The Nigerian Senate has directed the Nigerian National Petroleum Company Limited (NNPCL) to refund ₦210 trillion to the Federation Account, rejecting the company’s explanations for the missing funds.

The decision followed a review of NNPCL’s operations from 2017 to 2023 by the Senate Committee on Public Accounts, led by Senator Aliyu Wadada. The committee identified ₦103 trillion in accrued expenses and ₦107 trillion in receivables that lacked proper documentation in the company’s audited financial statements.

Senator Wadada emphasized that NNPCL’s responses to the committee’s 19 queries were inconsistent and insufficient. The committee was particularly concerned about the claim that NNPCL paid ₦103 trillion in Cash Calls to Joint Venture partners in 2023, despite generating only ₦24 trillion in crude revenue over five years.

“Cash Call arrangements were officially abolished in 2016, so it is unclear how the company could justify paying ₦103 trillion in a single year,” Wadada said. He described the figure as “unacceptable and unjustifiable” and insisted that the funds be returned to the Treasury.

The committee also criticized the absence of NNPCL’s Group Chief Executive Officer, Bayo Ojulari, from the resumed hearing, which was meant to clarify the company’s submissions. Wadada noted that it would be preferable for NNPCL’s management to admit difficulties in accounting for the funds rather than provide contradictory explanations.

The Senate warned that if the current management fails to provide satisfactory answers, former officials of NNPCL and the Nigerian Petroleum Investment Management Services (NAPIMS) could be summoned to testify.