• As MEND urges Reps: Compel Jonathan’s appearance over Malabu deal

The House of Representatives believes that the Nigerian National Petroleum Corporation did not remit a total of $81.2bn crude oil proceeds to the Federation Account in four years.

Its ad hoc committee, which is investigating the alleged export of $17bn worth of undeclared crude oil and gas resources, has demanded explanations from the corporation.

The investigation covers the year 2011 to 2014.

Our correspondent gathered on Monday that the committee, which is chaired by a member of the All Progressives Congress from Adamawa State, Mr. Abdulrazak Namdas, had analysed documents from various sources, including the Nigerian Extractive Industries Transparency Initiative, Central Bank of Nigeria, Department of Petroleum Resources and the NNPC itself before coming to the conclusion.

In its set of questions sent to the NNPC, a copy of which was obtained exclusively in Abuja, the committee noted that the total receipts from crude proceeds for the four years tallied at $123.9bn.

However, lawmakers found out that the NNPC remitted only $42.7bn to the Federation Account, “giving a frightening shortfall of $81.2bn.”

The average crude oil prices per barrel for the respective years were $111.90 (2011); $112.01 (2012); $110.12 (2013); and $101.91 (2014).

The barrels sold for the respective years were 301.7 million; 296.4 million; 267.1 million; and 270.7 million, bringing the total for the four years to 1.136 billion barrels.

According to the committee, the year-by-year breakdown of the expected earnings were $33.7bn (2011); $33.2bn (2012); $29.4bn (2013); and $27.5bn (2014), totalling $123.9bn.

But, the committee said the corporation declared only $42.7bn, a figure which was confirmed by the CBN.

This was broken down into $14.3bn (2011); $10.2bn (2012); $8.4bn (2013); and $9.8bn (2014).

“The committee’s worries are anchored on the fact that out of the expected receipt of $123.9bn, the CBN confirmed a total receipt of only $42.7bn, giving a shortfall of $81.2bn,” the document stated.

In addition, the NNPC was asked to explain the conflicting reports by the corporation and the DPR on crude lifting from Pennington in 2011.

While the NNPC claimed that 991.4 million barrels and 960.4 million barrels were lifted in May and October, respectively, the DPR reported that there was only one lifting of 960.4 million barrels in October.

“The committee wants you (NNPC) to prove how the sale of 991.4 million barrels of crude oil was consummated,” the document added.

The corporation was further directed to provide answers to the queries within one week.

The committee is investigating allegations that major government agencies colluded with International Oil Companies to short-change Nigeria in the crude and gas exports deals.

The House had by its resolution in December 2016, ordered the probe after lawmakers established evidence of fraudulent transactions and irregularities in crude and gas exports within the period under review.

Information at the disposal of the committee put the figure of undeclared crude shortfalls between 2011 and 2014 at 57,830,000 barrels.

“This translates to well over $12bn worth of crude shipped to the United States. Also, over $3bn worth was shipped to China and $839,522,600 worth of crude was taken to Norway. These figures were conclusively ascertained by buyers, bills of lading, arrival dates, destination ports, quantity of crude oil and other documented information,” the document stated.

The US was listed as the leading destination for the crude out of the 51 countries that received crude exports from Nigeria within the period.

“The report was made available to the former President; Office of the Attorney General of the Federation; Nigeria Maritime Administration and Safety Agency; and the Economic and Financial Crimes Commission, and that as of today (2016), the country has to its credit over $17bn of recoverable shortfalls from undeclared crude oil exports to global destination,” it added.

In the case of liquefied natural gas shortfalls, the document noted a loss of 727,460 metric tonnes, estimated at about $461.04bn, firmly established shortfall from shipment to seven countries.

“These have been established as undeclared cargoes,” the committee stated in the document.

The committee named many IOCs for questioning over their alleged roles in the transactions.

These include Shell (US) Trading Company; Mobil Producing Nigeria; Chevron Nigeria Limited; ESSO Exploration and Production Nigeria; ExxonMobil; Brass Oil Services Company Nigeria Limited; Consolidated Oil Limited; Star Deep Water Petroleum Limited; Supreme Jute and Kntex Limited; and Duke Oil Company Limited.

Several of the IOCs have already appeared before the committee to explain their level of involvement in the deals.

In the meantime, the Movement for the Emancipation of the Niger Delta has charged the House of Representatives to compel former President Goodluck Jonathan to appear before it should he refuse to honour an invitation over the controversy surrounding the OPL 245 Malabu oil deal.

MEND said in a statement by its spokesperson, Jomo Gbomo, on Monday that the role played by the former President in the deal had tainted the country’s image locally and internationally.

Explaining that it had reasonable grounds to suspect that Jonathan might have compromised his former office as far as the Malabu oil deal was concerned, the Niger Delta militant group added that key officials in his administration had been charged to court over the matter.

MEND said, “Former President Goodluck Jonathan is reported to have received the whooping sum of $200m as kickback from the controversial OPL 245 Malabu oil deal.

“We are compelled by natural justice, equity and good conscience to lend our voice against the most ignoble and despicable role played by the former President in the messy affair which has tainted the image of Nigeria both locally and internationally.

“Like millions of Nigerians at home and in the Diaspora, who have keenly followed the OPL 245 saga, we have reasonable grounds to suspect that former President Jonathan may have indeed compromised his high office with regard to the matter, more especially, given the fact that key officials of his administration, including the then Attorney General of the Federation, Mr. Mohammed Bello Adoke, have been indicted and charged before the Federal High Court in Abuja.

“We are, therefore, in full support of moves by the House of Representatives to summon the former President to appear before the House to give answers to the myriad of questions concerning his role in OPL 245. Where he refuses to honour the invitation, we urge the House to invoke its inherent powers to compel his appearance.”

On the alleged plan by Shell Petroleum Development Company to relocate to Lagos, MEND urged the oil firm to shelve the idea, warning that it would not hesitate to reconsider its unilateral ceasefire of May 30, 2014 should SPDC decide to relocate to Lagos from Port Harcourt.

“To be sure, the Niger Delta region is no longer hostile to the business interests of the IOCs, including SPDC, as peace has since returned to the area; following the enervating efforts of the Movement for the Emancipation of the Niger Delta, the Pan-Niger Delta Forum, the various state governments, as well as the Federal Government.

“There is, therefore, no reason whatsoever for SPDC to relocate back to Lagos. We use this opportunity to warn that we shall reconsider the unilateral ceasefire of May 30, 2014 if SPDC relocates back to Lagos,” the militant group stressed.

Punch