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Oil Export Earnings Plunge By 98% In April –NNPC

Oil Export Earnings Plunges By 98% In April –NNPC

The Nigerian National Petroleum Corporation (NNPC) has recorded a reduction in crude oil export earnings in April as revenue plunged by 98 per cent compared to March.

The total earnings from crude oil exports in April fell to N723 million from the N35.72 billion generated in March, the NNPC said in a monthly report.

The corporation explained that it lifted 7.62 billion barrels of crude oil in March, compared to 10.79 billion in February, and exported 66.67 million barrels.

It said the country maintained its 1.52 million barrels per day production quota as agreed during the previous meeting of the Organization of the Petroleum Exporting Countries (OPEC).

NNPC said, “No remittance to Federation Account in April for May 2021 FAAC due to recorded value shortfall resulting from the difference between the landing cost and ex-coastal price of Premium Motor Spirit recorded in March 2021,” it said.

“Domestic gas receipts for the month amounted to N5.13 billion as oil and gas revenues totalled N156.37 billion, a reduction of 30.38 per cent from March revenues.

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“Feedstock valued at $54.6m was sold to the Nigeria LNG Limited during the period out of which $52.4m was received during the month, the difference being MCA obligations, gas reconciliation and credit notes,” the NNPC said.

According to the report, other receipts included $1.25million being miscellaneous receipts, gas and ullage fees and interest income was received in April 2021.”

It said N61.97bn was deducted out of the total March value shortfall of N111.97 billion to pay for Joint Venture cost recovery and sustain the existing production level, adding that the balance of N50billion will be deducted in subsequent months.

It added that the April value shortfall of N126.29bn will be deducted from May Federation proceeds during the June 2021 FAAC meeting.

About Author

Ife Ogunfuwa is an award-winning reporter who is versed in reporting business and economy, technology, gadgets reviews, telecoms, tax, and business policy review, among others. She loves telling stories behind the numbers. She has professional certifications in business and financial reporting. You can reach her via – [email protected]

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