Why NNPCL cannot produce 2 million barrels of crude oil per day – Mele Kyari
Why NNPCL cannot produce 2 million barrels of crude oil per day - Mele Kyari
Segun Oladipupo
The Nigerian National Petroleum Corporation Limited (NNPCL) on Tuesday revealed that the country could conveniently produce two million barrels of crude oil per day without deploying new rigs but that the major impediment to achieving the feat remained the inability of players to act in a timely manner.
The Group.Chief Executive Officer of NNPCL, Mr. Mele Kyari revealed this in his keynote address at the opening ceremony of the 23rd edition of the Nigeria Oil and Gas Conference anf Exhibition (NOG Energy Week) in Abuja.
He maintained that ‘war’ will help the Corporation and it’s partners to speedily clear all identified obstacles to effective and efficient production such as delays in procurement processes which have become a challenge in the industry.
The Group CEO also declared a state of emergency on production in Nigeria’s oil and gas industry towards increasing crude oil production and growing its reserve.
His words, “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 out partners. And we will work together to improve the situation
On medium to long-term measures aimed at boosting and sustaining production, Kyari said NNPC Ltd. would replace all the old crude oil pipelines built over four decades ago and also introduce a rig sharing programme with its partners to ensure that production rigs stay in the country for between four and five years which is the standard practice in most climes.
He called on all players in the industry to collaborate towards reducing the cost of production and boosting production to target levels.
He expressed the Company’s commitment 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 and supply for power generation, industrial development and economic prosperity of the country.
On Compressed Natural Gas (CNG), Kyari observed that NNPC Ltd. has since keyed into the Presidential CNG drive, adding that in conjunction with partners such as NIPCO Gas, NNPC Ltd. has built a number of CNG stations, 12 of which will be commissioned on Thursday in Lagos and Abuja.
The opening ceremony of the NOG Energy Week also saw goodwill messages and keynotes presented by the Secretary General of the Organisation of the Petroleum Exporting Countries (OPEC), Haitham Al Ghais; Secretary General of the Gas Exporting Countries Forum (GECF), Engr. Mohamed Hamel; Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri; Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo; Special Adviser to the President on Energy, Ms. Olu Verheijen as well as the Chairman, Independent Petroleum Producers Group (IPPG), Mr. Abdulrazaq Isa.
NNPC Ltd. is the Principal Sponsor of 2024 NOG Energy Week Conference & Exhibition which has as its theme “showcasing opportunities, driving investment and meeting energy demand.”
