Nigeria’s Minister of State for Petroleum Resources in charge of Oil, Senator Heineken Lokpobiri, says that Nigeria remains fully committed to the rules of the Organisation of Petroleum Exporting Countries (OPEC) in spite of recent gains in crude oil production.
Lokpobiri said Nigeria would not exceed its production quota but would continue to push for a higher allocation to reflect its capacity and ongoing sector reforms.
Speaking during his keynote address at the 4th edition of the Petroleum and Energy Leadership Summit in Abuja on Wednesday, the minister noted that Nigeria’s daily crude production has risen to around 1.8 million barrels, up from less than one million barrels at the time he assumed office.
“This is not the success of one person but the result of government reforms, industry collaboration and the resilience of our workforce. Our target is to exceed two million barrels daily. However, let me assure you that we will not breach OPEC rules. Nigeria remains a committed member of the cartel.
“We will explain better to them that we are a committed member of OPEC. We have no ambition to exceed the OPEC quota. But we also have the ambition to improve our quota. Local, domestic, regional, and global employment,” he said.
He disclosed that he was recently in Vienna, Austria, where OPEC’s 27 member countries and experts agreed that oil would remain the dominant energy source for at least the next 50 years.
According to him, while Western nations pressure developing countries to scale down production in the name of energy transition, they continue to expand their output.
“No country is slowing down production. The United States today produces over 20 million barrels daily. China and Europe – everyone is ramping up. Yet, they tell Africa to cut back. Nigeria has done more than many countries in the energy transition. We have a climate change law and penalties on gas flaring, but we cannot run faster than the big polluters,” Lokpobiri stated.
On domestic refining, the minister urged local refineries, including the Dangote facility, to take advantage of Nigeria’s high-grade crude to maximise output.
“It makes more economic sense for Nigerian refineries to process our own crude and blend it and maximise by-products rather than depend on imports. Our crude remains one of the best in the world,” he said.
Lokpobiri also warned that non-performing licence holders risked losing their permits, adding that out of over 60 marginal field licences awarded, only six are operational.
“Why should we extend licences to people who have shown no capacity? We need every available well to be productive. Those who cannot deliver will have their licences revoked,” he warned.
GIK/APA