By BONIFACE AKARAH

Nigeria-based lawyer and international human rights advocate, Emmanuel Ogebe, has urged President Bola Tinubu to suspend the proposed $4.5 billion Project Gazelle 2 crude-backed financing facility, arguing that the National Economic Council (NEC) lacks the constitutional authority to approve such borrowing and questioning the necessity of the loan.

Ogebe made the call in the second part of an open letter to the President marking the 30th anniversary of a letter he wrote to the late Head of State, Gen. Sani Abacha, which he said led to his detention between June and August 1996. He maintained that the earlier $3.3 billion Project Gazelle 1 facility should already have been substantially repaid through crude oil deliveries, making the fresh borrowing unnecessary.

The lawyer argued that Nigeria had already delivered crude oil valued at enough to offset the original facility. According to calculations contained in the letter, about 68.85 million barrels of crude delivered over approximately 765 days at 90,000 barrels per day would translate to a base repayment value of about $4.48 billion, while additional proceeds under the pricing arrangement would increase total debt repayment to approximately $4.61 billion.

“If we calculate repayments from mid-2024 till now, not only should we have paid off everything but we should actually have a profit,” Ogebe said, adding that Nigeria should also have received more than $1.22 billion from the excess-price sharing arrangement.

He questioned why the Federal Government was seeking another $4.5 billion crude-backed facility despite what he described as improved oil production and higher global crude prices.

“Mr. President, why ensnare us to another $4.5 billion Gazelle 2 bondage?” he asked.

Ogebe also challenged the transparency surrounding the previous loan, saying Nigerians had yet to receive a detailed account of how the funds were utilised.

“We still don’t know where the first $3.3 billion went nor where the new $4.5 billion is going,” he stated.

Citing media reports, the lawyer claimed the original financing was partly intended to support foreign exchange stability and fund the Nigerian National Petroleum Company Limited (NNPC Ltd), but argued that such explanations lacked measurable outcomes.

He further referenced reports on NNPC’s administrative spending, alleging that the company spent N13 billion on staff entertainment, N20 billion on telephone calls and postage, while total administrative expenses exceeded N1.4 trillion over two years.

According to him, permitting additional borrowing without first scrutinising the corporation’s spending pattern would undermine legislative oversight and further mortgage Nigeria’s future oil revenues.

Ogebe also questioned the legality of the approval process, insisting that the National Economic Council was not constitutionally empowered to authorise crude-backed borrowing on behalf of the country.

“This $4.5 billion debt is against future earnings and repayable by 2034. It was not authorised by the Federal Executive Council which you chair or by the Legislature. It was approved by the National Economic Council chaired by the Vice President. The NEC does not have constitutional authority to mortgage Nigeria’s oil resources and future,” he said.

He argued that while the country was grappling with allegations surrounding a “ghost government agency,” it was also facing what he described as a “real $4.5 billion ghost debt.”

The lawyer urged Tinubu to terminate the proposed Gazelle 2 facility and instead explore alternative financing options, including allowing Nigerians to invest directly in crude-backed instruments through a public offering.

“President Obasanjo mobilised Nigerians to patriotic investments like Transcorp. Why can’t Nigerians buy our own oil likewise if borrowing is compulsory?” he asked.

Ogebe concluded by calling on the President to use the country’s improved oil output and stronger crude prices to reduce dependence on oil-backed borrowing while strengthening transparency and accountability in the management of Nigeria’s petroleum revenues.

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