NNPC Tower maintenance, others gulp N27.86bn
*Subsidiary mulls deeper exploration in OML 49
Expenditure, including maintenance, on headquarters of Nigerian National Petroleum Corporation (NNPC) gulped N27.868 billion in two months.
The headquarters, New Telegraph gathered at the weekend, generated N453 million in returns September and October 2019 expenditure.
A breakdown of the expenditure in a document obtained by this newspaper showed that the corporation suffered N13.387 billion deficit on the headquarters in September with N13.762 billion expenditure and N375 million revenue from the asset.
In October, the NNPC made N78 million but spent N14.106 billion on the headquarters, worsening its deficit figures from the installations to N14.028 billion.
Confirming these figures, the corporation showed in its financial report that the operations from its upstream subsidiary, the Nigeria Petroleum Development Company (NPDC), neutralised this loss and placed it on a surplus trade during the two months.
Latest data from the Petroleum Products Pricing Regulatory Agency (PPPRA) also showed that importation of Premium Motor Spirit (PMS) also known as petrol gulped a whooping N3.0037 trillion in 2019.
The PPPRA noted that the NNPC bore 99.61 per cent of the total cost of petrol importation during the year.
A breakdown of the import figures, the report made available to newsmen by the Executive Secretary of the agency, Abdulkadir Saidu, in Abuja, read, showed that the NNPC was responsible for 99.61 per cent of the total 19,175,737,226 litres of petrol that was imported while Major Oil Marketers of Nigeria (MOMAN) imported 0.39 per cent in 2019.
On the other hand, only 166,332,185 litres of PMS was produced locally in the same year.
The landing cost averaged N156.64 per litre in the year using N180 per litre highest landing cost and N133.2 per litre lowest landing cost in the year.
With the N156.64 per litre average landing cost and the 19,175,737,226 litres imported into the country, a whooping N3.0037 trillion was spent as the total cost on petrol importation during the year.
The report also shows that 18,623,992,092 litres of petrol was supplied into Nigeria between January and November, 2019.
Saidu, in the report, said that 1,612 vessels laden with different petroleum products docked in Nigerian waters in 2019.
The report indicated that other petroleum products imported into the country as AGO (diesel) 4,586,878,439 litres, HHK (kerosene) 128,110,313 litres; ATK (aviation fuel) 951,769 084 litres.
The PPPRA’s executive secretary reiterated that the agency would continue to ensure transparency in the oil and gas value chain by making available reliable data to strategic government agencies such as Nigeria Extractive Industry Transparency Initiative (NEITI), the Central bank of Nigeria (CBN) and the National Bureau of Statistics (NBS) for adequate planning and decision making in the country.
The agency, he said, would also continue to collaborate with the NNPC and other oil marketing companies towards improving the regulatory environment as well as ensuring uninterrupted products availability.
Meanwhile, the NPDC is set for deep exploration beneath the Oghareki and Okwefe fields, according to upstream.
The NPDC in a recent tender indicated that it had a requirement for the provision of an Oghareki/Okwefe deep prospect study in the NPDC-Chevron Joint Venture (JV) Oil Mining Lease (OML) 49 asset and was seeking reputable and competent companies for the provision of the service.
The scope of work, a tender document sighted by this newspaper showed, required for the provision of the Oghareki/Okwefe deep prospect study “includes but is not limited to the provision of the following, data gathering/validation/project set-up, regional sequence stratigraphic correlation/ seismic sequence stratigraphic analyses and depositional environment studies, and petrophysical delineation of target horizons and well data analysis.
Others are seismic attribute/AVO analysis for hydrocarbon detection, lithology identification and fluid content in the deeper section of the field, velocity modelling and time-depth conversion using appropriate velocity model, structural and stratigraphic prospect generation & lead inventory, and volumetric & reserves calculation and feasibility studies.
“The list also includes risk assessment/ranking (deliverables). Economic evaluation/analysis of development scenarios,” the document read.
