Former Vice President Atiku Abubakar has urged President Bola Tinubu to clarify the details of the $3.3 billion emergency crude repayment loan obtained by the Nigerian National Petroleum Company Limited (NNPCL).
Last August, NNPCL secured the loan from the African Export-Import Bank to stabilize the foreign exchange market, and recently, $2.25 billion was received by the Federal Government.
Atiku, the 2023 presidential candidate of the Peoples Democratic Party (PDP), expressed concerns about the lack of public information on the deal. He highlighted the involvement of a Special Purpose Vehicle (SPV) named Project Gazelle Funding Limited, incorporated in the Bahamas, as the borrower.
According to Atiku, the NNPCL serves as the sponsor with an agreement to repay the loan with crude oil, carrying an interest rate slightly over 12 percent.
The former Vice President questioned the Federal Government’s decision to register a company in the Bahamas, considering the country’s association with the Paradise Papers scandal.
Atiku raised alarms about the repayment terms, revealing that Nigeria, with a daily production of 1.38 million barrels, is committed to supplying 90,000 barrels daily from 2024 to reach 164.25 million barrels for loan repayment.
Atiku emphasized the disturbing details, pointing out that the crude oil’s estimated value for repayment, based on Nigeria’s benchmark of $77.96 per barrel in 2024, amounts to a significant $12 billion.
He called for transparency, urging the Federal Government to provide clarity on the apparent discrepancy of around $7 billion between the deal’s documented details and its potential reality.
In his statement, Atiku insisted that the Federal Government must address the public’s questions and offer transparency regarding the controversial NNPC loan deal.
