The Federal Government has dismissed recent media reports claiming that forward crude oil sales by the Nigerian National Petroleum Company Limited (NNPC Ltd) have collapsed.

In a statement released on Wednesday by the Federal Ministry of Finance, the government clarified that no final decision has been made regarding such transactions, and any suggestion of a collapse is “unfounded.”

“While market speculation is not uncommon in the context of ongoing economic reforms and transactions, no final decision has been announced by the Government,” the statement read.

Mohammed Manga, Director of Information and Public Relations at the ministry, emphasized that the government remains committed to responsible financial strategies aimed at strengthening the economy.

“The Government remains focused on deploying a range of innovative, transparent, and fiscally responsible financing strategies to optimise Nigeria’s oil assets, improve external liquidity, and strengthen macroeconomic stability,” he added.

The statement follows growing speculation that a series of forward crude oil sales had faltered. Since 2019, NNPC Ltd has reportedly entered 11 forward oil sale agreements totaling $21.565 billion — deals that have impacted the company’s ability to meet Domestic Crude Supply Obligations (DCSO) to local refineries.

Despite these challenges, the government insists the forward sale program is still under consideration and has not failed.