Nigeria, Dec. 29 -- The Federal Government has approved the cancellation of a large portion of legacy debts owed by the Nigerian National Petroleum Company Limited to the Federation Account, wiping off about $1.42 billion and N5.57 trillion after a reconciliation exercise.

The decision was contained in a regulatory report prepared by the Nigerian Upstream Petroleum Regulatory Commission and presented at the November meeting of the Federation Account Allocation Committee. The clearance covers historical obligations linked to crude oil liftings, production sharing contracts and joint venture royalties accumulated up to December 31, 2024.

The News Chronicle understands that the approval followed recommendations by a stakeholder committee s...