NNPC profit after tax drops in July as production declines

Nigerian National Petroleum Company Limited (NNPC) Monthly Report Summary for July 2026 has revealed that it recorded a decline in its profit after tax (PAT) in the month under review, even though it posted strong gains in statutory remittances for the year.

While the PAT dropped from N535 billion in June to N279 billion in July, there was also a decline in revenue in the same period to N3.087 billion in July from N4.389 billion in June.

While crude oil and condensate production averaged 1.68 million barrels per day (mpd) in July compared with 1.72 mpd in June, natural gas production dropped to 7.489 million standard cubic feet per day (mmscf/d) from 7.841.

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But despite its weaker financial and production numbers, the national oil company recorded some positives as cumulative statutory payments for January to July 2026 climbed to N7.913 billion from N6,286 billion for January to June, showing a month-on-month increase of N1.627 billion.

According to the report, the upstream pipeline availability was sustained at 100 percent for a second consecutive month, which the Company said was a result of improved reliability across key evacuation infrastructure.

At the retail end, however, PMS availability across NNPC Retail (NRL) stations stood at 52 percent, while on pipeline infrastructure, the OB3 line maintained 100 percent availability, as the Abuja-Kaduna-Kano (AKK) pipeline recorded 95 percent.

Also on major pipeline projects, the report added that construction and installation works on the AKK pipeline are at an advanced stage, with early gas delivery to Abuja set before the end of the year. It added that production improvement strategy would centre on sustaining facilities through preventive maintenance and minimising unplanned downtime.

These include, among others, optimising export operations at FEPL and Nembe EP, unlocking incremental production opportunities across its portfolio as well as strengthening operational reliability at critical facilities.