Nigeria’s Oil Reserve Increases To 37.04bn Barrels In One Year – NUPRC

According to the Nigerian Upstream Petroleum Regulatory Commission, NUPRC, the country’s oil reserve has increased a bit between a year to the present time.

The commission confirmed this in a report obtained by Naija News over the weekend.

As revealed in the report, Nigeria’s oil reserve recorded an increase of 0.37 per cent to hit 37.046 billion barrels from 36.910 billion barrels in the previous year.

While stating its intention to commence implementation of strategic actions and initiatives aimed at increasing the nation’s crude oil and gas reserves and production, the commission confirmed that Nigeria’s natural gas reserves also appreciated by 1.01 per cent to 208.62 trillion cubic feet from 206.53TCF reported a year ago.

The Commission’s Chief Executive, Engr. Gbenga Komolafe, who spoke with newsmen in Abuja on Friday, May 6, said NUPRC has initiated a massive campaign dedicated to the identification of oil and gas wells producing below capacity.

In his submission, Engr. Komolafe explained that the latest reserve figures were based on reports filed by 61 operating companies as of January 1, 2022.

With Nigeria unable to boost oil production despite high prices on the international market, Komolafe explained that NUPRC would tackle all factors militating against efficient and effective exploration and production operations in the country.

He said: “The Commission recognizes that the formulation of all-inclusive strategies to increase crude oil and gas reserves (from 37 billion barrels and 208.62 TCF) requires a thorough consideration of all factors militating against efficient and effective exploration and production operations.”

Komolafe also observed that the conflict between Russia and Ukraine and the attendant disruptions to the global gas demand-supply chain has provided Nigeria with a unique opportunity to fill this gap through the implementation of several natural gas developmental initiatives.

He added saying; “As the Federal Government has declared the years 2021 – 2030 to be the Decade of Gas, the Commission is taking steps to expand and develop the Nation’s huge gas resources through enhanced gas exploration, development and utilization schemes which will lead to gas reserves growth, increased gas production, maturation of the domestic and export gas market, as well as gas flare elimination.”

According to him, the Commission is currently engaging all lessees on their Natural Gas Flare Elimination and Monetisation Plan to ensure compliance with Section 108 of the PIA and boost supply to the rapidly growing gas market.

“Furthermore, in the face of the global energy transition and the need for cleaner sources of energy, gas is being positioned as our immediate transition fuel to lower the Nation’s carbon emission footprint in line with our climate change commitment,” Komolafe noted.

The NUPRC Chief Executive, however, encouraged investors to leverage the generous gas fiscal incentives in the PIA such as zero hydrocarbon tax, reduced royalty rates, and tax consolidation provisions amongst others to take Final Investment Decisions on their proposed upstream projects, Naija News reports.

This article was originally published on Nigeria News