A total of one hundred and ninety-eight (198) extractive companies and government agencies have submitted volumes of information and data for the ongoing audit in the oil, gas, and mining industries by the Nigerian Extractive Industries Transparency Initiative (NEITI).
NEITI Acting Director/Head Communications & Stakeholder Management, Mrs. Obiageli Onuorah in a statement on Monday, quoted the Executive Secretary of NEITI, Dr. Orji Ogbonnaya Orji, to have announced this in Abuja while addressing a meeting of leaders from civil society organizations involved in the extractive sector.
Dr. Orji explained that out of the 198 companies, 63 are in the oil and gas industry, meeting the materiality threshold of a minimum royalty payment of five million dollars, while 135 companies, which met the materiality threshold of six million naira, are from the solid minerals industry.
On the government agencies that either receive, take custody or manage oil, gas and mining revenues, 14 of such agencies for the oil and gas and 8 relevant agencies for the solid minerals sector are covered by the ongoing NEITI industry reports. The agencies are expected to disclose all payments received and expenditure incurred during the period under review.
Dr. Orji explained that the level of participation of extractive companies in the ongoing industry audit is higher than in the last exercise conducted in 2021, where 190 oil, gas, and mining companies were covered.
This included 121 solid mineral companies and 69 oil and gas companies that met the materiality threshold of five million dollars and three million naira in royalty payments, respectively, for reconciliation in the oil, gas, and mining sectors.
“The ongoing 2022/2023 Oil, Gas, and Solid Minerals Industry Reports have reached an advanced stage, in fact, the final stage,” disclosed Dr. Orji. He added that the data reconciliation and validation meetings for the oil and gas extractive companies and relevant government agencies were held and concluded in Lagos last week.
Dr. Orji welcomed the renewed commitment, partnership, and cooperation of the oil, gas, and mining companies in the ongoing independent audit exercise, applauding the high quality of participation and voluntary disclosure of data.
He announced that a similar exercise (Data Reconciliation/Validation) for the solid minerals industry would begin in Lagos from Monday, 26th August to 28th August 2024, and in Abuja shortly after the Lagos exercise, setting the stage for wider stakeholder reviews and interface on the draft reports.
NEITI is tracking revenues earned between 2022 and last year, the quantity of oil, gas, and mining produced, consumed, or imported or exported, the revenues earned and remitted to appropriate government coffers, and the relevant government agencies that collected or expended such revenues.
NEITI is also tracking how the processes undertaken during these transactions measured up to the standards of transparency and accountability in line with the global Extractive Industries Transparency Initiative (EITI), of which Nigeria is a signatory and a founding member.
Dr. Orji informed the Civil Society Organisation leaders that a meeting of the National Stakeholders Working Group (the NEITI Board) would be convened next month (September 2024) to deliberate and make decisions on the draft report.
