11/03/2026
NNPC Records ₦385bn Profit in January as Oil Production Rises to 1.64mbpd
The Nigerian National Petroleum Company Limited recorded a profit after tax of ₦385 billion in January 2026, even as crude oil and condensate production rose to 1.64 million barrels per day, according to the company’s latest monthly operational report.
The January 2026 NNPC Monthly Report Summary, released on Monday, showed that the state-owned energy company generated ₦2.571 trillion in revenue during the month, while remitting ₦726 billion as statutory payments to the Federation.
However, the figures represent a 47 per cent decline in monthly revenue, which dropped from ₦4.82 trillion in December 2025 to ₦2.57 trillion in January 2026, despite a marginal increase in profit after tax.
The report indicated that the improvement in production was largely driven by the completion of maintenance work at key offshore assets, particularly the Agbami Field, alongside operational improvements at other upstream facilities.
Nigeria’s crude production increased to 1.64 million barrels per day, up from 1.55 million barrels per day recorded in December 2025, representing an increase of 0.09mbpd, or about 5.8 per cent month-on-month.
The development reflects a partial recovery from the production slowdown recorded in the final quarter of 2025, when output slipped to around 1.54mbpd in October and 1.55mbpd in December.
According to the report, production improved following the completion of Turn Around Maintenance at the Agbami field and operational improvements in the Renaissance Estuary Area (EA).
Despite the improved output, the company noted that operational challenges continued to affect crude delivery volumes, citing adverse weather conditions, evacuation constraints, and asset integrity issues across some production corridors.
The report also showed that natural gas production increased to 7,283 million standard cubic feet per day, rising from 6,914 mmscf/d recorded in December 2025. This represents an increase of 369mmscf/d, or about 5.3 per cent month-on-month.
Gas production had fluctuated throughout 2025, reaching a high of about 7,722 mmscf/d in July, before dropping sharply to 6,284 mmscf/d in September due to operational disruptions.
However, the January figures suggest improved upstream stability, supported by infrastructure upgrades and operational improvements. Gas sales also strengthened during the period, with the company selling about 4,978 mmscf/d, one of the highest levels recorded within the past year.
On the sales front, the report showed that combined crude and condensate sales rose to 24.75 million barrels in January, compared with 22.79 million barrels in December 2025, reflecting stronger production from offshore assets.
Despite improvements in upstream operations, petrol availability across NNPC Retail Limited stations stood at only 54 per cent nationwide during the month. The company’s “wetness” indicator measures the percentage of stations with petrol available for sale at a given time.
The report also highlighted progress on key gas infrastructure projects aimed at strengthening Nigeria’s energy network. Work on the Ajaokuta–Kaduna–Kano (AKK) gas pipeline has reached 92 per cent completion, with pre-commissioning activities underway across the mainline infrastructure.
Similarly, the Obiafu–Obrikom–Oben (OB3) gas pipeline project has reached 96 per cent completion, with drilling activities at the Niger River crossing progressing according to schedule.
NNPC noted that once completed, the pipeline projects will improve gas supply reliability to power plants and industries across the country.
The report further indicated that upstream pipeline availability improved to 96 per cent, reflecting enhanced asset maintenance and strengthened security measures to reduce disruptions caused by vandalism and technical faults.
Nigeria, Africa’s largest oil producer, has struggled in recent years to meet its production targets under the Organization of the Petroleum Exporting Countries quota system due to oil theft, ageing infrastructure, and operational challenges.
However, government authorities and industry operators have intensified efforts to stabilise production through improved pipeline surveillance, asset maintenance, and accelerated investments in gas infrastructure.
Industry analysts say sustaining output above 1.6 million barrels per day will depend on continued security improvements, infrastructure upgrades, and increased upstream investment.
NNPC Limited
