The Senate has summoned the immediate past Group Chief Executive Officer of Nigerian National Petroleum Company Limited, Mele Kyari, to explain an alleged N210 trillion expenditure by the national oil company between 2017 and 2023 that lawmakers say remains insufficiently accounted for.
Also invited to appear before the Senate probe panel are the former Chief Financial Officer of the company, Umar Isa, and the former Group General Manager of the National Petroleum Investment Management Services, Bala Wunti.
The Senate committee handling the investigation warned that it could issue warrants of arrest against the former management officials if they fail to honour the invitation on a date to be communicated.
The lawmakers are also seeking explanations for an alleged N5 billion spent on the transition from the defunct Nigerian National Petroleum Corporation to the current Nigerian National Petroleum Company Limited.
Chairman of the committee, Aliyu Wadada, who represents Nasarawa West, disclosed the panel’s resolutions while briefing journalists after the meeting.
According to him, the summoned former management team is expected to appear before the committee alongside the incumbent Group Chief Executive Officer of NNPCL, Bayo Ojulari.
Wadada said the committee resolved that the national oil company must provide clear explanations for the combined N210 trillion figure cited in the audit reports.
“NNPCL should refund the sum of N210 trillion, being the combined sum of N103 trillion and N107 trillion, which were not properly accounted for as contained in the audit reports. The NNPCL should and must account for the two figures,” he said.
The committee also directed that the company remit to the national treasury all production costs charged against crude oil revenue during the period under review, noting that NNPCL and its subsidiaries, including NAPIMS, do not directly produce crude oil.
In addition, the panel recommended that the Auditor-General for the Federation conduct a forensic review of the company’s audited financial statements for the period in line with Section 85 of the Constitution of the Federal Republic of Nigeria 1999 (as amended).
Wadada explained that the resolutions were reached after the national oil company failed to provide satisfactory responses to 19 questions raised by lawmakers based on findings contained in the audit report.
He said the company had claimed that the N103 trillion represented cumulative funds expended by joint venture partners through JV cash calls since 2017, but the committee considered the explanation inadequate.
“The figure of N103 trillion remains unresolved,” he stated.
The committee also expressed concern over subsidy receivables recorded in NNPCL’s audited financial statements, which reportedly stood at N107 trillion as of December 2023.
According to the panel, the amount was listed as sundry receivables allegedly owed by various banks and other entities.
“When combined, NNPCL needs to properly account for N210 trillion,” Wadada said.
Despite the ongoing probe, the committee reaffirmed its support for the administration of President Bola Tinubu, noting that the Federal Government remains committed to strengthening transparency, accountability and responsible management of public resources within the country’s oil and gas sector.