Oil Debt : PAC Investigates Oil Companies

The House of Representatives Public Accounts Committee, PAC is investigating multiple oil companies, including Addax Petroleum Exploration Nigeria Ltd, AITEO Group, and Amni International Petroleum Development Company Limited, for failing to pay a combined $506.5 million in debts to the Federal government.

In a public announcement made through The Punch, The Nation and Daily Trust newspapers, the committee had summoned nine oil companies to appear before them to clarify their financial obligations.

However, only one company responded to the invitation, leaving the others absent without any explanation or submission.

The companies scheduled to appear before the committee included Addax Petroleum Exploration Nigeria Ltd, AITEO Group, All Grace Energy, Amalgamated Oil Company Nigeria Limited, Amni International Petroleum Development Company Limited, Belemaoil Producing Ltd, Bilton Energy Limited, Britannia-U, and Waltersmith Petroman Limited.

Additionally, the committee has also summoned the following companies to appear on Tuesday, March 4, 2025:

– Chevron Nigeria Ltd (OML 90, 95, 49)
– Chorus Energy
– Conoil Plc
– Continental Oil & Gas Company Ltd.
– Dubri Oil Company Limited
– Enageed Resources Limited
– Shell Nigeria Exploration and Production Company
– Energia Limited
– Eroton Exploration & Production Company Limited
– Dubri Oil Company Limited

According to the Chairman of the Investigation Sub-Committee, Isiaq Akinlade, the committee’s summons came at a critical time when the Nigerian government is grappling with a significant budget deficit, having just approved a budget of 54.9 trillion naira.

“The refusal of these oil companies to settle their debts raises concerns about the government’s ability to meet its fiscal targets and adequately fund critical national projects,” Akinlade said.

A representative from the Nigerian Upstream Petroleum Regulatory Commission, NUPRC, Mr. Balarabe Haruna presented the details of the companies’ outstanding debts to the Federation Account, which amounted to a substantial total of $506,565,187.96.

The breakdown of the outstanding debts is as follows:

Addax Petroleum Exploration Nigeria Ltd: $17,575,991.14
AITEO Group: $34,861,202.4,
All Grace Energy: $2,043,083.9 Amalgamated Oil Company Nigeria Limited: $228,512.74
Amni International Petroleum Development Company Limited: $434,948,763.41,
Belemaoil Producing Ltd: $1,703,617.68 Bilton Energy Limited: $5,044,514.57,
Britannia-U: $1,646,644.58.

The Public Accounts Committee has given the companies 72 hours to appear and provide justifications for their debts, warning that failure to comply may result in further action.

Oduyemi Odumade, Edited By Grace Namiji