N5bn Damage: NNPCL Wins Appeal Court Case Against Ararume

The Nigerian National Petroleum Company Limited (NNPCL) has won its appeal against a Federal High Court ruling that nullified the removal of Senator Ifeanyi Ararume as the company’s non-executive chairman.

The Appeal Court delivered its judgement on August 8, 2025, overturning the earlier decision that had awarded Ararume ₦5 billion in damages. NNPCL announced the development on Wednesday via its official X account.

According to the company, the ruling spares it a significant financial payout and eliminates a legal risk that could have affected all board decisions made since 2021. The court held that the initial case was statute-barred and should not have proceeded.

NNPCL described the decision as an important corporate governance milestone, reinforcing the validity of board resolutions essential to the oil and gas sector’s investment and policy direction.

Ararume was appointed to the NNPCL board in September 2021 by then-President Muhammadu Buhari but was replaced in January 2022 by Margaret Chuba Okadigbo.