Government orders NNPCL to accelerate production amid renewed investor confidence
The Federal Government has directed the Nigerian National Petroleum Company Ltd. to dramatically increase oil production to 2.5 million barrels per day by 2026, raising the bar from President Bola Tinubu’s initial target of two million barrels.
Minister of State for Petroleum Resources, Mr. Heineken Lokpobiri, revealed this ambitious goal during an interview at the Africa Energy Forum in Houston, Texas, expressing confidence that the target is achievable despite current challenges.
“When the new NNPCL management visited me, I raised their production target from the President’s initial goal of two million bpd to 2.5 million bpd,” Lokpobiri stated, noting that Nigeria had previously achieved this production level during the COVID-19 pandemic despite minimal investment.
The minister highlighted ongoing efforts to address key bottlenecks that have hindered production, including combating pipeline vandalism and oil theft. Since taking office when production hovered around one million bpd, output has already increased to 1.8 million bpd—a promising sign of progress.
Lokpobiri also emphasized the implementation of the “Drill or Drop” policy under the Petroleum Industry Act, which mandates new drilling to replenish reserves for every quantity of oil extracted.
Addressing international financing challenges, the minister noted that while the World Bank has ceased funding fossil fuel projects, NNPCL has successfully partnered with international oil companies to secure alternative financing. He criticized Western narratives calling for an end to fossil fuel production as geopolitically motivated, pointing out that many facilities producing electric cars and green technologies still rely on coal and fossil fuels.
The minister urged global investors to explore opportunities in Nigeria, touting the country’s robust regulatory framework and competitive fiscal regime as key attractions for energy investments.
Source: Punch Ng
