NNPC reports ₦4.61 trillion in September revenue and ₦509 billion in profit after tax as hydrocarbon production rises
The Nigerian National Petroleum Company Limited (NNPC) recorded revenue of ₦4.61 trillion and profit after tax of ₦509 billion in September 2026, supported by a modest increase in oil and gas production.
The figures highlight the national oil company's financial performance as it works to improve operational efficiency, address production challenges and increase its contribution to government revenue.
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NNPC's September 2026 Monthly Report Summary showed that total hydrocarbon production averaged 3.04 million barrels of oil equivalent per day (mmboe/d), up from 3.01 million barrels of oil equivalent per day in August.
Crude oil and condensate production stood at 1.70 million barrels per day, while natural gas production reached 7,789 million standard cubic feet per day (mmscf/d).
The company also reported statutory payments of ₦11.14 trillion to the Federation Account between January and September 2026, highlighting the importance of petroleum-sector performance to public finances.
Oil and Gas Production Records Modest Increase
NNPC attributed the increase in total hydrocarbon production largely to the restart of the Obodo field in Oil Mining Lease (OML) 150 and production restoration across other assets.
Crude oil and condensate output rose to 1.70 million barrels per day in September, compared with approximately 1.69 million barrels per day in August.
Natural gas production, however, declined slightly from 7,841 mmscf/d in August to 7,789 mmscf/d in September.
Gas sales averaged 4,793 mmscf/d, compared with 4,737 mmscf/d in August. Meanwhile, crude oil and condensate sales totalled 24.63 million barrels during the month.
The figures indicate that production gains were not uniform across the company's operations, with crude and condensate output improving while gas production recorded a marginal decline.
Operational Challenges Continue to Affect Production
Despite the increase in output, NNPC identified several operational and infrastructure constraints affecting production across its assets.
These included unplanned downtime caused by facility reliability problems, subsurface challenges, flowline leaks, community protests and equipment failures.
Storage limitations and disruptions to export infrastructure also affected operations.
The company said it was pursuing measures to restore shut-in wells and facilities, improve production from existing assets and strengthen preventive maintenance.
Other planned interventions include resolving flowline integrity problems, addressing subsurface challenges, improving community engagement and tackling storage and export infrastructure constraints.
NNPC reported 100 per cent upstream pipeline availability during September. However, petrol availability across its retail stations stood at 54 per cent, indicating that operational performance in the upstream segment did not translate into full product availability across its retail network.
NNPC's Financial Contribution to Government Revenue
The September results add to NNPC's financial performance during the first nine months of 2026, with statutory payments to the Federation Account reaching ₦11.14 trillion.
The payments represent an important source of public revenue at a time when the Federal Government and state governments face competing demands for infrastructure investment, public services and economic development.
NNPC's financial performance also has implications for the government's ability to fund capital projects, although the company's reported revenue and profit should not be treated as equivalent to money available for direct public spending.
The company previously reported revenue of ₦28.54 trillion and profit after tax of ₦2.99 trillion between January and August 2026.
Its September performance therefore comes amid sustained revenue generation, even as operational constraints continue to affect production.
Gas Infrastructure and Production Targets
Beyond its financial results, NNPC reported progress on major gas infrastructure projects.
The Obiafu-Obrikom-Oben (OB3) gas pipeline reached 100 per cent completion, with the River Niger crossing commissioned and operational.
The Ajaokuta-Kaduna-Kano (AKK) gas pipeline was reported to be 95 per cent complete, with the company working with relevant stakeholders to accelerate construction and pre-commissioning activities.
NNPC said the projects would support increased gas supply for power generation, industrial activity and other domestic uses.
The company's Group Chief Executive Officer, Bayo Ojulari, has also reiterated its ambition to increase national crude oil production to two million barrels per day by 2027.
He attributed improvements in national output to petroleum-sector reforms, better investment decisions and closer collaboration between NNPC and its industry partners.
However, achieving the production target will depend on addressing persistent operational constraints, maintaining existing facilities and delivering planned projects.
Implications for Nigeria's Housing and Construction Sector
NNPC's performance has broader implications for Nigeria's economy, including the housing and construction sectors.
Oil and gas revenue remains important to government finances, which influence the resources available for public infrastructure, urban development and housing programmes. Stronger fiscal capacity could create more room for investment in roads, electricity infrastructure, water supply and other services that support property development.
Progress in domestic gas infrastructure could also improve energy availability for industrial users and manufacturers, particularly if increased supply translates into more reliable and affordable electricity.
This matters to the construction industry because energy costs affect cement production, building-material manufacturing, transportation and construction-site operations. More reliable energy supply could help reduce some operating pressures across the property development value chain.
However, the September financial results do not by themselves demonstrate lower construction costs or improved housing affordability. Those outcomes will depend on how effectively higher energy-sector revenues and infrastructure investments translate into better public services, improved industrial productivity and more reliable energy supply.
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