The Nigerian National Petroleum Company Limited (NNPC) has attributed a significant increase in Nigeria’s crude oil production to ongoing reforms in the petroleum industry, saying output has risen by 600,000 barrels per day (bpd), from approximately 1.2 million bpd to 1.8 million bpd.
The Group Chief Executive Officer of NNPC Limited, Bashir Bayo Ojulari, disclosed this on Tuesday during an energy discussion titled ‘Nigeria’s Reform Agenda: Competing for Energy Capital’ at the 2026 Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) in the United Arab Emirates.
According to the company, the improvement reflects the impact of the Petroleum Industry Act (PIA), better investment conditions and stronger collaboration with industry partners.
Ojulari said the reforms had helped position Nigeria more favourably in the competition for international energy investments.
NNPC TARGETS TWO MILLION BARRELS PER DAY BY 2027
The NNPC boss disclosed that the company was working towards increasing Nigeria’s crude oil production to two million barrels per day by 2027.
He explained that achieving the target would require protecting existing production levels, maintaining critical infrastructure and accelerating ongoing development projects.
Ojulari described the current output of 1.8 million barrels per day as an important achievement but warned that sustaining the improvement would depend on effective implementation of planned projects.
He stressed that the company was prioritising the rehabilitation of essential facilities, protection of existing operations and completion of projects capable of increasing production.
Nigeria has struggled with declining crude oil output over the years due to crude theft, pipeline vandalism, inadequate investment and operational disruptions. These challenges have also affected the country’s ability to consistently meet its production quota under the Organisation of the Petroleum Exporting Countries (OPEC).
Ojulari attributed the recent improvement to the implementation of the Petroleum Industry Act 2021, improved investment decisions and closer cooperation between NNPC and its industry partners.
He added that the company’s performance would ultimately be measured by actual results rather than promises.
OVER 400 CNG CONVERSION CENTRES ESTABLISHED
On developments in the domestic energy market, Ojulari highlighted the Federal Government’s compressed natural gas (CNG) initiative, introduced alongside the removal of the petrol subsidy.
He disclosed that more than 400 CNG conversion centres had been established nationwide, while over 1,000 trucks involved in petroleum product transportation had been converted to operate on natural gas.
The initiative is designed to encourage the adoption of alternative fuels, reduce dependence on petrol and diesel, and lower transportation costs across the petroleum supply chain.
Ojulari also provided updates on major gas infrastructure projects, revealing that the Obiafu-Obrikom-Oben gas pipeline was completed in August 2026.
He said the Ajaokuta-Kaduna-Kano (AKK) gas pipeline was expected to begin supplying gas to Abuja before the end of the year.
The project is expected to support electricity generation, industrial activities and emerging sectors such as data centres.
NIGERIA TARGETS 12 BILLION STANDARD CUBIC FEET OF GAS BY 2030
The NNPC chief also outlined the country’s ambitions for expanding natural gas production.
According to him, Nigeria is targeting daily gas production of 10 billion standard cubic feet by 2027 and 12 billion standard cubic feet by 2030.
He explained that achieving these targets would require simultaneous expansion of domestic gas consumption and export markets to ensure that increased production delivers meaningful economic benefits.
On regional gas export plans, Ojulari highlighted the proposed Nigeria-Morocco Gas Pipeline and the Trans-Saharan Gas Pipeline.
He said countries participating in the Nigeria-Morocco project had aligned and signed the necessary agreements, while Nigeria, Algeria and Niger had also reached an understanding on developing the Trans-Saharan pipeline.
Both projects are expected to strengthen regional energy cooperation, expand access to Nigerian gas and create additional export opportunities.
NNPC SECURES $20BN INVESTMENT AGREEMENTS
Ojulari identified renewed interest from international energy companies as another indication of improving confidence in Nigeria’s petroleum industry.
He mentioned major upstream projects, including TotalEnergies’ Ubeta project, Shell’s Bonga South-West development and Eni’s Zabazaba project.
The NNPC chief disclosed that commercial agreements covering approximately $20bn in investments had been concluded as the company continued efforts to attract international capital.
He also revealed that NNPC was developing relationships with new investors, including the United Arab Emirates’ national oil company, ADNOC, and Chinese investors interested in Nigeria’s refining sector.
The company is equally engaging international oilfield service providers to strengthen the technical and operational capacity required to deliver major projects and sustain production growth.
NNPC PROMISES TRANSPARENCY AND ACCOUNTABILITY
Ojulari reaffirmed NNPC’s commitment to improving transparency and accountability in its operations.
He cited the company’s decision to organise two consecutive earnings calls as part of efforts to strengthen communication with investors and other stakeholders.
He maintained that the company would continue working towards its production targets while improving operational efficiency and attracting the investment required to develop Nigeria’s energy resources.
The 2026 Abu Dhabi International Petroleum Exhibition and Conference, held under the patronage of UAE President Sheikh Mohamed bin Zayed Al Nahyan and hosted by ADNOC, attracted more than 239,000 participants from over 170 countries.
The event brought together government representatives, energy executives, investors and technology leaders to discuss global energy security, investment opportunities and developments shaping the industry.
