The House of Representatives has announced that seven oil firms have committed to clearing their $37.4 million debt to the Federation Account before August 2025.
In a statement yesterday, the House spokesperson, Akin Rotimi, revealed that the companies made this commitment amid an ongoing investigation by the Public Accounts Committee (PAC).
“This agreement follows a detailed review of financial records from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), which uncovered significant irregularities in royalty payments and reconciliation processes within the sector,” Rotimi stated.
He noted that the pledged repayments are part of a N9 trillion outstanding liability flagged in the Auditor General’s 2021 report submitted to the National Assembly.
“The accumulated debts, some spanning over four years, point to deep-rooted revenue leakages in the oil and gas industry,” he added.
READ ALSO: Reps launches probe into NGOs over terrorism funding allegations
Beyond the seven firms that have agreed to settle their debts, the Committee’s findings indicate that 45 oil and gas companies owe a combined $1.7 billion (N2.5 trillion) in unpaid royalties as of December 31, 2024.
The following companies have acknowledged their debts and assured the House that payments will be completed by August 2025: Belema Oil, Panocean Oil Nigeria Ltd, Newcross Exploration & Production Ltd, Dubri Oil Company Ltd, Chorus Energy, Amni International and Network Exploration.
Rotimi also disclosed that nine companies, collectively owing $429.2 million, have disputed their outstanding balances.
They have requested a reconciliation process with NUPRC to verify their actual liabilities.
These firms include: Aradel/Niger Delta, Chevron, STAR DEEP, Shore Line, Seplat Producing Unlimited, Esso Erha, Esso Usan, Eroton Exploration and Seplat Energy.
The Committee has instructed that the reconciliation process be completed within two weeks, after which the firms must settle their verified debts without further delay.
Meanwhile, 28 companies, with a combined debt of $1.23 billion, have failed to respond to public notices or appear before the Committee.
These include: Addax Petroleum Exploration Nigeria Ltd, AITEO Group, All Grace Energy, Amalgamated Oil Company Nigeria Limited, Total E&P Nigeria (OML 100, 102, 52 & 99), Bilton Energy Limited, Enageed Resources Limited, Waltersmith Petroman Limited, Conoil Plc and Continental Oil & Gas Company Ltd.
Others are, Energia Limited, First E&P Ltd, Frontier Oil Limited, General Hydrocarbons Limited, Green Energy International Ltd, Nigeria Agip Exploration Ltd (NAE), Neconde Energy Limited, Nigeria Petroleum Development Company (NPDC) – OML 60, 61 & 63, Lekoil Oil and Gas Investments Limited, and Midwestern Oil and Gas Limited.
READ ALSO: Mutfwang: Plateau poised to lead Nigeria’s livestock development
Millennium Oil and Gas Company Limited, Oando Oil Ltd (OML 60, 61 & 62), Heirs Holding, Pillar Oil Limited, Platform Petroleum Limited, Universal Energy Limited / Sinpec, Sahara Field Production Limited and Oriental Energy Resources Limited are other companies.
The Committee granted these companies an additional one-week grace period to provide relevant documentation regarding their statutory obligations and appear before the panel.
“Failure to comply within this timeframe will attract firm legislative and regulatory sanctions aimed at enforcing accountability,” Rotimi warned.
The House of Representatives also confirmed that only two oil firms have fully met their royalty obligations: Shell Petroleum Development Company (SPDC) and Shell Nigeria Exploration & Production
The legislative body reaffirmed its commitment to ensuring transparency and enforcing compliance across the oil and gas sector.
