The Nigerian National Petroleum Company Limited (NNPCL) has officially submitted its responses to 19 audit queries raised by the Senate Committee on Public Accounts over discrepancies totaling ₦210 trillion in its financial records between 2017 and 2023. The development marks a crucial step in an ongoing probe into the financial transparency of Nigeria’s state oil company.
Senator Aliyu Wadada, Chairman of the Committee, confirmed in Abuja that NNPCL’s submission had been received but not yet reviewed in detail. He clarified that while the company complied with the Senate’s directive, the committee will withhold public commentary until a thorough examination of the documents is completed.
Wadada explained that NNPCL had sought an extension beyond the initial three-week deadline set on July 29, citing the need to compile comprehensive data for its response. “While we were on recess, management of NNPCL wrote to the committee, requesting an extension of time to enable them to compile data and respond comprehensively to the questions we raised, and we granted that request,” he said.
According to him, the company’s management, led by Chief Executive Officer Bayo Ojulari, has now addressed all 19 queries raised by the committee. “They have since responded, and we now have answers to all 19 questions we sent to them; however, the report is yet to be presented before the committee,” Wadada noted, assuring that due process would be followed.
The ₦210 trillion audit gap stems from reports by the Office of the Auditor-General of the Federation, which flagged ₦103 trillion in liabilities and ₦107 trillion in assets that were not properly reconciled. The committee emphasized that the issues arose from discrepancies in audited financial statements rather than allegations from other government entities.
Beyond the audit queries, Wadada disclosed that new concerns are emerging around NNPCL’s operations, particularly its production sharing contracts (PSCs) with international oil companies. “Specifically, the production cost to Nigeria must be clearly defined, and the public deserves to know what portion goes to the NNPCL, what goes to the international oil companies (IOCs) and what accrues to the government under the production sharing arrangement,” he said.
He also expressed concern over NNPCL Retail’s financial performance, revealing that the subsidiary had declared a loss despite operating in a profitable downstream market. “This development is also of concern to us and to the public. We find it difficult to understand why NNPCL Retail should record a loss, but we will seek clarification when the corporation appears before us,” he added.
The audit probe began in June after NNPCL’s management failed to appear before the Senate, leading to threats of an arrest warrant against Ojulari. The GCEO later missed another July hearing, citing attendance at an OPEC meeting in Vienna, prompting lawmakers to reject a substitute presentation from Chief Financial Officer Dapo Segun.
With NNPCL’s responses now submitted, the Senate committee is preparing for a detailed review session to verify the accuracy of the company’s claims. Wadada emphasized, “As far as the audited financial statements are concerned, which cover the period between 2017 and 2023, NNPC has submitted its responses to the 19 questions we asked. Nigerians and the media will be informed of the contents in due course.”
He concluded that the Senate will ensure full accountability and transparency in the process. “Out of those answers, the ones that make sense and those that do not will be evident to the public,” Wadada stressed.
The Senate’s investigation underscores growing calls for transparency in Nigeria’s oil sector, especially as NNPCL transitions into a limited liability company expected to operate under global corporate governance standards.
