The Group Chief Executive Officer of the Nigerian National Petroleum Company (NNPC) Limited, Mele Kyari has said that the country is on its way to producing 1.8 million barrels per day of crude oil, which is its assigned quota by the Organization of Petroleum Exporting Countries (OPEC).
He stated this during the Official Cutover ceremony, transforming NNPC to NNPCL, held in Abuja, the federal capital on Friday, February 17.
Not rocket science
While speaking during the event, Kyari said emphasized that the rise in crude production is not rocket science. He said :
- “As of yesterday, we have crossed 1.6 million barrels per day, this is not rocket science. We have a line of sight to recovery to the quota level of 1.8 million barrels per day. I know that it is not far away probably two to three months maximum, but we will be there and that will bring back partners to invest, return the confidence of our investors and ultimately bring back growth.”
Timipre Sylva, Nigeria’s Minister of State for Petroleum Resources said:
- “Let us keep in mind the purpose of this transformation, is not to stifle the private sector in the Nigerian oil and gas industry. It is to encourage growth, attract investments, and maximize the dividends to the investors.”
Strategies to achieve this
According to Kyari, the NNPCL and other stakeholders will work to achieve the goal of increased crude oil production by ensuring cost reduction, increased production, being prudent in commercial decisions, fairness to stakeholders as well as adherence to the provisions of the Petroleum Industry Act (PIA). Kyari assured that over 90% of its differences with partners have been resolved.
What you should know
During the 13th Global United Arab Emirates (UAE) Energy Forum held in January 2023, Mele Kyari said Nigeria can achieve 2.2 million barrels per day of crude oil production in 2023. He said:
“For us, we see a trajectory of restoring production including condensates within the year. We believe we can hit a target of 2.2 mb/d but our budget target is 1.8 mb/d, but we know that it is practical to do 2.2 mb/d within 2023”.
