NNPC Reports N3.3 Trillion Net Profit and N2.1 Trillion Dividend, Sets Ambitious Crude Oil Production Target
The Nigerian National Petroleum Company Limited (NNPC) has announced its 2023 Audited Financial Statement (AFS), revealing a net profit of N3.297 trillion for the financial year ending in December 2023. This marks a significant 28% increase, or over N700 billion, from the N2.548 trillion profit recorded in 2022.
During a world press conference in Abuja on Monday, NNPC’s Chief Financial Officer, Umar Ajiya, highlighted that the release of the AFS underscores the company’s commitment to transparency and accountability.
“Our fiscal performance reflects strategic foresight and operational resilience. Despite the challenges in our operational and economic environment, we have enhanced the productivity and financial performance of this great company,” Ajiya stated, according to a statement by NNPC’s Chief Corporate Communications Officer, Olufemi Soneye.
Ajiya emphasized that these impressive returns demonstrate NNPC Ltd’s dedication to maintaining profitability and supporting national energy security, as mandated by the Petroleum Industry Act (PIA) 2021. He also mentioned that the company would announce its Initial Public Offering (IPO) once a decision is made by the shareholders and Board. Ajiya further dismissed claims about subsidy payments, clarifying that the company is only managing the shortfall in PMS importation between it and the Federation.
NNPC Ltd. Board Chairman, Chief Pius Akinyelure, attributed the company’s excellent performance to the implementation of the PIA 2021 and the unwavering commitment of the Board, Management, and staff. He also noted that the shareholders have approved a final dividend of N2.1 trillion in line with the PIA 2021 provisions.
In her remarks, Executive Vice President, Upstream, Mrs. Oritsemeyiwa Eyesan, announced that NNPC Ltd. is targeting a crude oil production of 2 million barrels per day by the end of 2024, thanks to improvements in combating crude oil theft and pipeline vandalism.
Addressing the ongoing fuel queues in parts of Lagos and the FCT, Executive Vice President, Downstream, Mr. Dapo Segun, appealed for patience, assuring Nigerians that the company is collaborating with relevant stakeholders to resolve distribution, evacuation, and logistics challenges.
It is noteworthy that NNPC first declared a profit in 2021, overcoming a loss of N803 billion in 2018 and further reducing losses to N1.7 billion in 2019. The company achieved its first-ever profit of N287 billion in 2020, followed by N674.1 billion in 2021, and N2.548 trillion in 2022. The N3.297 trillion profit for 2023 is the highest in the company’s 46-year history.
