Nigeria’s oil production is expected to increase significantly, from 900,000 barrels to over 1.5 million barrels per day, as the country strengthens efforts to combat oil theft and improve security in the sector.
This projection was made by oil and gas expert Mr. Solomon Oseagah during an interview in Abuja at a forum focused on the future of Nigeria’s oil industry.
Oseagah commended President Bola Tinubu’s administration and NNPC Ltd’s Group Chief Executive Officer, Mele Kyari, for their efforts in addressing the sector’s challenges. One of the key initiatives highlighted was the establishment of command and control centres by NNPC Ltd. According to him, the centres have already led to the arrest of over 1,000 oil thieves, who are now awaiting judicial proceedings.
The expert pointed out that these enhanced security measures are crucial for boosting oil production, which had significantly declined in 2022 due to widespread theft and vandalism.
He also noted that major oil companies are now planning expansions as a result of the improving security situation. Seplat Energy, for example, aims to double its production to 120,000 barrels per day following its acquisition of Exxon Energy. Similarly, Oando plans to increase its production from 40,000 to 100,000 barrels per day over the coming years.
Oseagah also mentioned that Nigeria’s upstream leadership is working to raise the country’s OPEC quotas, collaborating with the European Agency for Energy Security to further boost production. He emphasized that the government’s measures to enhance security in oil-producing regions, as well as real-time monitoring of oil assets through the NNPC command centres, are already delivering positive results.
The anticipated increase in oil production is expected to generate more revenue for the country, stabilize foreign exchange, and provide greater financial resources to support the national budget, all while helping to reduce deficits.