The Nigerian National Petroleum Company Limited (NNPCL) has announced a revenue generation of N4.5 trillion for the federation as of October 2023. This was disclosed by the Group Chief Executive Officer, Mr Mele Kyari, during an interactive session with the Senate Committee on Finance in Abuja on Wednesday.
Mr Kyari expressed optimism about the future, stating that the reforms introduced by the Petroleum Industry Act (PIA) have elevated the company to a level comparable to its global counterparts in the oil sector.
He stated, “The NNPC Limited that is a creation of the National Assembly, requires that we conduct business transparently and provitably in line with provisions of the law.
He further highlighted the company's commitment to creating value for shareholders, avoiding losses, and continuing to add value and pay dividends to shareholders.
He proudly informed the Chairman and Distinguished Senators, “I’m glad to inform you Mr Chairman and Distinguished Senators, that as at October, we are able to deliver N4.5 trillion into the federation account as a company to this country in 2023.
Mr Kyari also pointed out that every national oil company has a trading company, and the NNPC Ltd is no exception. He noted that the company's trading arm, which had been underperforming, is now delivering on its mandate thanks to the PIA reforms.
He said, “Currently, NNPC Ltd is delivering on its mandate through the PIA reforms that has brought us to be at par with our peers, across the globe, and not to lose money anymore.”
Mr Kyari mentioned that the company, like most National Oil Companies in Africa, has been expanding its business. He predicted that the sector would become more investment-driven once the wide margins in exchange rates and import and export windows are narrowed.
He explained, “There is always a parallel market in every country. There is also an import and export window in every country, even in the developed world.
He concluded by expressing his confidence that by the end of the first quarter of next year, these margins will narrow, stability will be achieved, and more players will enter the market.