HOR : 7 Oil Companies To Remit $37m To Govt

The House of Representatives has secured commitments from seven oil and gas processing companies to remit a total of $37.43m to the Federation Account before August 2025.

This follows an ongoing investigation into financial records by the Nigerian Upstream Petroleum Regulatory Commission, which uncovered significant lapses in royalty payments and reconciliation processes within the oil and gas sector.

The pledged repayment is part of a N9tr outstanding liability flagged by the Auditor General for the Federation in his 2021 report submitted to the National Assembly.

These debts, some of which have been outstanding for over four years, highlight long-standing revenue leakages in the sector.

In a statement in Abuja, the House spokesperson, Akin Rotimi, reveals that the Public Accounts Committee also uncovered $1.7bn (N2.5tn) owed by 45 oil and gas companies in unpaid royalty payments as of December 31, 2024.

“The following seven companies have acknowledged their outstanding debts of $37.43m and have agreed to settle them before August 2025: Belema Oil, Panocean Oil Nigeria Ltd, Newcross Exploration and Production Ltd, and Dubri Oil Company Ltd. Others include Chorus Energy, Amni International, and Network Exploration.”

Additionally, the report noted that nine companies, with a combined outstanding balance of $429.2m, have contested their figures and requested a reconciliation process with NUPRC to verify their actual liabilities.

These companies include Aradel/Niger Delta, Chevron, STAR DEEP, Shoreline, and Seplat Producing Unlimited. Others are Esso Erha, Esso Usan, Eroton Exploration, and Seplat Energy.

Chairman of the PAC Committee Bamidele Salam, has directed that the reconciliation process be concluded within two weeks, after which companies must settle their confirmed debts without further delay.

Meanwhile, a total of 28 companies, collectively owing $1.23bn, have failed to honour the committee’s invitations or respond to public notices.

These companies include Addax Petroleum Exploration Nigeria Ltd, AITEO Group, All Grace Energy, Amalgamated Oil Company Nigeria Limited, and Total E&P Nigeria (OML 100, 102, 52, and 99). Others include Bilton Energy Limited, Enageed Resources Limited, Waltersmith Petroman Limited, Conoil Plc, Continental Oil & Gas Company Ltd, and Energia Limited.

The committee has granted these companies a one-week grace period to submit relevant documentation regarding their statutory obligations and appear before the committee.

“Failure to comply within this time frame will result in firm legislative and regulatory sanctions to enforce accountability and ensure compliance,” the committee warned.

The statement further notes that only two companies, Shell Petroleum Development Company and Shell Nigeria Exploration and Production, have fully complied with their royalty obligations to the government.

Oduyemi Odumade, Edited By Grace Namiji