₦airaland Forum

helinues:
Can't this man just STFU. He's becoming a nuisance lately with his reckless talk

Oga answer his questions and stop trying to use diversion tactics...😡

They are paying Reno heavily to counter Obi. Let's wait for him to come up with his counter statement.

I don't like it when people say that this man does not have a full-time job. He is here fulfilling his life mission.

helinues:
Can't this man just STFU. He's becoming a nuisance lately with his reckless talk

U guys are attacking Obi 4 bringing dis issue up. Wait oo, are guys comfortable wit dis? Are d issues of dis country not alarming 2 u? Abi na small picking dey worry una

Peter Obi still remains the opposition who open their sore wound and their endemic corruption.

Peter Obi still remains the opposition who open their sore and their chronic corruption

owobokiri:
While you chair the headhunting assembly of Ogun ritualists?

Do you want me to disgrace you?

Stop...

helinues:
Do you want me to disgrace you?

Stop...

Disgrace who?
You're into blackmail too..?

CharlotteFlair:
You wish!

Who else is bold enough to expose the monumental fraud going on in APC government if not Peter Obi?

A new Nigeria is POssible!

Do you need a job as a wailer? Hurry up ok!

Obi didn't expose anything because the NNPC news broke out and we all saw

owobokiri:
Disgrace who?
You're into blackmail too..?

Okay. Continue and be disgraced properly as some of you don't learn a thing

Macphenson:
If you want him to shut up tell your master and his gang of thieves to stop looting the National treasury. Do you know what it is for a few individuals to loot over #210 trillion naira?
Thieves and their useless supporters and defenders.

is Obi a saint?. Definitely no!
You better not take any politicain serious!

helinues:
Let him go and be president of Agulu spare part traders. Nigeria don't need a calamity like him as a president

No Tinubu should return to Lagos and rule Lagos forever. He is a total failure

searchlight:
No Tinubu should return to Lagos and rule Lagos forever. He is a total failure

You better advise Peter Obi to start fish farming as he can never ever be Nigeria president.

You can take that to the bank for cash out

helinues:
Can't this man just STFU. He's becoming a nuisance lately with his reckless talk

He will never shut up, he will continue to give you and your evil government sleepless nights, your nightmare is here to stay. I was told snipperr is still very much affordable.

helinues:
Can't this man just STFU. He's becoming a nuisance lately with his reckless talk

This is what you say when the truth stares you in the face. Some of you won't survive the moment this country starts working.

Obi is becoming a nuisance to himself with all these senseless and vague talk all the time..

Tjra:
Peter Obi is the only Nigerian politician who talks before thinking.

No wonder a legend said his comments are now becoming neurotic and petty.

I am very sorry for those people you represent. They are as good as not having any credible representation because a man who puts his stomach before his brain is highly unreliable.

helinues:
Can't this man just STFU. He's becoming a nuisance lately with his reckless talk

Sometimes, if not most times, I feel really very embarrassed at your comments whenever it concerns APC

helinues:
Can't this man just STFU. He's becoming a nuisance lately with his reckless talk

Because he is saying the truth which your likes and evil APC E-rat don't like.

https://fij.ng/article/explainer-no-evidence-n210trn-in-nnpc-audit-is-missing-just-poorly-explained/

Excerpts from above article.

Quote
'FIJ examined the audit documents and found that these figures are likely not missing. The standard definition of accrued expenses is costs NNPCL has incurred but not yet paid for. This means that the NNPCL owes N103 trillion between 2017 and 2023.

Recievables on the other hand, represent money NNPCL is owed, usually from services already delivered. By implication, NNPCL is entitled to N107 trillion from the outside within the same time frame.

Therefore rather than combine, these two figures should cancel out when reconciled, since they represent debts owed by and to the NNPCL.'
End of Quote

In simple accounting terms, receivables should cancel out accrued expenses and a nil off or small residual amount remaining. The issue is with the accounting procedure and approval process which should be done quicker than allowing to linger for years.

Does it make any sense of a missing N210trillion btw 2017 and 2023 when total country budget is about N88trillion within that same time?

Let us assume we produced 1.5million barrels of oil per day in that period (7 years from 2017 to 2023) at an average price of $60 per barrel. NNPCL share in the Joint Ventures and PSCs is roughly 50% for onshore and offshore production. These are generous assumptions because both oil production and price crashed during the covid years of 2020 and 2021. Nonetheless, the calculations are as below;

Revenue = 1.5mil barrels per day x 365days/yr x 7yrs x $60 per barrel × 50% nnpc share = $115billion

From this revenue, you remove Royalty of roughly 15% paid to govt as first line charge.

Revenue - Royalty = $115bln x 85% = $98bln

You then remove cost of producing the oil which is about 30%.

Post cost removal = $98bln x 70% = $68bln

On this amount, nnpc pays roughly 70% tax to govt

Post tax = $68bln x 30% = $20bln

Assume exchange rate of N400/$ for 2017-2022 and N1600/$ for 2023, average is about N600/$ for the 7 year period.

Post tax profit of $20bln at an average exchange rate of N600/$ is = N12T for the entire 7 years.

Let us even assume for argument sake that the entire nnpc revenue of $115bln is converted to Naira, it comes to N69trillion. This is assuming NOTHING at all was remitted to govt from nnpc which is clearly not the case because our budget of N88trn within those 7 years was largely funded from receipts from nnpc.

It is good for people to step back and stop throwing mind boggling figures around. The 2023 audited nnpc report clearly shows some lapses in governance of JVs, pending approvals, inadequate documentation, poor reconciliation etc. Clearly, with those things sorted, the 2024 audited report should look cleaner and better.

Footnote: I have only analysed oil revenues. It is fair to say nnpc earns revenue from gas sales and some of its midstream businesses too but oil revenue still dominates. NNPCL hardly made money in the downstream as they were selling fuel at a loss due to subsidy.