The Nigerian National Petroleum Corporation is in financial dire straits and may be indebted to the tune of over N600bn, a top Presidency official disclosed on Wednesday.The official, who spoke with one of our correspondents in Abuja on the condition of anonymity, said NNPC incurred the debts mostly through shady payments for subsidies on petroleum products and the repair of its vandalised pipelines.

According to him, N400bn out of the amount was spent on petroleum subsidy and the balance of N200bn either siphoned through spurious contracts, theft or for the payment of vandalised pipelines.

He said, “It is unfortunate that NNPC is being run like a charity organisation. There is nowhere in the world where money is spent on subsidy in such a way. Infact, there is no accountability there.

“People just share money and pay for services not rendered. As I speak with you now, the corporation is still paying for vandalised pipelines even though they don’t have products transported through such pipelines. It is very sad that people can just spend public funds the way they like.

“There is nowhere in the world where you produce a product for N100 and sell it for N60 and you expect to remain in business.

“In not too distant a time, your business will fold up and that is exactly what has been happening in the NNPC with the subsidy issue.

“In fact, NNPC is bankrupt.”

dem don finally chop nnpc finish. It is the most corrupt entity in nigeria worse than the Nigerian police.

Source Pls??
Can you just imagine? not that it comes as a surprise!!!

This is one of the reason why everybody wants to study Oil and Gas-They all want to chop that oil money Even ppl that did studied biology in University will tell u they want to do Msc Oil and Gas

I have been to that place for business and personal experience tells me the rot in NNPC knows no bounds in fact in stinks.

http://www.businessdayonline.com/index.php?option=com_content&view=article&id=4202:nnpc-broke-owes-n600bn&catid=85:national&Itemid=266

WoW!!!

just, wow,


Why are they still stalling the sale of this entity?

tboy1:

Source Pls??
Can you just imagine? not that it comes as a surprise!!!

This is one of the reason why everybody wants to study Oil and Gas-They all want to chop that oil money Even ppl that did studied biology in University will tell u they want to do Msc Oil and Gas

lol,

@post
I knew this day was coming, !

naija na just comic.

I hope the government doesn't bail them out. Instead let them completely collapse and let foreign private investors pick up the pieces.

Rememeber the last time there was speculation about privatizing this giant-good-for-nothing-government-monopoly? Some people cried national honour, national pride, and vowed to resist with the last drop of blood in their body? If you didn't understand what they meant then, now you understand it
Why wouldn't you be bankrupt when all the money has been shared between the Alhajis and their southern sycophants.

if its true i'm happy

maybe govt will now take a closer look at how money is being spent!

We all know why the NNPC is being so heavily defended. This is why ANYTHING in this country is defended, SO IT CAN BE LOOTED!!!!!!!!



All over Africa, its the same story.

Chop Chop. How now de? Chop Chop!

Same story. Chop chop.

Disgrace.

Can't build anything because the whole village wants a cut for something they didn't earn.


Its why I stop going to tribal gatherings. Its a way to gouge money out of the few that bother to earn it. Our leadership is no different.

Gouge, chop hop, steal, loot, bribe, share with the village, repeat.

I say privatise the shit
?

And you wonder why people are complaining about deregulation and privatization.

Rememeber the last time there was speculation about privatizing this giant-good-for-nothing-government-monopoly? Some people cried national honour, national pride, and vowed to resist with the last drop of blood in their body? If you didn't understand what they meant then, now you understand it
Why wouldn't you be bankrupt when all the money has been shared between the Alhajis and their southern sycophants.

Thanks for speaking my mind.

It is obvious that nigerians are not matured enough to run any government enterprise well. The best bet is to privatise it and save us from the stess of subsidy not subsidized and turnaround maintenance not executed.

we have been hearing this for a long time but still no change

Death of a giant. Government is a useless and an ineffective manager of business.

I would hope if the government cannot find the political will to privatize it, to at least withdraw its major subsidies and allow it to collapse and let private investors pick up the pieces and take out the trash.

Are u people sure Nigerian as a nation is not broke with all the these stealing left right and centre, I can see Yaradua is a determined man he wants to sort out the electricity and the roads but for some strange reasons he seems to be holding back. maybe there is nothing left in the kitty to embark on any project, I suspect the nation is broke not with what the goverment officials are paying themselves.

Won't the NLC go on strike if the government privatizes NNPC causing the fuel price to go up?

Did i hear someone say somebody is determined?

KnowAll:


Are u people sure Nigerian as a nation is not broke with all the these stealing left right and centre, I can see Yaradua is a determined man he wants to sort out the electricity and the roads but for some strange reasons he seems to be holding back. maybe there is nothing left in the kitty to embark on any project, I suspect the nation is broke not with what the goverment officials are paying themselves.

I'm suspecting that Yar'Adua has good intentions, and he seems to have his priorities set straight lately. However it seems his Alhaji buddies are holding him back, some even go as far as complaining that "he is ignoring his northern roots".

Not all is well in the Kingdom of Arawa.

WOW! Of all the companies/assets that every country is bailing out, NAIJA's own NNPC (National Oil Company ) is the one needing a bail-out? The world's, perhaps number 1, money-spinning venture requires a bail-out but ONLY in NIGERIA??

ROTFLMAO!!

Is there really any responsible official in nigeria?A situation where the bread basket and melt-pot of the nation is bankrupt and yaradua is busy worrying about g20 when we are going extinct.

Not even as witty and co-ordinated as soldier ants,let us learn from this little animals and see where we are lacking.Think of a spiders that make webs,the complexities,designs and efforts put in in making and maintaining webs.Birds build and maintain nest,rabbits burrow underground,well channeled,beavers cut down huge trees and build dams for survival,then the common flies,they all work constructively hard to stay alive and pass on their genes to the nest generation.

@Topic.
What ever tragedy that befalls NNPC today had already been foretold. So it no news.

Bail out is out of the Question. A government institution as corrupt as the NNPC truly deserve to fail.

Maybe it's GOD'S way of purging the system