# Dispute over Nigeria LNG dividend allocations

> Live situation record from CLSTR: https://clstr.news/situations/dispute-over-nigeria-lng-dividend-allocations
> Updated: 2026-10-18T16:01:38.000Z. Sources: 28. Developments: 2.

Oyo State Governor Seyi Makinde raised concerns regarding the withholding of Nigeria LNG (NLNG) dividends intended for state governments. Makinde alleged that the Federal Government is withholding ₦250 billion per state and suggested these funds would not be released until after the 2027 general elections. He argued that this delay undermines subnational development and infrastructure investment, asking, “Is the election more important than the people of Nigeria?”

The Nigerian Presidency has dismissed these allegations. Presidential spokesperson Bayo Onanuga stated that the claims are “economically implausible,” noting that a ₦250 billion payout to each of the 36 states would require a total distribution of ₦9 trillion. Onanuga clarified that such a payout would necessitate NLNG paying over ₦33.68 trillion in a single declaration, whereas historical data shows NLNG has paid approximately $21.5 billion in dividends to the Federation over the last 25 years.

During a budget stakeholders’ engagement in Ibadan, Makinde further alleged that the withheld funds, intended for economic expansion projects, had already been spent by the central government. In response, Onanuga noted that under the Federation Account Allocation Committee (FAAC) formula, where states receive 26.72 percent of distributable revenue, the total NLNG dividend would need to exceed ₦33.68 trillion in a single payout to reach the ₦9 trillion threshold. He added that less than $3 billion has been realized since President Bola Tinubu took office, describing the Governor’s claims as “misleading.”

## Claims

- Governor Seyi Makinde claimed each state is owed ₦250 billion in NLNG dividends. (corroborated by 3 sources)
- Governor Makinde alleged the Federal Government is withholding these funds until after the 2027 elections. (corroborated by 3 sources)
- The Presidency dismissed the governor's claims as false and economically implausible. (corroborated by 3 sources)
- Distributing ₦250 billion to 36 states would total ₦9 trillion, excluding other government tiers. (corroborated by 3 sources)
- States receive 26.72 percent of distributable revenue from the Federation Account Allocation Committee. (corroborated by 3 sources)
- NLNG has never made a single dividend payment of $25 billion to the Federation Account. (corroborated by 3 sources)
- NLNG has paid approximately $21.5 billion in dividends to the Federation over the last 25 years. (corroborated by 2 sources)

## Timeline

### 2026-10-18: Nigeria Presidency disputes Makinde's NLNG dividend claims

The Nigerian Presidency has rejected Oyo State Governor Seyi Makinde's claim that the federal government is withholding ₦250 billion in NLNG dividends from each state until after the 2027 elections.

24 sources. https://clstr.news/cluster/nigeria-presidency-denies-makindes-250bn-nlng-dividend-claims

### 2026-10-16: Governor Makinde questions delay of ₦250bn NLNG dividends

Oyo State Governor Seyi Makinde has criticized the Federal Government for allegedly withholding ₦250 billion in NLNG dividends from states until after the 2027 elections, citing risks to infrastructure and much

6 sources. https://clstr.news/cluster/governor-makinde-questions-delay-of-250bn-nlng-dividends

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Cite as: Dispute over Nigeria LNG dividend allocations. CLSTR, https://clstr.news/situations/dispute-over-nigeria-lng-dividend-allocations