The Nigerian National Petroleum Corporation earned revenue of N4.61tn and spent N4.52tn in 2020, according to a report released on Friday.

The report, titled ‘2020 NNPC Annual Performance Review’, was developed by BudgIT in partnership with Oxfam.

According to the organisations, NNPC’s revenue in 2020 showed a 23.8 per cent decrease from the N6.05tn it earned in 2019.

The report said, “The expenditure of all its subsidiaries stood at N4.52tn. Total crude oil production suffered an 11.61 per cent decrease, from the 734.27 million barrels produced in 2019 to the 649.00 million barrels produced in 2020.

“Pipeline breaks, a key cause of oil revenue leakage and production loss, had a 70.28 per cent decline from 1,484 breakpoints in 2019 to 441 breakpoints in 2020. Likewise, a corresponding 57.87 per cent decline in NNPC’s spending on pipeline maintenance costs was recorded as it plummeted from N126.66bn in 2019 to N53.36bn in 2020.”

According to the report, NNPC’s ailing refineries, led by Kaduna Refining and Petrochemical Company, wiped out a total of N100.03bn from the corporation’s revenue in 2020, despite past announcements of investments in turnaround maintenance.

“Also, despite announcing a deal to boost PHRC’s performance through a colocation agreement with Maire Tecnimont SPA a few years ago, the Federal Executive Council recently approved another $1.5bn for a rehabilitation exercise of the PHRC,” it said.

NNPC generated the revenue and still spent it as running cost. What's the essence then? What's the need of ensuring that more than 90% of your revenue is spent as running cost?

NNPC is running at a loss!

I pity people that are being brain washed with a profitable NNPC. Key into the IPO at your own risk.

Suddenly you make paper profit because you are being converted to a public company.

You always had the ability to make profit, but always posts losses. The refineries and component parts are still negative and running with negative balance sheets.

You are now giving 30% from sales to the north in disguise of frontier exploration. If you have money to throw away, go for the IPO.

This NNPC is a disgrace...