In July 2026, the Nigerian National Petroleum Company Limited (NNPC) saw a significant drop in its profits, which fell by 48% to N279 billion compared to N535 billion in June. This decline followed a decrease in revenue, which dropped from N4.389 trillion in June to N3.087 trillion in July, a reduction of about 30%. This was the lowest profit NNPC had recorded since March 2026. The company's profits had been rising steadily from February to June, but July's performance reversed that trend. The decrease in profits and revenue was linked to lower production of crude oil and natural gas. In July, crude oil production averaged 1.68 million barrels per day, down from 1.72 million barrels per day in June. Natural gas production also fell. NNPC explained that these reductions were due to various operational issues, including equipment problems and pipeline incidents. Despite the drop in profits, NNPC increased its payments to the government, totaling N7.913 trillion from January to July 2026, which is higher than the N6.286 trillion paid in the first half of the year. NNPC is working on improving production by focusing on maintenance and optimizing operations. Additionally, projects like the Ajaokuta-Kaduna-Kano gas pipeline are progressing, aiming to boost gas supply to Abuja later this year.
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