Tinubu directed that most of the balances be removed from the Federation’s books based on recommendations from the Stakeholder Alignment Committee on the reconciliation of indebtedness between NNPC Ltd and the Federation.
“However, the commission recently received a Presidential Approval to nil off the outstanding obligations of NNPC Ltd as at 31st December 2024 as submitted by the Stakeholder Alignment Committee on the Reconciliation of Indebtedness between NNPC Ltd and the Federation,
“Consequently, out of $1,480,610,652.58 and N6,332,884,316,237.13, the affected outstanding obligations that have been nil off are $1,421,727,723.00 and N5,573,895,769,388.45. The commission has passed the appropriate accounting entries as approved.” The report read.
This implied that about 96 per cent of the dollar-denominated debt and 88 per cent of the naira-denominated obligations accumulated up to December 31, 2024, were cancelled.
Meabwhile, despite the write-off, the regulator said new liabilities incurred by NNPC Ltd between January and October 2025 remain outstanding.
These were put at “$56,808,752.32 and N1,021,550,672,578.87 for PSC & MCA Liftings and JV Royalty Receivables, respectively.
The commission disclosed that part of the dollar component was recovered during the month under review.
“However, the commission received $55,003,997.00 in the month under review from the outstanding, leaving a balance of $1,804,755.32 and N1,021,550,672,578.87.
“The amount of $55,003,997.00 received is part of the total collection reported above for sharing by the Federation this month,” the report stated.
