The Nigerian National Petroleum Company Limited (NNPCL) and its industry collaborators (the International Oil Companies (IOCs) and independent producers are working to cut oil production expenses and attract major new investments.
The initiative aims to save approximately $3 billion initially, to reach $4.5 billion by December 2025.
This plan was announced by NNPCL’s Group Chief Executive Officer (GCEO), Bayo Ojulari, at the 50th anniversary of the Nigerian Association of Petroleum Explorationists (NAPE).
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Ojulari emphasised the need for operators to increase efficiency and do more with their existing resources to lower the cost per barrel.
Ojulari highlighted recent gains in oil production, noting an increase from 1.4 million barrels per day at the end of 2024 to 1.69 million barrels per day by June 2025.
Production further rose to about 1.8 million barrels per day in July 2025, a growth of 400,000 barrels in just six to seven months.
This was attributed to renewed investment in the sector, including the Final Investment Decision (FID) for the Bonga North project, a $5 billion investment expected to add 150,000 barrels per day.
To sustain this momentum, the GCEO stated that President Bola Tinubu has mandated the industry to attract $30 billion in new investments over the next two years, with a long-term target of $60 billion by 2030.
To achieve this, the industry will need to mature opportunities and ensure activity across all operational areas, including deep water, shallow water, and swamp regions.
In a related development, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) Chief Executive Officer, Gbenga Komolafe, reported a surge in the country’s oil and gas rig count from 8 in 2021 to 43.
He projected this number would reach 50 by the end of 2025, reflecting a new era of ambition and resilience in the sector.
Komolafe also underscored Nigeria’s substantial reserves of 210.54 trillion cubic feet of natural gas and 37.28 billion barrels of crude oil, reaffirming the country’s position as Africa’s largest oil producer.
The national aspiration is to increase daily production to 3 million barrels of oil and 12 billion standard cubic feet of gas.
Ojulari also mentioned that NNPCL is looking to engage with industry leaders to facilitate the return of major foreign service companies, which have previously left the country, to support future large-scale projects.
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Johnbosco Uche, the President of NAPE, called for closer collaboration between the government and the industry, urging the implementation of fiscal and regulatory incentives to boost exploration and production.
He also emphasised the importance of adopting modern technologies like artificial intelligence and machine learning to optimise exploration efforts and achieve the national production targets for 2030.
