Nigeria’s Oil Production Set to Increase with Addition of 192,000 Barrels per Day

0 169

The Nigerian National Petroleum Company Limited (NNPCL) and its joint venture partners have announced plans to boost Nigeria’s oil production by adding approximately 192,000 barrels of crude oil per day. This increase is expected to occur between the third quarter of 2023 and the first quarter of 2024, with the production coming from various Oil Mining Licences (OMLs).

NNPCL’s Executive Vice President, Upstream, Adokiye Tombomieye, stated that crude oil production activities have resumed in previously challenged areas such as OML 29, OML 18, and OML 24. The company anticipates ramping up production to around 80,000 barrels per day in these areas, along with other OMLs, in the third quarter of 2023.

Tombomieye also highlighted specific fields and projects that will contribute to the increased oil production. This includes the Itakpe field (formerly NPDC) in NEPL, which is expected to achieve full monetization by the end of the third quarter of 2023, as well as the Obodo field in OML 1, projected to add approximately 20,000 barrels per day by late Q4 2023.

Other developments in OMLs 71, 72, and 85, as well as the deep-water fields, are also expected to contribute to the production increase. Tombomieye emphasized that realizing the full potential of these projects requires a conducive investment climate and enhanced security measures, as security issues have been a significant barrier in the upstream sector.

Opinion: The planned increase in Nigeria’s oil production is a positive development for the country’s economy, as it will contribute to higher oil earnings and boost the overall energy sector. However, it is crucial for the Nigerian government and industry stakeholders to prioritize security and create a favorable investment climate to ensure the successful implementation of these projects and sustain long-term growth in the oil and gas sector.

Punch.

Leave A Reply