NNPC spent N18bn on refinery rehab in first quarter

The Nigerian National Petroleum Corporation (NNPC) said it spent N18.22 billion on refinery rehabilitation between January and March 2022.

In its presentation to the Federation Account Allocation Committee (FAAC) for April 2022, the NNPC stated that the amount was deducted from its revenue for the period, which among other expenditures, ensured that it did not make any allocation to the federation account between January and March.

The NNPC noted that N9.11 billion was expended on the refineries in January 2022, while another N9.11 billion was spent in March.

The NNPC added that N11.667 billion was spent on pre-export financing in the first quarter of 2022, comprising N5.833 billion in January and the same amount in March.

Pipeline security and maintenance cost gulped N4.037 billion of the NNPC’s finance over the first three months of the year, with N1.056 billion, N0.368 billion and N2.613 billion spent in January, February and March, respectively.

The NNPC further stated that in the month under review, it spent a total of N5.07 billion on frontier exploration services, involved in the search of hydrocarbon in the northern part of the country and other inland basins, spending N3.884 billion in January and N1.185 billion in March.

The Nigeria-Morocco gas pipeline project, according to the NNPC’s presentation, gulped N1.504 billion of its finance, with N0.752 million spent in January and March, respectively.

The NNPC disclosed that it spent N675.937 billion in three months on under-recovery, another name for fuel subsidy, stating that in January 2022, it spent N210.382 billion; while in February and March 2022, it spent N219.78 billion and N245.77 billion, respectively, on subsidy for petrol.

The corporation added that it spent N3.524 billion on the National Domestic Gas Development project, with N2.28 billion spent in January 2022, while in March, it spent N1.243 billion.

Gas infrastructure development projects, according to the NNPC, slashed N2.528 billion from its finances in January 2022 and N1.074 billion in March, leading to a cumulative deduction of N3.602 billion in the first quarter of 2022.

The NNPC noted that it earned $88.93 million from the export of crude oil in March 2022, while it earned $32.04 million from gas export and N259.54 billion from the domestic sale of crude oil and gas in the same month.

In relation to the Nigeria Liquefied Natural Gas (NLNG), the NNPC said: “Feedstock gas receipt was $143.69 million. This includes receipts of $54.72 million and $21.29 million, which were expected in the previous month but slipped into the current month. Other related NLNG receipt was $7.67 million.”