In a decisive move to bolster Nigeria’s crude oil production and expand its reserves, NNPC Ltd has declared a state of emergency in the nation’s oil and gas sector.
A statement by Olufemi O. Soneye, Chief Corporate Communications Officer
NNPC Ltd, said that the declaration was made by Group Chief Executive Officer, Mr. Mele Kyari, during his keynote address at the opening ceremony of the 23rd Nigeria Oil & Gas Conference and Exhibition (NOG Energy Week) in Abuja on Tuesday.
“We have decided to stop the debate. We have declared war on the challenges affecting our crude oil production. War means war. We have the right tools. We know what to fight. We know what we have to do at the level of assets. We have engaged our partners. And we will work together to improve the situation,” stated Kyari emphatically.
Kyari revealed that detailed analysis indicates Nigeria can produce two million barrels of crude oil per day without new rigs. However, the primary obstacle is the industry’s failure to act swiftly.
The “war” declaration aims to swiftly eliminate production barriers, including delays in procurement processes.
For long-term sustainability, NNPC Ltd plans to replace decades-old crude oil pipelines and introduce a rig-sharing program with partners, ensuring production rigs remain in the country for four to five years, aligning with international standards.
Kyari also called on industry stakeholders to collaborate in reducing production costs and enhancing output. NNPC Ltd is committed to investing in critical midstream gas infrastructure, such as the Obiafu-Obrikom-Oben (OB3) and the Ajaokuta-Kaduna-Kano gas pipelines, to boost domestic gas production for power generation and industrial development.
Highlighting efforts in Compressed Natural Gas (CNG), Kyari noted that NNPC Ltd, in partnership with NIPCO Gas, has constructed several CNG stations, with 12 new stations set to be commissioned in Lagos and Abuja this Thursday.
The opening ceremony of NOG Energy Week also featured goodwill messages and keynotes from OPEC Secretary General Haitham Al Ghais, GECF Secretary General Engr. Mohamed Hamel, Minister of State for Petroleum Resources (Oil) Senator Heineken Lokpobiri, Minister of State for Petroleum Resources (Gas) Rt. Hon. Ekperikpe Ekpo, Presidential Adviser on Energy Ms. Olu Verheijen, and IPPG Chairman Mr. Abdulrazaq Isa.
NNPC Ltd is the principal sponsor of the 2024 NOG Energy Week Conference & Exhibition, themed “Showcasing Opportunities, Driving Investment and Meeting Energy Demand.”