Alleged Debt: 7 Oil Companies undertake to pay FG $37.4 million before August – Reps

This was revealed in a statement signed by Rep. Akin Rotimi Jr., Spokesman, House of Representatives, on Sunday, as part of the ongoing investigation into the oil and gas sector by the Public Accounts Committee of the House of Representatives.

Naijaonpoint previously reported that the House of Representatives had summoned 48 oil companies operating in Nigeria to appear before its Committee on Public Accounts for a series of investigative hearings into a combined debt of N9.4 trillion.

In a press release issued by the Office of the House Spokesperson last Monday, it was disclosed that several oil companies allegedly owe the federation approximately N9.4 trillion.

Companies summoned include major industry players such as Shell Nigeria Exploration and Production Company, Chevron Nigeria Ltd, Total E&P Nigeria, Seplat Energy, Oando Oil Ltd, and Mobil Producing Nigeria Unlimited, among others.

The committee’s probe follows findings in the Auditor-General’s Annual Report on the Consolidated Financial Statement for the year ending December 31, 2021.

The debt, which accumulated as of the last quarter of 2024, comprises unpaid royalties, concession rentals, gas flare penalties, and obligations from Production Sharing Contracts, Repayment Agreements, and Modified Carry Arrangements.

Companies That Disputed Their Recorded Liabilities   

These companies include:

“A total of 28 companies, collectively owing $1,230,708,293.14, have failed to honor invitations by the committee or respond to public notices,” it added.

These companies include:

The committee further revealed that only two companies were found to have fully met their royalty obligations:

The House Committee on Public Accounts vowed to remain steadfast in ensuring that all oil and gas companies operating in Nigeria adhere to statutory payment obligations in line with the Petroleum Industry Act (PIA).

“The committee will continue to intensify oversight to recover outstanding revenues and plug revenue leakages in the industry,” the statement partly reads.

The House of Representatives reiterated that companies benefiting from Nigeria’s natural resources must comply with statutory financial obligations to support national development.