NNPC Increases Revenue by 35.6% to N578.79bn

By Adedapo Adesanya

The Nigerian National Petroleum Corporation (NNPC) recorded a 35.6 per cent or N152.07 billion increase in its revenue as it raked N578.79 billion against N425.74 billion it recorded in January.

The state oil corporation said this in its monthly report for February 2021 as it recorded an expenditure of N538.94 billion, signifying an increase of 29.2 per cent or N121.83 billion from N416.44 billion in January.

This implies that its February expenditure as a proportion of revenue was 0.93 per cent as against 0.98 per cent recorded in January.

The February report represents a trading surplus of N39.85 billion compared to the N9.62 billion surplus in January 2021.

NNPC revealed that the gains were mainly due to reconciled accounts by its subsidiary, the Pipelines and Products Marketing Company, PPMC, using the Petroleum Products Pricing Regulatory Agency, PPPRA’s, pricing template.

Likewise, it said Duke Oil, the Nigerian Gas Company, NGC, and the Nigerian Gas Marketing Company, NGMC, had recorded noticeable robust gains attributed to increased debt collection and cost optimisation measures.

In February, the total export sale decreased from $87.98 million recorded in January to $83.24 million.

The corporation had said its export revenue declined by 45.9 per cent to $2.62 billion in 2020.

The total revenue generated from crude oil and gas exports fell from $4.84 billion in 2019 to $2.62 billion in 2020. This is a decline of 45.87 per cent year-on-year.

To boost its transparency, the corporation had reduced its administrative costs by 22 per cent between 2018 and 2019.

In its first-ever published audited financial statement (2019), the corporation presented key information on its financial health- reduced loss by 99.7 per cent – from N803 billion in 2018 to N1.7 billion in 2019 – thanks to a significant increase in profits from its subsidiaries between 2018 and 2019.

Other highlights in the 2019 report include a nearly 15,000 per cent increase (N23 billion profit in 2019) by the Integrated Data Sciences Limited (IDSL), 167 per cent increase (N478 billion profit in 2019) by the Nigerian Petroleum Development Company (NPDC), 124 per cent increase (N2.83 trillion profit in 2019) by the National Petroleum Investment Management Service (NAPIMS), 52 per cent increase (N14.2 billion profit in 2019) by Petroleum Products Marketing Company (PPMC), and a 15 per cent increase (N10 billion profit in 2019) by the Nigerian Gas Marketing Company (NGMC).