The Nigerian National Petroleum Company Limited (NNPCL) has announced that Nigeria has the potential to increase its daily crude oil production from 1.7 million barrels to an impressive 3 million barrels per day.
This announcement came during a Stakeholders Engagement Session with journalists covering the National Assembly in Abuja on Saturday.
Olufemi Soneye, the Chief Corporate Communications Officer (CCCO) of NNPCL, who shared that with the right support from all stakeholders, this production goal is attainable, emphasized the importance of collaboration, stating that 3 million barrels oil production per day is achievable in Nigeria if all the stakeholders work in synergy for that purpose.” This includes cooperation between security agencies, both government and private, oil companies, and host communities.
The political will necessary to achieve this increase in production is already in place, according to Soneye. He noted that President Bola Tinubu has given clear directives to relevant security agencies to combat the issues of oil theft and pipeline vandalism, which have plagued the industry for years. These efforts, he said, have already yielded results, with daily production rising from 1.4 million barrels to the current 1.7 million barrels.
Soneye highlighted the importance of security in achieving this ambitious goal. He explained that oil theft and pipeline vandalism have been significant obstacles to Nigeria’s oil production capacity. However, he remains optimistic that with continued efforts and cooperation, these challenges can be overcome, creating an environment conducive to increased production. “With expected synergy from all the relevant stakeholders on war against oil theft and pipeline vandalism, a required enabling environment would be in place for optimal oil production to the volume of 2.5 to 3 million barrels per day,” he added.
Reflecting on the past, Soneye lamented that there was a time when Nigeria’s oil production dropped to an alarming 900,000 barrels per day. This drop was largely due to rampant oil theft and the vandalism of pipelines, which severely impacted the country’s ability to meet its production targets. “At that time, we felt Nigeria was in trouble as far as oil theft was concerned,” he said. However, the situation has improved, thanks in part to the involvement of private security agencies and renewed efforts from the military. These measures have brought much-needed relief and confidence in the fight against oil theft, which Soneye described as “the intensity of war against it has allayed our fears.”
Despite these improvements, oil theft remains a serious concern. Murtala Muhammad, Deputy Manager of NNPC’s Command and Control Centre, provided a detailed presentation on the impact of crude oil theft on Nigeria’s economy. He revealed staggering statistics, noting that over 8,000 illegal refineries and 5,800 illegal oil pipeline connections have been detected and destroyed in the last six months alone. These illegal activities have significantly impacted Nigeria’s economy, depriving the country of much-needed revenue and hindering its ability to reach its full production potential.
Muhammad identified several regions as hotspots for these illegal activities, including Bayelsa, Rivers, Imo, and Abia. These areas have become notorious for oil theft, with criminal networks exploiting the country’s vast oil infrastructure for personal gain. The destruction of illegal refineries and pipeline connections is an ongoing battle, but NNPC remains committed to tackling the problem head-on.
In addition to the presentations on oil production and theft, the Stakeholders Engagement Session also featured a thought-provoking paper presentation by Professor Taiye Obateru. His paper, titled “Balancing Reporting and Nation Building: The Role of National Assembly Press Corps,” emphasized the importance of fairness and national interest in journalistic reporting. He called on journalists to consider the broader implications of their stories, particularly when it comes to issues of national importance, such as oil production and security.
Professor Obateru’s presentation highlighted the crucial role that the media plays in shaping public perception and national discourse. He stressed that journalists must strike a balance between reporting the facts and contributing to nation-building efforts. This balance is especially important in the context of oil production, where the media has the power to influence public opinion on matters related to the country’s most valuable resource.
Every speaker at the forum agreed that the path to achieving 3 million barrels of crude oil production per day in Nigeria is a challenging but realistic goal. With the right political will, support from all stakeholders, and continued efforts to combat oil theft and pipeline vandalism, Nigeria can significantly increase its oil production capacity. The recent increase in daily production from 1.4 million to 1.7 million barrels is a testament to the progress that has already been made. However, there is still much work to be done, and the collaboration of security agencies, oil companies, host communities, and the media will be crucial in ensuring that Nigeria reaches its full potential in the oil sector.
As Soneye and other experts at the Stakeholders Engagement Session pointed out, the fight against oil theft must remain a top priority. The destruction of illegal refineries and pipeline connections is an important step in the right direction, but continued vigilance is needed to prevent future losses. With the proper security measures in place and a strong commitment from all stakeholders, Nigeria’s oil production industry can thrive, bringing significant economic benefits to the country and its people.
