NNPC Cuts Costs by $3.4bn Amid Oil Production Surge

NNPC Limited announced a $3.4 billion reduction in operational costs, achieved through aggressive contract restructuring and optimization programs. Bashir Bayo Ojulari, the Group Chief Executive Officer of NNPC Limited, disclosed this during the presentation of the company's annual performance scorecard at the 25th NOG Energy Week in Abuja.

The report indicated a 6% increase in crude oil production, totaling 569.7 million barrels, and an 8.1% rise in gas production to 2.576 billion standard cubic feet. NNPC's contribution to government revenue increased by 21.8%, amounting to ₦19.5 trillion during the review period.

The company aims to raise crude oil production to two million barrels per day by 2027 and three million barrels per day by 2030. NNPC also reported a recovery factor of 98% across its crude export terminals, attributing improvements to enhanced operational stability and infrastructure recovery across the country’s oil production assets.