The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) remitted ₦8.79 trillion to the Federation Account between January and October this year.
According to a briefing note by the Commission, a significant rise in revenue inflows was recorded for October 2025, with a total of ₦873,104,663,972.70 remitted to the Federation Account.
The account was also presented at the November Federation Account Allocation Committee (FAAC) meeting.
This marked a 17.67 per cent increase compared to the ₦741.99 billion collected in September 2025.
The sources of funds included royalty collections, gas flare penalties, rentals, and miscellaneous oil revenues for the months under review.
“The commission’s performance from January to October 2025 is ₦8,795,528,705,538.82, which is inclusive of NNPC Ltd JV & PSC (Production Sharing Contract) Royalty Receivables of ₦1,021,550,672,578.87 for the period of January to October 2025 and Project Gazelle receipt of ₦835,689,852,435.38 for November 2024…” the FAAC document showed.
The commission clarified that there were no receivables due for December 2024, February, August, September, and October 2025 under Project Gazelle.
According to the document, the outstanding obligations of NNPC reported at the October 2025 FAAC meeting were $1,480,610,652.58 and ₦6,332,884,316,237.13 for oil liftings and royalty receivables, respectively.
However, the commission said it recently received a Presidential Approval to ‘nil off’ the outstanding obligations of NNPC as at December 31, 2024, as submitted by the stakeholder alignment committee on the reconciliation of indebtedness between NNPC and the federation.
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Out of $1,480,610,652.58 and ₦6,332,884,316,237.13, it stated that the affected outstanding obligations that have been ‘nil off’ are $1,421,727,723.00 and ₦5,573,895,769,388.45. “The commission has passed the appropriate accounting entries as approved,” the document showed.
The outstanding statutory obligations of the NNPC from January to October 2025, according to the FAAC report, are: $56,808,752.32 and ₦1,021,550,672,578.87 for PSC and MCA (Modified Carry Agreement) liftings and JV royalty receivables, respectively.
However, the commission said it received $55,003,997.00 in the month under review from the outstanding, leaving a balance of $1,804,755.32 and ₦1,021,550,672,578.87. The amount of $55.003.997.00 received, it said, is part of the total collection reported for sharing by the federation in November.
The document indicated that collections still fell below the approved monthly budget. Against a revenue projection of ₦1.204 trillion, actual collections represented 72.47 per cent, leaving a negative variance of ₦331.70 billion.
NUPRC attributed the shortfall primarily to fluctuations in crude oil prices and a noticeable drop in crude oil production, factors that have repeatedly affected government revenue projections in 2025.
For the gas flare penalty, the commission collected ₦61.70 billion. This represented 105.52 per cent of the monthly target and a modest month-on-month increase.
Oil and gas royalties for October stood at ₦807.08 billion, representing 70.54 per cent of the monthly budget for this category. Though below target, this reflected an increase of ₦143.28 billion from September’s ₦663.80 billion, highlighting a marked recovery in royalty inflows.
