The new Group Managing Director (GMD), of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, has disclosed that the Corporation is running at a loss; insisting that the pump price rate of N145 per litre for Premium Motor Spirit (PMS), is the bane on its revenue drive.
Kyari who made this known recently, when the Heads of revenue generation Agencies and Corporations met with the Leadership of the Senate, at the National Assembly Complex, in Abuja, said that the pump price of PMS, otherwise known as petrol in Nigeria, was over 70 percent less the price of N350 per litre, in the neighbouring countries where the products are being smuggled to for higher profits.
He further noted that the Nigerian pump price of N145, is the cheapest in the entire West African sub-region.
He said: “It is even very difficult for us to make the Petroleum Product available at N145.”
Speaking on upstream sector investment, the NNPC GMD expressed concern that Nigeria was yet to earn the volume of revenue it generates from crude oil, from its gas production.
He disclosed that its daily production of crude oil has recently increased to 2.3 million barrel daily production, compared to 1.6 million barrel recorded on a daily basis, in 2016.
He assured the Senators that the Corporation would meet the revenue projection of the Appropriations Act, since according to him, the NNPC is working tirelessly with the Customs and Security Agencies, in controlling and containing cross border activities of the oil smugglers.