The Socio-Economic Rights and Accountability Project (SERAP) has instituted legal action against the Nigerian National Petroleum Company Limited (NNPCL), demanding accountability over an alleged ₦5.9 billion spent on the incorporation, transition, and rebranding of the former Nigerian National Petroleum Corporation (NNPC).
According to SERAP, reports indicate that the NNPC spent ₦2.9 billion from petroleum product proceeds on incorporation-related expenses, while the National Petroleum Investment Management Services (NAPIMS) reportedly charged another ₦2.9 billion to crude oil revenues for the same purpose, bringing the total expenditure to about ₦5.9 billion.
In the suit filed before the Federal High Court in Abuja, SERAP is seeking “an order of mandamus to direct and compel the NNPCL to account for about ₦5.9 billion allegedly spent on the rebranding of the NNPC to the NNPCL.”
The organisation is also requesting the court to “direct and compel the NNPCL to provide a comprehensive reconciliation statement detailing the specific financial transactions relating to the ₦5.9 billion expenditure, including the identities of the contractors involved, and how the funds were utilised for the rebranding of NNPC to NNPCL.”
Additionally, SERAP wants the court to “direct and compel the NNPCL to disclose the names and official positions of the government officials who authorized and approved the release and expenditure of the ₦5.9 billion reportedly spent on the rebranding of NNPC to NNPCL, and to clarify whether the expenditure complied with applicable procurement laws and due-process requirements.”
Details of the legal action were contained in suit number FHC/ABJ/CS/1248/2026, according to a statement issued on Sunday by SERAP’s Deputy Director, Kolawole Oluwadare.
The suit, filed by SERAP’s legal team comprising Oluwakemi Agunbiade, Kehinde Oyewumi, and Andrew Nwankwo, referenced concerns reportedly raised by the Senate Committee on Public Accounts regarding the expenditure, which was classified as incorporation and transition costs during the company’s restructuring.
According to SERAP, “The Committee described the spending of the ₦5.9 billion as excessive, unjustifiable, and deserving of further explanation, investigation, and legislative scrutiny in the public interest.”
The rights group argued that the information sought is of significant public importance and should be disclosed.
“The NNPCL has a legal responsibility to explain whether the ₦5.9 billion expenditure represents value for money, constitutes lawful spending of public funds, and complies with applicable due process requirements.
“There ought to be full transparency and accountability regarding the reported ₦5.9 billion spent on rebranding NNPC to NNPCL. Nigerians have the right to know who approved the expenditure, who received the funds, the nature of the services rendered, and whether due process and procurement requirements were strictly followed.
“The disclosure of the identities of the officials involved and the processes followed in approving the expenditure would enable the public to assess whether the expenditure was properly authorized, represented value for money, and was undertaken in accordance with due process and procurement requirements,” the organisation stated.
SERAP further stressed that the amount involved warrants immediate public clarification.
It noted that, given the scale of the expenditure, there is “an urgent need for a prompt, thorough, and transparent disclosure of the details surrounding the spending of the funds.”
The organisation also linked the issue to broader concerns about transparency within the national oil company.
“The failure to account for the spending of the ₦5.9 billion on rebranding from NNPC to NNPCL reflects a failure of NNPCL accountability more generally and is directly linked to the institution’s continuing failure to uphold transparency and accountability principles,” SERAP said.
The group recalled that the transition from NNPC to NNPCL was undertaken in line with the Petroleum Industry Act (PIA) 2021, which transformed the corporation into a commercially driven limited liability company wholly owned by the Federal Government.
SERAP also relied on provisions of the Nigerian Constitution, including Sections 13 and 15(5), as well as Articles 5 and 9 of the United Nations Convention against Corruption and Article 21 of the African Charter on Human and Peoples’ Rights in support of its case.
As of the time of filing this report, the court had yet to fix a hearing date for the matter.
