The House of Representatives Committee on Public Accounts has ordered OML18 Resources Limited, formerly Sahara Field Production Limited, to remit $4.02 million to the Federation Account within five days.
The directive came during a public hearing on Wednesday as the Committee continued its probe into unpaid obligations by oil and gas firms. The investigation stems from the 2021 audit report by the Office of the Auditor-General for the Federation and data submitted by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), revealing that 45 oil companies collectively owe the federal government approximately $1.7 billion.
During the session, Balarabe Haruna, who represented the NUPRC, told lawmakers that OML18 Resources Limited owes a total of $20,232,978.58. The sum includes $17.37 million in unpaid crude oil royalties and $2.86 million in gas flare penalties. Additionally, he noted that the company is yet to remit N173.7 million in gas sales revenue.
In response, Mrs. Olutobi Pamilerin Dairo, Team Lead of the Commercial Department at OML18 Resources, acknowledged the outstanding liabilities. “I agree there are liabilities,” she stated, affirming that the figures presented by the NUPRC are accurate and reliable.
Committee Chairman, Rep. Bamidele Salam (PDP, Osun), emphasized the critical need for the federal government to recover the funds. “This matter is of national concern. These funds belong to the Federation Account and must be remitted. Nigeria urgently needs this revenue,” he said.
The Committee consequently directed OML18 to immediately pay 20 percent of its total indebtedness, equivalent to $4.02 million, within five days. The company is also expected to conduct a reconciliation exercise with the operator of the OML18 asset and return to the Committee within 14 days with a full report and breakdown of all outstanding amounts.
The House has in the past taken similar actions to recover government revenue from defaulting oil firms. In 2021, PAC mandated several marginal field operators to pay over $10 million in backlogs, while in 2022, it summoned executives of companies over unpaid dues totaling $6 billion.
SOURCE: independent.ng
