The head of Nigeria’s upstream regulator stated on Monday that the country’s oil production has risen to 1.78 million barrels per day (bpd) on average, surpassing 1.8 million bpd last month.
Being the biggest oil producer in Africa, the West African nation depends on crude oil for more than 80% of its foreign exchange profits and nearly two-thirds of its government revenue; therefore, production increases are essential to stabilizing its economy.
However, before Nigeria intensified a crackdown in the oil-rich Niger Delta region, years of underinvestment, insurgency, and rampant oil theft reduced productivity and put a burden on public finances.
At an energy conference, Gbenga Komolafe, the Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission, informed attendees that the output increase is a result of increased security operations and is part of an effort to expand oil production from 1 million barrels per day to 3 million barrels per day.
In November, oil production last hit 1.8 million barrels per day.
To maintain productivity gains and enhance industry transparency, Komolafe stated that the commission would continue to collaborate with stakeholders.
