NNPC makes over $219mn in one month from crude oil and gas sales

By YANGE IKYAA

The Nigerian National Petroleum Corporation (NNPC) has recorded total crude oil and gas export sales of $219.75 million in May 2021, representing 180.29% increase on sales from the previous month of April 2021.

This figure is representative of the May 2021 edition of the NNPC Monthly Financial and Operations Report (MFOR) posted on the corporation’s website. It was also confirmed Monday by a press release from Mr. Garba Deen Muhammad, who is the group general manager, group public affairs division of NNPC.

According to the report, crude oil export sales contributed $181.19m (82.45%) of the dollar transactions, as compared with $4.22 million contribution in the previous month, while the export gas sales component stood at $38.56million in May 2021. The report also showed that between May 2020 and May 2021, NNPC exported crude oil and gas worth $1.64 billion.

In the gas sector, the report showed that natural gas production in the month under review increased by 6.19% at 222.23 billion cubic feet (bcf), as compared with output in the previous month, translating to an average production of 7,177.53 million standard cubic feet (mmscf) of gas per day.

For the period May 2020 to May 2021, a total of 2,898.34bcf of gas was produced, representing an average daily production of 7,322.94mmscf during this duration, while period-to-date production from Joint Ventures (JVs), Production Sharing Contracts (PSCs) and Nigerian Petroleum Development Company (NPDC) contributed about 60.94%, 20.04% and 18.99% respectively.

Out of the 216.29bcf of gas produced in May 2021, a total of 133.56bcf was commercialized, consisting of 44.02bcf and 89.54bcf for the domestic and export markets respectively.
This translates to a total supply of 1,419.83mmscfd of gas to the domestic market and 2,893.66mmscfd to the export market for the month, implying that 61.75% of the average daily gas produced was commercialized, while the balance of 38.25% was either re-injected, used as upstream fuel or flared.

In the downstream sector, the report indicates that the Petroleum Products Marketing Company (PPMC), a downstream subsidiary of NNPC, posted a total sum of ₦295.72 billion from the sale of petroleum products in the month of May 2021, as compared to ₦220.13 billion of sales in April 2021.

Furthermore, total revenues generated from the sale of petroleum products for the period of May 2020 to May 2021 stood at ₦2.345 trillion, where premium motor spirit (PMS) contributed about 99.61% of the total sales with a value of ₦2.336 trillion.
In terms of volume, the figure translate to a total of 2.241 billion litres of white products sold and distributed by PPMC in the month of May 2021 compared with 1.673 billion litres in the month of April 2021.

Total sales of petroleum products for the period from May 2020 to May 2021 stood at 18.651 billion litres, and PMS accounted for 99.69% of the total volume.

On infrastructure breach in May 2021, 64 pipeline points were vandalized, representing 39.13% increase from the 46 points recorded in April 2021. The Port Harcourt area accounted for 65% and Mosimi and Kaduna Areas accounted for 30% and 5% respectively of the vandalized points.

However, in collaboration with local communities and other stakeholders, NNPC continuously strives to reduce or eliminate this menace.