FAAC Remittance: NNPC Not Bankrupt, Says Corporation

The Nigerian National Petroleum Corporation (NNPC) has maintained that its recent letter to the Accountant General of the Federation (AGF) stating its inability to contribute to the Federation Account Allocation Committee (FAAC) in May was not a sign of bankruptcy.

The national oil company clarified that the revenue projection contained in the letter to the accountant general being cited in the media pertains only to the federation revenue stream being managed by the corporation and not a reflection of the overall financial performance of the NNPC.

A press release by the corporation’s spokesman on Friday, Dr. Kennie Obateru, stated that the clarification became necessary in the light of media reports insinuating that the corporation was in dire financial straits.

NNPC insisted that it was conscious of its role and was doing everything possible to shore up revenues and support the federation at all times.

“The shortfall will be remedied by the corporation as it relates only to the federation revenue stream being managed by the NNPC and does not reflect the overall financial performance of the corporation.

“The NNPC remains in positive financial trajectory for the period in question,” the release stated.

The corporation pledged to continue to pursue and observe its cost optimisation process with a view to maximising remittances to the federation Account.