President of Chevron International Exploration and Production, Mr. Clay Neff, has disclosed that the Company’s average annual tax and royalty remittances to Nigeria over the past three years had reached $3.4 billion.
Mr. Neff disclosed this on Tuesday when he led a delegation in a courtesy visit to President Bola Tinubu at the State House in Abuja.
He pledged that the company would continue to operate in full adherence to the highest standards, even as it meets its investment commitments in Nigeria.
He highlighted the company’s contributions to domestic gas supply, noting the delivery of 25% gas through a joint venture with NNPC Limited.
He said Chevron was also scaling up its investments in the country with its recent efforts in a new phase of development to include: “the conversion, under the Petroleum Industry Act, of all the NNPCL/Chevron Nigeria Limited Joint Venture (JV) Oil Mining Leases (OMLs) and Agbami OML 127 to Petroleum Mining Leases and Petroleum Prospecting Licences (PPLs); entry into OPL 215 block to boost deep-water development opportunities;
“signing of 20-year renewal of three deepwater leases; commencement of seismic data acquisition in several deepwater leases; commencement of life extension work on the Agbami project, and, in partnership with NNPCL, securing of $1.4 billion financing to fund the NNPCL/CNL JV infill drilling programme between 2022 to 2026, which includes the drilling of 37 wells in the shallow offshore and onshore Escravos area and associated facilities”.
In his reaction, President Bola Tinubu welcomed Chevron’s commitment to build on its investments in shallow and deep water operations in Nigeria, noting the company’s ongoing $1.4 billion drilling project with the Nigerian National Petroleum Company Limited (NNPCL).
He also commended Chevron for its dedication to reducing its carbon footprint in the country.
”You must see the PIA as a legacy law. We assure you of quick interventions and turnaround on any issue you may have in your operations in our country. ”Nigeria is proud of the 60-year partnership with Chevron, and we believe this partnership will be strengthened to add mutually beneficial value for the benefit of your shareholders as well as the living standards and economic opportunities of our population,” President Tinubu said.
In a statement by the Special Adviser to the President on Media & Publicity, Chief Ajuri Ngelale on Tuesday, Tinubu assured the delegation that his administration would continue to provide the needed interventions in the oil and gas industry in line with the provisions of the Petroleum Industry Act (PIA).
