Nigeria: NNPC Links Licensing-Round Criticism to Rising Oil and Gas Output

The Nigerian National Petroleum Company Limited (NNPC Ltd) has pushed back against criticism of its management following Nigeria’s latest oil licensing round, pointing instead to increases in crude oil and gas production under the leadership of Group Chief Executive Officer Bayo Ojulari.

The company said recent comments attributed to the Oil and Gas Professionals Forum (OGPF) questioned the performance of its leadership over the licensing exercise conducted by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

NNPC added that the criticism appeared to overlook the different responsibilities assigned to the two institutions under the Petroleum Industry Act (PIA) 2021. It stressed that oil licensing rounds and the allocation of oil blocks are statutory responsibilities of the NUPRC, while NNPC operates as a commercial entity and has no regulatory or block-allocation powers.

The company stated that its production figures provide a clearer measure of its recent performance.

According to NNPC, average crude oil production stood at 1.60 million barrels per day, including condensates, in April 2025. By April 2026, output had risen to 1.67 million barrels per day, an increase of about 80,000 barrels per day, or 6%.

Gas production also increased during the same period. NNPC disclosed that average output rose from 7,354 million standard cubic feet per day in April 2025 to 7,729 million standard cubic feet per day by April 2026, representing growth of about 5%.

Production gains strengthen NNPC’s case

The company noted that the production figures, published in its monthly performance reports, show that efforts to raise output are beginning to yield results as Nigeria seeks to reverse years of weak production and attract fresh investment into the upstream sector.

Higher crude production could improve government revenue and export earnings, while increased gas output would support power generation, industrial users and Nigeria’s LNG commitments.

NNPC also argued that separating its commercial role from the regulator’s licensing mandate is important when assessing the outcome of the latest bid round. The NUPRC is responsible for administering licensing rounds and allocating oil blocks, while NNPC’s role is centred on commercial operations and participation in the petroleum industry.

The company emphasised that it remains open to scrutiny but urged industry groups and analysts to verify claims against official regulatory and corporate records before making public assessments.

It added that it would take necessary steps to protect the reputation of the company and its leadership against what it considers false or unsubstantiated claims.