HEDA Writes AGF, Urges Recovery of Over $55 billion Owned by IOCs

The Human and Environmental Development Agenda (HEDA Resource Centre) has called on the Honourable Attorney-General of the Federation, Prince Lateef Fagbemi, SAN, to take immediate action to recover over $55 billion owed to the Nigerian government by International Oil Companies (IOCs). This demand is based on the Supreme Court ruling in Suit No. SC/964/2016 mandates the recovery of additional revenue under the Deep Offshore and Inland Basin Production Sharing Contract Act.

In a formal letter addressed to the Attorney-General on behalf of HEDA Resource Centre by its Solicitor Bolarinwa Elijah Aidi, SAN, it emphasized the urgent need to recover the outstanding sums owed by the IOCs. The judgment, delivered by the Supreme Court on October 17, 2018, ordered the adjustment of the revenue-sharing formula between the Nigerian government and the IOCs whenever crude oil prices exceed $20 per barrel. This adjustment, which has not been implemented since 2004, is expected to yield over $55 billion for the Federation.

Despite the clear mandate of the Supreme Court, the recovery process has been stalled due to various manipulations from the IOCs and subsequent suspension of recovery actions by the former Attorney-General of the Federation, Mr. Abubakar Malami, in 2020. HEDA believes this delay has further exacerbated the country’s economic challenges and has deprived the nation of much-needed revenue.

HEDA urges the Honourable Attorney-General, Prince Lateef Fagbemi, SAN, to exercise his authority to ensure the swift recovery of these funds. The recovery will not only stabilize the Nigerian economy and support the Naira but also provide much-needed financial relief for critical development projects across the country.

The anti-corruption organization stated its unwavering committed to holding of all parties accountable, and ensuring that Nigeria receives its rightful share of revenues under the law. It has promised to, should the recovery process continue to face delays, pursue further legal actions to protect the interests of the Nigerian people.

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