• $139.50 million realized from oil and gas export
The Nigerian National Petroleum Corporation (NNPC) has revealed that it supplied 727 million standard cubic feet per day (mmscfd) of natural gas for power generation in the month of August, 2020; an equivalent of 2,538MW of power. This represents an increase of 2.80% from the previous month, according to a press statement by the Group General Manager, Group Public Affairs Division of NNPC, Dr Kennie Obateru.
The statement which centred on NNPC Monthly Financial and Operations Report (MFOR) indicated that natural gas production in August 2020 increased by 0.13% at 236.66 billion cubic feet (BCF) compared to output in July 2020; translating to an average daily production of 7,639.99mmscfd.
For the period August 2019 to August 2020, a total of 3,062.95 BCF of gas was produced, representing an average daily production of 7,771.13 mmscfd. Period-to-date Production from Joint Ventures (JVs), Production Sharing Contracts (PSCs) and the Nigerian Petroleum Development Company (NPDC) contributed about 69.96%, 20.26% and 9.78% respectively to the total national gas production.
The August 2020 MFOR indicated a total crude oil and gas export sale of $139.50 million; increasing by 64.84%, compared with the previous month. Of this number, crude oil export sales contributed $80.27 million (57.54%) of the dollar transactions compared with $55.29 million contribution in the previous month; while the export gas sales amounted to $59.23 million in the month.
The August 2019 to August 2020 crude oil and gas transactions indicated that crude oil and gas worth $3.71 billion was exported.
The 61st edition of the MFOR indicated an increased trading surplus of ₦29.60 billion compared to the ₦20.36 billion surplus in July 2020 which was the third consecutive month of global recovery from the COVID-19 effect.
The 45% improvement in performance is attributed mainly to the 82% growth in surplus posted by the NPDC due to sustained improvement in global market fundamentals.
The NNPC Group surplus was further enhanced by the 109% increased profit by Duke Oil Incorporated as well as 75% and 22% reduction in deficits for the Nigerian Pipelines and Storage Company (NPSC) and Refineries which arose from declining costs of pipeline maintenance and corporate overheads respectively; thus mitigating the effect of the increased deficits posted by some other SBUs.
The deficits are because of reasons around low sales volume, reduced debt collection and high average product landing cost.
In the downstream, to ensure continuous increased premium motor spirit (PMS) supply and effective distribution across the country, a total of 0.95bn litres of PMS translating to 30.53mn liters/day was supplied for the month.
The corporation has continued to diligently monitor the daily stock of premium motor spirit (PMS) to achieve smooth distribution of petroleum products and zero fuel queue across the nation.
During the month, a total of 37 pipeline points were vandalized representing about 3% increase from the 36 points recorded in July 2020. Atlas Cove-Mosimi and Mosimi-Ibadan accounted for 38% and 24% respectively while PHC-Aba and the other locations in turn, recorded 22% and the remaining 16% of the total breaks.
NNPC in collaboration with the local communities and other stakeholders continuously strive to reduce and eventually eliminate this menace.