NMDPRA, CBN required to Establish Reliable Data for Transportation of Crude Oil

The Central Bank of Nigeria (CBN), the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), and other pertinent organisations are required to establish reliable data required for determining the appropriate methodology for the transportation and bulk storage of crude oil and natural gas in Nigeria.

Chief executive of NMDPRA, Farouk Ahmed revealed this in a statement released by the organisation over the weekend in Abuja at the 2022 Petroleum Liquid Inventory Reconciliation Exercise.
The NMDPRA, Nigerian Upstream Petroleum Regulatory Commission, crude oil and gas exporting businesses, CBN, and the Nigeria Extractive Industries Transparency Initiative were reportedly participating in the exercise.

The enhanced data ecosystem, according to Ahmed, who was represented by Ogbugo Ukoha, Executive Director, Distribution Systems, Storage, and Retailing Infrastructure, NMDPRA, will include petroleum liquid amounts evacuated by trucking, barging, and pipelines.

According to the NMDPRA head, the reconciliation operation was planned to establish and certify consistent data on midstream statistics pertaining to crude oil, condensates, natural gas, and its derivatives.

The reconciliation operation was planned to establish and certify consistent data on midstream statistics pertaining to crude oil, condensates, natural gas, and its derivatives.
“The reconciled data will provide the basis for the administration of petroleum liquid supply licenses and guide the appraisal of licenses, authorisations and approvals issued in the midstream sector relating to petroleum transportation, storage and exports.

“This reconciliation will be beneficial to our stakeholders, in that, the dataset will also be of interest for NEITI audit, OPEC questionnaire and joint oil data initiative.
“It will also assist the National Assembly in its oversight function.
He said the authority will keep ensuring the availability of trustworthy data for all petroleum operations across the nation in its capacity as the custodian of the petroleum products data bank.

The Petroleum Industry Act 2021 requires the NMDPRA to routinely reconcile data on revenues at crude oil terminals, exports, deliveries to refineries, transportation of oil and gas, and other information that are relevant to the Federation and have an impact on the payment of royalties.

Source: Allnews Nigeria

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