The Nigerian National Petroleum Company Limited recorded a revenue of N2.68 trillion in February 2026, marking a modest increase despite a decline in crude oil production caused by operational disruptions.
According to its latest monthly report, revenue rose by 4.2 per cent from N2.57 trillion posted in January. However, profitability weakened significantly, with profit after tax plunging by 64.67 per cent to N136 billion, down from N385 billion in the previous month.
The report also showed that statutory remittances to the Federal Government surged to N1.804 trillion, underscoring the company’s continued importance to national finances. The sharp rise in remittances followed a presidential directive eliminating the 30 per cent profit retention in the oil and gas sector, which drove a 148.48 per cent jump from N726 billion in January.
Crude oil and condensate production declined to 1.51 million barrels per day (mbpd) in February from 1.64 mbpd recorded in January. Of the total output, crude oil accounted for 1.27 mbpd, while condensate contributed 0.24 mbpd.
The national oil company attributed the drop in production to several operational setbacks, including outages on key export infrastructure such as the Trans Forcados Pipeline, as well as technical and restart challenges at major upstream facilities. Additional constraints included delays in completing the Sterling Oguali flow station and production limitations at Enyie wells linked to sludge management issues.
Despite weaker crude output, gas production remained robust, rising to 7,458 million standard cubic feet per day—one of the highest levels in recent months. Gas sales, however, were recorded at 4,893 million standard cubic feet per day on a two-month lag basis, slightly below peak levels seen in 2025.
Total crude oil and condensate sales for February stood at 23.08 million barrels, reflecting both reduced production and evacuation challenges.
In the downstream segment, the availability of Premium Motor Spirit at NNPC Retail Limited stations dropped to 58 per cent, raising concerns about distribution efficiency and potential supply constraints in parts of the country.
On infrastructure development, the company reported continued progress on strategic gas pipeline projects. The Ajaokuta-Kaduna-Kano (AKK) pipeline is now 93 per cent complete, while the Obiafu-Obrikom-Oben (OB3) pipeline has reached 96 per cent completion, with ongoing drilling and installation works.
NNPC said it remains focused on restoring production through improved asset reliability, faster resolution of evacuation bottlenecks, and stronger collaboration with industry operators.
Nigeria’s oil sector has continued to face persistent challenges, including pipeline vandalism, crude theft, ageing infrastructure, and delayed investments, all of which have constrained the country’s ability to meet production targets.
Nevertheless, the company’s strong revenue performance and increased remittances highlight its central role in supporting government finances, particularly amid ongoing fiscal and foreign exchange pressures.
The report noted that all figures are provisional and subject to reconciliation with relevant stakeholders.