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NNPC’s profit after tax rose 15.8 per cent to ₦535 billion in June, while revenue climbed to ₦4.39 trillion, reflecting stronger financial performance despite lower crude oil output.
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The national oil company remitted ₦6.29 trillion to the Federation Account in the first half of 2026 as gas production continued to improve and key infrastructure projects advanced.
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Progress on the OB3 and AKK gas pipelines moved closer to completion, positioning the projects to boost domestic gas supply and support Nigeria’s energy transition.
July 31, (THEWILL) — Nigeria National Petroleum Company (NNPC) Limited recorded a profit after tax of ₦535 billion in June 2026, representing a 15.8 per cent increase from the ₦462 billion posted in May, according to its latest Monthly Financial and Operations Report.
The report also showed that the company generated ₦4.39 trillion in revenue during the month, while cumulative statutory payments to the Federation Account rose to ₦6.29 trillion between January and June 2026, underscoring NNPC’s continued contribution to government revenue.
The improved financial performance came despite a slight decline in crude oil and condensate production during the month.
Crude oil production dips as gas output rises
Average crude oil and condensate production slipped marginally to 1.72 million barrels per day in June from 1.73 million barrels per day recorded in May.
NNPC attributed the decline to operational disruptions, facility integrity issues and subsurface challenges affecting several producing assets.
In contrast, natural gas production maintained its upward trajectory, increasing to 7.841 million standard cubic feet per day from 7.774 million standard cubic feet per day in May, representing a 0.86 percent increase.
The latest figures reinforce the company’s strategy of expanding gas production as Nigeria seeks to strengthen domestic energy security and maximise the value of its vast gas reserves.
Pipeline projects move closer to completion
NNPC also reported significant progress on two of its flagship gas infrastructure projects.
The Obiafu-Obrikom-Oben (OB3) Gas Pipeline has reached 98 percent completion, with final tie-in activities ongoing ahead of the planned First Gas in August 2026.
Construction and installation work on the Ajaokuta-Kaduna-Kano (AKK) Gas Pipeline also advanced to 94 percent completion, keeping the project on track for early gas delivery to Abuja later this year.
The two projects are expected to improve domestic gas supply, support power generation and provide feedstock for industries across the country.
Revenue contribution remains strong
NNPC’s cumulative statutory remittance of ₦6.29 trillion to the Federation Account in the first six months of the year highlights the company’s growing role in supporting public finances.
The June operational report indicates that while crude oil production continues to face operational challenges, improved gas output, stronger earnings and progress on strategic infrastructure projects are helping strengthen the company’s overall performance.
NNPC said it remains focused on improving operational efficiency, increasing production and completing major gas infrastructure projects that are expected to enhance Nigeria’s long-term energy security.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
