Business
Seven Oil Firms to Clear $37.4M Debt by August – House of Reps
The House of Representatives confirms that seven oil firms have committed to settling a $37.4 million debt before August amid an ongoing royalty payment probe.
The House of Representatives announced that it has obtained commitments from seven oil companies to settle a total of $37.4 million owed to the Federation Account by August 2025.
In a statement on Sunday, Akin Rotimi, the spokesman for the House of Representatives, announced that the companies made their pledge during an ongoing investigation by the Public Accounts Committee.
He stated, “This commitment comes after the Committee examined financial records from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), which highlighted significant gaps in royalty payments and reconciliation processes within the sector.”
The promised repayment is included in a ₦9 trillion outstanding liability that the Auditor General for the Federation questioned in his 2021 report presented to the National Assembly.
The accumulated debts, some spanning over four years, underscore persistent revenue leakages in the oil and gas sector.
Rotimi stated that in addition to these seven companies, the Committee’s investigation has revealed that 45 oil and gas firms owe $1.7 billion (₦2.5 trillion) in unpaid royalty payments as of December 31, 2024.
He identified the seven companies that have recognized their outstanding debts and committed to settling them by August 2025:
1. Belema Energy
2. Panocean Oil Nigeria Limited
3. Newcross Exploration & Production Ltd
4. Dubri Oil Company Limited
5. Energy Chorus
6. International Amni
7. Exploration of Networks
He mentioned that nine companies, collectively owing an outstanding balance of $429.2 million, have disputed the figures and called for a reconciliation process with NUPRC to verify their actual liabilities. Among these companies are:
1. Aradel/Niger Delta Region
2. Chevron Corporation
3. Star Deep
4. Shoreline
5. Seplat Production Unlimited
6. Erha by Esso
7. Usan Esso
8. Eroton Exploration Company
9. Seplat Energy Company
The committee instructed that the reconciliation process should be completed within two weeks. After this period, companies are required to settle their confirmed debts promptly and without any further delay.
Also, Rotimi said a total of 28 companies, collectively owing $1,230,708,293.14, have failed to honour invitations by the Committee or respond to public notices. These companies include:
1. Addax Petroleum Exploration Nigeria Ltd
2. AITEO Groupw
3. All Grace Energy
4. Amalgamated Oil Company Nigeria Limited
5. Total E&P Nigeria (OML 100, 102, 52 & 99)
6. Bilton Energy Limited
7. Enageed Resources Limited
8. Waltersmith Petroman Limited
9. Conoil Plc
10. Continental Oil & Gas Company Ltd
11. Energia Limited
12. First E&P Ltd
13. Frontier Oil Limited
14. General Hydrocarbons Limited
15. Green Energy International Ltd
16. Nigeria Agip Exploration Ltd (NAE)
17. Neconde Energy Limited
18. Nigeria Petroleum Development Company (NPDC) – OML 60, 61 & 63
19. Lekoil Oil and Gas Investments Limited
20. Midwestern Oil and Gas Limited
21. Millennium Oil and Gas Company Limited
22. Oando Oil Ltd (OML 60, 61 & 62)
23. Heirs Holding
24. Pillar Oil Limited
25. Platform Petroleum Limited
26. Universal Energy Limited / Sinpec
27. Sahara Field Production Limited
28. Oriental Energy Resources Limited
“The Committee has given the affected companies a further grace period of one week to submit all relevant documentation regarding their statutory obligations and appear before the Committee.
“Failure to comply within this timeframe will result in firm legislative and regulatory sanctions to enforce accountability and ensure compliance,” he said.
The lower legislative chamber said only two companies were found to have fully met their royalty obligations:
Shell Petroleum Development Company (SPDC)
Rotimi also mentioned that 28 companies, collectively owing $1,230,708,293.14, have not responded to the Committee’s invitations or public notices. These companies include:
1. Addax Petroleum Exploration Nigeria Limited
2. AITEO Group
3. Complete Energy by Grace
4. Nigeria Limited Amalgamated Oil Company
5. Total E&P Nigeria (OML 100, 102, 52 & 99)
6. Bilton Energy Ltd.
7. Engaged Resources Limited
Certainly! It can be rewritten as: “Eight. Waltersmith Petroman Ltd.”
9. Conoil Public Limited Company
10. Continental Oil and Gas Company Ltd
11. Energia Ltd.
12. First Exploration and Production Ltd
13. Frontier Oil Ltd.
14. General Hydrocarbons Ltd.
15. Green Energy International Limited
16. Nigeria Agip Exploration Ltd (NAE)
17. Neconde Energy Ltd.
18. Nigeria Petroleum Development Company (NPDC) – Oil Mining Leases 60, 61, and 63
19. Lekoil Investments in Oil and Gas Limited
20. Midwestern Oil & Gas Ltd.
21. Millennium Oil & Gas Co., Ltd.
22. Oando Oil Ltd (OML 60, 61 & 62)
23. Heirs Holdings
24. Pillar Oil Ltd.
25. Platform Petroleum Ltd.
26. Universal Energy Limited / Sinopec
27. Sahara Field Productions Ltd.
28. Oriental Energy Resources Ltd.
The Committee has extended the deadline for the affected companies by an additional week to submit all necessary documentation related to their statutory obligations and appear before the Committee.
He stated, “If compliance is not achieved within this timeframe, strict legislative and regulatory sanctions will be imposed to enforce accountability and ensure adherence.”
The lower legislative chamber stated that only two companies were identified as having fully fulfilled their royalty obligations.
1. Shell Petroleum Development Company (SPDC)
2. Shell Nigeria Exploration & Production