The Nigerian National Petroleum Company Limited (NNPC Ltd.) has strongly denied recent media reports alleging that the company owes international oil traders $6.8 billion and has failed to remit funds to the Federation Account since January.
In a statement issued on Sunday, Olufemi Soneye, Chief Corporate Communications Officer for NNPC Ltd., addressed these claims, clarifying the company’s financial and operational status.
According to Soneye, the claims regarding a $6.8 billion debt are inaccurate. He explained that transactions within the oil industry often occur on a credit basis, which may result in temporary outstanding balances. However, he assured that NNPC Ltd. manages its obligations effectively through its subsidiary, NNPC Trading, operating on a first-in-first-out (FIFO) basis. “We maintain open trade credit lines with several traders and are fulfilling our financial commitments as scheduled,” Soneye said.
Regarding the allegations of non-remittance to the Federation Account, NNPC Ltd. affirmed that it has consistently met its tax obligations. The company and its subsidiaries regularly remit taxes to the Federal Inland Revenue Service (FIRS), as well as making payments under the Road Investment Tax Credit Scheme to support infrastructure development. The statement emphasized that NNPC Ltd. remains the largest contributor to the tax revenue distributed monthly by the Federation Account Allocation Committee (FAAC).
On the matter of regulatory oversight for petroleum products, Soneye clarified that NNPC Ltd. does not play a role in the quality or quantity fiscalization of imported products. Instead, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is responsible for these regulatory functions. “NMDPRA operates independently and does not report to NNPC Ltd.,” Soneye noted.
The statement also underscored NNPC Ltd.’s commitment to transparency and accountability. “We are open to media inquiries and are dedicated to addressing any concerns in line with our Transparency, Accountability, and Performance Excellence (TAPE) philosophy,” Soneye said, referencing the policy framework established under the leadership of Mele Kyari since 2019.
NNPC Ltd. remains committed to upholding high standards of operational transparency while contributing significantly to Nigeria’s economic development.
