Nigeria’s potential can produce 2.2 mln oil bpd – NUPRC boss

Mr Gbenga Komolafe, the Chief Executive, Nigerian Upstream Petroleum Regulatory Commission (NUPRC) says Nigeria has the potential to produce 2.2 million bpd as against the current production of between 1.5 million and 1.6 million.

Komolafe disclosed this at the 8th Sub-Saharan Africa International Petroleum, Exhibition and Conference (SAIPEC) on Tuesday in Lagos.

According to him, the oil and gas in Nigeria respectively represents 30 per cent and 34 per cent of the African oil and gas reserves.

“Although the actual national production currently averages 1.33 million barrels of oil per day and 256 thousand barrels of condensate per day.

“The national technical production potential currently stands at 2.26 million bpd, and the current OPEC quota is 1.5 million bpd.

“Thus, the Commission is taking strategic measures to arrest some challenges confronting us in order to boost production and meet the potential,” he said.

The NUPRC boss said that part of the measures by the Commission was to improve transparency in hydrocarbon measurement and accounting.

He said that the Commission engaged in collaborative work programme administration with the E & P companies and close monitoring to ensure that they meet their work programme obligations.

He said that aside from hydrocarbon resources, Nigeria is also blessed with potentials for green and blue hydrogen, solar, wind, bio-mass and critical minerals for development of clean energy technologies as well as growing population predominated by young people.

“With a coastline along the Gulf of Guinea, market size of more than 200 million people projected to reach between 390 million and 440 million people in 2050, Nigeria represents hope for Africa.

“Interestingly, about 70 per cent of the Nigerian population are under 30, and 42 per cent are under the age of 15, representing a huge economic asset.

“Indeed, Nigeria’s potentials are derived from its human, natural and material resources which must be mobilized to propel her on a path of economic growth and development and for her sustainable energy future,” he added.

Komolafe said that the global energy landscape was indeed currently in a state of rapid change in response to climate concerns.

He said that, as a result, the oil and gas industry is experiencing crucial changes that will have significant bearing on the global energy future.

He cited the recent concluded COP28 suggestions on pathways for phasing-out fossil fuels, which were vehemently challenged by OPEC as the cartel reiterated its call for just, inclusive, equitable and balanced energy transition.

He said that President Bola Tinubu, at the United Nations General Assembly (UNGA), in September 2023, underscored the need to align Africa’s transition pathway with the continent’s circumstances and overall economic pursuit.

The NUPRC helmsman said that the Agenda for Nigeria and other resource-rich developing economies is that the evolving energy dynamics must be calibrated to ensure energy justice, equity, inclusivity, and sustainability.

“The new dynamics in the global energy arena necessitate that Nigeria, and other countries, long dependent on the exploitation of oil and gas as the mainstay of their economies, re-examine their strategy to secure a blossoming energy future while meeting the global climate goals.

“Hence, for Nigeria, the legal, governance, fiscal and regulatory frameworks provided in the Petroleum Industry Act, 2021 (PIA), amongst several objectives.

”Also, aim to promote transparency, efficiency, and innovation for sustainable development of national hydrocarbon resources as well as renewable energy investment to meet the global environmental sustainability goals,” Komolafe explained.

In his remarks, Mr Nicolas Odinuwe, Chairman of PETAN, asked that government and institutions should desist from taking oil and gas industry stakeholder’s funds as part of its budgetary allocations.

Odinuwe said that the funds are either surplus or idle, describing the backbone of local content as community engagement and participation.

“Sustainable local content initiatives rely on active involvement from the local community to create, produce, and consume content that represents their interests and values.

“When the community takes ownership of the content creation process, it ensures authenticity, relevance, and a deeper connection to the environment.

“As the Chairman of PETAN, I am honored to stand before you, representing an association that has been at the forefront of driving innovation and growth in the petroleum industry.

“Our commitment to excellence extends beyond oil and gas, as we recognise the transformative power of African content and its ability to shape narratives, inspire change, and drive economic growth, ” he added.

He said: “The Next Steps: Accelerating African Content” is a theme that resonates deeply with us, according to him as it signifies our collective determination to propel African content to new heights, to break barriers, and to create opportunities for our talented content creators.”

”We firmly believe that the time has come for Africa to take centre stage, to showcase its rich cultural heritage, and to tell its stories to the world. #Nigeria’s potential can produce 2.2 mln oil bpd – NUPRC boss#

Yellow Card Introduces USDC for Cross-Border Transactions