NNPC Reports N905 Billion Profit in June Amid Oil Sector Growth

Nigeria’s state-owned oil company, the Nigerian National Petroleum Company Limited (NNPC Ltd.), is in the spotlight again with its latest financial report. The company announced an impressive profit after tax (PAT) of N905 billion for June 2025. This figure showcases both the resilience and the hurdles faced in Nigeria’s energy sector.

Although it’s a drop from May’s N1.054 trillion profit, the total remittances to the Federation Account—N6.96 trillion in just five months—highlight NNPC’s crucial role in the country’s economy. Here’s a closer look at NNPC’s performance in June, key developments, and what they signify for the future of Nigeria’s oil and gas industry.

NNPC’s Financial Performance: Revenue Drops, Production Recovers

In June, NNPC’s revenue reached N4.571 trillion, a noticeable decrease from May’s N6.008 trillion, attributed to the fluctuating prices of oil on the global market. However, the company’s production rates showed a positive trend, with crude oil and condensate output climbing to 1.68 million barrels per day (bpd)—the highest level since January. Breaking it down, crude oil made up 1.42 million bpd, while condensate production was at 0.26 million bpd.

Natural gas production also saw an uptick, rising to 7.581 billion standard cubic feet per day (scf/d), compared to 7.352 billion scf/d in May, indicating a recovery in Nigeria’s gas sector.

Key Infrastructure Projects Advancing

NNPC’s report points out significant progress in essential gas projects:

• The Ajaokuta-Kaduna-Kano (AKK) gas pipeline is now 83% complete, up from 81% in May, after successfully crossing the River Niger—a vital engineering achievement that mitigates project risks.
• Meanwhile, the OB3 gas pipeline remains at 96% completion, with technical reviews in progress to leverage insights gained from the AKK project.

On the downside, upstream pipeline availability saw a slight decline to 97% in June from 98% the previous month, illustrating ongoing issues such as vandalism.

Fuel Supply and Refinery Updates: Mixed Outcomes

Petrol availability at NNPC-owned retail stations improved to 71% in June, an increase from 62% in May, which is a relief for distribution efforts. However, the rehabilitation of refineries in Port Harcourt, Warri, and Kaduna is still under review, and there’s no clear timeline for when these efforts will wrap up.