By Joy Odor, Abuja
The House of Representatives has raised the alarm over possible financial irregularities in Nigeria’s Liquefied Natural Gas (LNG) operations, as Hon. Nnamdi Ezechi called for an urgent probe into the non-reporting and non-remittance of proceeds from the nation’s equity stake in the multi-billion-dollar LNG venture.
Ezechi, in a motion that shook the chamber, revealed that while the Nigeria Liquefied Natural Gas Limited (NLNG) incorporated in 1989 as a joint venture between NNPC Limited, Shell, TotalEnergies, and Eni has NNPC holding the lion’s share of 49 percent, a parallel company known as NNPC LNG Limited was quietly set up in 2012 in the Cayman Islands.
The offshore subsidiary, he said, was ostensibly created to manage LNG sales for NNPC but has allegedly operated behind a veil of secrecy.
According to the lawmaker, financial transactions and statements of the Cayman-based entity have not been transparently reported to either NNPC Limited or the NLNG itself.
This opacity, he warned, could mean that billions of dollars in dividends, taxes, and statutory payments due to the Federal Government may have been diverted or withheld.
Ezechi further alleged that unexplained deductions are being made from the proceeds of LNG sales particularly from the segment known as Equity LNG without disclosure or approval from the Federal Government.
These actions, he said, point to possible financial impropriety and a grave loss of national revenue.
“The House cannot stand idle while national assets and revenues are shrouded in offshore secrecy,” Ezechi declared, urging immediate legislative scrutiny into the dealings of NNPC LNG Limited.
Following the motion, the House mandated its Committee on Gas Resources to launch a full-scale investigation into the operations, financial reporting, and remittance practices of NNPC LNG Limited in relation to NLNG.
The committee is expected to report back within four weeks for further legislative action.
The revelation has reignited debates over transparency and accountability in Nigeria’s oil and gas sector, with analysts warning that the alleged Cayman connection could represent one of the most significant financial leakages in the nation’s energy history.
