Susan Abayomi
The Nigerian National Petroleum Company Limited (NNPCL) reported that its revenue grew by 4.24% in February 2026, rising to N2.68 trillion from N2.57 trillion recorded in January. The figure was released in the company’s monthly report for February 2026, posted on its official X handle over the weekend. NNPCL said the report covers “key figures, including revenue of ₦2,680 billion (up by 4.24% from the January 2026 report), profit after tax of ₦136 billion, statutory payments, strategic initiatives during the period, and more.
While revenue increased, profit after tax dropped sharply. NNPCL posted N136 billion in February, down 64.67% from N385 billion in January — a decline of N249 billion month-on-month. The company linked the profit slump to higher remittances to the Federation following a presidential directive that removed the 30% retention on oil and gas profit. As a result, NNPCL’s remittance jumped 148.48%, from N726 billion in January to N1.8 trillion in February.
Operational data showed mixed performance. Crude oil and condensate production averaged 1.51 million barrels per day in February, down 13,000 bpd from January’s 1.64 million bpd. Total crude oil and condensate sales also fell 10.36% to 23.08 million barrels, compared with 25.75 million barrels sold in January. The production dip reflects ongoing scheduled maintenance and unplanned outages across upstream facilities.
Natural gas was the bright spot. Gas production recorded a 2.4% increase, rising to 7,458 million standard cubic feet per day in February from 7,283 mmscfd in January. NNPCL has been emphasizing gas as part of its revenue diversification, with major projects like the Ajaokuta-Kaduna-Kano (AKK) pipeline at 84% completion and the Obiafu-Obrikom-Oben (OB3) pipeline at 96% complete and already flowing 300 mmscfd from several producers.
The February numbers continue a pattern of strong top-line growth but volatile profits for NNPCL. In January 2026, the company generated N2.571 trillion in revenue and N385 billion profit after tax, with N726 billion remitted to the Federation. By August 2025, monthly revenue had climbed to N4.655 trillion and profit to N539 billion, showing how monthly results swing with production, pricing, and remittance rules.
For context, NNPCL’s full-year 2024 audited results showed N29.21 trillion earned from crude oil sales alone, more than double 2023’s N14.07 trillion, while total revenue from customer contracts hit N45.08 trillion. Natural gas revenue also climbed to N5.20 trillion in 2024 from N2.30 trillion in 2023. Nigeria remained the dominant market, contributing N34.41 trillion to 2024 group revenue.
The February report highlights the tension between higher revenue and lower retained earnings as NNPCL increases statutory payments. The World Bank had previously noted that NNPCL remitted only N0.6 trillion to FAAC in all of 2024, down from N1.1 trillion in 2023, largely due to the PMS subsidy that ran until September 2024. The current surge in monthly remittances — N1.8 trillion in February alone — reflects the subsidy removal and new remittance policy that began January 2025.
NNPCL said it remains focused on sustaining gas growth and ramping up crude output post-maintenance. It reported that upstream pipeline systems had 100% availability in December 2025 and that downstream, NNPCL Retail Limited stations recorded 54% PMS availability in January 2026. All February figures remain provisional pending final reconciliation with stakeholders.
