Nigeria Records Significant Drop in Oil Theft to 5,000 bpd.

Keep up with the latest news and be part of our weekly giveaways and airtime sharing; follow our WhatsApp channel for more updates. Click to Follow us

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced a substantial reduction in stolen crude oil, down to approximately 5,000 barrels per day. This achievement has enabled oil production to rise to 1.75 million barrels per day as of January 2025.

According to Gbenga Komolafe, Chief Executive of NUPRC, this progress is a result of kinetic and non-kinetic interventions. “Oil theft that led to a drastic drop in production to 1.1 million bpd in 2022… has significantly reduced to 5,000 bpd, leading to a steady production increase to 1.7 million bpd,” he stated.

Komolafe also projected that oil production will increase by one million barrels per day by the end of 2026. To achieve this goal, the government has launched the Project 1 MMBOPD initiative, which relies on collaboration among operators, service providers, financiers, and host communities.

Key Reforms and Achievements

– Gas production has increased to 7 billion standard cubic feet per day, reflecting a positive shift in the upstream sector.

– The commission has initiated several reforms to enhance regulatory effectiveness and attract investments since the enactment of the Petroleum Industry Act in 2021.

– The 10-year Regulatory and Corporate Strategic Plan (2023–2033) and the Regulatory Action Plan for 2024 have been unveiled, detailing key industry reforms.

– The NUPRC has consistently exceeded revenue targets, with an 84% outperformance of budgeted revenue collection in 2024.

Nigeria’s Oil and Gas Potential

Komolafe highlighted Nigeria’s position as the continent’s second-largest oil reserve holder and the largest gas reserve holder, with oil reserves estimated at 37.5 billion barrels and gas reserves standing at 209 trillion cubic feet. He noted that Africa accounts for five of the world’s top oil-producing countries, and Nigeria’s oil production now averages 1.75 million barrels per day.

Investment Opportunities and Challenges

The NUPRC launched its 2024 Licensing Round, offering 24 oil and gas assets to investors. To attract global participation, the commission held roadshows in Houston, Miami, London, and Paris, showcasing Nigeria’s energy potential. However, the sector still faces challenges, including revenue leakages and crude oil theft.

Conclusion

In light of these developments, Komolafe emphasised that Nigeria is more ready for business than ever, citing the government’s commitment to regulatory certainty, investment-friendly policies, and global competitiveness. With a stable political environment, a growing gas economy, and a clear roadmap for energy transition, Nigeria positions itself as a prime destination for energy investments in Africa.

Please don’t forget to “allow the notification” so you will be the first to get our gist when we publish it. 
Drop your comment in the section below, and don’t forget to share the post.