Oil reforms raised Nigeria’s output by 600,000bpd — NNPC

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 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 partly 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 John Defterios, Chairman, MENA, APCO, 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.

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.

He said achieving the targets would require the simultaneous development of domestic consumption and export markets to ensure that increased production translated into economic benefits. The GCEO also provided updates on Nigeria’s regional gas export ambitions, particularly the proposed Nigeria-Morocco Gas Pipeline and the Trans-Saharan Gas Pipeline.

He said countries involved in the Nigeria-Morocco project had aligned and executed the necessary agreements, while Nigeria, Algeria and Niger had also reached an understanding on the development of the Trans-Saharan Gas Pipeline. The two projects are expected to strengthen regional energy cooperation, expand access to Nigerian gas and create additional export opportunities for the country.

On efforts to attract foreign investment, Ojulari identified major upstream developments, including TotalEnergies’ Ubeta project, Shell’s Bonga South-West development and Eni’s Zabazaba project, as evidence of renewed investor interest in Nigeria.

He disclosed that commercial agreements covering about $20bn in investments had been concluded, adding that NNPC was building new relationships with international energy companies and investors.

According to him, the company is also engaging new partners, including the United Arab Emirates’ national oil company, ADNOC, and Chinese investors interested in Nigeria’s refineries. He said NNPC was equally working with international oilfield service companies to expand technical and operational capacity in the country, an important requirement for delivering new projects and sustaining production growth.

Ojulari reaffirmed the company’s commitment to transparency and accountability, citing two consecutive earnings calls organised by NNPC as part of efforts to improve engagement with investors and other stakeholders.

The 2026 ADIPEC, held under the patronage of the President of the United Arab Emirates, Sheikh Mohamed bin Zayed Al Nahyan, and hosted by ADNOC, attracted more than 239,000 participants from over 170 countries.

The gathering brought together government officials, energy executives, investors and technology leaders to discuss energy security, investment opportunities and developments shaping the global energy industry.