The Nigerian National Petroleum Corporation (NNPC) Limited has declared a state of emergency on Nigeria’s oil and gas production to increase crude oil output and grow reserves, according to an official statement published by the corporation on X.
Group Chief Executive Officer Mele Kyari announced this at the 23rd Nigeria Oil & Gas Conference and Exhibition (NOG Energy Week) in Abuja, on Tuesday.
“We have decided to stop the debate. We have declared war on the challenges affecting our crude oil production. War means war. We have the right tools. We know what to fight. We know what we have to do at the level of assets. We have engaged our partners. And we will work together to improve the situation,” Kyari stated.
Kyari explained that Nigeria can produce two million barrels of crude oil daily without new rigs, but timely action from industry players is crucial.
The “war” on production challenges aims to address obstacles like procurement delays.
According to the statement, in order to boost long-term production, NNPC Ltd plans to replace old crude oil pipelines and implement a rig-sharing program with partners, keeping rigs in the country for four to five years.
Kyari urged industry collaboration to reduce production costs and increase output to target levels.
He also highlighted NNPC Ltd’s commitment to critical midstream gas infrastructure projects, such as the Obiafu-Obrikom-Oben (OB3) and Ajaokuta-Kaduna-Kano gas pipelines, to enhance domestic gas production and supply.
On Compressed Natural Gas (CNG), Kyari noted NNPC Ltd’s involvement in the Presidential CNG drive. In partnership with NIPCO Gas, NNPC Ltd has built several CNG stations, with 12 stations set to be commissioned in Lagos and Abuja.
The opening ceremony of the NOG Energy Week featured speeches from key figures, including OPEC Secretary General Haitham Al Ghais, GECF Secretary General Engr. Mohamed Hamel, Minister of State for Petroleum Resources (Oil) Senator Heineken Lokpobiri, Minister of State for Petroleum Resources (Gas) Rt. Hon. Ekperikpe Ekpo, Special Adviser to the President on Energy Ms. Olu Verheijen, and IPPG Chairman Mr. Abdulrazaq Isa.
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NNPC Ltd is the principal sponsor of the 2024 NOG Energy Week Conference & Exhibition, themed “showcasing opportunities, driving investment and meeting energy demand.”
