Nigeria’s revenue from crude oil sales declined by 74.89 per cent in July to $55.29m, latest data released by the Nigerian National Petroleum Corporation has revealed.
The July figures marked a record low for Nigeria’s crude oil earnings.
According to NNPC, the Federal Government’s crude oil sales proceeds stood at $219.58m in June, up from $120.50m in May.
Nigeria’s crude oil revenue had fallen from $336.65m in January to $281.14m in February.
The revenue had earlier declined to $184.59m in March and $148.86m in April.
Brent, against which Nigeria’s crude oil is priced, slumped to $15.98 per barrel in April from $70 per barrel in January but stood at $43.15 per barrel as of 7:30pm Nigerian time on Sunday.
The NNPC latest monthly report said, “A total export sale of $84.63m was recorded in July 2020, decreasing by 66.95 per cent compared to last month. Crude oil export sales contributed $55.29m (65.34 per cent) of the dollar transactions compared with $219.58m contribution in the previous month.
“The July 2019 to July 2020 crude oil and gas transactions indicated that crude oil and gas worth $3.91bn was exported.”
The report added that gas export sales amounted to $29.33m in July.
The NNPC also noted that proceeds from crude oil sales were remitted into the Federation Account.
“Equity export receipts, after adjusting for joint venture cash calls, are paid directly into Federation Account domiciled in the Central Bank of Nigeria.
“Domestic crude oil of 445,000bpd is allocated for refining to meet domestic products supply.
“Payments are effected to Federation Account by NNPC after adjusting crude and product losses and pipeline repairs and management cost incurred during the period,” the report said.
Oil and gas accounts for about 50 per cent of the Federal Government’s revenues and over 90 per cent of export earnings.