Revenue: NEITI Says Nigeria Lost $16bn To Production Sharing Contracts - Liberty TV/Radio - News - Voice For All! Vision For Alll!
Publisher (F.BA)
March 1, 2019
The Nigeria ExtractiveIndustries Transparency Initiative, NEITI said that Nigeria lost at least 16billion dollars in ten years due to non-review of the 1993 Production SharingContracts, PSC with oil companies.
This was one of thehighlights of the latest report by NEITI released in Abuja which was tagged“The Steep Cost of Inaction”. It said that the losses were recorded between2008 and 2017.
The study done inconjunction with Open Oil, a Berlin-based extractive sector transparency group,found that the losses could be up to 28 billion dollars if, after the review,the Federation were allowed to share profit from two additional licenses.
NEITI, therefore,called for an urgent review of the PSCs to stem the huge revenue losses to theFederation.
It added that thereview was particularly important for Nigeria because oil production from PSCshad surpassed production from Joint Ventures with PSCs now contributing thelargest share to federation revenue.