NNPC Reports Record Profit of N3.3 Trillion, Declares N2.1 Trillion Dividend

The Nigerian National Petroleum Company Limited (NNPC) has announced a historic financial achievement, reporting a net profit of N3.297 trillion for the 2023 fiscal year. This marks a significant increase of over N700 billion, or 28%, compared to its 2022 profit of N2.548 trillion. The announcement was made during a press conference at the NNPC Towers in Abuja on Monday.

Chief Financial Officer of NNPC, Mr. Umar Ajiya, highlighted the importance of this achievement, stating that it reflects the company’s dedication to transparency, accountability, and operational efficiency. “Our fiscal performance reflects both strategic foresight and operational resilience,” Ajiya said. He added, “Despite the inherent challenges of our operational and economic environment, we have improved the productivity and financial performance of this great company.”

The impressive profit underscores NNPC’s commitment to sustaining profitability while supporting Nigeria’s national energy security, in line with the provisions of the Petroleum Industry Act (PIA) 2021. Ajiya also addressed ongoing speculation about subsidy payments, clarifying that the company’s involvement was limited to covering the shortfall in petrol importation between NNPC and the federation.

During the press conference, the Chairman of the NNPC Board, Chief Pius Akinyelure, credited the company’s remarkable performance to the implementation of the PIA 2021, as well as the dedication of the board, management, and staff. Akinyelure announced that shareholders had approved a final dividend of N2.1 trillion in accordance with PIA 2021.

The Executive Vice President of Upstream, Mrs. Oritsemeyiwa Eyesan, spoke about the company’s ongoing efforts to combat crude oil theft and pipeline vandalism. These efforts, she noted, are expected to significantly boost crude oil production, with a target of reaching two million barrels per day by the end of the year.

Regarding the recent fuel shortages in Lagos and the Federal Capital Territory, the Executive Vice President of Downstream, Mr. Dapo Segun, appealed for patience from Nigerians. He assured that NNPC is collaborating with relevant stakeholders to address the distribution, evacuation, and logistics challenges contributing to the fuel queues.

NNPC’s journey to profitability has been notable, particularly since it first declared a profit in 2020. The company turned around its financial position from a loss of N803 billion in 2018 to a profit of N287 billion in 2020. In 2021, the profit increased to N674.1 billion, and by 2022, it had grown to N2.548 trillion. The N3.297 trillion profit reported for 2023 is the highest in the company’s 46-year history, solidifying NNPC’s position as a key player in Nigeria’s economy.