The Nigerian National Petroleum Corporation, NNPC, Monday, attributed the rise in its trading surplus in the month of May 2018 to the improvement in the financial performance of its subsidiaries and the high volume of crude oil production and sales in the month under review.
The NNPC in a statement on its April 2018 Financial and Operations Report, said its trading surplus for May 2018 rose by N0.96 billion from N17.16 billion recorded in April 2018 to N18.13 billion
According to the NNPC, the additional monthly trading surplus of N0.96 billion is mainly due to increased performance of some of the corporation’s subsidiaries namely, including the Nigerian Petroleum Development Company, NPDC, Petroleum Products Marketing Company, PPMC, Nigerian Pipelines and Storage Company, NPSC, and Marine Logistics.
“Within the period, the NNPC Group performance was mainly impacted by NPDC’s performance which recorded a favourable variance of N18.22 billion due to increase in revenue with parallel decrease in expenses. This resulted in N20.93 billion net increase in the upstream gas and power surplus,” the NNPC noted.
The NNPC further declared that the increase in performance was bolstered by the relatively high production volumes of 1.97 million barrels per day in April 2018 which was sold in May, 2018, thereby reducing cost per unit.
It said: “Under the national crude oil and natural gas production, lifting and utilisation segment, the report noted that 58.96 million barrels of crude oil and condensate were produced in the month of April 2018 representing an average daily production of 1.97 million barrels. This represents 1.02 per cent increase compared to the preceding month.
“A breakdown of the production figure indicated that Joint Ventures (JV) and Production Sharing Contracts, PSC, contributed about 32.82 percent and 41.77 percent respectively, while Alternative Financing, AF, NPDC and Independents accounted for 14.68 per cent, 7.65 percent and 3.08 per cent respectively.
“It was also indicated that the NPDC’s cumulative production from all fields within the period amounted to 47,759,229 barrels of crude oil which translated to an average daily production of 120, 909 barrels per day.”
In terms of national gas production, the NNPC noted that 231.59 Billion Cubic feet, BCF, of natural gas was produced in the months of May, 2018, translating to an average daily production of 7.785 billion Standard Cubic Feet per day (BSCF/D).
It said: “In the downstream sub-sector, NNPC continued to ensure increased petrol supply and effective distribution across the country.
”In May, 2018, 1.19 billion litres of petrol were supplied by NNPC, translating to 40.59mn liters/day to sustain seamless distribution of petroleum products which resulted in zero fuel queues across the nation.
“In the month under review, the corporation continued to monitor petrol evacuation figures from depots across the nation, and engaged, where necessary, the Nigerian Customs Service, NCS, and other stakeholders through existing Joint Monitoring Team.”
