Nigeria’s oil sector recorded N5.21 trillion in revenue during the first half of 2025, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced Tuesday.
While substantial, the figure falls short of the proportional target needed to meet the commission’s N15 trillion annual budget goal, signaling potential revenue headaches for the Federal Government.
The earnings—drawn from royalties, gas sales, and joint ventures—represent 42.7 per cent of 2024’s full-year revenue of N12.2 trillion.
Yet it covers just 34.7 per cent of this year’s target. Industry analysts warn that bridging this gap requires either a major oil production boost or rapid recovery of outstanding debts before December.
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NUPRC’s report confirmed $459,226 recovered from oil contractors’ debts, a fraction of the $1.436 billion owed. With $1.435 billion still outstanding, revenue collection remains a steep challenge.
Energy experts Dayo Ayoade and Bala Zaka caution against overburdening NUPRC with revenue targets. “Turning regulators into tax collectors creates hostile business climates,” Zaka stated, noting international firms have fled Nigeria due to years of “business climate hostilities.”
Both urged prioritizing security and regulatory reforms over aggressive revenue drives to sustainably revive the sector.
