NNPC posts $108m for crude oil, gas export sales in November – Report

The Nigerian National Petroleum Corporation (NNPC) has said that it achieved a trading surplus of 108.84 million dollars (about N13.43billion) for the month of November 2020.

The Corporation disclosed this in its Monthly Financial and Operation Report (MFOR) for the month of November 2020, released in Abuja, on Sunday.

It said that the amount indicated a 70.33 per cent increase compared to the October 2020 sales.

“Crude oil export sales contributed 73.09million dollars (67.15 per cent) of the dollar transactions compared with 12.38 million dollars contribution in the previous month; while the export gas sales amounted to 35.75 million dollars in the month.

“The total crude oil and gas export for the period of November 2019 to November 2020 stood at 2.89billion dollars,” it said

The report also revealed a trading surplus of ₦13.43billion for the month of November 2020 up by 54 per cent when compared to the ₦8.71billion surplus recorded in October 2020.

It noted that the trading surplus or trading deficit was derived after deduction of the expenditure profile from the revenue in the period under review.

The report further indicated that in the month under review, NNPC Group’s operating revenue as compared to October 2020, decreased slightly by 0.02 per cent or ₦0.09billion to stand at N423.08 billion.

Similarly, it revealed that expenditure for the month decreased by 1.16 per cent or N4.81billion to stand at N409.65billion, leading to the ₦13.43billion trading surplus.

“Overall, expenditure as a proportion of revenue was 0.97 in November as against 0.98 in October 2020.

“The 54 per cent increase in trading surplus in the November MFOR is primarily ascribed to the substantial decrease in expenditure from the Nigeria Gas Company (NGC) due to cost reduction in overheads, coupled with 38 per cent reduction in NNPC Corporate Headquarters deficit.

“In addition, the NNPC Group’s surplus was bolstered by the noticeable improved profits for additional engineering services rendered by the Nigerian Engineering and Technical Company (NETCO) and increased revenue from import activities posted by Duke Oil Incorporated,” It said.

In the Gas Sector, it said that a total of 222.34 Billion Cubic Feet (BCF) of natural gas was produced in the month under review.

This, it said translated to an average daily production of 7,411.52 Million Standard Cubic Feet per Day (mmscfd).

It noted that for the period November 2019 to November 2020, a total of 3,004.06BCF of gas was produced, representing an average daily production of 7,642.69mmscfd during the period.

“Out of this volume, production from Joint Ventures (JVs) accounted for 67.29per cent, Production Sharing Contracts (PSCs) accounted for 19.97 per cent, while the Nigerian Petroleum Development Company (NPDC) accounted for 12.74 per cent,” it said

A further breakdown showed that a total of 137.41 BCF of gas was commercialised, consisting of 39.99BCF and 97.42BCF for the domestic and export market respectively.

This, it noted translated to a total supply of 1,332.82 mmscfd of gas to the domestic market and 3,247.44 mmscfd of gas supplied to the export market for the month.

The report noted that the supply implied that 62.55 per cent of the average daily gas produced was commercialised while the balance of 37.45 per cent was re-injected, used as upstream fuel gas or flared.

“Gas flare rate was 7.89 per cent for the month under review translating to 577.39 mmscfd.

“A total of 789mmscfd was delivered to gas-fired power plants in the month of November 2020 to generate an average power of about 3,358MW compared with October 2020 when an average of 750mmscfd was supplied,” it said.

In the Downstream Sector, the report noted 1.725 billion litres of white products were sold and distributed by the Petroleum Products Marketing Company (PPMC), a subsidiary of the NNPC, in the month under review, compared with over 1.224billion litres in the month of October 2020.

It added that the products comprised 1.723 billion litres of Premium Motor Spirit (PMS) also known as petrol, 2.13 million litres of Automotive Gas Oil (AGO) also known as diesel and 0.33 million litres of Dual Purpose Kerosene.

“Total sale of white products for the period November 2019 to November 2020 stood at 17.031 billion litres and PMS accounted for 16.911 billion litres or 99.29per cent.

“In monetary terms,a sum of ₦226.08 billion was made on the sale of white products by PPMC in the month of November compared to ₦158.04 billion sales in October 2020.

“Total revenues generated from the sales of white products for the period November 2019 to November 2020 stood at N2.034 trillion, where PMS contributed about 99.09 per cent of the total sales with a value of over ₦2.015 trillion.