At least seven oil companies indicted in the Auditor General’s report for owing millions in unpaid royalties have committed to refunding approximately $37.4 million to the Federation Account by the end of August 2025.
These companies are among 23 listed in the 2021 report by the Office of the Auditor General for the Federation for failing to meet their royalty obligations.
House spokesperson Akintunde Rotimi, in a statement issued in Abuja, confirmed that the House Committee on Public Accounts, which is investigating the audit report, secured commitments from the companies.
He however said some firms are contesting the amounts assigned to them.
The statement noted that only Shell Petroleum Development Company (SPDC) and Shell Nigeria Exploration & Production have fully complied with their royalty payments.
Meanwhile, several other companies—including Addax Petroleum Exploration Nigeria Ltd, AITEO Group, Total E&P Nigeria (OML 100, 102, 52 & 99), Conoil Plc, Oando, and Continental Oil & Gas Company Ltd—have reportedly ignored invitations from the House Committee to respond to the allegations against them.
The statement read: “Consequent upon the ongoing investigation by the Public Accounts Committee of the House of Representatives, seven major operators in Nigeria’s oil and gas industry have undertaken to remit a total of $37,435,094.52 (approximately ₦58 billion) to the Federation Account before August 2025.
“This commitment follows the Committee’s scrutiny of financial records from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), which flagged significant lapses in royalty payments and reconciliation processes across the sector.
“The pledged repayment forms part of a ₦9 trillion outstanding liability queried by the Auditor General for the Federation in the 2021 audit report submitted to the National Assembly. The debts, some of which have accrued over a period of four years, highlight longstanding revenue leakages in the oil and gas sector.
“Beyond these seven companies, the Committee’s investigation has uncovered $1.7 billion (₦2.5 trillion) owed by 45 oil and gas companies in unpaid royalty payments as of December 31, 2024”.
The statement said Belema Oil, Panocean Oil Nigeria Ltd, Newcross Exploration & Production Ltd, Dubri Oil Company Ltd, Chorus Energy, Amni International and Network Exploration have acknowledged their outstanding debts and agreed to settle them before August 2025.
It said further that Nine companies, with a combined outstanding debt balance of $429.2 million, have contested the figures and requested a reconciliation process with NUPRC to verify their actual liabilities.
The nine companies according to the statement include Aradel/Niger Delta, Chevron, STAR DEEP, Shore Line, Seplat Producing Unlimited, Esso Erha, Esso Usan, Eroton Exploration and Seplat Energy.
It said that the Committee has directed that the reconciliation process be concluded within two weeks, after which companies must settle their confirmed debts without further delay.
The statement also said that a total of 28 companies, collectively owing $1,230,708,293.14, have failed to honor invitations by the Committee or respond to public notices.
The companies that have ignored invitation by the House Committee are Addax Petroleum Exploration Nigeria Ltd, AITEO Group, All Grace Energy, Amalgamated Oil Company Nigeria Limited, Total E&P Nigeria (OML 100, 102, 52 & 99), Bilton Energy Limited, Enageed Resources Limited, Waltersmith Petroman Limited, Conoil Plc and Continental Oil & Gas Company Ltd.
Others are Energia Limited, First E&P Ltd, Frontier Oil Limited, General Hydrocarbons Limited, Green Energy International Ltd, Nigeria Agip Exploration Ltd (NAE), Neconde Energy Limited, Nigeria Petroleum Development Company (NPDC) – OML 60, 61 & 63,Lekoil Oil and Gas Investments Limited and Midwestern Oil and Gas Limited.
The companies also include Millennium Oil and Gas Company Limited, Oando Oil Ltd (OML 60, 61 & 62), Heirs Holding, Pillar Oil Limited, Platform Petroleum Limited, Universal Energy Limited / Sinpec, Sahara Field Production Limited and Oriental Energy Resources Limited.
The statement added that the Committee has given the affected companies a further grace period of one week to submit all relevant documentation regarding their statutory obligations and appear before the Committee, adding that gailure to comply within this timeframe will result in firm legislative and regulatory sanctions to enforce accountability and ensure compliance.
The statement said “the House Committee on Public Accounts remains steadfast in ensuring that all oil and gas companies operating in Nigeria adhere to statutory payment obligations in line with the Petroleum Industry Act (PIA).
“The Committee will continue to intensify oversight to recover outstanding revenues and plug revenue leakages in the industry.
“The House of Representatives reiterates that companies benefiting from Nigeria’s natural resources must comply with financial obligations to support national development. The necessary legislative measures will be taken to enforce compliance and safeguard public revenue”.
