FG Rakes in $742bn Oil Revenue in 21 years – NEITI

FG Rakes in $742bn in Oil Revenue in 21 Years—NEITI

The Nigeria Extractive Industries Transparency Initiative says Nigeria earned $741.5 billion and N635.3 billion from the oil/gas and solid minerals sectors, respectively, between 1999 and 2020, a period of about 21 years.

NEITI’s Executive Secretary, Ogbonnaya Orji, announced this at a stakeholders’ roundtable organised by the agency on Wednesday in Abuja for the review and approval of NEITI 2021 Audit Reports for the oil, gas, and solid minerals sectors.

The latest audit reports were submitted to the agency by the independent administrators, Messrs. Taju Audu & Co. and Amedu Onekpe & Co.

In his address at the event, Orji said, “So far, NEIT! has conducted a total of 13 cycles of reconciliatory reports in the oil and gas sector and 11 cycles of reports in the solid minerals sector. These reports have disclosed total revenue earnings to the government of $741.48 billion from the oil and gas sector and N635.3 billion from the solid minerals sector.

“These earnings were between the years 1999–2020 (oil and gas) and 2006–2020 (solid minerals sector earnings). In addition, NEITI reports have disclosed that Nigeria lost over 619.7 million barrels of crude oil valued at $46.16 billion, or N16.25 trillion, from 2009 to 2020 from theft and sabotage.

“This amounts to losing over 140,000 barrels of crude valued at $10.7 million daily. Furthermore, NEITI has reported on subsidy payments from the years 2005 to 2021 and its huge negative consequences to the nation.”

Orji stated that in these reports, it was revealed that Nigeria had spent $74.39bn, “which translates to N13.7tn. By the above figures, Nigeria spent an average of N805.7bn annually, N67.1bn monthly or N2.2bn daily.”

Commenting on the 2021 NEITI Industry Reports for the oil, gas, and mining industries, Orji said they covered a total of 69 companies and 12 government agencies, with one state-owned enterprise for the oil and gas report.

He said a total of 1,214 companies and three government agencies were covered in the report on the solid minerals sector.

Orjis said, “The objectives of the reports were to establish the quantities of minerals produced and utilised in the country. The reports also sought to establish the revenue paid by oil, gas, and mining companies and how much of such revenues were actually received into government coffers.

“Other areas of focus by NEITI are to identify investments made by the Federation or the Federal Government in the oil, gas, and mining industries, track subsidy payments, company remittances, and liabilities.”

 

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