By Kehinde Ibrahim, Lagos
NIGERIA’S ongoing oil and gas sector reforms have contributed to a significant increase in crude oil production, adding about 600,000 barrels per day (bpd) to national output and strengthening the country’s prospects of attracting fresh investments into the energy industry.
The Nigerian National Petroleum Company Limited (NNPC Limited) disclosed that the reforms had increased crude oil production from approximately 1.2 million bpd to 1.8 million bpd, while reaffirming its commitment to achieving the country’s target of producing two million bpd by 2027.
The Group Chief Executive Officer of NNPC Limited, Engr. Bashir Bayo Ojulari, disclosed this on Tuesday during an Energy Talk session titled, “Nigeria’s Reform Agenda: Competing for Energy Capital”, at the 2026 Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) in Abu Dhabi, United Arab Emirates.
The session was moderated by John Defterios, Chairman, MENA, APCO, and focused on Nigeria’s reform efforts, investment opportunities and competitiveness in the global energy market.
Ojulari attributed the improvement in production to the implementation of the Petroleum Industry Act (PIA) 2021, improved investment conditions, more strategic investment decisions and stronger collaboration between NNPC Limited and its industry partners.
He said the company was pursuing a comprehensive strategy to increase production to two million bpd by 2027, with emphasis on maintaining existing infrastructure, protecting current production levels, optimising output from producing assets and accelerating projects expected to deliver additional volumes.
According to him, achieving the production target requires sustained attention to operational efficiency, infrastructure maintenance and timely execution of critical development projects.
“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 said.
On developments in the domestic energy market, Ojulari said the removal of petrol subsidy had been accompanied by efforts to expand the adoption of compressed natural gas (CNG) as an alternative fuel for transportation.
He disclosed that more than 400 CNG conversion centres had been established across the country, while over 1,000 trucks involved in the transportation of petroleum products had been converted to run on natural gas.
He noted that the initiative was part of broader efforts to promote alternative energy sources, reduce dependence on petrol and strengthen the country’s domestic gas market.
The NNPC chief also highlighted progress in the development of critical gas infrastructure, particularly the completion of the Obiafu-Obrikom-Oben (OB3) gas pipeline in August 2026.
He said the Ajaokuta-Kaduna-Kano (AKK) gas pipeline was expected to deliver gas to Abuja before the end of the year, providing additional supplies for electricity generation, data centres and industrial activities.
According to him, expanding gas infrastructure remains central to Nigeria’s ambition of improving domestic energy supply, supporting industrialisation and positioning natural gas as a major contributor to economic growth.
Ojulari further stated that the company’s board and management were working to deliver on the performance expectations outlined in the mandate given to it by President Bola Ahmed Tinubu.
He explained that management had undertaken a comprehensive assessment of the company’s assets and infrastructure to establish a clearer understanding of its operational capacity, investment requirements and areas requiring improvement.
The assessment, he said, had provided the foundation for identifying opportunities to improve performance, strengthen operational efficiency and ensure that available resources were deployed more effectively.
