NNPC operating revenue drops by N15.69bn in July

Nigerian National Petroleum Corporation (NNPC) says its Group operating revenue for the month of July 2019 declined by 3.03% at N502.49 billion, an indication of a decrease of N15.69 billion compared to the previous month’s performance.

NNPC in it’s July operational report, the Corporation noted that it remitted N1.33 trillion into various coffers from July 2018 to July 2019 in line with extant laws.

NNPC remitted N729.3billion in the federation account, while N602.30billion was paid into the Joint Ventures (JV).

According to the NNPC report, the corporation remitted separate N27.23billion to the federation account through the Federation Accounts Allocation Committee (FAAC) in the month under review.

But it indicated an improved trading surplus of ₦4.26billion compared to the ₦3.92 billion surpluses posted in June 2019.

The increase of 3.62% in the month, according to the report, was due largely to the enhanced surplus posted by NGC arising from half-year adjustments; coupled with increased surplus recorded by PPMC and reduced the deficit by the refineries as a result of no production.

ALSO READ: Experts proffer solutions to refinery issues in Nigeria

The dollar segment of the report said that the total export receipt of $390.33 million was recorded in July 2019 as against $312.93million in June 2019.

Contribution from Crude oil amounted to $250.35 million while Gas and miscellaneous receipts stood at $76.28 million and $63.71 million respectively.

The report, however, noted that “Of the export receipts, $93.26 million was remitted to the Federation Account while $297.07million was remitted to fund the JV cost recovery for the month of July 2019 to guarantee current and future production.

Total export crude oil & gas receipt for the period July 2018 to July 2019 stood at $5.88 Billion. Out of which the sum of $4.41 Billion was transferred to JV Cash Call as first line charge and the balance of $1.47 Billion was paid into Federation Account.”

The report said: “In July 2019, NNPC remitted the sum of N27.23billion to the Federation Accounts Allocation Committee (FAAC). From July 2018 to July 2019, Federation, and JV received the sum N729.31billion and N602.30billion respectively.”

Under the naira remittance section of the report, the NNPC explained that federation crude oil and gas lifting were broadly classified into equity export and domestic.

According to the report, both categories were lifted and marketed by NNPC and the proceeds remitted into the federation account.

It added that equity export receipts, after adjusting for Joint Venture (JV) cash calls, were paid directly into federation account domiciled in the Central Bank of Nigeria (CBN).

The report noted that domestic crude of 445,000bopd was allocated for refining to meet local demand.