NNPC Ltd declares ₦5.4trn PAT, target 3mbpd by 2030
Omeiza Bilal
The Nigerian National Petroleum Company Limited (NNPC Ltd) on Monday announced a Profit After Tax of N5.4 trillion as for the 2024 financial year. The amount represents a 64 per cent year-on-year growth over the N3.297 trillion recorded in 2023.
Founded in 1977, NNPC Ltd underwent a major transformation in July 2022, becoming a fully commercial and profit-driven entity under the Petroleum Industry Act (PIA) of 2021. Today, NNPC Limited plays a pivotal role across the entire oil and gas value chain, from exploration and production to refining and distribution, driving growth and energy security for Nigeria and the continent.
The Group Chief Executive Officer of NNPC Ltd, Bashir Bayo Ojulari, who made the announcement also revealed that the company recorded a ₦45.1 trillion revenue in 2024, representing an 88 per cent year-on-year growth compared to N23.9 trillion in 2023.
The GCEO further added that earnings per share for the period under review was ₦27.07, representing a 64 per cent year-on-year growth.
According to the Ojulari, the outcome was propelled by enhanced operational efficiency across our assets, the positive impact of downstream market reforms, and our unwavering commitment to cost discipline.
He said, “The earnings highlight the positive momentum of our ongoing transformation and the unwavering commitment of our workforce. They offer a solid foundation for the ambitious growth ahead, in line with President Bola Ahmed Tinubu’s mandate, and reaffirm our commitment to delivering value to Nigerians.”
He further said that floating of the naira policy by the Central Bank of Nigeria (CBN) helped to shore up the company’s profit.
He said: “You recall the CBN final regulation of floating the naira. The floating of the naira boosted our profits. We had a positive impact on the profits. We now know that the naira is relatively stable. I don’t think any of us wanted to be over it again. Of course, we wish it goes down further as the Nigerian economy stretches.
“So even if there are fluctuations, we are not expecting that same repeat this year, right? If we discount that, and we discount oil price, again, all of us can just believe oil price. Oil price is internationally due, right? The fundamentals, we expect it to be sustainable and improving.
“Financially, we have never been stronger or better positioned for tomorrow.”
As part of its growth and energy security startegy, The GCEO said NNPCL was accelerating investments across upstream operations, gas infrastructure, and clean energy to extend growth into the next decade.
Ojulari said the state-owned company is mobilising $60 billion in investments across the upstream, midstream, and downstream sectors by 2030.
“Growing natural gas production to 10 bcf/d by 2027 and 12 bcf/d by 2030. Strategically, this financial capacity powers our ambitious national initiatives. We are vigorously advancing key gas infrastructure projects such as the Ajaokuta-Kaduna-Kano pipeline project, also known as AKK, and the Obiafu-Obrikom-Oben, also known as OB3 pipelines, to unlock a gas-powered economy, reviewing technical and commercial viability of our refineries to strengthen domestic energy security, and pursuing a $60 billion investment pipeline to expand oil and gas output.
“Our goal remains to raise crude oil production to 3 million barrels per day by 2030 and grow gas production to 12 billion cubic feet daily,” he said.
The company’s helmsman said that the management is working to ensure that it partners with a reputable company that has the technical capacity to operate the refineries.
He noted that the PIA in place, the company is now better placed to consummate a commercial agreement.
“Now, going forward, we realize that, you know, if you look at the Dangote refinery today and you look at the capabilities of the people running them, a lot of foreign people are there. We may not like it, but we need to review that capability because we’ve lost the capability over time. So, what we’re looking at is some partnership with private entities, but private entities that have existing refineries that they are running. We have that track record. And our intention is to partner with them as a business. Remember, we are not partnering as government. We are partnering as a CAMA company. It’s very different.
“It’s a commercial arrangement where they bring in technical capacity, technical resources, and all of that. And we compliment with the capability that we have. And we co-operate. But they lead the operation because we want people who are a skin in the game. That is what the intention is.
“But the timeline I can give you is that by middle of next year, we will have agreed and defined the partnerships, the technical partnerships, the new relationship, the new contracts. Everything will be in place. So, I will have a clear roadmap towards the completion of those plans,” he explained.
