The Nigerian National Petroleum Company Limited (NNPC) recorded a profit after tax of N276bn in March 2026, more than doubling its February earnings, as stronger gas production and improved operational efficiency boosted overall performance despite ongoing pipeline disruptions.
According to the company’s latest monthly report published on Monday, revenue increased to N2.77tn in March, representing a 3.51 per cent rise from February. During the same period, crude oil and condensate production stood at 1.56 million barrels per day.
Gas production emerged as the strongest contributor to growth, climbing to 7,731 million standard cubic feet per day, the highest level recorded in the past 12 months.
Highlighting the development, the report stated, “This edition records month-on-month growth across key production metrics, with crude oil and condensate output rising to 1.56 mmbopd and gas production climbing to 7,731 mmscf/d.”
A closer look at the figures showed that crude oil output remained unchanged from February at 1.56 million barrels per day, although it improved from 1.51 million barrels per day recorded in January.
Gas production, however, maintained a steady upward trend throughout the first quarter. It rose from 7,281 mmscf/d in January to 7,458 mmscf/d in February before reaching its March peak.
The company linked the stronger production levels to improved operational efficiency, especially at offshore assets.
It stated, “Production improved compared to the previous month, driven by the early completion of the OML 118 Bonga Turnaround Maintenance, delivered 12 days ahead of schedule.”
Despite the improved output, the report acknowledged that pipeline disruptions had a major effect on operations during the period.
NNPC stated, “The Trans Forcados Pipeline outage, resulting from a leak at the Keremor axis, negatively impacted production volumes, leading to curtailments across several assets from February 20 to March 25, alongside other operational challenges.”
The company said it is continuing to implement targeted recovery plans to stabilise production and strengthen resilience across its operations.
It noted, “NNPC Limited continues to strengthen production resilience by executing restoration plans focused on improving asset reliability, resolving evacuation constraints, and implementing other targeted recovery initiatives.”
NNPC Profit Surges as Gas Output Reaches One-Year High
Further analysis revealed that crude oil sales declined sharply to 17.37 million barrels in March, down from 22.85 million barrels in February and 25.75 million barrels in January, indicating that evacuation and logistics challenges remain unresolved.
On the gas side, however, sales improved to 5,059 mmscf/d, further reinforcing the increasing role of gas in Nigeria’s energy mix.
The report emphasised the significance of this milestone, stating that gas production for March “reached its highest level in the trailing 12-month period covered by the report.”
Financially, the company posted strong gains, with profit after tax rising by approximately 102.94 per cent month-on-month.
The report said, “The report covers key figures, including revenue of N2.774bn (up by 3.51 per cent from the February 2026 report), profit after tax of N276bn (up by approximately 102.94 per cent from the February 2026 report).”
Cumulatively, statutory payments to the Federation reached N2.89tn between January and March 2026.
On infrastructure development, NNPC highlighted progress on major gas pipeline projects aimed at improving supply and supporting electricity generation.
It disclosed, “On the Ajaokuta-Kaduna-Kano Gas Pipeline, welding of the 24-inch spur line to the Gwagwalada Independent Power Plant has been completed, while significant progress has been recorded for outstanding mainline pre-commissioning works.”
The company added, “For the Obiafu-Obrikom-Oben Gas Pipeline River Niger Crossing, drilling operations continued as scheduled.”
However, downstream indicators remained weak, with petrol availability at NNPC retail stations standing at 56 per cent nationwide.
The report also cautioned that all figures remain provisional and subject to reconciliation.
It stated, “All production, sales and financial figures are provisional and subject to reconciliation with relevant stakeholders.”
The March performance reflects a gradual recovery in Nigeria’s oil and gas sector, largely driven by stronger asset management and rising gas output.
With gas production reaching its highest level in one year and profit surging significantly, the latest report places NNPC on a stronger financial footing, although lingering infrastructure and supply chain challenges continue to pose risks to sustained growth.
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