The Nigerian National Petroleum Company Limited (NNPCL) said that the payment of an interim dividend of N123 billion to the Federation Account Allocation Committee (FAAC) for the month of June, was part of the requirements of the Petroleum Industry Act (PIA).
In a statement made available to journalists, NNPCL Chief Financial Officer, Mr Umar Ajiya, said the move was to consolidate its post Petroleum Industry Act (PIA) 2021 status as an income-generating company.
He said, “This payment is in addition to compliance on payment of royalties and taxes.”
A statement by Press and Public Relations, Office of the Accountant General of the Federation (OAGF) Mr Bawa Mokwa, on Thursday night stated that the sum of N907.054 billion was shared by FAAC among the three tiers of government.
From the money shared, NNPCL contributed N81 billion as a monthly interim dividend and N42 billion as a 40 percent oil Production Sharing Contract (PSC) profit totaling N123 billion.
Ajiya insisted that the latest development is a departure from previous years of sleaze and wastage.
“This will set the track for future profitability and global best practices designed to build NNPCL into a world-class oil company in the ranks of Saudi Aramco, China Petroleum & Chemical Corp., Exxon Mobil Corp., and others.
“The goal of Malam Mele Kyari, the Group Chief Executive Officer (GECO), NNPCL, is to set the nation’s oil company on the path of profitability and sustainable growth.
“Since the transformation of the NNPC from a loss-making organization pre-PIA to a robust profit-making company post-PIA, the company under Kyari has pursued global governance best practices aimed at repositioning the company for greater growth.
“The payment to FAAC clearly shows that the company under the leadership of Kyari is moving in a positive trajectory as enshrined in the PIA,” he said.
