Reps Recover N28.7 Billion from Seplat, Other Oil Firms as Another Company Leaves Nigeria
- The House of Representatives has disclosed that it recovered outstanding revenues of $19.241.109.34 from two oil companies
- The companies include Chorus Energy, which paid a debt of $847,632 AND Seplat at $18.39 million, all in March 2025
- The debt recoveries were remitted to the Federation Account, with the Committee saying it would recover the remaining debts from 45 oil firms
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Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
The House Representatives say it recovered outstanding revenues amounting to $19.241.109.35 from two oil firms indebted to the Federation Account.
The House Committee on Public Accounts announced the recovery following an investigative hearing on the 2021 Audit Report, focusing on 45 oil firms’ collective debt of $1.7bn in outstanding debt to the Federation Account.
Source: Twitter
Seplat, Chorus Energy settled N28.7bn debts
Reports say Chorus Energy Limited paid an outstanding debt of $847,623 on March 11, 2025, while Seplat Production Development Limited remitted $18.39 million between March 10 and March 14, 2025.
Also, Shoreline Resources Limited made a $30 million payment out of the $100 million debt before the investigation commenced and later requested a structured payment plan for the outstanding $70 million.
At the Committee’s hearing, Balarabe Haruna, representative of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) said that due to recent reconciliations, Seplat Energy Producing Unlimited now holds a credit balance of $211.911.09 for crude oil royalties, $33.01 million in penalties for gas flaring, and $163.046.40 for concession rentals, with no outstanding liabilities.
House of Reps list debt-free companies
Similarly, the Committee said it would deploy all sanctions to recover the outstanding debt from the remaining 38 oil companies under investigation.
According to the Committee’s chairman, about three oil companies have fully settled their debts and are no longer financially culpable.
The companies include Amalgamated Oil Company Nigeria Limited, Seplat Energy, Shell Exploration and Production, and Shell Petroleum Development Company.
The Committee also confirmed the recovery of N199.3 million during a Remita investigation out of the outstanding N6.8 billion excessive charges levied between March and October 2015 and unremitted VAT on transactions via the Remita platform from 2015 to 2022.
Crude oil prices crash
The development comes as oil prices continue to tumble in the international markets.
Legit.ng earlier reported that Nigeria’s Bonny Light crude dropped by 10.6% to $73.53 per barrel from $84.02 in January, sending fears over the performance of the Nigerian government’s 2025 budget and revenue target.
The 2025 budget benchmarked oil prices at $75 per barrel, oil production at 2.06 million barrels per day, and a revenue projection of N36.35 trillion, of which 56% was projected to come from oil sales.
Crude oil price decline threatens Nigeria’s economy
Experts say the decline in oil prices represents a 6.6% potential dip in Nigeria’s oil revenue target, worsened by declining oil output below 2.06mbpd.
Data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) revealed that Nigeria’s oil output stood at 1.737 million barrels per day in January this year, from N1.667 million recorded in December 2024.
Muda Yusuf, the chief executive officer of the Centre for the Promotion of Private Enterprise (CPPE) disclosed that the fall in energy prices has grave implications for Nigeria’s revenue.
He revealed that the fall may impact negatively on Nigeria’s budget and revenue.
Low crude prices lead to petrol price drop
He, however, said that the decline also presents a good opportunity for businesses as a decline in crude oil price could reduce the cost of petroleum products such as petrol, diesel and aviation fuel.
Source: Twitter
Vanguard reports that the national president of the Oil and Gas Service Providers Association of Nigeria (OGSPAN) Coleman Obasi said apart from affecting Nigeria’s budget negatively, low crude oil prices lead to low prices of petroleum products prices.
Shell finally exits Nigeria’s onshore oil and gas sector
Legit.ng earlier reported that Renaissance Africa Energy Holdings announced that it had completed its acquisition of Shell Petroleum Development Company (SPDC) onshore assets for $2.4 billion.
The transaction will now see Shell rebranded as Renaissance Africa Energy Company Limited.
The acquisition marks the end of Shell’s almost 100 years of operations in Nigeria’s onshore oil and gas. It is part of a larger exit by foreign energy firms from Nigeria, including Exxon Mobil, Eni, and Equinor.
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Source: Legit.ng
