The Nigerian National Petroleum Corporation NNPC limited says it has recorded significant financial improvement in its financial performance over the past three years turning up the curve from losses to profit.
The Managing Director and Chief Executive Officer of NNPC Limited, Melle Kyari, announced this on Tuesday in Abuja Nigeria’s Capital.
He said that the Company has progressed to a new level of performance despite the challenging operating environment.
“Today I’m happy to announce that the Board of NNPC Limited has approved 2021 audited financial statements, and NNPC has progressed to a new performance level, from 287 billion naira profit in 2020 to a 674 billion naira profit after tax in 2021, climbing higher by 134.8 percent of profit growth”.
Melle Kyari said in the 2020 Audited Financial Statement approved by President Muhammadu Buhari, NNPC declared a profit after tax of 287 billion naira for the first time in 44 years adding that the feat was as a result of deliberate policies and initiatives made by the management of NNPC Limited.
Melle Kyari expressed happiness that the deliberate policies and initiatives rolled out by the company aimed at reducing costs and eliminating losses through technology has started yielding results.
Vandalism
On the challenges posed by oil theft and vandalism, Kyari said government agencies and private contractors are working hard to ensure that the menace is tackled headlong adding that under normal circumstance the NNPC has the capacity to produce up to 2.49 million barrels per day.
“Today our production is around 1.2 million barrels per day. We have proven capacity, our production without any intervention peaked at 2.49 million barrels per day. That means we have capacity without doing anything extra to produce up to 2.49 million barrels per day. But since Covid-19 got abated and of course issues around the acts of vandalism returned we saw a gradual decline in our production” he said.
According to Kyari, the challenging operating environment notwithstanding, the management of NNPC believes that the company has the potential to deliver better value to shareholders.
He also added that the group financial position recorded an increase in Total Assets from N15.86 trillion in 2020 to N16.27 trillion in 2021, while the total liabilities decreased by 8.3 percent from N14.68 trillion in 2020 to N13.46 trillion in 2021.
Emmanuel Ukoh
