NNPC records N142bn trading surplus as Nigerians’ daily fuel consumption hits 54.50m

The Nigerian National Petroleum Company (NNPC) Limited has announced a trading surplus of N141.96 billion in the month of June 2021.

This is a significant growth when compared to a deficit of N37.46 billion reported in May 2021.

NNPC revealed this inits Monthly Financial and Operations Report (MFOR) for June 2021.

A trading surplus or trading deficit is derived after deduction of the expenditure profile from the revenue for the period under review.

According to the report obtained by Ripples Nigeria on Monday, NNPC Group operating revenue stood at N89.27billion in June while its expenditure for its operations ran into N721.93billion.

Thus, in the period under review, expenditure as a proportion of revenue was 0.81%.

The report also noted that the increase in trading surplus was due mainly to the increased sales of crude oil and gas by the Nigerian Petroleum Development Company (NPDC), an upstream subsidiary of the NNPC, and the increased gas sales and depreciation postings by the Nigerian Gas Company (NGC).

The positive outlook was further bolstered by the performance of Duke Oil and the Nigerian Gas Marketing Company (NGMC) which also added to the improved bottom line.

According to the report, to ensure continuous supply and effective distribution of Premium Motor Spirit (PMS) across the country, a total of 1.63bn litres of PMS translating to 54.50mn liters/day were supplied in June 2021.

The report indicated that in June 2021, 47 pipeline points were vandalized representing 26.56% decrease from the 64 points recorded in May 2021. Port Harcourt Area accounted for 43%, while Mosimi and Kaduna Areas accounted for 51% and 6% respectively of the vandalized points.

In the gas sector, a total of 223.77billion cubic feet (bcf) of natural gas was produced in the month of June 2021 translating to an average daily production of 7,459.88million standard cubic feet per day (mmscfd).

For the period of June 2020 to June 2021, a total of 2,890.11bcf of gas was produced representing an average daily production of 7,321.36mmscfd during the period.

Period-to-date production from Joint Ventures (JVs), Production Sharing Contracts (PSCs) and NPDC contributed 59.84%, 20.26% and 19.90% respectively to the total national gas production.

The 71st edition of the MFOR highlighted NNPC’s activities for the period of June 2020 to June 2021.