President Muhammadu Buhari, who doubles as Minister of Petroleum Resources, has announced a Profit after Tax of N287 billion by the Nigerian National Petroleum Corporation (NNPC) in 2020.
The president made the declaration in a statement by his Special Adviser on Media and Publicity, Femi Adesina, on Thursday in Abuja.
Mr Buhari said the declaration was in fulfillment of an earlier pledge by the federal government to publicly announce the financial position of the NNPC.
He noted that the net profit was the first in the 44-year history of the establishment.
“I am pleased to announce the declaration of Profit after Tax of Two Hundred and Eighty-Seven Billion Naira (N287 billion) in Year 2020 by the Nigerian National Petroleum Corporation.
“This is sequel to the completion of the statutory Annual Audit exercise for Year 2020.
“The NNPC losses were reduced from N803 billion in year 2018 to N1.7 billion in year 2019 and the eventual declaration of Net Profit in year 2020 for the first time in its 44-year history.
“This development is consistent with this administration’s commitment to ensuring prudent management of resources and maximization of value for the Nigerian people from their natural resources.
“I have further directed the Nigerian National Petroleum Corporation to timely publish the Audited Financial statements in line with the requirements of the law and as follow up to our commitment to ensuring transparency and accountability by public institutions.
“I congratulate the Board, Management and Staff of the Corporation and look forward to greater value creation for the Nigerian people,” he said.
The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, had on Wednesday said Mr Buhari would announce the audited financial statements of the Corporation for 2019 and 2020.
The GMD disclosed this to the House of Representatives Committee on Finance at the ongoing interactive session on the 2022-2024 Medium Term Expenditure Framework on Wednesday in Abuja.
He hinted that the audited report will be good news to Nigerians, a statement that elicited applause from the members of the committee.
“Mr Chairman, this is not the good time to make this announcement. Mr President will make the announcement himself. I can confirm to you that we have the audited financial statement not just for 2019 but we have for 2020. It will be good news,” Mr Kyari said.
The state-owned oil company has a record of not releasing its statements of account, until last year when it released its first audited financial reports in 43 years.
The companies covered in last year’s reports published on the corporation’s website included the Nigerian Petroleum Development Company (NPDC), Warri Refining & Petrochemical Company Limited (WRPC), Port Harcourt Refining Company Limited (PHRC), Kaduna Refining & Petrochemical Company (KRPC), Integrated Data Services Limited (IDSL), Nigerian Products and Marketing Company Limited (NPMC), Nigerian Pipelines and Storage Company (NPSC).
The others include the National Engineering & Technical Company Limited (NETCO), Nigerian Gas and Marketing Company Limited (NGMC), Duke Oil Services (UK) Limited, Duke Global Energy Investment Limited, Duke Oil Incorporated, NNPC Retail Limited, National Petroleum Investments Management Services (NAPIMS), The Wheel Insurance, NIDAS Shipping Services, NIDAS UK Agency, and NIDAS Marine.
All the refineries posted losses while only the Nigerian Petroleum Development Company (NPDC) posted profit, according to the report.