The Nigerian National Petroleum Company Limited (NNPC Ltd) faces intensified scrutiny as lawmakers demand clarity on over $500 billion in financial transactions flagged in audit reports spanning 2017 to 2023. A parliamentary panel has granted the state oil giant three weeks to address 19 specific queries regarding N210 trillion ($210 trillion naira), equivalent to approximately $506 billion at current exchange rates, which auditors say remains unaccounted for in public records.
During a hearing before Nigeria’s Senate Public Accounts Committee, NNPC Group Chief Executive Officer Mele Kyoro acknowledged the gravity of the situation while requesting additional time to investigate. “Having assumed office just over 100 days ago, I require more time to thoroughly examine the technical details of these historical records,” Kyoro stated, pledging to collaborate with external auditors and internal teams. Though he sought a four-week extension, the committee—led by Chairman Ahmed Wadada—granted three weeks, emphasizing the urgency of clarifying the financial discrepancies.
Committee members stressed the funds in question were not classified as stolen or missing but required proper documentation. Wadada explained the N210 trillion figure represents unresolved balances from NNPC’s audited statements, split between N103 trillion ($248 billion) in liabilities and N107 trillion ($258 billion) in assets. “These queries originate directly from the Auditor-General’s reports and align with our constitutional oversight role,” he clarified, adding that NNPC’s leadership would later face in-person questioning after submitting written responses.
The hearing highlighted bipartisan concerns over governance and transparency at Africa’s largest oil producer. Senator Victor Umeh (Anambra) underscored NNPC’s critical role in Nigeria’s economy, stating, “Transparency is non-negotiable when managing resources tied to national prosperity.” Other committee members, including Babangida Hussaini (Jigawa) and Tony Nwoye (Anambra), noted the need for due process, with Nwoye suggesting potential inconsistencies in the audit itself.
The NNPC, which accounts for nearly 90% of Nigeria’s foreign exchange earnings, has long faced scrutiny over fiscal management. This latest probe coincides with President Bola Tinubu’s economic reforms aimed at attracting foreign investment, including recent steps to deregulate fuel prices and merge exchange rates. Analysts suggest resolving the audit questions could bolster investor confidence in Nigeria’s energy sector reforms.
Kyoro’s commitment to address the queries marks a pivotal test for NNPC’s new leadership, appointed in mid-2023 as part of broader corporate restructuring. The three-week deadline, set to expire in late July, will likely influence parliamentary proceedings and broader discussions about fiscal accountability in Nigeria’s oil-dependent economy.
