Paragraph 1: Financial Performance and Production Growth
The Nigerian National Petroleum Company Limited (NNPC Ltd) demonstrated robust financial performance in May 2025, generating N6.008 trillion in revenue, a slight increase from the N5.972 trillion recorded in April. This positive trend was accompanied by a 14% surge in profit after tax, reaching N1.054 trillion compared to N926 billion in the previous month. The company’s core operations also saw improvement, with crude oil and condensate production rising to 1.63 million barrels per day (mbpd) in May, up from 1.61 mbpd in April, and reaching a peak of 1.72 mbpd during the month. This steady recovery in production underscores NNPC Ltd’s efforts to optimize its upstream activities and capitalize on favorable market conditions.
Paragraph 2: Production Breakdown and Gas Operations
A closer examination of the production figures reveals that crude oil output remained stable at 1.35 mbpd, while condensate production recovered slightly to 0.28 mbpd in May, from 0.26 mbpd in April. This indicates a more pronounced improvement in condensate extraction. On the gas front, production saw a marginal increase to 7.352 billion standard cubic feet per day (bscfd), compared to 7.354 bscfd in April. However, gas sales experienced a slight dip, decreasing from 4.240 bscfd in April to 4.185 bscfd in May. This minor decline in gas sales could be attributed to various factors, including market dynamics or temporary disruptions in distribution networks.
Paragraph 3: Sales Performance and Downstream Challenges
Crude oil and condensate sales experienced a significant boost in May, reaching 24.77 million barrels, a substantial increase from 22.16 million barrels in April and the highest sales volume since February. This surge in sales reflects strong demand for Nigerian crude and contributes significantly to the company’s overall revenue growth. However, the downstream segment faced challenges, as fuel availability at NNPC Retail Limited stations decreased to 62% in May, down from 70% in April. This decline may be attributed to logistical hurdles, supply chain pressures, or the ongoing adjustments following the removal of fuel subsidies.
Paragraph 4: Strategic Projects and Infrastructure Maintenance
NNPC Ltd continues to advance its strategic projects, including the OB3 and Ajaokuta-Kaduna-Kano (AKK) gas pipeline initiatives. The OB3 project has reached 96% completion, while the AKK pipeline project stands at 81% completion, indicating significant progress towards expanding gas infrastructure and enhancing domestic gas utilization. The company also prioritized the maintenance of its upstream infrastructure, with pipeline availability remaining strong at 98%. This focus on maintenance is crucial for ensuring uninterrupted operations and minimizing potential disruptions to production and delivery.
Paragraph 5: Operational Interventions and Refinery Status
During May, NNPC Ltd undertook several critical interventions to address operational challenges and improve efficiency. These included turnaround maintenance on key pipelines, such as the Trans Escravos Pipeline, and maintenance operations at various flow stations, including Opuama, Obigbo, and Agbada. These proactive maintenance efforts are vital for maintaining the integrity of the infrastructure and ensuring long-term operational reliability. The company is also actively reviewing the status of its refineries – Port Harcourt Refining Company (PHRC), Warri Refining and Petrochemical Company (WRPC), and Kaduna Refining and Petrochemical Company (KRPC) – to optimize their performance and enhance domestic refining capacity. Technical interventions were also initiated to address challenges related to the River Niger crossing for the AKK pipeline project and to determine the optimal execution path for the OB3 project’s remaining components.
Paragraph 6: Corporate Social Responsibility and Transformation
NNPC Ltd continued its commitment to corporate social responsibility through the NNPC Foundation. In May, the Foundation completed 6,028 cataract surgeries across the country, provided starter packs to 531 National Youth Service Corps (NYSC) members, and donated MRI equipment to hospitals in Kano and Anambra States. These initiatives demonstrate the company’s commitment to community development and improving healthcare access. The overall performance of NNPC Ltd in May 2025 highlights its ongoing transformation into a commercially driven national energy company, with a focus on operational transparency, financial sustainability, and positive social impact. The company’s continued efforts to enhance production, optimize sales, and invest in strategic infrastructure position it for long-term growth and its vital role in Nigeria’s energy sector.
