…declares N2.1trn dividend
…not owing foreign oil traders $6.8bn
The Nigerian National Petroleum Company Limited (NNPC) Monday released its 2023 Audited Financial Statement (AFS), declaring a net profit of N3.297 trillion at the close of the financial year which ended in December 2023.
In a statement signed by the company’s Chief Corporate Communications Officer, Olufemi Soneye, the company stated that this was an increase of over N700 billion or 28 per cent higher when compared to the 2022 profit of N2.548 trillion.
The Chief Financial Officer of the Company, Mr. Umar Ajiya, said the release of the AFS was a testament to the company’s commitment to transparency and accountability.
“Our fiscal performance reflects both strategic foresight and operational resilience. Despite inherent challenges of our operational and economic environment, we have improved the productivity and the financial performance of this great company,” Ajiya stated.
Ajiya added that posting such returns demonstrates NNPC commitment to sustaining profitability and supporting the attainment of national energy security as stipulated by the Petroleum Industry Act (PIA) 2021, and by extension, as expected by the Company’s shareholders.
Explaining that the NNPC will announce an Initial Public offer (IPO) once the shareholders and board make a decision, Ajiya also debunked claims on subsidy payment, saying the company was only taking care of petrol importation shortfall between it and the federation.
Speaking earlier at the press conference, the Chairman of the NNPC Ltd Board, Chief Pius Akinyelure, said that the performance came as the fruit of the PIA 2021, the commitment of the board, management and staff of the company.
Akinyelure added that the shareholders of the company had since approved a final dividend of N2.1 trillion in line with PIA 2021 provisions.
In her remarks at the briefing, the Executive Vice President, Upstream, Mrs. Oritsemeyiwa Eyesan, said with improvements witnessed as a result of the renewed vigour in the war against crude oil theft and pipeline vandalism, NNPC was targeting 2 million barrels p
Meanwhile, the company also refuted claims that the NNPCL has not remitted funds into the federation account since January.
The Nigerian National Petroleum Company Limited (NNPCL) has debunked a report claiming that it owes international oil traders $6.8 billion.
Responding to allegations against the company in a statement on Sunday, Chief Corporate Communications Officer, Olufemi Soneye, also refuted claims that the NNPCL has not remitted funds into the federation account since January.
Soneye, however, acknowledged that it is normal to owe at one point or the other since the oil trading business, transactions are carried out on credit.
“But NNPC Ltd., through its subsidiary, NNPC Trading, has many open trade credit lines from several traders.
“The company is paying its obligations of related invoices on a first-in-first-out (FIFO) basis,” he said.
The statement added that “it is not correct to say that NNPC Ltd. has not remitted any money to the Federation Account since January. NNPC Ltd. and all its subsidiaries remit their taxes to the Federal Inland Revenue Service (FIRS) regularly.
“This is in addition to payments of CIT to road contractors under the Road Investment Tax Credit Scheme. In all, NNPC Ltd. is the largest contributor to the tax revenue shared every month at the Federation Account Allocation Committee (FAAC).”
On the issue of quality/quantity fiscalization of imported petroleum products, Soneye said the NNPCL has no role whatsoever as it is not a regulator
According to him, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which is the relevant regulatory agency in charge of such issues, is an independent body and does not report to the NNPCL.
“NNPC Ltd. is not averse to inquiries by the media into issues on and around its operations before dissemination to the public either through the print or electronic channels of communication as the company will, always, gladly take the opportunities to state the facts of the subject matter(s).
“This is in line with the company’s commitment to the Transparency, Accountability, and Performance Excellence (TAPE) philosophy as emplaced by the Mele Kyari-led management since stepping into the saddle in 2019,” the statement added
