The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has remitted a total of **₦8.79 trillion** to the Federation Account shared by the federal, state, and local governments between January and October 2025.
The disclosure was made during the November meeting of the Federation Account Allocation Committee (FAAC), according to documents cited by *THISDAY*.
FAAC figures show that the Commission recorded a strong revenue performance in October 2025, remitting **₦873.10 billion**, a **17.67% increase** from the ₦741.99 billion collected in September. The rise reflects improved operational efficiency despite ongoing instability in the global crude oil market.
Revenue inflows for the period came from royalties, gas flare penalties, rentals, and various other oil-related revenue streams.
The FAAC report stated:
“The commission’s performance from January to October 2025 is ₦8,795,528,705,538.82, including NNPC Ltd JV & PSC Royalty Receivables of ₦1.02 trillion for January to October 2025 and Project Gazelle receipts of ₦835.69 billion for November 2024.”
The report also noted that no Project Gazelle receivables were recorded for December 2024 and February, August, September, and October 2025.
October’s revenue boost comes as the federal government struggles with significant fiscal pressures, exchange rate instability, and declining oil output caused largely by facility downtime. The nearly 18% month-on-month increase provided temporary relief, enabling all tiers of government to meet critical expenditure needs.
However, overall performance still fell short of projections, showing a **27.53% budget underperformance**. The data highlights the need for stronger production stability, enhanced compliance enforcement, and deeper reforms in the upstream oil sector.
The FAAC document further revealed that NNPC’s outstanding obligations as of October 2025 stood at **$1.48 billion** and **₦6.33 trillion** for oil liftings and royalty receivables, respectively.
The FAAC document further revealed that from the outstanding obligations of **$1,480,610,652.58** and **₦6,332,884,316,237.13**, a total of **$1,421,727,723.00** and **₦5,573,895,769,388.45** had already been cleared (“nil-off”).
“The commission has passed the appropriate accounting entries as approved,” the report stated.
Based on this, the NUPRC noted that the NNPC’s remaining statutory obligations for January to October 2025 stood at **$56,808,752.32** and **₦1,021,550,672,578.87** for PSC/MCA liftings and JV royalty receivables, respectively.
The Commission confirmed receiving **$55,003,997.00** from these outstanding amounts during the review period, leaving a balance of **$1,804,755.32** plus the existing **₦1.02 trillion** in royalty receivables. The received sum formed part of the revenue shared by the federation in November.
Despite the strong month-on-month improvement, the October figures still fell short of the approved revenue benchmark. Against a budgeted **₦1.204 trillion**, actual collections amounted to **72.47%**, representing a shortfall of **₦331.70 billion**.
NUPRC attributed the gap primarily to unstable global crude oil prices and a drop in domestic production—two persistent factors that have weakened government revenue expectations throughout 2025.
Even so, the improved inflows offered timely relief to federal and state governments that depend heavily on oil-derived revenue.
A breakdown of the revenue components showed mixed performance across major streams:
* **Oil and gas royalties:** ₦807.08 billion, representing 70.54% of the monthly target. Though below budget, it marked an increase of ₦143.28 billion from September’s ₦663.80 billion.
* **Gas flare penalties:** ₦61.70 billion, exceeding both the budget and September figures, achieving 105.52% of the monthly target.
* **Rental revenue:** ₦3.60 billion, up from ₦2.16 billion in September—a 65.15% month-on-month rise.
* **Miscellaneous revenue:** ₦0.394 billion, sharply lower than both expectations and September’s ₦5.62 billion, making it the weakest-performing category.
Overall, October’s total collection of **₦873.10 billion** surpassed September’s revenue by **₦131.12 billion**, reflecting a steady upward trend after months of volatility.
