Nnpc Records N14.3bn Business Loss In November

BEVERLY HILLS, December 31, (THEWILL) – The Nigerian National Petroleum Corporation, NNPC, has recorded a loss of N14.3 billion in the month of November 2015, according to figures published in its latest monthly report on operational and financial dealings.

The NNPC's operating revenue after subsidy for the months of October and November 2015 were N173.56 billion and N155.10 billion, respectively, accounting for the November loss.

This represents 56.72 percent and 50.68 percent, respectively, of the Corporation's monthly budget.

The report also shows that the Corporation incurred operating deficits of N12.22 billion and N14.29 billion in the months of October and November 2015, respectively, as against the monthly budgeted surplus of N38.91 billion.

It further stated that the country’s refineries in Warri, Port Harcourt and Kaduna operated at zero capacity utilisation in the month of November.

A further analysis of the report indicates that the 59.63 percent year-to-date (YTD) deficit of N255.278 billion is mainly accounted for by claimable pipeline repairs as well as a management cost of N95.37 billion and crude and product losses of N56.68 billion from the incessant vandalism of petroleum pipelines.

The company said its total export proceed of $402.55 million was recorded in November 2015, with proceeds from crude oil export sales amounting to $296.99 million or 73.78 percent of the dollar payment compared with 72.97 percent contribution in the previous month of October.

It continued that gas export sales and Nigeria Liquefied Natural Gas feedstock amounted to $105.53 million, which represents a 26.22 percent contribution compared with 18.97 percent contribution in the prior month of October.

“The remaining $0.03 million was attributable to other dollar denominated receipts by the corporation,” noted the NNPC report.

On the aspect of yearlong receipts from crude oil sales, a total of $607.8 million was paid by NNPC to the Federation Accounts and Allocation Committee (FAAC) from January to November 2015.

For naira payments to the government, the NNPC said the sum of N933.1 billion for domestic crude oil and gas sales was paid to FAAC from January to November 2015.

Similarly, operating expenditure for the same periods was N185.78 billion and N169.39 billion, respectively, representing 69.55 percent and 63.42 percent, respectively, of budget for the months.