*Posts N3.3tn Net Profit, Declares N2.1tn Dividend

By GODWIN IJEDIOGOR

THE Nigeria National Petroleum Company Limited (NNPCL) has dismissed reports claiming the return of fuel subsidy payment, saying the company was only taking care of PMS importation shortfall between it and the Federation.

While releasing its Audited Financial Statement (AFS) for last year, declaring a net profit of N3.297trillion at the close of the financial year, which ended in December last year, indicating an increase of over N70 billion (28 per cent) when compared to the 2022 profit of N2.548trillion.

At a press conference held at the NNPC Towers in Abuja on Monday, August 19, the Chief Financial Officer of the company, Mr. Umar Ajiya, said the release of the AFS was a testament to NNPCL’s commitment to transparency and accountability.

He stated: “Our fiscal performance reflects both strategic foresight and operational resilience. Despite inherent challenges of our operational and economic environment, we have improved the productivity and the financial performance of this great company.” 

Ajiya said posting such impressive returns demonstrates NNPCL’s commitment to sustaining profitability and supporting the attainment of national energy security, as stipulated by the Petroleum Industry Act (PIA) 2021, and by extension, as expected by the company’s shareholders.

According to a statement by the Chief Corporate Communications Officer, Mr. Olufemi Soneye, the company would announce its Initial Public offer (IPO) once the shareholders and Board make a decision on it.

Speaking earlier, Chairman of the NNPCL Board, Chief Pius Akinyelure, said the performance came as the fruit of the PIA 2021 and the commitment of the Board, Management and staff of the company, adding that the shareholders have since approved a final dividend of N2.1trillion, in line with PIA 2021 provisions.

In her remarks, Executive Vice President (Upstream), Mrs. Oritsemeyiwa Eyesan, said with improvements witnessed as a result of the renewed vigour in the war against crude oil theft and pipeline vandalism, NNPCL was targeting two million barrels per day crude oil production by the end of the year.

On the current fuel queues in parts of Lagos and the Federal Capital Territory (FCT), Executive Vice President (Downstream), Mr. Dapo Segun, appealled for understanding from Nigerians, assuring that the company was working with relevant stakeholders to address the distribution, evacuation and logistics challenges.

NNPCL, for the first time, declared profit in its operations in 2021, from a loss of N803billion in 2018. The N3.297trillion profit declared for 2023 is the highest since its inception 46 years ago.