The House of Representatives confirms that seven oil and gas companies in Nigeria have agreed to pay a total of $37.4 million (approximately N58 billion) into the Federation Account before August 2025. This follows an ongoing investigation into outstanding financial obligations in the industry.
Rep. Akin Rotimi Jr., the House Spokesperson, states that this commitment is part of an inquiry led by the Public Accounts Committee, which is reviewing financial records of oil companies flagged in the Auditor-General’s 2021 report. The investigation uncovers major lapses in royalty payments, concession rentals, gas flare penalties, and other obligations under Production Sharing Contracts and Modified Carry Arrangements.
The House earlier summoned 48 oil companies over a total outstanding debt of N9.4 trillion. Some of the major companies involved include Shell Nigeria Exploration and Production Company, Chevron Nigeria Ltd, Total E&P Nigeria, Seplat Energy, Oando Oil Ltd, and Mobil Producing Nigeria Unlimited.
Belema Oil, Pan Ocean Oil Nigeria Ltd, Newcross Exploration & Production Ltd, Dubri Oil Company Ltd, Chorus Energy, Amni International, and Network Exploration have acknowledged their debts and pledge to clear them before August.
Beyond these seven firms, the investigation reveals that 45 additional oil companies owe a combined $1.7 billion (N2.5 trillion) in unpaid royalties as of December 31, 2024.
The House discloses that nine companies, owing a total of $429.2 million, dispute the amounts attributed to them and request a reconciliation process with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). These firms include Aradel/Niger Delta, Chevron, STAR DEEP, Shoreline, Seplat Producing Unlimited, Esso Erha, Esso Usan, Eroton Exploration, and Seplat Energy. Lawmakers direct that this reconciliation must be completed within two weeks, after which confirmed debts must be paid immediately.
Meanwhile, 28 companies, with a total outstanding debt of $1.23 billion, have failed to appear before the committee or respond to public notices. These include Addax Petroleum Exploration, AITEO Group, Conoil Plc, Total E&P Nigeria (OML 100, 102, 52 & 99), Waltersmith Petroman, Neconde Energy, NPDC (OML 60, 61 & 63), Oando Oil Ltd, Heirs Holdings, and Oriental Energy Resources, among others.
The House grants these defaulting firms an additional one-week deadline to submit relevant documents and appear before the panel. Lawmakers warn that failure to comply will result in strict legislative and regulatory actions.
Among all the investigated companies, only Shell Petroleum Development Company (SPDC) and Shell Nigeria Exploration & Production have fully met their royalty obligations.
The Public Accounts Committee vows to recover outstanding revenues and close financial loopholes in the oil and gas industry. Lawmakers emphasize that all companies benefiting from Nigeria’s natural resources must fulfill their financial obligations in line with the Petroleum Industry Act (PIA) to support national development.
 into the Federation Account before August 2025. This follows an ongoing investigation into outstanding financial obligations in the industry.){kind=link}