The Nigerian Federal Government has set a target to increase crude oil production to two million barrels per day (bpd) by the end of the year and beyond. This announcement was made by Heineken Lokpobiri, the Minister of State for Petroleum Resources, during a meeting with the Abuja Energy Correspondent Association in Abuja on Friday.
According to Lokpobiri, the government is diligently working to ramp up crude oil production to two million bpd by December, with further plans to reach this target by the end of 2023. He emphasized that the underperformance in the oil industry is mainly due to insecurity, which the government is gradually addressing.
“My sole agenda is to increase production. Once we achieve higher production levels, we will generate more revenue for the country,” Lokpobiri stated. “As you know, Nigeria is still heavily dependent on oil, even though the non-oil sector is also contributing to the economy. A significant portion of our foreign exchange earnings comes from oil.”
The minister highlighted that increasing production is essential to obtain more revenue for funding strategic projects in the country. He revealed that oil production has been steadily increasing, from 1.1 million barrels last month to the current range of 1.3 to 1.4 million barrels.
“Our target is to reach two million barrels per day,” Lokpobiri confirmed. “We are consistently making progress towards this goal. I receive regular reports from relevant authorities, and today, we are producing approximately 1.4 million barrels of crude.”
As the sector faces various challenges, Lokpobiri urged all stakeholders to collaborate in addressing these issues. He has already been engaging with International Oil Companies and local producers, and these interactions have started yielding positive results.
“We have identified the areas where the problems lie, and we are currently engaging with relevant stakeholders. In the coming weeks, we will provide an update on the progress we have made in tackling these challenges,” Lokpobiri assured. He acknowledged that some solutions might take time, but a robust framework would be established to address them.
Furthermore, the government is determined to rebuild investor confidence and revitalize the industry, making it more competitive and attractive for investments.
