Unbelievable! Is This Even Real? NNPCL Burns Through 8 Million Barrels A Month Just To Pay Off $8.8 Billion Debt?! How Did We Get Here? Full Shocking Report Inside

According to an analysis based on the Nigeria Extractive Industries Transparency Initiative (NEITI) report and NNPC financial statements, the oil company has so far repaid $2.61 billion—about 29.4% of the total loan—leaving $6.25 billion still outstanding.

Key projects financed through these deals include Project Panther, a joint venture between NNPC and Chevron Nigeria Limited, which secured a $1.4 billion loan. Another notable project, Project Bison, involves NNPC’s acquisition of a 7.25% stake in the Dangote refinery, backed by a $1.04 billion loan. These loans are serviced by pledging crude oil output.

Project Eagle Export Funding, initiated in 2020, involves three separate loan tranches, including the most recent $900 million loan, set to be repaid by 2028. Project Yield, which supports the Port Harcourt Refining Company, involves a $950 million loan backed by 67,000 barrels per day of crude oil, though fuel production at the refinery has faced delays.

NNPC also secured a $3 billion loan under Project Gazelle, aimed at stabilizing Nigeria’s foreign exchange market. As of late 2023, $2.25 billion had been drawn from this facility, with repayments scheduled to begin mid-2024.

These crude-backed loans come at a time when Nigeria’s oil production has significantly declined. NEITI’s 2022-2023 report showed crude oil production dropped to its lowest levels in a decade, while issues like oil theft, sabotage, and unscheduled maintenance continue to hinder recovery efforts.

Despite attempts to tackle these challenges, Nigeria lost an estimated 5.25 million barrels to oil theft in 2023, further straining production output. Meanwhile, NNPC is exploring additional oil-backed loans to settle outstanding debts and boost its finances.

President Bola Tinubu has been pushing for reforms to stabilize Nigeria’s economy, including eliminating fuel subsidies and supporting local refineries through crude supply paid for in naira. Starting in October, NNPC began supplying 385,000 barrels of oil per day to the Dangote refinery, marking a shift in how crude transactions are handled domestically.