NNPC cuts trading deficit by N2.75bn

…records marginal decline in petrol importation as refining capacity increased by 29%

 

The Nigerian National Petroleum Corporation (NNPC) said it has cut trading deficit by N2.75billion helped by application of its new re finery business model where each refinery purchases crude oil at export parity price, processes and sells the corresponding products on its own account.

According to the monthly financial and operations report for January released April 11, the Corporation recorded N2.75billion reduction in its trading deficit in the period under review putting the total trading deficit at N14.26billion.

“The combined value of output by the three refineries (at import parity price) for the month of January 2017 amounted to ₦99.13 billion while the associated Crude plus freight costs was ₦88.24 billion, giving a positive margin of ₦3.36 billion after considering an overhead of ₦7.52 billion,” NNPC said in the report.

“This represents about 16.19 per cent improvement compared to N17.01billion recorded in December, 2016, in spite of the Corporation’s challenging situations which limit its aspiration to profitability”, the report stated.

Fuel import into Nigeria reduced by 6.3 percent to 40.9m litres in January as the Nigerian National Petroleum Corporation (NNPC) raised combined installed capacity utilization of the country’s refineries located in Port Harcourt, Warri and Kaduna increased by 29 percent.

 

 

 

Details Later…