OPEC Expects Nigeria To Produce 4 Million Barrels of Oil Daily
- The Organisation of the Petroleum Exporting Countries has stated that Nigeria should be producing more crude oil
- OPEC believes that Nigeria can do up to four million barrels of oil per day given its hydrocarbon reserves
- Nigeria currently produces about 1.7 million and there are efforts to ensure crude oil production is 2.1 mbpd
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Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Ademola Adeyemi-Bero, the chairman of the Board of Governors of the Organisation of the Petroleum Exporting Countries (OPEC), said Nigeria should be producing up to four million barrels of oil per day, given its hydrocarbon reserves.
Source: Getty Images
Speaking at the Heirs Energies’ Nigeria Petroleum Industry Leadership Discourse in Abuja, Adeyemi-Bero noted that OPEC officials believe Nigeria is capable of exceeding its current production quota of 1.5 million barrels per day (mbpd), provided it demonstrates the capacity to do so.
He said:
“With Nigeria’s reserves and resources, it doesn’t have any business being below two million barrels a day. Nigeria should be doing two and a half, three, or four million barrels a day with its resource base. And I believe we can do it."
He pointed out that the increase in Nigeria’s oil production to 1.7 mbpd in January was a positive signal, adding that it was “the beginning of giving confidence that we can get more quotas.”
Punch report, Adeyemi-Bero, who assumed the role of chairman of OPEC’s Board of Governors in January, emphasised the importance of securing a higher production quota for Nigeria, targeting 2.1 mbpd.
He added:
“The job I have as the governor of OPEC, working with the structure of OPEC in Nigeria, is to ensure our quota is at that level.
"We should not be producing above that quota in the wrong way, but once we get that quota, the next job is to engage my colleagues."
FG speaks about efforts made so far
Responding, Nigeria’s minister of petroleum resources (Oil), Heineken Lokpobiri, who participated in a panel discussion at the event, said the reforms introduced by President Bola Tinubu’s administration were helping to boost the country’s oil sector., ThisDay reports.
Lokpobiri said:
“We’ve carried out some reforms in the system. President Bla Tinubu has provided strategic leadership in the industry.
"There is no longer bureaucratic delay in signing contracts. Once I receive a recommendation from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), no document stays on my table for more than 24 hours."
OPEC fuel price in Nigeria expectation
Legit.ng also reported that the OPEC had shared optimism that the Dangote Refinery could push petrol prices lower in Nigeria.
Already, the Dangote refinery has announced that by March 2025, its 650 barrels per day refinery will be producing 100% full capacity.
OPEC said Dangote's refinery can play a significant role in stabilising fuel supply, supporting economic growth, and reducing reliance on imports.
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Source: Legit.ng
