Government receives N18.99 billion NNPC’s refund

The Federal Government received N18.99 billion from the Nigerian National Petroleum Corporation (NNPC) during the second quarter of 2016, being installmental refund of the corporation’s indebtedness to the government.

The Central Bank of Nigeria (CBN), which made this disclosure in its second quarter report, added that the sum of N7.86 billion was equally distributed as exchange gain among the three tiers of government as 13 per cent Derivation Fund.

A breakdown of the allocation showed that Federal Government received N3.68 billion; State Governments, N1.87 billion; Local Governments, N1.44 billion; and 13 per cent Derivation Fund (N0.88 billion).

CBN disclosed that Nigeria’s crude oil production, including condensates and natural gas liquids, was estimated at an average of 1.54 million barrels per day (mbd) or 141.68 million barrels (mb) for the second quarter of 2016.

This, it said, represented a decline of 0.37 mbd or 15.4 per cent, relative to 1.82 mbd or 165.62 million barrels produced in the first quarter of 2016.

It stated that crude oil export stood at 1.09 mbd or 100.28 mb representing a decline of 20.4 per cent, compared with 1.37 mbd or 124.67 mb, recorded in the preceding quarter.

It stated: “Supply disruptions owing to continued attacks on oil installations by vandals accounted for the decline in crude oil production. Deliveries to the refineries for domestic consumption remained at 0.45 mbd or 41.40 million barrels during the review quarter.

“At an estimated average of US$46.44 per barrel, the price of Nigeria’s reference crude, the Bonny Light, rose by 35.0 per cent, compared with the level in the preceding quarter. The average prices of other competing crudes, namely the UK Brent at $45.29/b, WTI at $45.18/b and Forcados at $46.05/b exhibited similar trends as the Bonny Light.

“The average price of OPEC basket of eleven selected crude streams, at $42.38 per barrel, indicated an increase of 40.5 per cent, compared with the average of $30.16 per cent recorded in the preceding quarter.

It, however, showed a decline of 28.5 per cent, compared with the average of $59.31 per cent recorded in the corresponding quarter of 2015

It disclosed that at 3,156 MW/h, estimated average electricity generation in the second quarter of 2016 fell by 0.19 per cent, compared with the level attained in the preceding quarter.

The apex bank noted that the development was attributed to the fall in power generation in the various power plants due to vandalism.

According to the report, average estimated electricity consumption, at 2,989 MW/h, fell by 0.19 per cent, relative to the level attained in the preceding quarter.