The Nigerian National Petroleum Company Limited reported a profit of N385 billion in January 2026, despite a significant drop in revenue from the previous month even as oil production increased.
The Nigerian National Petroleum Company Limited (NNPC) announced a profit after tax of N385 billion for January 2026, according to its latest operational report. This profit comes in the context of crude oil and condensate production rising to 1.64 million barrels per day. The report highlighted that NNPC generated total revenues of N2.571 trillion during the month, while remitting N726 billion as statutory payments to the Nigerian Federation, marking a significant decrease from N4.82 trillion in December 2025 to N2.57 trillion in January 2026.
The marked decline in NNPC's monthly revenue by 47 percent was noteworthy, especially considering the increase in production levels. The company attributed the production recovery largely to the completion of maintenance work on vital offshore assets, particularly in the Agbami field, alongside operational improvements across other upstream facilities. Importantly, this upturn in production capacity appears to reflect progress in the company’s operational efficiencies and the easing of previous operational challenges.
Overall, while NNPC reported a notable increase in production output and continued profitability, the sharp decline in revenue raises questions about the stability and sustainability of revenue streams in a volatile oil market. This financial performance signals the company's recovery efforts but also underscores the challenges faced by the Nigerian oil sector amid fluctuating global oil prices and domestic operational hurdles.
