The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) remitted N8.79 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 N873,104,663,972.70 remitted to the Federation Account.
The account was also presented at the November Federation Account Allocation Committee (FAAC) meeting, marking a 17.67 per cent increase compared to the N741.99 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 N8,795,528,705,538.82, which is inclusive of NNPC Limited JV & PSC (Production Sharing Contract) Royalty Receivables of N1,021,550,672,578.87 for the period of January to October 2025 and Project Gazelle receipt of N835,689,852,435.38 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 N6,332,884,316,237.13 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.
Out of $1,480,610,652.58 and N6,332,884,316,237.13, it stated that the affected outstanding obligations that have been ‘nil off’ are $1,421,727,723.00 and N5,573,895,769,388.45. “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 N1,021,550,672,578.87 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 N1,021,550,672,578.87. 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 N1.204 trillion, actual collections represented 72.47 per cent, leaving a negative variance of N331.70 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 N61.70 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 N807.08 billion, representing 70.54 per cent of the monthly budget for this category. Though below target, this reflected an increase of N143.28 billion from September’s N663.80 billion, highlighting a marked recovery in royalty inflows.