previous year’s deficit, with a 145% surge in gross profit. These figures underscore a strong recovery and robust financial performance.
Addressing the AGM, Dr. Tonye Alagba, Managing Director of NETCO, outlined the company’s strategic goals for 2024 and beyond. NETCO aims to enhance its service offerings within the oil and gas industry, invest in resource development, reduce costs, and mitigate risks. The company is also focused on increasing its market share by at least 5% through active participation in mainstream Engineering, Procurement, and Construction (EPC) projects, with plans to bid for a minimum of 32 tenders and secure at least 15 contracts.
Additional targets set by NETCO include achieving a 21-day invoicing cycle, attaining at least 85% debt collection efficiency, ensuring a minimum customer satisfaction rate of 71%, and acquiring critical assets such as fabrication yards and offshore logistics support bases. The company also aims to establish exclusive collaborations with key technical partners like KBR and Petrofac.
NETCO’s mandate is to deliver high-quality, integrated, and cost-effective Engineering, Procurement, and Construction Management (EPCM) services for Nigeria’s oil and gas industry and beyond.
