A policy advocacy organisation, the Centre for Energy Accountability and Reform (CEAR), has praised the Nigerian National Petroleum Company (NNPC) Limited for posting a Profit After Tax (PAT) of N5.4 trillion for the 2024 financial year, describing the performance as a clear signal that ongoing reforms in the oil and gas sector are yielding results.

In a statement issued on Tuesday in Abuja, CEAR’s Executive Director, Dr. Ibrahim Ahmed, said the profit figure represents “an unmistakable affirmation that Nigeria’s oil industry is finally responding to disciplined management and modern commercial reforms.”

NNPC announced the 2024 PAT during a briefing in Abuja, indicating a 64 per cent increase from the N3.297 trillion recorded in 2023. The company also reported an 88 per cent surge in revenue to N45.1 trillion, driven by higher production levels and improvements in the downstream segment.

CEAR attributed the stronger performance to operational efficiency, enhanced transparency and expanded investment under the leadership of NNPC Group Chief Executive Officer, Bayo Ojulari. Ahmed said the results mark the strongest evidence yet of the company’s successful transition into a commercially oriented limited liability entity.

“This profit performance is not accidental. It reflects a deliberate, disciplined shift in how NNPC Limited is run — one that prioritises efficiency, transparency and commercial viability,” the Centre said, noting that Ojulari’s reforms have helped stabilise operations and rebuild investor confidence at a time of heightened global scrutiny.

The organisation added that ongoing reforms across the upstream, midstream and downstream sectors are helping to reverse years of inefficiency, vandalism, under-investment and regulatory friction. It also said the financial results align with President Bola Tinubu’s Renewed Hope Agenda, particularly the focus on fiscal sustainability and improved sector governance.

While acknowledging the decline in foreign exchange earnings captured in the 2024 report, CEAR said the shortfall reinforces the need to scale production, expand gas output and deepen domestic value-addition to reduce reliance on crude exports.

It commended NNPC’s targets of raising crude production to two million barrels per day by 2027 and three million barrels per day by 2030, as well as its plan to grow gas output to 12 billion standard cubic feet per day by 2030. The Centre also lauded the company’s push to attract $60 billion in new investments across the value chain.

“With this performance, NNPC Limited has sent a clear message that Nigeria’s energy sector can work — and work profitably — when guided by clear vision and competent management,” Ahmed said, urging stakeholders to remain committed to ongoing reforms.

Vanguard News