Nigeria’s government may sell 40% of a new national oil company within 10 years of its creation, according to a draft law.
At least 10% of the company will be divested within five first years, according to the draft bill handed to reporters in Parliament in the capital, Abuja.
Nigeria’s Petroleum Ministry will hold 51% while the Bureau of Public Enterprise is to hold the remaining 49% for government.
Last month, President Muhammadu Buhari approved a restructuring of the Nigerian National Petroleum Corporation into five units in a bid to reform the behemoth and make it profitable again.
The business units comprising upstream, downstream, gas and power, refinery and a ventures group will each be headed by a chief executive officer and will have at least two other subsidiaries.
The NNPC lost 267 billion naira ($1.34 billion) last year after being dragged down by its refining business and as the finances of Africa’s top crude producer has been battered by a drop in oil prices in the past 12 months.
Buhari has made it a priority to restructure the company and rid it of the corruption that multiple probes have said is rampant.