Thursday, Oct 29th 2020 4:11 AM

Market Digest Nigeria


NNPC declares ₦20.36 billion trading surplus in July

The Nigerian National Petroleum Corporation (NNPC) said it made a ₦20.36 billion trading surplus for the month of July, reflecting a huge increase when compared with the ₦2.12 billion surplus in June 2020.

The corporation disclosed this in its Monthly Financial and Operations Report (MFOR) for the month of July released in Abuja on Thursday.

According to a release by its spokesperson, Kennie Obateru, the corporation attributed the 858 per cent overall increase in performance largely to the 178 per cent rise in the surplus posted by the Nigerian Petroleum Development Company (NPDC), NNPC’s flagship upstream entity.

It explained that the NPDC’s impressive result was bolstered by the continuous improvement in global crude oil demand for the third consecutive month.

The report also said the corporation’s fortune was further enhanced by the 739 per cent increased profit posted by the Integrated Data Services Limited (IDSL) and a 51 per cent growth in performance by Duke Oil Incorporated, both companies of NNPC.

“Returns from NNPC Retail Limited and Nigerian Gas Marketing Company (NGMC) during the period under review also grew by 28 per cent and 24 per cent respectively, owing to increased sales and improved debt collection.”

In the gas sector, the report said gas production in July 2020 increased by 2.19 per cent at 236.34 billion cubic feet (BCF) compared to output in June 2020.

This indicates an average daily production of 7,623.98 million standard cubic feet of gas per day (mmscfd).

Also, the daily average natural gas supply to gas power plants stood at 707mmscfd, equivalent to power generation of 2,421MW.

“For the period July 2019 to July 2020, 3,079.64BCF of gas was produced, representing an average daily production of 7,812.11mmscfd during the period.

“Period-to-date production from Joint Ventures (JVs), Production Sharing Contracts (PSCs) and NPDC contributed about 70.88 per cent, 20.37 per cent and 8.75 per cent respectively to the total national gas production.”

In the downstream sector of the corporation’s operations, the report noted that 1.02 billion litres of PMS (32.95mn liters/day) were supplied to ensure continuous stability in Premium Motor Spirit (PMS) supply and effective distribution across the country.

The July NNPC MFOR stated that the corporation has continued to diligently monitor the daily stock of PMS to achieve smooth distribution of petroleum products and ensure there are no fuel queues across the nation.The report noted that during the period under review, 36 pipeline points were vandalized, representing about nine per cent increase from the 33 points recorded in June 2020.

“Atlas Cove-Mosimi and Aba-Enugu network accounted for 28 per cent each, while PHC-Aba and the other locations recorded 14 per cent and the remaining 31 per cent respectively. NNPC in collaboration with the local communities and other stakeholders continuously have strived to reduce the menace of pipeline vandalism.”The July NNPC MFOR is the 60th edition in the series meant to sustain effective communication with stakeholders.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

To Top
Get the best of Market Digest Nigeria financial news
delivered to your inbox daily!
By clicking Give it a try, I hereby: Agree and Consent to the Terms of Use and the Privacy Policy
& I may receive free newsletters & promotions from this site and can choose to unsubscribe anytime.