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Barrels of fuel

NNPC claims NLNG funds were loan

ABUJA, November 12, 2018 – The Nigerian National Petroleum Corporation (NNPC) has said funds obtained from Nigeria LNG (NLNG) were a loan, local media reported Sunday.

“Based on newspaper reports, the Senate said it was [a] USD 3.5-billon subsidy fund, whereas we do not have anything like [a] subsidy fund. What we have is that we sourced for [a] revolving loan based on the Nigeria LNG dividend to NNPC,” NNPC’s general manager of the group public affairs division, Ndu Ughamadu, told Punch.

 

“If we didn’t source for that revolving loan, the nation would have been in chaos,” he added.

The Nigerian Senate voted last week to investigate claims that the NOC withdrew USD 1.05 billion from NLNG, following local media reports that NNPC had spent NLNG earnings that should have gone to local and state governments on fuel purchases and subsidies.

Last month, the Senate voted to probe an alleged USD 3.5-billion fuel subsidy fund at the NNPC.

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