KEY POINTS
- NNPC Limited says oil sector reforms have increased Nigeria’s crude oil production by 600,000 barrels per day.
- National output reportedly rose from 1.2 million barrels per day to 1.8 million barrels per day.
- The company is targeting production of two million barrels per day by 2027.
- NNPC also targets gas production of 10 billion standard cubic feet daily by 2027 and 12 billion by 2030.
MAIN STORY
The Nigerian National Petroleum Company Limited (NNPC Limited) says reforms in Nigeria’s oil and gas sector have increased national crude oil production by 600,000 barrels per day, raising output from 1.2 million barrels to 1.8 million barrels daily.
The Group Chief Executive Officer of NNPC Limited, Bashir Ojulari, disclosed this on Tuesday at the 2026 Abu Dhabi International Petroleum Exhibition and Conference in the United Arab Emirates.
The News Agency of Nigeria (NAN) reports that Ojulari made the disclosure during an Energy Talk session titled “Nigeria’s Reform Agenda: Competing for Energy Capital”.
He attributed the production increase to the implementation of the Petroleum Industry Act (PIA) 2021, improvements in the investment climate, better investment decisions and closer collaboration between NNPC Limited and its industry partners.
According to him, the increase has strengthened Nigeria’s position in attracting international energy investment, although the company is still working towards its target of two million barrels per day by 2027.
Ojulari said the strategy involved maintaining existing infrastructure, protecting current production levels, increasing output from producing assets and completing new projects expected to contribute additional volumes.
He described the 1.8 million barrels per day output as an intermediate milestone rather than the company’s final production objective.
THE ISSUES
Beyond crude oil production, NNPC is also pursuing projects intended to expand domestic gas supply and support industrial activity.
On the domestic energy market, Ojulari said the removal of fuel subsidies had been accompanied by a major Compressed Natural Gas (CNG) programme. He disclosed that more than 400 CNG conversion centres had been established, while over 1,000 trucks used to transport petroleum products had switched to CNG.
Gas infrastructure is another part of the company’s plans. Ojulari said the Obiafu-Obrikom-Oben (OB3) gas pipeline was completed in August 2026, while the Ajaokuta-Kaduna-Kano (AKK) pipeline was expected to deliver gas to Abuja before the end of the year.
The expected gas supply is intended to support power generation, data centres and industrial hubs.
NNPC is also pursuing regional gas export projects. Ojulari said the countries involved in the Nigeria-Morocco Gas Pipeline had aligned and signed the necessary agreements. He added that Nigeria, Algeria and Niger had reached alignment on the development of the Trans-Saharan Gas Pipeline.
The company’s gas production targets stand at 10 billion standard cubic feet per day by 2027 and 12 billion standard cubic feet per day by 2030. Ojulari said achieving these targets would require the development of both domestic and export markets for Nigerian gas.
WHAT’S BEING SAID
“The company is now working towards the two million barrels per day ambition by 2027, by maintaining existing infrastructure, protecting base production, increasing output from producing assets, and advancing new projects scheduled to raise production.” – Bashir Ojulari, Group Chief Executive Officer, NNPC Limited.
“The figure of 1.8 million barrels per day is a stage in a journey towards our objective.” – Bashir Ojulari.
“Our track record will be judged by what is done and not by what is said.” – Bashir Ojulari.
“NNPC Limited is building new relationships with partners, including ADNOC and Chinese investors in Nigeria’s refineries, and is working with global service companies to expand service capacity in the country.” – Bashir Ojulari.
WHAT’S NEXT
NNPC says it is working towards its 2027 crude oil and gas production targets while advancing infrastructure projects and partnerships.
Ojulari also cited international investment projects, including TotalEnergies’ Ubeta, Shell’s Bonga South-West and Eni’s Zabazaba developments. He said commercial agreements covering approximately $20 billion in investment had been concluded.
The company is also working with its board and management to implement the targets contained in the mandate given to it by President Bola Tinubu. Ojulari said an assessment of NNPC’s assets and infrastructure had helped management identify the company’s strengths and areas requiring improvement.
BOTTOM LINE
NNPC says reforms have raised Nigeria’s crude oil production to 1.8 million barrels per day, bringing the country closer to its two-million-barrel target for 2027. However, sustaining the increase will depend on infrastructure maintenance, higher output from existing assets and the delivery of planned oil and gas projects.
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