Oil reforms lift oil output by 600,000bpd – NNPC

The Group Chief Executive Officer of NNPC Limited, Bayo Ojulari

The Nigerian National Petroleum Company Limited says reforms in the oil and gas industry have increased Nigeria’s crude oil production by 600,000 barrels per day, from about 1.2 million barrels to 1.8 million barrels daily, as the country steps up efforts to attract international investment into the sector.

The state-owned oil company said the production increase reflected the impact of the Petroleum Industry Act, improved investment conditions and stronger collaboration with industry partners, positioning Nigeria to compete more effectively for global energy capital.

The Group Chief Executive Officer of NNPC Limited, Bashir Bayo Ojulari, disclosed this on Tuesday during an energy talk titled ‘Nigeria’s Reform Agenda: Competing for Energy Capital,’ at the 2026 Abu Dhabi International Petroleum Exhibition and Conference in the United Arab Emirates.

A statement on the proceedings was issued by NNPC’s Chief Corporate Communications Officer, Andy Odeh, on Tuesday.

The statement read, “The Nigerian National Petroleum Company Limited says reforms in Nigeria’s oil and gas sector have added 600,000 barrels per day, raising national crude oil production from about 1.2 million barrels per day to 1.8 million barrels per day and placing the country in a stronger position to attract international energy capital.”

Ojulari, who spoke during a session moderated by Chairman, MENA, APCO, John Defterios, said the company was targeting crude oil production of two million barrels per day by 2027, with emphasis on protecting existing production, maintaining infrastructure and accelerating new projects.

He described the current production level of 1.8 million barrels per day as an important milestone but stressed that sustaining the gains would depend on the successful execution of ongoing projects and the rehabilitation of critical infrastructure.

“The figure of 1.8 million barrels per day is a stage in a journey towards our objective. We are concentrating on the basics, which are maintaining our infrastructure, protecting base operations and executing the projects that will take production higher,” he stated.

The latest production target comes amid Nigeria’s efforts to reverse years of declining crude oil output caused by oil theft, pipeline vandalism, underinvestment and operational disruptions.

The country has struggled to consistently meet its Organisation of Petroleum Exporting Countries’ production quota, despite crude oil remaining its major source of foreign exchange earnings.

The NNPC boss attributed the improvement to the implementation of the Petroleum Industry Act, 2021, better investment decisions and closer working relationships between the company and its partners.

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He said the company’s management and board were committed to delivering on the projections contained in the mandate given to it by President Bola Tinubu.

According to him, a baseline assessment of NNPC’s assets and infrastructure has enabled the management to understand the company’s portfolio, identify its strengths and determine areas requiring urgent attention.

“Our track record will be judged by what is done and not by what is said,” Ojulari stated.

On the domestic energy market, the NNPC chief said the removal of the petrol subsidy had been accompanied by a major compressed natural gas initiative aimed at reducing dependence on petrol and diesel while promoting the use of locally available gas.

He disclosed that more than 400 CNG conversion centres had been established across the country, while over 1,000 trucks used in transporting petroleum products had been converted to run on natural gas.

The development, he said, formed part of efforts to expand alternative fuel options and reduce the cost of transporting petroleum products following the removal of the subsidy.

Ojulari also highlighted progress on major gas infrastructure projects, disclosing that the Obiafu-Obrikom-Oben gas pipeline was completed in August 2026.

He added that the Ajaokuta-Kaduna-Kano gas pipeline was expected to begin delivering gas to Abuja before the end of the year, providing additional fuel for electricity generation, data centres and industrial activities.

The projects are part of the Federal Government’s wider gas development strategy, which seeks to expand domestic gas utilisation, improve electricity supply and position Nigeria as a major supplier to regional and international markets.

On production ambitions, Ojulari said NNPC was targeting national gas output of 10 billion standard cubic feet per day by 2027 and 12 billion standard cubic feet per day by 2030.