Nigeria has set a target of boosting daily production by 2.7 million barrels of crude and condensate by 2027.
This was disclosed by the special adviser on energy to the president, Olu Verheijen.
According to a report by Bloomberg, she noted that improved security around oil production and transportation sites is the key factor that supports the increase in output.
Verheijen emphasised that the increase will be driven in part by oil condensate, a lighter more volatile hydrocarbon which allows Nigeria to remain largely within its OPEC+ crude oil quota of 1.5 million barrels per day.
“The OPEC quota does not include condensate. The target we’ve set for ourselves is a combination of condensate and crude,” she said in an interview at an energy conference in Dar es Salaam, Tanzania last week, “The idea is to try and demonstrate the capacity for a higher quota as required.” she stated
The special adviser further noted that Nigeria’s oil production has risen from a low of 1.1 million bpd in 2022 as the country seeks to boost revenue to address economic challenges like poverty and deteriorating infrastructure.
Verheijen said the removal of fuel subsidies has revitalised the downstream sector, making it commercially viable for the first time in decades.
“The removal of fuel subsidy could also foster further investment in refineries. What that has done is allowed the downstream, mainstream downstream of that sector to now become commercially viable for the first time in decades,” she added.
The presidential adviser added that investments in refineries are now viable due to improved commercial viability in the downstream sector.
