The Nigerian National Petroleum Company Limited recorded a decline in its
financial performance in May 2026, with revenue dropping by nearly 13 per
cent to N4.335tn despite maintaining stable crude oil and natural gas
production.
The national oil company disclosed this in its latest Monthly Report Summary
released on Wednesday. According to the report, revenue fell by N636bn from
the N4.971tn recorded in April, while profit after tax also declined to N462bn
from N481bn in the preceding month.
The figures indicate that despite relatively stable production levels, market
conditions and operational challenges weighed on the company’s earnings
during the month. NNPC said it produced 1.73 million barrels of crude oil and
condensate per day in May, while natural gas production stood at 7,774 million
standard cubic feet per day.
The report also showed that upstream pipeline availability remained high at 98
per cent, while the availability of Premium Motor Spirit at NNPC Retail
Limited stations stood at 57 per cent during the period under review. The
company said it had continued to intensify efforts to tackle operational
bottlenecks affecting production.
It stated, “The company is intensifying efforts to address performance issues,
declining reservoir pressure, lifting constraints, maintenance-related shutdowns,
and facility reliability challenges. These measures are expected to reduce
production deferments, improve asset availability, and boost overall output.”
The report further showed that NNPC made statutory payments of N4.858tn to
the Federation between January and May 2026, underlining its position as one
of the country’s biggest revenue contributors.
On strategic gas infrastructure, the company said significant progress was
recorded on two critical projects expected to boost domestic gas supply and
support industrialisation.
According to the report, the Ajaokuta-Kaduna-Kano Gas Pipeline has reached
94 per cent completion, with construction, installation and pre-commissioning
activities advancing steadily.
NNPC said the project was on course to begin delivering gas to Abuja later this
year. It added that the OB3 River Niger Crossing project had reached 97 per
cent completion.
The company stated, “Post-pullback pre-commissioning and tie-in activities are
progressing towards the target of fully commissioning the pipeline section by
the end of the third quarter of 2026.”
The report noted that the company remained focused on improving operational
efficiency, strengthening production reliability, and executing strategic
initiatives across its businesses.
NNPC, however, stressed that all operational and financial figures contained in
the report were provisional and remained subject to reconciliation with relevant
stakeholders.
Beyond its core oil and gas business, the company highlighted a major
healthcare intervention undertaken through the NNPC Foundation. The report
stated that on May 15, the foundation commissioned and handed over a state-of-
the-art 1.5 Tesla Magnetic Resonance Imaging system to the Nnamdi Azikiwe
University Teaching Hospital, Nnewi, Anambra State.
According to the company, the facility also received chillers, an uninterruptible
power supply system, battery racks, and backup power facilities. NNPC
disclosed that before the commissioning, no fewer than 40 patients benefited
from free MRI scans under a training programme organised by General Electric
for radiologists and radiographers at the hospital.
The company said the equipment had already begun expanding access to
advanced diagnostic services in the South-East. It stated, “The MRI system is
reducing the need for patient referrals outside the region, supporting earlier
disease detection and strengthening specialist healthcare delivery in the South-
East.”
NNPC described the donation as part of its broader commitment to supporting
national development and improving access to quality healthcare. The monthly
report forms part of the company’s transparency initiative through which it
provides updates on its production activities, financial performance,
infrastructure projects, and statutory contributions to the Federation.
The latest figures come as the Federal Government and industry stakeholders
continue efforts to raise Nigeria’s crude oil production to more than two million
barrels per day and leverage the country’s vast gas resources to drive
industrialisation, power generation and economic growth.
The AKK and OB3 pipelines are among the flagship gas projects expected to
deepen domestic gas utilisation, improve energy security and support the
Federal Government’s Decade of Gas programme aimed at transforming
Nigeria into a gas-powered economy.