Mr Solomon Oseagah, an oil and gas expert, has asserted that Nigeria is poised to significantly enhance its oil production capacity, increasing from 900,000 barrels to over 1.5 million barrels per day.
This positive outlook is largely attributed to government initiatives focused on combatting oil theft and improving security within the sector.
During an interview with journalists in Abuja, held on the sidelines of a forum dedicated to the future of Nigeria’s oil industry, Oseagah praised the efforts of President Bola Tinubu and NNPC Ltd’s Group Chief Executive Officer, Mele Kyari.
He highlighted the recent establishment of command and control centres by NNPC Ltd, which have already resulted in the arrest of over 1,000 oil thieves who are currently awaiting judicial proceedings.
Oseagah stressed the importance of enhanced security measures for increasing production, pointing out that oil output had significantly declined in 2022 due to theft and vandalism.
He acknowledged that the government’s proactive strategies to strengthen security in oil-producing regions have made a substantial impact.
Furthermore, he noted that major oil companies are now planning expansions. Seplat Energy aims to double its production to 120,000 barrels per day following its acquisition of Exxon Energy, while Oando is targeting an increase from 40,000 to 100,000 barrels per day.
Oseagah also mentioned that the upstream leadership is seeking to raise Nigeria’s OPEC quotas, utilising relationships with the European Agency for Energy Security to further bolster the nation’s oil output.
He remarked, “The government has implemented measures to enhance security in oil-producing regions. Additionally, the Nigeria National Petroleum Company Limited has established command centres to monitor our oil assets in real time.
“This is largely positive news, as increased production means Nigeria can generate more revenue. This, in turn, will provide a greater supply of foreign exchange to stabilise our currency, support our reserves, and enable us to fund the budget more effectively without incurring excessive deficits.
MicCom ventures into high voltage cable production to boost Nigeria’s energy manufacturing capacity
“Looking at Seplat Energy, they have announced plans to double their production to 120,000 barrels per day within the next six months following their acquisition of Exxon Energy.
“We also see Oando aiming to increase its production to 100,000 barrels per day from 40,000 barrels per day over the next few years after acquisitions from international players.”
(Vanguard)
