NNPC harps on growing Nigeria’s oil reserve to 40billion barrels 

The Nigerian National Petroleum Corporation (NNPC) has insisted that the country’s ambition to grow her crude oil reserve to 40 billion barrels and three million barrels per day crude production by 2025 is still feasible

It, however, gave conditions under which such an ambitious project is possible by stating those huge investments are required across the industry value chain.

Speaking at the international conference and exhibition organised by the Society of Petroleum Engineers, Nigeria chapter yesterday in Lagos, Mele Kyari, group general manager of NNPC, said the corporation with its partners are driving the National aspiration to grow the National reserve to 40billion barrels by 2025 and improve crude oil production to 3Million barrels/day.

“To achieve this ambition, huge investments are required across the value chain,” he said.

He said the industry needs also to attract investments that would allow for the deployment of improved technology in the exploration and production of hydrocarbons from inland as well as the ultra-deep offshore basins.

We have to open up the midstream, complete all critical gas development Projects targeted to deliver about 3Bscfd to gas market, ensure the closeout of investment decision on NLNG Train 7 and improve domestic utilization to improve power generation and industrial growth, he said.

On the importation of refined products into the country, he stated that Nigeria is still a net importer of petroleum products due to the current state of our Refineries, and the long absence of private investment in the refining sector.

He said that more investments are required to revamp and expand our domestic refineries and associated infrastructures to support the growth of the downstream sector and guaranty energy security to the Nation.

To address the issue of the refineries and petroleum products importation, he explained that the country is progressing with the establishment of Condensate Refineries to fast-track domestic supply of petroleum products.

“In the same vein, the Corporation would support the actualization of the 650K bbl/day Dangote Refinery, as well as other private initiatives along this line”.

He said the plan of the country is to become net exporter of petroleum products by 2023, stating that this will offer our Petroleum Engineers and other professionals the opportunity to render critical services and share in the drive to develop our country.

Melee Kyari stated, however, that taking the first step to grow reserve, expand the frontiers of our production requires enabling environment to attract the investment that is being subdued by our fiscal regimes.

He expressed optimism that the government under the leadership of President Muhammadu Buhari is determined to deliver a stable fiscal environment to support the needed growth in the oil and gas sector.

 

Olusola Bello