Nigeria’s oil-producing States increase to 10

As Bauchi, Gombe continue to wait

Anambra State was formally admitted as oil-producing state, following an approval from the Revenue Mobilisation Allocation and Fiscal Commission, (RMAFC), which ratified the attribution of eleven oil wells to the State.

This is just as Bauchi and Gombe States continue to wait for recognition as oil-producing States, Delta, Akwa-Ibom, Bayelsa, Rivers, Edo, Ondo, Imo, Abia, and Lagos welcomed the new arrival.

With the Commission’s approval, which was held at its 139th plenary session, held in July, the South-eastern State is anticipated to be eligible for the 13% Derivation Fund to which Nigeria’s mineral-producing States are statutorily entitled.

The Commission authorised the assignment of eleven oil wells completely to Anambra State, in a letter sent to Governor Obiano by the RMAFC’s Secretary, M.B. Shehu.

It also approved attribution of Anambra River 1, 2, and 3 oil wells, to be shared on fifty-fifty percent basis between Anambra and Kogi States, pending the final delineation of boundaries of the two States.

The eleven oil wells wholly attributed to Anambra state, are; Nzam-One oil well, Alo-1 oil well, and Ogbu-1 oil well. Others are Ameshi-1, 2, 3 and 4 oil wells, as well as Enyie 1, 2, 3, and 4 oil wells.

The Commission, however, stated that the 13 percent derivation fund to Anambra State will take effect when the money from the activities of the aforementioned oil wells begins contributing to the Federation Account.

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