An adhoc committee of the House of Representatives investigating oil revenue leakages and the activities of the Department of Petroleum Resources (DPR), yesterday directed New Cross Energy Limited to provide evidence of royalty payment or risk suspension of its operating license.
Representatives of the oil firm, Adesina Shittu, while offering explanations before the committee, noted that his company was reconciling payment plan with the DPR and would commence payment as soon as the plan was concluded.
The committee was however not persuaded by his argument, and threatened suspension of the company’s operating license pending when it was able to pay its debts.
Chairman of the committee, Hon Jarigbe Agom Jarigbe, noted the company’s debt profile would increase if it was not cautioned.
The committee demanded the oil firm to produce evidence of payment by Wednesday and report back or face sanction.
Meanwhile the committee cleared Continental Oil which hitherto owed the sum of $18million, having paid the sum in two tranches.
The decision to clear the company followed prove of payments presented by its legal adviser, Michael Madoghwe, to the effect that it has cleared all outstanding liabilities owed DPR.
Madoghwe had told the panel that the issue of payment of royalty and the settlement between parties was very important which led to the splitting of the debt into two.
He said while the first tranche of $8million was paid on May 31, the outstanding of $10million was paid on June 5, to which he presented receipts.ww
All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from LEADERSHIP Nigeria Newspapers. Contact: email@example.com
- OPINION16 hours ago
Buhari: Workers’ New Bride
- NEWS14 hours ago
Kogi Govt Commences Payment Of 4 Months’ Salary To Workers
- BUSINESS24 hours ago
Minimum Wage: Labour Appeals To PMB To Expedite Action
- NEWS24 hours ago
PMB Signs Extradition Bill, 4 Others
- NEWS22 hours ago
Minimum Wage: Omar Commends FG, NLC
- CRIME8 hours ago
Teenage Female Suicide Bomber Arrested In Borno
- NEWS10 hours ago
FG Signs MoU To Take Over Farin Ruwa Dam Project
- NEWS9 hours ago
Drama In Court! Woman Makes U-Turn On Divorce, Begs For Mercy