FG, stakeholders crave oil, gas investments amid dwindling output, revenue

The Federal Government and stakeholders, yesterday, canvassed investment in Nigeria’s oil sector amid dwindling production and revenue.

Production figures for crude oil and condensate in September 2022 released on Monday by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) showed that the statistics decreased to an average of 937,766 barrels per day (bpd) in the month. The tally is 3.56 per cent or 34,628 bpd lower compared to the August output of 972,394 bpd.

Going by reports of the Organisation of Petroleum Exporting Countries (OPEC), Nigeria is facing a record reduction in oil production and has dropped from being the largest producer in Africa to the fourth position behind Angola, Algeria and Libya.

OPEC’s monthly oil market report for August indicated that Nigeria’s production stood at 980,000 bpd, a decline of more than 100,000 bpd compared to July.

Despite the adverse impact of oil theft and vandalism, Minister of State for Petroleum Resources, Timipre Sylva, who brought together ambassadors of different countries under the same roof with key players in the oil and gas sector, yesterday, said prospect abounds in the country.

While stakeholders, including the Nigerian Gas Association (NGA), were calling for the completion of projects like the Ajaokuta-Kaduna-Kano pipeline, the Nigeria-Morocco gas pipeline projects and others, Sylva noted that gas is the only single energy source that could aid economic diversification of the most populous black nation.

He said: “The answer is not far-fetched. Energy is the basic resource for national socio-economic development and it must be secured at all times. As a result of its rising impact on national security and economy, the need to safeguard energy and ensure availability, reliability and affordability has made energy diplomacy an essential part of every country’s foreign cooperation.”

Executive Secretary of, Nigerian Content Development Management Board (NCDMB), Simbi Wabote, said working with the diplomatic community remained key to the future of the energy sector in Nigeria.

Such a move, according to him, would help the country address some of the key challenges as it relates to the energy sector.

President of NGA, Ed Ubong, called for inter-connection of pipeline infrastructure to drive gas development.

The Independent Petroleum Producers Group, headed by Abdurazaq Isa, restated its commitment to ensuring that divested assets in Nigeria are harnessed by indigenous exploration and production companies.

Isa indicated the group’s willingness to assist African nations in harnessing their hydrocarbon resources.