$8.49bn of ‘missing’ $10.8bn spent on subsidy claims – NNPC

Aside from the subsidy claim, other expenditures incurred by the Corporation as part of its statutory responsibilities to the Federal Government as the National Oil Company include: cost of pipeline management and repair $1.22 billion, product/crude oil losses $0.72 billion and cost of holding the strategic reserve $0.37 billion, the corporation said.Addressing a press conference […]

Aside from the subsidy claim, other expenditures incurred by the Corporation as part of its statutory responsibilities to the Federal Government as the National Oil Company include: cost of pipeline management and repair $1.22 billion, product/crude oil losses $0.72 billion and cost of holding the strategic reserve $0.37 billion, the corporation said.
Addressing a press conference yesterday to clarify what it said were misconceptions surrounding the alleged unremitted oil money, the Group Managing Director of the Corporation Engr. Andrew Yakubu represented by Mr B.O.N Otti Member Board of Directors and Group Executive Director, Finance and Accounts Directorate, the GMD said “$10.8 billion is not missing rather it is undergoing the normal process and procedure of accounting reconciliation”.
“We like to state once again that contrary to what is being speculated, the $10.8 billion which is currently the subject of interagency reconciliation exercise is not missing” he added.
According to the NNPC, the sum in question ($10.8bn)  has been expenditures incurred as part of statutory responsibilities which the NNPC executes on behalf of the Federal Government and by extension the entire people of Nigeria.
Fielding questions from journalists on how the corporation arrived at payment for subsidy and other issues, Dr Tim Okon, Coordinator Corporate Planning and Strategy of NNPC said the money is known to all the relevant agencies.
He said apart from not receiving subsidy payment from the government for some time, maintenance of national strategic reserve for petroleum product is one area of huge expenditure the Corporation has incurred on behalf of the federal government coupled with the cost of vandalised pipeline repair and maintenance all incurred by the Corporation.