The Nigerian National Petroleum Company Limited (NNPCL) has dismissed recent reports claiming it owes foreign oil traders $6.8 billion.
In a statement issued on Sunday, Olufemi Soneye, the NNPCL’s Chief Corporate Communications Officer, also addressed the claim that the company has not made any payments into the Federation Account since January.
While refuting the claims, Soneye acknowledged that, in the oil trade industry, it is common for transactions to be conducted on credit, which may lead to temporary debts. However, he emphasized that NNPCL, through its subsidiary, NNPC Trading, maintains multiple open trade credit lines with various traders, and is meeting its financial obligations on a first-in-first-out (FIFO) basis.
Soneye further clarified that NNPCL has indeed made regular contributions to the Federation Account, contrary to the reported claims. He pointed out that the company and its subsidiaries have been making consistent tax payments to the Federal Inland Revenue Service (FIRS), in addition to paying Corporate Income Tax (CIT) to road contractors under the Road Investment Tax Credit Scheme. NNPCL, he stated, remains the largest contributor to the monthly tax revenues shared at the Federation Account Allocation Committee (FAAC).
On the issue of ensuring the quality and quantity of imported petroleum products, Soneye explained that NNPCL does not play a role, as this falls under the jurisdiction of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), an independent regulatory body that does not report to NNPCL.
The company also reaffirmed its commitment to transparency, stating that it welcomes media inquiries and is always willing to provide accurate information. This aligns with the company’s “Transparency, Accountability, and Performance Excellence” (TAPE) philosophy, introduced by the current management under Mele Kyari’s leadership since 2019.
