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NNPC To Boost Remittance To FAAC

Ololade Omosan-Agie

The Nigerian National Petroleum Corporation (NNPC), on Friday clarified that the revenue projection contained in the letter to the Accountant General of the Federation is not a reflection of its overall financial performance.

The Corporation had in a letter addressed to the Accountant General of the Federation, projected that it would deduct the sum of N112bn from oil and gas proceeds for the month of April 2021.

The deduction according to the Corporation is to ensure continuous supply of petroleum products as well as guaranty energy security in the country.

In the letter titled ‘Impact of hike in crude oil price on the deregulated downstream sector’, the NNPC noted that the revenue covers only the federation revenue stream being managed by the Corporation.

However, the NNPC’s Spokesman, Kennie Obateru, in a statement said that the Corporation remains committed to its role and was doing everything possible to shore up revenues and support the Federation at all times.

He stated that the clarification became necessary in the light of media reports insinuating that the Corporation was in financial straits.

“The shortfall will be remedied by the Corporation as it relates only to the federation revenue stream being managed by NNPC and does not reflect the overall financial performance of the Corporation.

“The NNPC remains in positive financial trajectory for the period in question,” it stated.

The Corporation pledged to continue to pursue and observe its cost optimization process with a view to maximizing remittances to the Federation Account.

The Corporation however, assured that it would continue to meet its financial obligations to the Federation.

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