FG Generates $6.4bn from Shell in 2018

  • FG Generates $6.4bn from Shell in 2018

Shell Nigeria, Nigeria’s largest foreign investor, paid a total of $6,397,325,844 to the Federal Government in 2018.

The company disclosed this in its annual sustainability report published on Tuesday.

Breaking down the report, the oil company explained that $3,776,418,858 was paid as production entitlement, $976,598,706 as fees, $358,161,091 as royalties and $1,286,152,191 as taxes to Nigeria in 2018.

The total amount was higher than the $4.3 billion paid in 2017.

Also, the Nigerian National Petroleum Corporation (NNPC) received the largest amount on behalf of the government, Shell paid NNPC $3,776,418,858 as Nigeria’s share of oil production from projects operated by the company in 2018.

While the Federal Inland Revenue Service (FIRS) received $1.28 billion as taxes for the government.

The Department of Petroleum Resources (DPR) collected $358,161,09 as royalties and $895,062,325 as fees while the sum of $81,531,381 was paid to the Niger Delta Development Commission NDDC) as fees.

The report showed Shell paid Nigeria the highest amount among all the 34 nations it operates worldwide.

The closest to Nigeria is Malaysia, which received $4,750,124,510, followed by Norway with $4,210,963,976 and Oman with $3,214,036,496.

About the Author

Samed Olukoya
CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade long experience in the global financial market. Contact Samed on Twitter: @sameolukoya; Email: [email protected]

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