NNPC: N2.68bn trading surplus recorded in May

The Nigerian National Petroleum Corporation (NNPC) says it recorded N2.68 billion trading surplus in May 2020 against N30.81 billion deficit recorded in April.

Kennie Obateru, general manager, public affairs division, NNPC, disclosed this in a statement on Wednesday.

Obateru explained that details of the report is contained in the corporation’s May 2020 version of its monthly financial and operations report (MFOR).

“The May 2020 report indicated a trading surplus of N2.68billion compared to the N30.81billion deficit posted in April 2020 when the effect of COVID-19 was at the peak, leading to reduced demand with fluctuating prices,” the statement read.

“While the Nigerian Petroleum Development Company (NPDC) posted a surplus due to substantial growth in the market fundamentals as demand began a slight recovery, the Nigerian Gas Marketing Company (NGMC) recorded 257 percent increased profit attributed to improved debt collection.

“Similarly, the Petroleum Products Marketing Company (PPMC) surplus rose 250 percent from investment dividend received and significant drop in average product landing cost.”

According to the statement, 950.67 million litres of white products were sold and distributed by the PPMC in May 2020, which comprised mainly of premium motor spirit (PMS), also known as petrol.

“Total sale of white products for the period May 2019 to May 2020 stood at 19,865.80 million litres and PMS accounted for 19,704.49 million litres or 99.19 per cent,” it read.

The report also noted that N92.58 billion was made on the sale of white products by PPMC in May 2020, while “total revenue generated from the sales of white products for the period May 2019 to May 2020 stood at N2,393.88 billion, where PMS contributed about 98.84 per cent of the total sales with a value of N2,366.15 billion.”

It further disclosed that NNPC’s operating revenue in May increased by 15.33 percent at N238.33 billion compared to April’s N31.68 billion.

The statement added that 36 pipeline points were vandalised, representing about 43 percent decrease from the 65 points recorded in April 2020.