ABUJA, Nigeria (VOICE OF NAIJA)-The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has reported a significant decline in crude oil theft, with losses now reduced to approximately 5,000 barrels per day.
This progress has contributed to an increase in oil production, which reached 1.75 million barrels per day (bpd) as of January 2025.
Commission Chief Executive Gbenga Komolafe made this disclosure while highlighting key reforms and achievements in Nigeria’s oil and gas sector under the current administration at the Renewed Hope Global Town Hall Conference in Abuja.
In a press statement issued on Sunday, the Head of Public Affairs and Corporate Communication, Olaide Shonola, attributed the achievement to a combination of kinetic and non-kinetic interventions.
Komolafe noted that crude oil production, which had fallen to 1.1 million bpd in 2022, has now risen to 1.7 million bpd.
He further projected that production could increase by an additional one million bpd by the end of 2026.
The statement read, “Oil theft that led to a drastic drop in production to 1.1 million bpd in 2022. He, however, noted that through kinetic and non-kinetic interventions, oil theft has significantly reduced to 5,000bpd, leading to a steady production increase to 1.7 million bpd.”
Komolafe also outlined the government’s Project 1 MMBOPD initiative, which aims to enhance production through collaboration between operators, service providers, financiers, and host communities.
Additionally, he reported a surge in gas production, which has now reached seven billion standard cubic feet per day, marking a positive shift in the country’s upstream sector.
READ ALSO: NNPC Partners EFCC To Battle Crude Oil Theft
he eiterated the commission’s commitment to enhancing regulatory effectiveness and attracting investments since the enactment of the Petroleum Industry Act in 2021.
“In May 2023, the commission unveiled its 10-year Regulatory and Corporate Strategic Plan (2023–2033), followed by a Regulatory Action Plan for 2024, detailing key industry reforms,” he noted.
These reforms are designed to boost oil and gas reserves and production, enhance transparency in hydrocarbon accounting, improve cost efficiency and decarbonization, ensure stability in host communities, and reduce the carbon footprint of upstream operations.
Addressing Nigeria’s oil and gas potential and its global standing, Komolafe emphasized that Africa is home to five of the world’s top oil-producing nations, with Nigeria ranking as the continent’s second-largest holder of oil reserves and the largest holder of gas reserves.
The country’s oil reserves are estimated at 37.5 billion barrels, while gas reserves stand at 209 trillion cubic feet.
He added that Nigeria’s oil production now averages 1.75 million barrels per day, while gas production has reached seven billion standard cubic feet per day.
Speaking on the 2024 Licensing Round and efforts to attract investment, Komolafe highlighted that NUPRC launched its 2024 Licensing Round, offering 24 oil and gas assets to investors.
To encourage global participation, the commission conducted roadshows in Houston, Miami, London, and Paris, showcasing Nigeria’s energy potential.
Providing insight into the Nigeria Gas Flare Commercialisation Programme, he assured that the initiative remains central to the country’s energy transition strategy. It aims to eliminate routine gas flaring, curb methane emissions, and advance carbon capture technologies.
Additionally, the Carbon Credits Earning Framework seeks to monetize decarbonization efforts while promoting sustainable energy practices.
On financial performance and revenue growth, Komolafe revealed that NUPRC has consistently surpassed revenue targets.
READ ALSO: Oil Theft Accounts For 84% Of Crude Spill – NOSDRA
In 2024, the commission exceeded its budgeted revenue collection by 84 percent, reflecting strong financial performance in the upstream sector.
To enhance fiscal transparency, NUPRC has introduced regulations on hydrocarbon metering, fiscal oil price determination, and cargo declaration systems to mitigate revenue losses and crude oil theft.
In fostering host community engagement and regulatory transparency, the commission has incorporated 137 Host Community Development Trusts to promote local participation and ensure stability in oil-producing areas.
Additionally, an Alternative Dispute Resolution Centre has been established to efficiently resolve conflicts and minimize disruptions in oil and gas operations.
Komolafe emphasized that Nigeria is now more open for business than ever, citing the government’s dedication to regulatory stability, investor-friendly policies, and global competitiveness.
With a stable political landscape, an expanding gas economy, and a clear energy transition roadmap, Nigeria positions itself as a leading destination for energy investments in Africa.
He reaffirmed NUPRC’s commitment to collaborating with global investors, financiers, and energy stakeholders to unlock the country’s full hydrocarbon potential while advancing sustainable development.