• Thursday, June 13, 2024
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Nigeria needs $25bn annually to stabilise 2 million bpd- Avuru

Nigeria needs $25bn annually to stabilise 2 million bpd- Avuru

Nigeria requires $25 billion annually to stabilize its oil production at 2 million barrels per day (bpd), according to industry titan Austin Avuru, executive chairman of AA Holdings.

Avuru made this statement during his presentation at the Harvard Business School (Association of Nigeria) event in Nigeria’s commercial capital on Thursday evening.

“We need to invest $25 billion annually to stabilize production at 2 million barrels per day,” Avuru declared. “This investment is crucial to ensure the sustainability of the sector and its contribution to the national economy.”

He added, “The decline in investment started after 2014 when the sector recorded an inflow of $22.1 billion.”

Nigeria has been grappling with declining oil production in recent years, primarily due to aging infrastructure, security challenges, and underinvestment. Stabilising production at 2 million bpd would significantly boost government revenue and provide much-needed foreign exchange.

 

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