Oil taxes and revenue collected in the oil and gas sector for the month of September, dropped by N345.19bn.

According to documents presented to the Federal Account Allocation Committee at its October meetings and sighted by Daily Trust, the Federal Inland Revenue Service (FIRS) said taxes it collected in the sector was N302.5bn.

It said the performance is lower than the August 2025 collection of N644.5bn, a N341.98bn reduction and representing a 53.06% decrease.

It said the figure is lower than the 2025 monthly target of N600.16bn, a reduction by N297.65bn (49 60 percent shortfall).

The service explained that the reason for the decrease in the Petroleum Profit Tax (PPT) collections when compared with previous month is due to decrease in receipt from Production Sharing Contract (PSC).

On its part, the Nigerian Upstream Regulatory Commission (NUPRC) said the amount it collected on behalf of the federal and the 36 states governments of the federation dropped by NGN3,216,634,047.54 due to drop in oil production and oil price fluctuation in the month of September.

It would be recalled that Nigeria’s crude oil production shrank to 1.39 million barrels per day in September 2025, marking the second consecutive month of reduced output.

The NUPRC had said this was due to the disruptions caused by the labour strike during the rift between the Petroleum and Natural Gas Senior Staff Association of Nigeria and the Dangote Refinery.

According to the latest Monthly Oil Market Report released by the Organisation of the Petroleum Exporting Countries, the figure represents a decline from 1.434 mbpd recorded in August and is the lowest in seven months, falling below Nigeria’s OPEC allocation of 1.5 mbpd.

OPEC stated that the production figures were “obtained through direct communication with Nigerian authorities.”

The strike action led to the shutdown of several production and export facilities, disrupting output and export schedules.

But NUPRC in its presentation to the Federal Account Allocation Committee (FAAC) said it collected the total sum of N741,986,951,078.10 (billion) in September 2025 giving the percentage performance of 61.59 percent when compared to its monthly budget target of N1,204,801,984,708.98 (trillion).

It said the revenue was a negative variance of N462,815,033,630.88 equivalent to 38.41 percent.

“This low performance was due to fluctuation in the crude oil price and shortfall in crude oil production. In Comparison with previous month collection, total collection decreased by N3,216,634,047.54 (billion) equivalent to 0.43 percent when compared with N745,203,585, 125.64 (billion) collected in August 2025.

The commission said during the month, there was no payment for Project Gazelle but it transferred N741, 986,951,078.10 (billion) to the federation account while the total amount transferred to the Federation Account by CBN from January to September 2025 is N6,215,462,360,057.81 (trillion).

“The Commission’s performance from January to September 2025 is NGN7,554,418,148,540.38 which is inclusive of NNPC Ltd JV & PSC Royalty Receivables of NGN758,988,546,848.68 for the period of January to August 2025 and Project Gazelle receipt of NGN730,246,085,147.28 for November 2024 (received in January 2025), January, March to June 2025.”

“Please note that there were no receipts due for December 2024, February, July, August and September 2025 for Project Gazelle Royalty. In addition, total NNPC Ltd JV Royalty receivable from October 2022 to August 2025 amounted to N6,322,861,105,179.43.

“We confirm receipt of US$3,394,549.21 in the month under review from the cumulative outstanding amount of US$1,480,011,998.55 expected from PSC, DSDP, RA and MCA liftings leaving a balance of US$1,476,617,449.34. The amount of US$3,394,549.21 received is part of the total collection reported above for sharing by the Federation this month.

“The Commission awaits the final report of the Alignment Committee on the Reconciliation of Indebtedness between NNPC Ltd and the Federation following the report of its Technical Sub-Committee of the meeting held between 7th and 14th July 2025.”