Nigeria's national oil company recorded a fall in monthly earnings in May despite pumping more crude and gas than the month before, raising questions about what is eating into its revenue even as output improves.
The Nigerian National Petroleum Company Limited posted revenue of ₦4.335tn in May, a 12.8 per cent decline from ₦4.971tn in April, according to its latest Monthly Report Summary. Profit after tax fell to ₦462bn, down 2.27 per cent from ₦481bn the previous month.
The drop stands out because production improved. Crude oil and condensate output rose to 1.73 million barrels per day in May, up from 1.68 million barrels per day in April, while natural gas production climbed to 7,774 million standard cubic feet per day from 7,730 mmscf/d. Gas sales also increased, to 5,116 mmscf/d from 5,044 mmscf/d.
May's figures follow a pattern of uneven earnings for the company through the year. Revenue opened 2026 at ₦2.571tn in January before climbing to ₦6.024tn in February, easing to ₦2.774tn in March and rising to ₦4.971tn in April.
NNPC remitted ₦1.144tn to the Federation Account in May, taking cumulative remittances for the first five months of the year to ₦4.858tn.
On infrastructure, the company reported the Obiafu-Obrikom-Oben gas pipeline at 97 per cent completion, with pre-commissioning and tie-in work continuing toward commissioning by the end of the third quarter. The Ajaokuta-Kaduna-Kano pipeline stood at 94 per cent completion, with work ongoing to begin gas deliveries to Abuja later this year.
According to the report, "post-pullback pre-commissioning and tie-in activities are progressing towards the target of fully commissioning the pipeline section by the end of the third quarter of 2026."
NNPC did not specify what drove the gap between rising output and falling revenue in May. As with previous editions, the company said all figures in the report are provisional, pending reconciliation with stakeholders.