Mele Kyari, the Group Chief Executive Officer of the Nigerian National Petroleum Company (NNPC) Limited, offered a glimmer of hope for Nigeria’s oil production during a recent stakeholders’ event in Lagos. While acknowledging ongoing challenges, Kyari announced that daily oil output is approaching 1.7 million barrels per day (bpd).
Gradual Increase Follows OPEC Report
Kyari’s statement builds on a recent report by the Organisation of Petroleum Exporting Countries (OPEC) which indicated Nigeria’s average daily crude oil production reached 1.28 million bpd in April. This represents a positive trend compared to previous months.
Unlocking Nigeria’s Full Potential: Security the Key
Despite this progress, Kyari emphasized that Nigeria has the potential to produce a significant amount more. He estimates the achievable production level to be around 2 million bpd. However, this ambition is currently hampered by a persistent problem – oil theft and pipeline vandalism in the Niger Delta region.
Cautious Optimism and Hints at Government Action
While Kyari refrained from elaborating on specifics, he expressed confidence in government efforts to address these security issues. He alluded to “substantial work being done” that is already yielding positive results, with oil theft and vandalism “subsiding.” This suggests potential government initiatives aimed at tackling these criminal activities.
Reaching Pre-Pandemic Levels Remains a Goal
Kyari cautioned against complacency, reminding stakeholders that the current production figures are still short of the 2.2 million bpd peak achieved in April 2020 during the COVID-19 lockdown. This period saw a temporary decline in oil theft due to reduced activity.
