Nigeria will ask the Organisation of Petroleum Exporting Countries (OPEC) to raise its oil production quota as its crude output rebounds from previous declines.
Gbenga Komolafe, the CEO of the Nigeria Upstream Petroleum Regulatory Commission (NUPRC), said that the country is concentrating on boosting production to achieve budget goals before formally approaching OPEC for a quota adjustment.
“Nigeria is focused on increasing production initially to fulfill its budget expectations and will subsequently consult with OPEC to elevate the nation’s quota,” Komolafe expressed.
In December 2024, Nigeria’s crude oil production climbed to 1.48 million barrels per day (bpd), nearly reaching its OPEC quota of 1.5 million bpd. This represents a significant recovery from a low of 1.1 million bpd in 2022 when widespread theft and vandalism severely impacted the country’s oil infrastructure.
Initiatives to enhance security and draw in investments have been crucial in reversing the downturn, with the government anticipating production to hit 2 million bpd, the highest level in ten years.
In 2022, theft and sabotage affected vital infrastructure, such as the Trans-Niger Pipeline, illegally accessed at over 150 points. Producers received only a small portion of the oil transported through this system.
The Nigerian National Petroleum Company (NNPC) has since tackled these issues, including establishing a real-time production monitoring command centre and collaborating with local communities to safeguard pipelines.
