Three oil companies, Chorus Energy, Dubril Oil company limited, and Belema Oil, have admitted owing the federal government the sum of $5,543,491.45.

The companies made this known at the ongoing investigation by the Public Accounts Committee of the House of Representatives prompted by the Auditor General’s report.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC), represented by Mr. Balarabe Haruna outlined the outstanding debts of the companies.

He revealed: “Chorus Energy owes a total of $814,680.06 and N181,954,238.43, comprising $396,907.76 for crude oil by price and $417,772.13 for crude oil by production.

“Dubri Oil owes $3,025,193.71, which includes $646,605.55 for crude oil by production and $2,378,588.15 for gas flare.

“Eroton Exploration & Production owes $78,486,333.27, made up of $45,094,125.31 for crude oil by production, $33,392,207.96 for gas flare, and $916,027.00 for concession rentals.

“Belema Oil owes $1,703,617.68, including $977,793.54 for crude oil by price, $511,870.14 for gas flare, and $213,954.00 for concession rentals.”

In its response, Belema Oil confirmed the debt, citing operational challenges as the cause of the indebtedness.

The Managing Director of the company, Ahmad Sambk said Belema Oil had been unable to meet its production targets since August 2022 due to issues with the evacuation pipeline system, which had experienced significant leakages, leading to the loss of nearly 5 million barrels of crude oil.

These challenges, he said, had resulted in a complete shutdown of operations, preventing the company from fulfilling its financial obligations.

Also, the Chief Financial Officer of Chorus Energy, Mr. Oluseyi Simon, said the company’s debt arose after an increase in the crude oil price rate from 0.5% per cent to $3.5 per cent.

He noted that the company has consistently paid its liabilities and that it had already paid $5.3 million in 2024 alone.

Simon assured the committee that the remaining balance would be cleared before the end of the month.

Also, the Acting Managing Director of Dubri Oil, Mr. Clement, acknowledged the debt and explained that the company’s financial difficulties stemmed from a decline in production during the first quarter of 2024.

He emphasised that the company had been trying to mitigate the situation through workovers on its wells, but the efforts were unsuccessful.

Clement assured the committee that Dubri Oil planned to begin drilling new wells and, once production increased, would settle the outstanding debt.

He further revealed that Dubri Oil had been in discussions with the Economic and Financial Crimes Commission (EFCC) and had agreed to a payment schedule, with an expected resolution by the third quarter of 2025.

The Chairman of the investigation sub-committee, Hon. Akinlade Isaq, expressed anger over the failure of oil companies to meet their financial obligations and stressed the urgency of retrieving the owed funds.

“Paying off these outstanding debts is not just a matter of financial responsibility, it is a critical step toward improving governance in Nigeria,” Isaq stated.

The committee, therefore, unanimously gave the oil companies a strict two-week ultimatum to settle their debts.