The Nigerian National Petroleum Company (NNPC) Limited has reported a significant decline in statutory payments and revenue for January 2026, even as profit and oil and gas production registered modest gains.
According to the company’s Monthly Report Summary for January, published on Monday, statutory payments to the federal government fell to N726 billion — a 42.83 percent drop from the N1.27 trillion recorded in December 2025. Statutory payments represent the mandatory monthly financial obligations of the NNPC to the federal government.
Revenue also declined sharply, falling to N2.57 trillion in January from N4.82 trillion in December, a 46.68 percent decrease.
Despite the decline in revenue, NNPC reported a 9.69 percent increase in profit after tax (PAT), which rose to N385 billion in January from N351 billion in December 2025.
On the production side, the company recorded increases in both oil and gas output. Natural gas production rose to 7.28 million standard cubic feet per day (mscfd), up from 6.19 mscfd in December, while gas sales increased slightly to 4.97 million standard cubic feet per day (mmscf/d) from 4.75 mmscf/d.
Crude oil and condensates production also grew, reaching 1.64 million barrels per day (bpd) in January, compared with 1.55 million bpd in December 2025. NNPC attributed the production gains to the completion of Turn Around Maintenance (TAM) at the Agbami and Renaissance (Estuary Area – EA) facilities. However, the company noted that planned deliveries for January were affected by adverse weather conditions, evacuation challenges, and asset integrity issues.
The report highlighted continued progress on major gas infrastructure projects. Pre-commissioning activities advanced along the mainline of the Ajaokuta-Kaduna-Kano (AKK) gas pipeline, while construction continued on block valve stations (BVS) and intermediate pigging stations (IPS). Drilling activities also proceeded as scheduled at the Obiafu-Obrikom-Oben (OB3) river Niger crossing.
NNPC’s report underscores the challenges facing the company in balancing operational and financial performance, as it navigates infrastructure development and production maintenance while addressing environmental and logistical constraints.