Full Breakdown
Nigeria’s State Oil Firm Reports Five-Year High in Production Amid Reforms
4/29/2026, 1:16:39 PM
Record Oil Output Reflects Upstream Improvements
The Nigerian National Petroleum Corporation (NNPC) announced that its Exploration and Production subsidiary achieved a peak output of 565,000 barrels of oil per day in December 2025. The figure represents the highest daily production in five years, according to the One-Year Mandate Report Summary posted on the social-media platform X by NNPC Group Chief Executive Officer Bayo Ojulari. The increase is attributed to improvements in upstream operations and a series of sector reforms aimed at stabilising output and boosting investor confidence.
Infrastructure Projects Bolster Supply Reliability
NNPC highlighted the completion of the Ajaokuta-Kaduna-Kano pipeline river crossing and the commissioning of several gas-processing facilities as central to strengthening supply reliability. The completed crossing contributed to strengthening supply reliability, enabling a steadier flow to downstream facilities.
Strategic Partnerships with Dangote Cement and Dangote Refinery
The company reported expanded natural-gas supply agreements with major industrial users, specifically Dangote Cement and the Dangote Refinery. NNPC also consolidated its 7.25 percent equity stake in the Dangote Refinery and introduced an incorporated joint-venture model for refinery operations, aimed at improving efficiency and financial autonomy. These collaborations aim to deepen domestic gas utilisation and support Nigeria’s growing industrial sector.
Production and Gas Supply Statistics
In addition to the oil peak, NNPC maintained natural-gas production at 7.5 billion standard cubic feet per day. The firm emphasized that gas-supply agreements with domestic industrial consumers are part of a broader strategy to deepen local gas utilisation and support industrial demand.
Governance and Transparency Initiatives
The report notes several governance reforms, including the introduction of monthly performance reporting, NNPC’s first earnings call held in November 2025, and continued remittances to Nigeria’s federation account since July 2025. These measures are presented as steps toward greater transparency and accountability within the state-owned enterprise.
Official Statements & Responses
Bayo Ojulari framed the production gains as evidence of operational improvements across the value chain, citing infrastructure delivery and gas development as key drivers. He also linked the governance reforms to efforts aimed at boosting investor confidence and ensuring fiscal contributions to the federal budget.
Verbatim Quote
> “We have improved operational performance across the value chain, from production to gas development and infrastructure delivery.” — Bayo Ojulari, Group Chief Executive Officer, NNPC
Outlook and Upcoming Initiatives
NNPC signaled that sector reforms will continue, building on the introduced joint-venture model for refinery operations and the recent infrastructure upgrades. The corporation has introduced monthly performance reporting and held its first earnings call in November 2025, establishing a new communication framework that reinforces its commitment to transparency and sustained production growth.
