The Nigerian National Petroleum Company (NNPC) Limited has posted a steep 79.6 per cent drop in profit after tax (PAT), sliding to ₦185 billion in July 2025 from ₦905 billion in June, its latest monthly financial and operational report shows.
The state-owned oil firm said the slump was driven largely by movements in cost of sales and income tax adjustments, which offset steady revenues and stable production.
Groupwide revenue fell marginally to ₦4.41 trillion in July, compared with ₦4.57 trillion a month earlier.
“All production, sales and financial figures are provisional and subject to reconciliation with relevant stakeholders,” NNPC noted.
Crude oil and condensate production edged up to 1.70 million barrels per day (bpd) from 1.68 million bpd in June. Natural gas output also increased, rising to 7,722 million standard cubic feet per day (mmscf/d) from 7,581 mmscf/d.
Gas sales, reported on a Schedule M-2 basis, climbed to 4,978 mmscf/d against 4,742 mmscf/d in June, while crude oil and condensate sales advanced to 25.49 million barrels, up from 21.68 million barrels.
Schedule M-2 tracks a corporation’s unappropriated retained earnings, linking beginning balances to end-of-year retained earnings and giving a snapshot of current-year income, pre-tax earnings, and expenses, according to Fondo, an accounting platform for start-ups.
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Between January and June, statutory payments to the federation amounted to ₦7.97 trillion, underlining NNPC’s role as the country’s leading revenue source.
On infrastructure, the firm reported fresh momentum on two strategic gas pipelines. Additional subcontractors have been deployed to fast-track mainline works on the Ajaokuta–Kaduna–Kano (AKK) Gas Pipeline, while a revised execution strategy has been rolled out for the Niger River crossing on the Obiafu–Obrikom–Oben (OB3) line.
“A 113-km stretch of the OB3 pipeline has been commissioned and is now delivering 300 mmscf/d of gas from producers including AHL (250 mmscf/d) and Platform, Chorus, and Xenergi (50 mmscf/d),” the report stated.
NNPC Retail Limited recorded fuel availability at 70 per cent of its service stations in July, a notch lower than June’s 71 per cent.
The company’s social investment arm, the NNPC Foundation, also progressed its initiatives, donating 35 compressed natural gas (CNG) buses to the Presidential Initiative on CNG (Pi-CNG) and launching a tree-planting campaign targeting 200,000 seedlings in Katsina State.
Despite these operational gains, the sharp profit decline underscores the pressures NNPC faces from tax obligations and rising costs. The company reiterated that July figures remain provisional, pending reconciliation with stakeholders.
