The Nigerian National Petroleum Company Limited NNPC Ltd. reduced its general and administrative expenses by 28 per cent to N2.6 trillion in 2025 as part of measures to control costs and protect profitability amid weaker global oil prices.

The Group Chief Executive Officer of NNPC Ltd., Bashir Bayo Ojulari, disclosed this while presenting the company’s 2025 financial performance, saying the reduction resulted from sustained cost optimisation and greater use of internal resources.

He said the company maintained a focus on factors within its control, including operational reliability, capital discipline and execution, despite a challenging global economic environment.

According to him, geopolitical tensions, trade frictions and increased crude supply from OPEC+ and non-OPEC+ producers contributed to softer oil prices during the year.

Despite the pressure, NNPC recorded growth across several of its core businesses. Oil and condensate production increased by five per cent, while natural gas production rose by nine per cent.

The company’s equity volumes across oil, condensate and natural gas also increased by 11 per cent, while gas transmission volumes rose by 18 per cent, sales volumes by 12 per cent and LNG volumes by 11 per cent.

Ojulari said the improved operational performance supported stronger financial results, with profit after tax rising by 33 per cent to N7.2 trillion from N5.4 trillion in 2024.

Operating cash flow increased by 16 per cent to N12.8 trillion, while dividends rose by 35 per cent to N5.8 trillion. Return on equity also increased by two percentage points to 16 per cent.

NNPC said the stronger performance reflected improved operational efficiency, tighter cost control and increased production, despite a 24 per cent decline in revenue to N34.5 trillion.

The company also reported progress in its environmental and social programmes, including the commissioning of nine new compressed natural gas sites, taking its network to 19 stations.

It said more than 6,000 cataract surgeries were facilitated during the year, while over 300,000 National Youth Service Corps members received financial literacy and workforce-readiness training.

NNPC also supported more than 15,000 farmers with climate-smart agriculture and market-readiness training and planted 80,000 trees through its afforestation and reforestation initiative.

Looking ahead, the company said it was targeting further growth across its upstream, gas and energy businesses, including increased oil and condensate production and expansion of natural gas output and transmission capacity.