Tag: NNPCL

The Nigerian National Petroleum Company Limited (NNPCL) has said there is no disparity between its crude oil production figure and that of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

The Chief Corporate Communications Officer, Olufemi Soneye disclosed this in a press statement on Monday.

He said: “The Nigerian National Petroleum Company Limited (NNPC Ltd) has clarified that there is no discrepancy between its crude oil production figures and those supplied by the regulatory agency, the Nigerian Upstream Petroleum Regulatory Company (NUPRC).”

The Company gave the clarification against the backdrop of reports in a section of the media that the 1.54 million barrels per day (mbpd) for September cited by the NUPRC was far below the 1.8mbpd for November cited by the NNPC Ltd.

Soneye said the seeming disparity is a result of the difference in the period of coverage in the reports – whereas the NNPC Ltd.’s figure was the peak production for October 2024, the NUPRC’s figure was the average production for September 2024.

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This fact was confirmed by the Chief Executive Officer of NUPRC, Mr. Gbenga

Komolafe, at the recent 42nd Nigerian Association of Petroleum Explorationists Annual International Conference & Exhibition in Lagos where he disclosed that Nigeria’s crude oil output, including condensate, increased by 16.56 percent to 1.8mbpd million in October 2024, from 1.54 million bpd in September 2024.

The CEO of NUPRC who was represented by the Executive Commissioner of Development & Production, Mr. Enorense Amadasu, was quoted as saying:

“This represents an increase of 253,710, bpd to reach 1.8 million bpd in October, up from 1.54 million bpd in September 2024, representing a 16.56 percent month-on-month rise”.

“The NUPRC also confirmed at the NAPE event that the 1.8mbpd feat pushed. Nigeria’s production is beyond the 1.5mbpd quota of the Organisation of Petroleum Exporting Countries (OPEC).

“There is, therefore, no disparity or discrepancy in the production figures between NNPC Ltd and the regulator. NNPC Ltd is working closely with relevant stakeholders to boost production to 2mbpd and above by the end of 2024.”

The Abigail Joseph Floating Production Storage and Offloading (FPSO) facility, currently producing 60,000 barrels per day (bpd), is set to reach 70,000 bpd shortly, with long-term plans to scale up to 100,000 bpd.

This was disclosed by FIRST E&P Limited Managing Director, Mr. Ademola Adeyemi-Bero, during an inspection of the offshore facility in Bayelsa State by the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri.

He said: “We are fully committed to meeting and surpassing our current production goals. With the support of our partners and ongoing de-bottlenecking initiatives, we are confident of achieving 70,000 bpd and eventually 100,000 bpd in record time. This project underscores the capability of indigenous companies to deliver on ambitious targets.”

This was contained in a press statement the minister’s Special Adviser on Media and Communication, Nneamaka Okafor issued yesterday.

According to the statement, Lokpobri applauded the facility’s progress and its ambitious production goals.

He said emphasized the strategic importance of the facility, stating, “The ongoing work here reflects our collective efforts to increase Nigeria’s crude production. 

“It is impressive to see such commitment from NNPCL and First E&P, especially as First E&P pursues a 23-well drilling campaign to sustain and enhance output. This is a vital step toward achieving our national production targets.”

Meanwhile, the Nigerian National Petroleum Company Limited (NNPCL) 

Upstream Investment Management Services (NUIMS), Chief Upstream Investment Officer (CUIO), Mr. Bala Wunti, assured the minister of the joint venture’s alignment with national objectives.

Read Also: NNPCL Utapate crude hits global market

 “The milestones achieved here at Abigail Joseph FPSO are a testament to NNPCL’s determination to deliver results through strategic partnerships and innovative approaches. With the stir of the GCEO We are committed to meeting the Minister’s directive to ramp up production in no distant time,” Wunti said.

Lokpobiri lauded the role of joint ventures like the NNPCL-First E&P partnership in driving growth within Nigeria’s oil sector. 

He urged other indigenous operators to leverage the opportunities presented by ongoing reforms to further the country’s energy objectives.

The Abigail Joseph FPSO stands as a symbol of progress and collaboration in Nigeria’s oil industry, demonstrating the transformative potential of indigenous-led partnerships and innovation in unlocking hydrocarbon wealth. With sustained efforts and strategic investments, the NNPCL-FIRST E&P Joint Venture is well-positioned to make significant contributions to the nation’s oil production capacity. 

In a major boost for Nigeria’s crude oil production, revenue generation and economic growth efforts, the NNPC Ltd has officially unveiled its latest crude oil grade, the Utapate crude oil blend, before the international crude oil market.

It would be recalled that in July 2024, NNPC Ltd and its partner, the Sterling Oil Exploration & Energy Production Company (SEEPCO) Ltd introduced the Utapate crude oil blend, following the lifting of the first cargo of 950,000 barrels which headed for Spain.

During a ceremony held at the Argus European Crude Conference taking place in London, United Kingdom, on Wednesday, the Managing Director, NNPC E & P Limited (NEPL), Mr. Nicholas Foucart described the introduction of the Utapate crude oil blend into the market as a significant milestone for Nigeria’s crude oil export to the global energy market.

The NNPCL Chief Corporate Communications Officer, Mr Olufemi Soneye disclosed this in a press statement yesterday.

The statement quoted Foucart as telling the audience of the European market that

“Since we started producing the Utapate Field in May 2024, we have rapidly ramped up production to 40,000 barrels per day (bpd) with minimum downtime. So far, we have exported five cargoes, largely to Spain and the East Coast of the United States; while two more additional cargoes have been secured for November and December 2024, representing a significant boost to Nigeria’s crude oil export to the global market.”

He added that since its introduction into the global market, the Utapate crude oil blend has enjoyed a positive response from the international crude oil market, due to its highly attractive qualities.

Foucart said the Oil Mining Lease (OML) 13, fully operated by NEPL and Natural Oilfield Services Ltd (NOSL), a subsidiary of SEEPCO Ltd, boasts a huge reserve of 330million barrels of crude oil reserves, 45 million barrels of condensate and 3.5 tcf of gas. 

“We have a number of ongoing projects to increase our production from the current 40,000bopd to 50,000bopd by January 2025 and 60,000bopd to 65,000bopd by June 2025. Essentially, we are targeting opportunities to increase production to 80,000bopd by the end of 2025,” Foucart added.

He said the Utapate crude oil terminal is sustainable, affordable, and fully compliant with the rigorous environmental regulations and sustainability principles especially those aimed at reducing carbon emissions and other ecological effects.

 Also speaking, the Managing Director of NNPC Trading Ltd (NTL), Mr. Lawal Sade said the pricing structure of the Utapate crude oil blend is similar to that of Amenam crude as it is a light sweet crude which is highly sought after by refiners across the world due to its low sulphur content, the efficient yield of high-value products, API gravity, and other similarities.

He said in bringing the new crude oil blend to the global market, NNPC Ltd wanted to optimise value for both its producers and counterparties across the globe.

He added to ensure predictability and sustainability of supply, NNPC Trading intends to run a term contract on the Utapate crude oil blend cargoes, principally targeting off-takers from the European and the US East Coast refineries.

Produced from the Utapate field in OML 13 in Akwa Ibom State in Nigeria, the Utapate crude oil blend is similar to the Nembe crude oil grade. It has a low sulphur content of 0.0655% and a low carbon footprint due to flare gas elimination, fitting perfectly into the required specifications of major buyers in Europe.

The NNPC E&P Ltd and NOSL partnership is also committed to operating in a manner that is safe, environmentally responsible, and beneficial to the local communities.

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The Utapate field development plan, executed between 2013-2019 and approved in October, included converting wells and facilities from swamp/marine to land-based operations.

The plan involved a multi-rig drilling campaign for 40 wells and the development of significant infrastructure such as production facilities, storage tanks, a subsea pipeline, and an offshore loading platform to facilitate crude oil evacuation and loading.

The entry of the Utapate crude oil blend into the market is coming barely a year after the NNPC Ltd announced the launch of Nembe crude oil, produced by the NNPC/Aiteo operated Oil Mining Lease (OML) 29 Joint Venture (JV).

This remarkable achievement signals the commitment of the NNPC Ltd to increasing Nigeria’s crude oil production and growing its reserves through the development of new assets.

• Gas reaches 7.4bscfd

• Tantita: We’re committed to attaining over 2m bpd

Stakeholders are excited by the 1.8 million barrels per day (mbpd) crude oil and the 7.4 billion standard cubic feet per day (7.4bscfd) of gas production announced on Thursday by the Nigerian National Petroleum Company Limited (NNPCL).

This is as Tantita Security Services Nigeria Limited (TSSNL), a private security outfit engaged by the Federal Government to protect oil pipelines and other facilities restated its commitment to ensuring the production of the over 2mbpd.

Stakeholders hailed NNPCL for the feat which they noted was aided by the private security agencies hired to safeguard the nation’s economic assets.

Tantita has lately led a relentless war against crude oil theft and pipeline vandalism, pursuing oil thieves out of the nation’s coastal environment as well as seizing and confiscating their equipment.

It was gathered that most of the oil thieves abandoned the nefarious business in the wake of the onslaught and ceaseless heat by the operatives of Tantita security services positioned in the coastal axis of the Niger Delta.

These collaborative efforts with other state actors significantly contributed to the latest rise in the quantum of production of crude and gas resources.

It was gathered that Tantita has initiated clampdown measures to keep the oil thieves at bay with a view to realising 2million bpd of crude oil production by the end of December, in conjunction with other industry stakeholders.

NNPCL’s Group Chief Executive Officer (GCEO), who announced this at a press briefing on Thursday, said the feat was achieved in compliance with the mandate of President Bola Ahmed Tinubu.

Kyari congratulated the Production War Room Team that anchored the production recovery process.

“The team has done a great job in driving this project of not just production recovery but also escalating production to expected levels that are in the short and long terms acceptable to our shareholders based on the mandates that we have from the President, the Honourable Minister, and the Board,” Kyari stated.

Giving details of the efforts of the Production War Room, the Chief War Room Coordinator, and Senior Business Adviser to the Group Chief Executive Officer, Mr Lawal Musa, said the feat was achieved through the collaborative efforts of Joint Venture and Production Sharing Contract partners, the Office of the National Security Adviser, as well as government and private security agencies.

He said the interventions that led to the recovery of production cut across every segment of the production chain, with security agencies closely monitoring the pipelines.

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He stressed that when the Production War Room team was inaugurated on the 25th of June 2024, production was at 1.430 mbpd.

He noted that the team swung into action, culminating in it sustaining the production recovery to 1.7 mbpd in August and hitting the current 1.808 mbpd in November.

“We are confident that with this same momentum and with the active collaboration of all stakeholders, especially on the security front, we can see the possibility of getting to 2MBPD by the end of the year,” he added.

 It will be recalled that the Chairman of TSSNL, Chief Government Ekpemupolo, alias Tompolo,  while speaking during an award bestowed on him by the national leadership of the Nigeria Union of Journalists (NUJ), promised to ensure that the daily crude oil production output continued to increase and boost the nation’s revenue.

“The only place I have to call my country is Nigeria, so I will do everything within my powers to see that crude oil production increases.”

Reacting to the latest feat yesterday, Tompolo, said he was excited to be part of the success story.

Tompolo, who spoke through his Special Adviser Media and Public Communication, Mr. Paul Bebenimibo, said Tantita was committed to the realisation of 2mbp by December as directed by President Tinubu.

He said, “This milestone, as you know, was achieved in collaboration with NNPCL, security forces and of course, Tantita, which has been at the forefront of oil pipeline protection in the Niger Delta. We are determined to take it to 2mbpd before the year runs out as directed by President Bola Ahmed Tinubu.”

“All the needed machinery has been put in place to ensure that the target is achieved. No effort will be spared to ensure that the economy of Nigeria is galvanised.”