Capital Oil Pays NNPC N2bn For Diverted Products

The chief operating officer, downstream-NNPC, Mr. Henry Nkem Obi disclosed in his presentation at a two-day investigative hearing organized by the House Committee on Petroleum (Downstream) on the disappearance of petroleum products and the spate of kerosene explosions in the country.

He said that upon discovering that Capital Oil had diverted the petroleum products in its custody, the corporation reached out to relevant and sister agencies to help in the recovery of the diverted products.

“We’ve since engaged in the process of negotiations for defaulting party to return products to storage or pay the cash equivalent. Capital Oil has paid N2 billion and negotiations to get the full payment are on-going,” the COO said.

Earlier, Speaker of the House, Yakubu Dogara, said that the disappearance of the N11billion worth of petroleum products belonging to the NNPC from the Capital Oil tank farm in Lagos, was capable of jeopardizing the nation’s economy by reducing government’s revenue and hampering efforts to exit from economic recession.