NNPC Limited profit drops to N462bn in May as Crude Production hits 1.73m bpd

NNPC Limited recorded a profit after tax of N462 billion in May 2026, a 4.11% decrease from N481 billion in April, according to TheCable. Revenue dropped 12.88% to N4.33 trillion from N4.97 trillion.

However, crude oil and condensate production rose to 1.73 million barrels per day (bpd) in May, up from 1.68 million bpd in April and 1.56 million bpd in March, the highest monthly production since June 2025. NNPC attributed the improvement to increased asset reliability and operational uptime but noted production remained below target due to well performance issues, reservoir constraints, and maintenance activities.

The company remitted N4.85 trillion to the federation account between January and May 2026. Gas production rose slightly to 7.77 million scf/d.

Key Points:

Higher crude production could improve government revenue and foreign exchange earnings
Profit decline despite output increase suggests cost pressures or lower prices
The OB3 gas pipeline (97% complete) and AKK project (94% complete) are nearing completion
Improved production signals recovery in Nigeria’s oil sector
Production still below target due to operational constraints

NNPC expects to commission the OB3 pipeline by Q3 2026 and deliver gas to Abuja via AKK within the year.

Sources: The Cable, NNPC (Monthly Report Summary)