Nigeria’s national oil company is set to increase oil production to 2 million barrels daily over the next two years, its executive vice president for upstream said. By 2030, NNPC will be pumping 3 million barrels daily, Udy Ntia also said, as quoted by the News Agency of Nigeria.
Speaking at ADIPEC in Abu Dhabi, Ntia said that “Nigeria’s upstream sector is evolving through a mix of collaboration, co-investments and smarter capital deployment, rather than competition. It is not just about producing more oil, it is about producing better oil: more efficient, cleaner, and more profitable. We have the capacity, and we are growing steadily while working together to reduce the strain of fossil fuels”.
Nigeria has been pumping more crude and drilling more new wells than it has in years, thanks to reforms under President Bola Tinubu that are finally leading to more cash flowing into the upstream industry. Daily output has climbed to between 1.7 million and 1.83 million barrels, while active rigs surged from 31 in January to 50 by July.
The revival of Nigeria’s oil industry is seen as a result of President Tinubu’s “Project One Million Barrels” and the long-awaited new law for the energy industry that should make the country’s investment environment more predictable to bring international oil majors back. Earlier this month, oil minister Heineken Lokpobiri said recent investment decisions by oil operators could result in a production boost of 200,000 barrels daily.
Meanwhile, according to NNPC’s Ntia, artificial intelligence and other digital technologies would help boost drilling efficiency and improve recovery rates at mature fields. “We are seeing technology as an enabler to get more from the ground, improve efficiency, and guide capital decisions. The goal is smarter investment, not just more spending,” the executive said.
By Irina Slav for Oilprice.com
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