Seven International Oil Firm Under Probe Over Non Remittance Of 21 Billion Dollars

Nigerian Senate has asked three of its committees to probe seven different international oil companies after their alleged refusal to remit about $21 billion to the federal government.

Naija News understands that the upper chamber gave the mandate after Senator, Ifeanyi Ubah (Anambra South) raised a motion with regards to the IOCs alleged refusal to honour the provisions of the Production Sharing Contracts Act.

In his lead debate, Ubah urged the Senate to note that “as a result of the non-review and amendment of the PSC Act, the Federal Government has lost about US$21 billion (about N7trillion) over a period of 20 years due to the failure to review and amend the PSC Act as stated by the Honourable Minister of State for Petroleum Resources following the meeting of the Federal Executive Council on the 14th day of December, 2017.”

He also  stressed the need to thoroughly investigate reasons for the failure to review the salient provisions of the PSC Act,

He said beyond the crude oil price of $20, the share of the Federal Government of Nigeria in the additional revenue was adjusted to the extent that the PSCs shall be economically beneficial to the FG in accordance with the provisions of the Act.

The Senate after a debate on the issue mandated committees on Petroleum Resources Upstream; Judiciary and Legal Matters, and that of Finance, to investigate reasons for the failure to review the salient provisions of the PSC Act.