Nigeria's downstream petroleum sector rewards very few companies with longevity. BOAZ Commodities Limited has earned nearly nine years in the market by doing something deceptively simple: keeping its word and remaining consistent. Managing Director Ihuoma Okafor tells Petroleumprice.ng that in an industry built on price volatility and fragile trust, integrity is a survival strategy.
The oil and gas industry is highly competitive. What makes BOAZ a preferred partner?
It is our integrity. In this market, you have suppliers who will give you a price and come back to tell you that the price will not work anymore. That happens a lot, but for us, we are transparent, and once we commit, we do not play about it. Except in cases where suppliers reprice our product then we will have no choice but to reprice as well to customers. Not every company keeps to that commitment. That is what makes us stand out.
In an industry where many companies struggle to stay afloat, what has enabled BOAZ to remain relevant anforward-lookingng after nearly a decade?
Flexibility. This industry changes all the time, and we choose not to be rigid. We manage risk well, we protect our cash, and we adjust quickly when things shift. We monitor the market, we understand it, and we go with it. That is what has kept us relevant. We are nine years in the business but through that period our consistency and flexibility enabled us remain relevant.
What major gaps in Nigeria's energy sector is BOAZ currently addressing?
When it comes to downstream marketing, the biggest issue is getting products from bulk suppliers to the actual end users. We are that gap. We buy from trusted suppliers, and we ensure that end users can come to us reliably. We are the link in between, and our role is to make sure supply is steady and businesses do not run dry. That is the gap we fill, and we take it seriously.
With rising operational costs and industry volatility, especially post subsidy removal, how is BOAZ adapting to remain efficient and competitive?
We are more strategic now. For us, it is more than just about buying and selling. It is about margins. It is about timing, and it is about being very careful. We have had our fingers burnt in the past, and we came out stronger from it. So, going forward, we keep things lean. We only take positions that make sense, and we make sure we buy from trusted suppliers. That, in the end, gives us peace of mind. The post subsidy environment has made everyone more deliberate, and we are no different.
Over the past decade, how has BOAZ evolved, and what key lessons have shaped your growth in this high-risk industry?
Protecting Cash flow is everything. Not every deal is what it appears to be, and our business is heavy on cash flow. That is the first lesson. The second is relationships. Be careful about the kind of people you do business with. Build on relationships because sometimes it is not about the profit it is about the relationship. And the third is information. Stay abreast of what is happening in the market at all times. If you are always reacting, you will lose. You have to stay ahead. These three things, protect cash flow, relationships, and information that is what has shaped us.