THE Nigerian National Petroleum Company Limited (NNPCL) has reported that the amount it paid to the federal government as statutory remittances declined significantly in January 2026.

In its Monthly Report Summary for January, released on Monday, the national oil company disclosed that statutory payments stood at N726 billion during the month. These payments represent the compulsory financial contributions the company makes to the federal government.

The report shows that the January remittance represented a 42.83 percent drop compared with N1.27 trillion paid in December 2025.

NNPCL’s revenue also recorded a steep decline within the same period. The company generated N2.57 trillion in January, which was lower than the N4.82 trillion recorded in December, translating to a 46.68 percent decrease month-on-month.

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Despite the fall in revenue and statutory remittances, the company reported improved profitability. Profit after tax rose to N385 billion in January 2026, up 9.69 percent from the N351 billion posted in December 2025.

Operationally, gas production increased during the month. Natural gas output rose to 7.28 million standard cubic feet per day, compared with 6.19 million in December.

Gas sales also edged higher, reaching 4.97 million standard cubic feet per day, up from 4.75 million recorded in the previous month.

Crude oil and condensate output also improved, climbing to 1.64 million barrels per day in January, from 1.55 million barrels per day in December 2025. According to the company, the increase in production followed the completion of turnaround maintenance at the Agbami and Renaissance (Estuary Area – EA) assets.

However, NNPC noted that planned deliveries for January were lower than expected due to adverse weather conditions, evacuation issues, and asset integrity challenges.

The company also provided updates on key gas infrastructure projects. It said pre-commissioning work continued on the mainline of the Ajaokuta–Kaduna–Kano (AKK) gas pipeline, while construction of block valve stations and intermediate pigging stations recorded notable progress.

In addition, drilling operations advanced as scheduled at the Obiafu–Obrikom–Oben (OB3) River Niger crossing, according to the report.