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Nigerian National Petroleum Company Limited Lifts Crude Production to 1.71mbpd as Gas, Refinery Projects Advance

Nigerian National Petroleum Company (NNPC) Limited has increased Nigeria’s crude oil output to 1.71 million barrels per day between April 2025 and April 2026.

The latest figure was disclosed in the company’s one-year mandate update.

Its upstream arm, NNPC Exploration and Production Limited, also achieved a peak production level of 565,000 barrels per day in December 2025.

Beyond crude output, the company has intensified its gas development strategy. Major infrastructure milestones include the completion of the River Niger crossing on the Ajaokuta-Kaduna-Kano pipeline and full welding of the transmission line.

Additional projects such as the Assa North-Ohaji South gas processing facility and the Obiafu-Obrikom-Oben pipeline connection have been brought on stream to support domestic gas supply.

Gas delivery remained stable at 7.5 billion standard cubic feet per day during 2025 with new supply agreements executed with major industrial consumers, including Dangote Cement Plc and Dangote Refinery, alongside compressed natural gas supply arrangements for manufacturing operations.

The company also launched a new Gas Master Plan in January 2026 and entered a tripartite partnership with China Gas Holdings Limited and Peiyang Chemical Singapore to expand gas commercialisation and unlock additional reserves.

In refining and upstream partnerships, the national oil company consolidated a 7.25 percent equity interest in the Dangote Refinery as part of efforts to safeguard national energy security.

It has also adopted an incorporated joint venture structure for its refineries, allowing operational autonomy and independent financing.

The Group progressed new contractual frameworks, including a production sharing arrangement for PPL 2000 and 2001, which incorporates provisions for developing deepwater gas resources.

It also secured approval for incentives to advance the Bonga South-West Aparo project toward final investment decision.

On legacy issues, the company confirmed a resolution of the long-standing OPL 245 dispute, leading to the restructuring of the asset into new production-sharing agreements covering multiple petroleum mining leases and prospecting licences.

NNPC has further strengthened its commercial footprint through new shipping partnerships with Stena Bulk and Sonangol, while introducing a new crude grade, Cawthorne, to expand export offerings.

Its lubricant brand, Oleum, has also been extended into additional West African markets.

Internally, the company has resumed monthly operational reporting, held its first investor earnings call, and restored regular remittances to the federation account.

Workforce expansion and new performance management initiatives have also been implemented as part of broader institutional reforms.

The combination of rising crude production, expanded gas infrastructure, and evolving commercial partnerships signals a coordinated effort to strengthen Nigeria’s energy value chain and improve long-term output sustainability.

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