FAAC: NUPRC records N459.6bn revenue shortfall despite 3% rise in monthly remittance

By Obas Esiedesa, Abuja

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has reported a revenue shortfall of N459.6 billion against its August 2025 budgetary target of N1.2 trillion, after remitting N745 billion to the Federation Account.

In its report to the Federation Accounts Allocation Committee (FAAC) for September 2025, the Commission disclosed that its revenue collection stood at N745.21 billion in August, representing a 61.85 percent performance against the monthly budget benchmark of N1.204 trillion.

On a month-on-month basis, the remittance reflected a 3.05 percent increase from N723.17 billion recorded in July.

“Total collection increased by N22.04 billion equivalent to 3.05 percent when compared with July 2025. The increase in collection for the month of August 2025 can be attributed to a revenue drive that led to improvement in almost all the revenue heads,” the report noted.

An analysis of the submission, however, showed that the underperformance was driven largely by poor royalty inflows from oil and gas. While the monthly budget projected N1.144 trillion from royalties, only N682.28 billion was realised in August, leaving a gap of N461.89 billion.

So far, NUPRC said it has transferred N5.475 trillion through the Central Bank of Nigeria to the Federation Account between January and August 2025.

It added: “The Commission’s performance from January to August 2025 is N7.103 trillion, inclusive of NNPC Limited JV and PSC royalty receivables of N1.050 trillion for the period, as well as Project Gazelle receipts of N730.24 billion for November 2024 (received in January 2025), and from January, March to June 2025.”

Two days earlier, NUPRC reported that Nigeria’s upstream petroleum sector recorded an average daily production of 1.63 million barrels of crude oil and condensates in August 2025, up from 1.58 million barrels per day (bopd) in August 2024.

The Commission’s Crude Oil and Condensate Production Report for August 2025 indicated that crude oil output stood at 1.43 million bopd, a 5.47 percent increase from 1.36 million bopd produced in August last year. Condensate production, however, fell to 197,229 bopd from 220,435 bopd in August 2024.

It noted that Nigeria’s August crude oil production represented 96 percent of its OPEC quota of 1.5 million bopd, reflecting the country’s improving capacity to meet output targets.

On a month-to-month basis, however, total production dipped by 4.7 percent from July’s 1.71 million bopd, attributed mainly to a day of unplanned maintenance at an oil facility. Crude oil alone fell by 4.8 percent compared to July’s 1.5 million bopd.

Production in August ranged between a low of 1.59 million bopd and a peak of 1.85 million bopd.

By terminal performance, Forcados Terminal led output with 8.99 million barrels (8.08 million barrels of crude and 915,200 barrels of condensates). Bonny Terminal followed with 6.26 million barrels, including 5.8 million barrels of crude and 418,270 barrels of condensates.

Other top contributors included Qua Iboe Terminal with 4.99 million barrels (4.94 million crude and 50,500 condensates), and Escravos Oil Terminal with 4.18 million barrels (4.08 million crude and 107,000 condensates).

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