NNPC Remits N19.5 Trillion to Federation Account in 14 Months, Saves $3.4bn in Costs

The Nigerian National Petroleum Company (NNPC) Limited says it remitted N19.5 trillion to the Federation Account between April 2025 and June 2026, while also recording $3.4 billion in cost savings through contract restructuring and operational optimisation.

The Group Chief Executive Officer of NNPC Limited, Bayo Ojulari, disclosed this on Tuesday while speaking at the 2026 Nigeria Oil and Gas Energy Week in Abuja.

Ojulari said the national oil company recorded significant operational improvements during the period, driven by ongoing reforms aimed at boosting production, improving efficiency and strengthening the sector's contribution to the Nigerian economy.

According to him, NNPC achieved $3.4 billion in savings through the renegotiation of contracts and optimisation of operations across its business portfolio.

He further disclosed that oil production increased by six per cent year-on-year to 569.7 million barrels, while gas production rose by 8.1 per cent year-on-year to 2.576 billion standard cubic feet during the review period.

The NNPC boss also revealed that the company recorded an average recovery rate of 98 per cent across its five crude oil export terminals between April 2025 and May 2026, a significant improvement from operational lows recorded in previous years.

He noted that the Bonny Oil and Gas Terminal, which experienced recovery levels of about one per cent in June 2022, has since witnessed substantial operational improvements.

Ojulari announced that Nigeria's crude oil production has climbed to 1.71 million barrels per day, representing the country's highest output in five years.

He added that NNPC Exploration and Production Limited (NEPL) also achieved a historic production level of 365,000 barrels per day during the period.

On gas production, Ojulari said national output has risen to 7.5 billion standard cubic feet per day, attributing the increase to the successful completion of the River Niger crossing on the Ajaokuta-Kaduna-Kano (AKK) Gas Pipeline and the commissioning of the ANOH Gas Processing Plant.

He also stated that NNPC maintained 100 per cent compliance with all Joint Venture cash call obligations throughout 2025 and up to June 2026, while sustaining efforts to achieve the Federal Government's target of producing two million barrels of crude oil per day.

Speaking at the event, the Special Adviser to the President on Energy, Olu Verheijen, said Nigeria's ongoing energy sector reforms are beginning to restore investor confidence and attract fresh capital into the industry.

According to her, the country has secured more than $10 billion in Final Investment Decisions (FIDs) over the past three years, while projects valued at over $50 billion are currently in the investment pipeline.

Verheijen said the Tinubu administration is repositioning Nigeria as a competitive destination for global energy investments through regulatory reforms, fiscal incentives and improved policy certainty.

She disclosed that the government is targeting crude oil production of three million barrels per day and gas production of 10 billion standard cubic feet per day by the end of the decade.

"Capital is no longer sentimental. It is not moved by speeches, slogans or sympathy. It follows credibility and asks one question: can this country turn resources into bankable projects and bankable projects into reliable returns?" she said.

She maintained that the reforms are designed to strengthen Nigeria's competitiveness in the global energy market while creating a more attractive environment for long-term investment.