- Nigeria’s crude oil production has increased to 1.8 million barrels per day, reaching 2.6 million bpd by 2025.
- NUPRC is implementing reforms to boost investment and ensure energy security under the Petroleum Industry Act (PIA).
Nigeria’s crude oil production the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced a significant increase in crude oil production, reaching 1.8 million barrels per day (bpd), which aligns with the country’s goal of achieving energy security.
This milestone was revealed by the Commission’s Chief Executive, Engr. Gbenga Komolafe, during the 42nd Annual International Conference and Exhibition of the Nigerian Association of Petroleum Explorationists (NAPE) held in Lagos on Monday, November 11, 2024.
The conference, themed *‘Resolving the Nigerian Energy Trilemma – Energy Security, Sustainable Growth, and Affordability’*, highlighted the ongoing reforms to bolster the country’s energy landscape.
Komolafe also outlined the NUPRC’s ambition to raise production to 2.6 million bpd and reach an additional one million barrels per day through its Project One Million Barrels Per Day Initiative. The initiative, launched in October, is part of broader efforts to enhance the country’s oil output. The NUPRC targets further growth, aiming for 2 million bpd by December 2024.
Speaking on behalf of Komolafe, the Executive Commissioner for Development and Production, Mr Enorense Amadasu, emphasised that the ongoing regulatory reforms within the oil and gas sector are designed to ensure that Nigeria maximises the benefits of its vast oil and gas resources, which are crucial to the country’s economic well-being and energy security.
Komolafe noted that the reforms, underpinned by the Petroleum Industry Act (PIA), have already led to the development of 25 regulations and guidelines, 17 of which have been officially gazetted. These regulations are central to fostering a stable and predictable regulatory environment for the petroleum industry, essential for attracting investment and stimulating exploration and production activities.
“We are in a pivotal era for Nigeria’s energy sector, where we must balance energy security, affordability, and sustainability. Resolving this energy trilemma is crucial for Nigeria’s energy independence and national security,” Komolafe stated.
He acknowledged that despite the challenges posed by the evolving global energy landscape, Nigeria’s vast natural resources, particularly oil and gas, remain critical for national development and regional influence.
The NUPRC also addressed the issue of divestments in the sector, confirming that four transactions have received ministerial consent and approval. While some International Oil Companies (IOCs) have adjusted their portfolios, no IOC has fully exited Nigeria.
Komolafe explained that such divestments present opportunities for increased local participation and investments in the oil and gas industry, which will help ensure the sustainability and growth of the sector.
In addition, the Commission has reaffirmed its commitment to supporting local refiners by ensuring a fair and predictable supply of crude oil for domestic refining by the PIA. Komolafe highlighted that the NUPRC has issued specific guidelines to facilitate the domestic crude supply obligations, ensure the availability of petroleum products, and promote energy affordability.
Looking ahead, the Commission is focused on deepening its regulatory framework to enhance industry predictability and foster collaboration among key stakeholders, further strengthening domestic energy security and economic growth.
By addressing these core issues, the NUPRC is confident that Nigeria can continue to develop its oil and gas potential, driving energy security and economic prosperity for its citizens.