NNPC Pays $452.5m Cash Call Arrears to IOCs 

30 Jan NNPC Pays $452.5m Cash Call Arrears to IOCs 

The Nigerian National Petroleum Company (NNPC) says it has paid an additional cash call arrears of $452,535,270 to its joint venture (JV) partners between November 2020 and November 2021, bringing to $3.54 billion the total debts it paid to the international oil companies (IOCs) since 2016. There is still an outstanding payment of $1.143 billion

Mobil Nigeria Producing and Chevron Nigeria Limited (CNL) had been fully settled as of November 31, 2021.

In a presentation NNPC made to the Federation Account Allocation Committee (FAAC) for January 2022, it said the two oil majors got a total of $833.7 million and $1.097 billion, respectively, since the arrears repayments started in 2016.

Aside from Mobil and Chevron, other oil majors that are being owed arrears by the NNPC include Shell Petroleum Development Company (SPDC), Total Energies and Nigerian Agip Oil Company (NAOC).

While the SPDC has been paid $680.6 million so far, with an outstanding $691.9 million out of the initial $1.37 billion owed, Total as of November 31, 2021, had been paid $411.73 million with a balance of $199.2 million, out of total debt of $610.97 million.

Out of initial debt of $774.6 million owed NAOC, payment to date made to the oil company was $522.6 million, with an outstanding of $252 million.

The NNPC, in 2016, signed a cash call repayment agreement with its JV partners to defray cash-call arrears within five years after many years of its indebtedness to its partners.