Tinubu seeks industry collaboration to achieve 1m bpd crude oil production

President Bola Tinubu has called on industry stakeholders to collaborate with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to achieve the one million barrels of crude oil per day (1MBOPD) initiative.

Tinubu spoke on Monday during the inauguration of the project 1MBOPD initiative, which also marked the third anniversary of the NUPRC under the Petroleum Industry Act (PIA 2021), in Abuja.

The project is an NUPRC collaborative initiative to evolve alternative funding mechanisms to unlock incremental oil production in the short-to-medium term with expanded opportunities for all industry stakeholder groups.

Represented by George Akume, secretary to the government of the federation, Tinubu urged key industry stakeholders to work alongside the NUPRC to achieve the outlined targets for increasing oil production within set deadlines.

He said the shared responsibility would require cooperation from government agencies, major producers, service providers, financiers, host communities, and other stakeholders.

The president said it would boost government revenue, eliminate poverty, and contribute to an increase in gross domestic product (GDP) through a balanced, shared prosperity.

“These commitments will be critical in ensuring that we achieve an incremental production in the next 12 months. Growing not just production levels, but also increasing efficiency and competitiveness of our industries,” Tinubu said.

“This initiative is of national importance and it should support Nigeria’s economic recovery and growth.”

‘POLICY REFORMS PRODUCING POSITIVE RESULTS’

Tinubu said upon taking office, his administration implemented policy reforms and interventions aimed at stability, growth and sustainability, which have now started to produce positive results.

The president said his administration remains committed to decarbonisation strategies in the oil and gas sector, while maintaining a renewed focus on economic diversification, the utilisation of oil and gas resources, and industrial development.

He expressed satisfaction that the sector has witnessed significant financial and investment decisions across the value chain since the reforms were introduced.

“To this end, we must work more subtly to grow production, meet domestic energy security needs and shore up foreign exchange gains,” the president said.

“I congratulate all active oil and gas industry players for the modest gains in oil production which rose to 1.6 million barrels per day.

“I am pleased that the NUPRC, working with industrial stakeholders has transformed that executive charge into a tangible measure set as progress to one million barrels per day in oil and gas production.

“By enhancing domestic energy security and supporting growing vibrancy, this initiative will ensure that Nigeria remains a crucial player in the global energy asset and means of worldwide energy transition.

“Increased oil production will mean more job opportunities, increased revenue for the government, and more stable energy supply for the assets.”

Tinubu also commended the ministers of state for petroleum resources (oil and gas), NUPRC, the Nigerian National Petroleum Company (NNPC), industry leaders and oil producers for their efforts in addressing contemporary challenges and driving development in the sector.