NNPC Remits over N10tn to Federation in 8 Months, Records N4.2tn Revenue in August
The Nigerian National Petroleum Company Limited (NNPC) has remitted a staggering N10.073 trillion to the Federation Account between January and August 2025, highlighting its critical role as Nigeria’s fiscal anchor. According to the company’s September monthly performance report, revenue for August alone reached N4.26 trillion, marking an increase of N1.21 trillion from July. These remittances, stemming from crude and condensate sales, gas, royalties, and taxes, reflect the company’s continued contribution to the country’s finances despite ongoing industry challenges.
While NNPC reported a profit after tax of N539 billion in August, the company’s earnings slipped to N216 billion in September, a decline of N323 billion month-on-month. This follows a broader trend of fluctuating profits over the past few months, including N905 billion in June and N1.054 trillion in May. The dip in earnings was attributed to production constraints and planned maintenance at key facilities, including delays at certain oil mining leases and the Nigeria LNG plant.
Crude oil and condensate production averaged 1.61 million barrels per day (bpd) in September, slightly below August’s 1.65 million bpd and a 2.9% drop from July. Gas production, however, remained steady at approximately 6.28 billion standard cubic feet per day, with a significant portion commercialized through domestic and export channels. Despite output moderation, the levels were sufficient to sustain substantial inflows to government accounts, reflecting NNPC’s operational resilience.
Operational challenges remain a hurdle, including pipeline constraints and maintenance shutdowns, but ongoing infrastructure projects signal potential improvements. The Obiafu-Obrikom-Oben (OB3) gas pipeline is now 96% complete, while the Ajaokuta-Kaduna-Kano (AKK) gas pipeline stands at 88%. Upstream pipeline availability was recorded at 96% in September, and NNPC Retail maintained a steady fuel supply nationwide, with 77% of filling stations fully stocked, supporting both industrial and consumer demand.
Beyond its financial performance, NNPC continues to invest in social development through the NNPC Foundation. Initiatives include training for over 7,000 smallholder farmers, free cardiac interventions for underprivileged patients, and creative industry support programs. While not directly linked to core operations, these efforts underscore the company’s broader commitment to public welfare. Analysts suggest that if current trends continue, NNPC could surpass its 2024 remittance record by the end of the year.
source: This day