The Group Managing Director, Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, has indicated that the corporation will clear its cash call debts to its Joint Venture (JV) partners before the anniversary of the first $400 million payment it made to them in April this year, THISDAY reports.
The NNPC in December 2016 got a discount of $1.7 billion from the $6.8 billion it owed its JV partners as cash call obligations and was asked to pay $5.1 billion instead. This is however in addition to the $1.2 billion cash call debt owed the partners in 2016, for which $400 million was paid in April. Baru, however, explained in the statement that the NNPC would seek to balance the outstanding debts before April 2018.
He said: “We have to pay our arrears of about $6 billion that were incurred pre-2016 and we are also paying up a tranche of about $1 billion 2016 arrears. We started in April 2017 with the payment of $400 million and we will pay the balance before the anniversary of the first payment.”