12 September 2017

Nigeria: NNPC Remits $285m to Federation Account in Six Months

The Nigerian National Petroleum Corporation, NNPC, remitted $284.724 million to the Federation Account between January and June 2017 from its crude oil and gas export proceeds.

According to its Monthly Financial and Operations Report for June 2017, the NNPC recorded total crude oil and gas export receipt of $1.353 billion from January to June 2017; $1.068 billion was utilized for Joint Venture Cash Call funding, the remaining 21.064 per cent of the total amount was transferred to the Federation Account.

Specifically, the report showed that the remittances were made only in the months of March, May and June, while no remittances were made to the Federation Account in January, February and April 2017.

In March, the NNPC remitted $137.436 million to the Federation Account; the amount dropped to $59.554 million in May; while it increased to $87.73 million in June. In comparison, between January and June 2016, the NNPC received $1.456 billion from crude oil and gas export sale, while $4.86 million, representing 0.35 per cent of the total was remitted to the Federation Account.

The report also noted that from June 2016 to June 2017, $2.216 billion was received by the NNPC from the export of crude oil and gas, while $2.158 billion, representing 85.77 per cent of the sum was utilised for JV cash Call funding and $357.6 million, representing 14.23 per cent, was remitted to the Federation Account. On the other hand, the NNPC remitted N476.475 billion to the Federation Account from its domestic sale of crude oil and gas from January to June 2017, representing 58.94 per cent of the total sales proceeds of N808.475 billion recorded in the period.

Giving a breakdown of the figures, the report disclosed that in January 2017, the NNPC remitted N89.36 billion to the Federation Account from a total domestic crude oil and gas sales proceeds of N132.2 billion; while in February, N116.83 billion was remitted to the Federation, out of total domestic crude oil and gas proceeds of N171.785 billion.

In March, April, May and June 2017, the report noted that the NNPC recorded total domestic crude oil and gas sales of N134.94 billion, N142.09 billion, N76.48 billion and N150.96 billion, while N94.83 billion, N95.56 billion, N19.51 billion and N60.385 billion were remitted to the Federation Account respectively.

In comparison, the NNPC remitted N351.006 billion to the Federation Account in the first six months of 2016, representing 76.3 per cent of the total sales proceeds of N60.05 billion.

However, in its financial statement for June 2017, the NNPC stated that it recorded a trading deficit of N5.23 billion representing an increase in deficit compared to deficit of N3.55 billion recorded in May.

Its group operating revenue stood at N295.75 billion in June 2017, dropping by 4.25 per cent from N308.87 billion recorded in the previous months.

The NNPC said, "These represent 84.43 per cent and 79.54 per cent respectively of monthly budget. Similarly, operating expenditure for the same periods were N311.42 billion and N300.98 billion respectively, which also represents 97.88 per cent and 94.74 per cent of budget for the months respectively."

Nigeria

IMF Borrowed From Nigeria in 1974 - Former Finance Minister

Minister of Finance in the Second Republic, Alhaji Abubakar Alhaji, said yesterday the International Monetary Fund, IMF,… Read more »

Copyright © 2017 Vanguard. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 900 reports a day from more than 140 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.