Four oil companies operating in Nigeria have remitted an additional $14.2 million into the Federation Account as part of an ongoing investigation by the House of Representatives Public Accounts Committee.
This latest recovery is part of the over N9 trillion owed to the Federation Account, as revealed in the 2021 financial year report of the Auditor General for the Federation, which is currently under investigation by the committee.
The four companies, which include Platform Petroleum Ltd ($1.9 million), Midwestern Oil and Gas Ltd ($1.578 million), Universal Energy ($523,845), and Aradel Energy Ltd ($10.3 million), were asked to remit these funds following a series of audits by the committee.
According to Akintunde Rotimi, the House spokesperson, the committee had earlier recovered approximately $19.24 million from other companies. Rotimi also quoted Bamidele Salam (PDP, Osun), Chairman of the Public Accounts Committee, who praised the leadership of Speaker Abbas Tajudeen for his firm commitment to legislative oversight and accountability. Salam stated that Speaker Abbas' support has allowed the committee to operate independently and effectively, resulting in the successful recovery of these funds.
“The independence granted to committees like ours has enabled us to carry out our mandate diligently, ensuring that public funds are properly accounted for. This approach has been instrumental in our ability to recover these substantial sums,” said Salam.
The committee also announced that it has issued a seven-day ultimatum to four additional companies, demanding they remit a total of $23.2 million (approximately N34.8 billion) or face enforcement actions. These companies are Total Energies ($2 million), Seplat Energies (SPDC) ($6.036 million and N1.5 billion), Aradel Energy Ltd ($12.1 million), and Network Exploration ($3.1 million). Failure to comply will result in public sanctions, including the naming of defaulters in national newspapers.
Salam emphasized the committee’s commitment to enforcing compliance, warning that any companies that fail to meet their obligations will face the full weight of legislative oversight.
In a related development, the committee expressed concerns about the failure of several companies named in the Auditor General's report to honor invitations to appear before it. Companies such as Frontier Oil and Gas, Conoil Producing, Walter Smith Petrochemical, Bilton, Energia Ltd, Aiteo Petroleum Ltd, and Pillar Oil Ltd are now under increased scrutiny and may face further actions if they continue to evade accountability.
The committee also directed First E&P Oil Company to reconcile an outstanding balance of $90 million with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). The company has been asked to appear before the committee on April 16, 2025, to finalize the matter.
“The actions of the Public Accounts Committee reflect the House of Representatives’ increasing resolve to ensure transparency, accountability, and financial discipline in the Nigerian oil and gas sector,” said Rotimi. "Ongoing investigations are expected to uncover more discrepancies, with the Committee continuing its public hearings on the 2021 Auditor General’s report, which revealed that over ₦10 trillion in payments remain outstanding to the Federation Account from industry operators."
“The era of impunity and financial recklessness in the oil and gas sector is coming to an end. We are determined to recover every kobo owed to the Nigerian people and ensure that public funds are managed with the highest level of integrity,” Rotimi concluded.
