Nigerian National Petroleum Company Limited recorded a profit after tax of N276bn in March 2026, representing a sharp increase of over 100 per cent compared to its February earnings, as stronger gas production and improved operational efficiency boosted overall performance.
According to its latest monthly figures, the company’s revenue rose to N2.77tn in March, marking a 3.51 per cent increase month-on-month. Crude oil and condensate production stood at 1.56 million barrels per day, maintaining the same level recorded in February while showing an improvement from January’s output.
Gas production emerged as the major growth driver during the period, climbing to 7,731 million standard cubic feet per day—the highest level recorded in the past year. The steady rise in gas output throughout the first quarter reflects sustained operational gains, particularly across offshore assets.
The improved performance was partly attributed to enhanced efficiency, including the early completion of maintenance work at key facilities such as the OML 118 Bonga asset, which was delivered ahead of schedule.
Despite these gains, operations were affected by pipeline disruptions. An outage on the Trans Forcados Pipeline, caused by a leak, led to production constraints across several assets between late February and late March, highlighting ongoing infrastructure challenges within the sector.
Crude oil sales also declined significantly during the month, dropping to 17.37 million barrels from 22.85 million barrels in February and 25.75 million barrels in January. This points to persistent evacuation and logistics issues affecting the movement of crude.
Nonetheless, the company said it is implementing targeted recovery strategies aimed at improving asset reliability, addressing evacuation bottlenecks, and strengthening overall production resilience.
On the financial side, the strong rise in profit underscores improved cost management and operational performance. Revenue growth remained modest but steady, supporting the overall earnings surge.
Cumulatively, statutory remittances to the federation reached N2.89tn between January and March 2026, reflecting continued contributions to government revenue.
In terms of infrastructure, progress was reported on major gas pipeline projects. Work has advanced on the Ajaokuta-Kaduna-Kano Gas Pipeline, including the completion of welding on a spur line connected to the Gwagwalada Independent Power Plant. Drilling activities also continued on the Obiafu-Obrikom-Oben Gas Pipeline, particularly at the River Niger crossing.
However, downstream performance remained under pressure, with petrol availability at the company’s retail outlets estimated at 56 per cent nationwide.
Overall, the March results indicate a gradual recovery in Nigeria’s oil and gas sector, driven largely by rising gas output and improved operational management. While the financial outlook has strengthened, ongoing infrastructure limitations and supply chain challenges continue to pose risks to sustained growth.
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