NEITI: Nigeria earned $418.54bn oil revenue in 10 years

Nigeria earned a total of $418.54 billion revenue from the oil and gas sector between 2010 and 2019.

This is according to the 2019 oil and gas industry audit report released by the Nigeria Extractive Industries Transparency Initiative (NEITI) in Abuja, on Thursday.

In a statement, Obiageli Onuorah, NEITI’s head of communication and advocacy, said the highest revenue flow of $68.442 billion was recorded in 2011, while the lowest revenue flow of $17.055 billion was recorded in 2016.

The report noted that Nigeria earned a total sum of $34.22 billion from the oil and gas sector in 2019, representing an increase of 4.88 percent compared to the $32.63 billion revenue recorded in 2018.

Total crude oil production in 2019 was 735.244 million barrels, indicating an increase of 4.87 percent over the 701.101mmbbls recorded in 2018.

For the earnings in 2019, the report said $18.90 billion was paid by companies while flows from the federation sales of crude oil and gas accounted for $15.32 billion.

A sum of N518.074 billion was also said to have been spent by the federal government through the Nigerian National Petroleum Corporation (NNPC) in 2019.

“Production sharing contracts, PSCs, contributed the highest volumes of 312.042mmbbls followed by Joint Venture, JV, and Sole Risk, SR, which recorded 310,284mmbbls and 89.824mmbbls respectively. Others are Marginal Fields, MFs, and Service Contracts, SCs, which accounted for 21,762mmbbls and 1,330mmbbls respectively,” the report reads.

NEITI said the value of the 2019 domestic crude oil earnings was N2.722 trillion out of which N518.074 billion was deducted for petroleum motor spirit (PMS), also known as petrol, under-recovery by the NNPC.

“This figure was N213.074billon above the approved sum of N305 billion for under-recovery in 2019. Similarly, the sum of N126.664 billion was incurred by the Corporation as costs for pipeline repairs and maintenances which showed a difference of N96.378 billion from the approved sum of N30.287 billion for that purpose.”

The report also provided that N31.844 billion was deducted for crude and product losses due to theft and sabotage in 2019.

It showed that on gas production, 3,047,507.32 mmscf was produced in 2019, representing an increase of 4.8 percent compared to the 2,909,143.56 mmscf recorded in 2018.

It added that $247.794 million was realized from gas sales for the year under review.

“Total Premium Motor Spirit, PMS, imported in 2019 was 20.603 billion litres. 330,362,020 litres of the PMS valued at N44.03 billion ($143.694million using N306.42/USD) was lost to vandalism and leaks of the product pipelines across the country,” the report added.