Minister reveals plans to boost oil production target by 2026

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The Federal Government has directed the Nigerian National Petroleum Company Ltd. (NNPC) to increase oil production beyond current levels, targeting 2.5 million barrels per day (bpd) by the end of the year. This was disclosed by the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, in an interview on the sidelines of the Africa Energy Forum (AEF) in Houston, Texas, U.S.

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The forum, themed “Africa’s Energy Investment Drive Amid Global Transition to Green Minerals and Clean Energy”, provided a platform for industry stakeholders to discuss energy investment opportunities in Africa. Lokpobiri emphasised the need for accelerated growth in the nation’s oil output, citing past production levels during the COVID-19 pandemic when output reached 2.5 million bpd despite minimal investment.

When asked about the target, Lokpobiri said, “When the new NNPC management visited me, I raised their production target from the president’s initial goal of two million bpd to 2.5 million bpd.” He expressed optimism that the revised target is achievable, stating that “the 2.5 million bpd target is realistic because the government is addressing the key bottlenecks that have hindered oil production

The minister highlighted that recent reforms by President Bola Tinubu are reversing the trend of minimal investment in the oil and gas sector over the past decade. He noted that ongoing efforts to combat pipeline vandalism and oil theft are beginning to yield results, adding that “when I assumed office, Nigeria was producing around one million bpd, but the figure has risen to 1.8 million bpd.”

Lokpobiri also explained the full implementation of the “Drill or Drop” policy under the Petroleum Industry Act (PIA), which mandates that for every quantity of oil extracted, new drilling be carried out to replenish reserves through seismic activity. This policy, he believes, will help sustain Nigeria’s oil production levels and attract new investments in the sector.

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