30 December 2016, Sweetcrude, Abuja — The Nigerian National Petroleum Corporation, NNPC, through its subsidiary, the Pipeline and Products Marketing Company, PPMC, earned N1.059 trillion from the sales of Premium Motor Spirit, PMS, also known as petrol and Dual Purpose Kerosene, DPK, between November 2015 and October 2016, according to a report by the NNPC.
The NNPC, in its Monthly Financial and Operations Report for October 2016, also stated that a total of N1.129 trillion and N16.63 billion was earned by the PPMC from total white products sale and total special products sale respectively, in the 12-month period.
Specifically, the PPMC received N996.334 billion as sales revenue from PMS, representing 88.28 per cent of total white products, while revenue from DPK accounted for 5.63 per cent of total white products revenue with N63.56 billion.
In addition, the NNPC noted that N68.75 billion was recorded as sales revenue from Automotive Gasoline Oil, AGO; N8.266 billion from Low Pour Fuel Oil, LPFO and N8.37 billion from other special products.
Specifically, it said, “A total value of N111.52 billion was collected as sales revenue for white products sold by PPMC in the month of October 2016 compared with N96.06 billion collected in the prior month of September 2016.
“Total revenues generated from the sales of white products for the period November 2015 to October 2016 stands at N1.129 trillion where PMS contributed about 88.28 percent of the revenues collected with a value of N996.33 billion.”
In its analysis for October, the NNPC stated that export sale totalling $105.74 million was recorded in October 2016; $25.76 million lower than the preceding month’s performance, while crude oil export sales contributed $21.40 million, or 20.24 percent of the dollar transactions compared with $86.80 contribution in the previous month.
It also noted that export gas sales amounted to $84.34 million in the month, while 12 months crude oil and gas transactions indicated that crude oil and gas worth $2.769 billion was exported.
However, the NNPC disclosed that total export proceeds of $97.29 million were recorded in October 2016 as receipt against $115.57 million in September 2016.
According to the NNPC, the contribution from crude oil amounted to $18.90 million after adjusting for $2.50 million lifting deposit utilised earlier, while gas and other proceeds was $78.39 million.
“The total receipt of $97.29 million remitted to fund the Joint Venture (JV) cash call for the month of October 2016 to guarantee current and future production. The poor performance is attributable to attack and sabotage of oil facilities in the Niger Delta.
“At Forcados terminal alone about 300,000bopd were shut in since February 2016 following Force majeure declared by Shell Petroleum Development Company (SPDC). A number of crude oil liftings were deferred until the repair is completed. Other major terminal affected by the renewed spate of vandalism includes Bonny, Usan, Que Ibo terminals, and the recent attack on the Nembe Creek Trunk Line (NCTL).
“Total export crude Oil & Gas receipt for the period of November 2015 – October 2016 stood at $2.66Billion. Out of which the sum of $2.59Billion was transferred to JV Cash Call in line with 2015/2016 Approved Budget (See Table & Chart 6.3.1) and the balance of $0.073Billion was paid to Federation Account.
“However, this amount falls short of the calendarised appropriated amount of $615.80 million and $712.46 million for 2015 and 2016 respectively. This is due to worsening production and fall in crude oil price.”