NNPC remittance to federation accounts falls 26% in May
The amount remitted to the federation accounts by the country’s state-owned oil company, the Nigerian National Petroleum Corporation (NNPC) in May fell 26.17 percent to N161.8 billion from N219.16 billion remitted in April, the corporate said in a report on Monday.
The amount remitted by the corporation, however, was higher than the N147.15 billion remitted in March by N14.25 billion and also higher than the N148.53 billion remitted in February by N13.27 billion.
The corporation said it earned about $4.47 billion through the exports of oil and gas in May, out of which it remitted the amount while deducting its operational costs.
The corporation earned about $174.80 million from oil exports in the month, a 10.73 percent drop compared to the amount generated in April.
NNPC said crude oil export sales contributed $120.50 million (68.94 percent) of its dollar transactions compared to $148.86 million contributions in the previous month.
“Export gas sales amounted to $54.29 million in the month. May 2019 to May 2020 crude oil and gas transactions indicated that crude oil and gas worth $4.47 billion was exported.
“As for dollar payments to JV cost recovery and FAAC, the total export receipts of $133.16 million were recorded in May 2020 as against $193.05 million in April 2020” the corporation noted.
It added that contribution from crude oil amounted to $105.08 million while gas and miscellaneous receipts stood at $8.71 million and $19.7 million respectively.
From the revenue generated, the corporation stated that in dollar terms of the export receipts, $20.20 million was remitted to the Federation Account while $112.96 was remitted to fund the JV cost recovery for May 2020 to guarantee current and future productions.
“Total export crude oil receipts from the period May 2019 to May 2020 stood at $4.77 billion out of which the sum of $3.18 billion was transferred to JV cash call as first line charge and the balance $1.59 billion was paid into the Federation Account.
“In May 2020, NNPC remitted the sum of N161.89 billion to FAAC. From May 2019 to May 2020, total NNPC remittance to FAAC is N1,834.13, out of which federation and JV with government priority projects received the sum of N857.39 billion and N976.75 billion respectively” the corporation said.
Based on its Direct sales Direct Purchase (DSDP) arrangement, in terms of petroleum product supply, the national oil company stressed that in May 2020, 495.10 million litres of petrol were supplied into the country through the DSDP arrangement as against the 1,812.81 million litres of PMS supplied in April.