Nigeria has restated its commitment to the Organisation of Petroleum Exporting Countries (OPEC) production rules, despite recent increases in crude oil output. Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, gave the assurance while addressing industry stakeholders at the 4th Petroleum and Energy Leadership Summit (PEALS) in Abuja on Wednesday.
According to Lokpobiri, Nigeria’s oil production has rebounded strongly to about 1.8 million barrels per day (bpd), up from less than one million barrels when he assumed office.
He attributed the recovery to government reforms, collaboration with industry players, and renewed investor confidence.
“This is not the success of one person but the result of reforms, collaboration, and resilience. Our target is to exceed two million barrels daily.
However, let me assure you that Nigeria will not breach OPEC rules. We remain a committed member of the cartel,” the minister stated.
OPEC’s latest Monthly Oil Market Report revealed that Nigeria pumped 1.507 million bpd in July, about 7,000 bpd above its approved quota and slightly higher than the June figure of 1.505 million bpd.
This marks the second consecutive month of output exceeding allocation.
Lokpobiri, however, stressed that Nigeria is not seeking to undermine OPEC but rather to renegotiate a higher quota that reflects the country’s production capacity and recent sector reforms.
“We will explain better to OPEC that while we respect our quota, our ambition is to have it reviewed upward in line with our capacity.
Nigeria cannot be left behind while other countries continue to ramp up production,” he explained.
The minister highlighted what he described as the “double standard” of developed nations, which continue to expand production while urging African countries to scale down.
He disclosed that OPEC experts in Vienna recently agreed that oil would remain the dominant energy source for at least the next 50 years.
“The U.S. produces over 20 million barrels daily, China and Europe are ramping up, yet Africa is told to cut back.
Nigeria has already taken steps in energy transition with climate laws and gas flare penalties. But we cannot move faster than the world’s biggest polluters,” Lokpobiri argued.
He urged Nigerian refineries, including the Dangote Refinery, to prioritise processing local crude to boost economic efficiency.
He also warned that marginal field operators failing to meet production obligations risk losing their licences.
“Out of over 60 marginal field licences awarded, fewer than six are operational.
We cannot afford unproductive licences while we push for increased production. Non-performing operators will lose their permits,” he warned.
At the summit, the President of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), Festus Osifo, demanded an end to unsafe practices, gas flaring, and environmental degradation in the industry.
“Gas flaring must end. Polluted sites must be restored. We cannot continue sacrificing lives and the environment for energy production.
Every life matters, and safety must come first,” he said, recalling the 2024 Bonny helicopter crash that killed three PENGASSAN members.
Osifo also emphasised that Environmental, Social, and Governance (ESG) compliance is now critical to the survival of oil companies, warning that financial institutions increasingly demand evidence of sustainability commitments before financing projects.
Lokpobiri further credited President Bola Tinubu’s executive orders on contracting cycles, gas development, and tax incentives with restoring industry confidence.
He assured that government would deepen partnerships with training institutions to strengthen local expertise and sustain investor trust.
Group CEO of NNPC Ltd, Bayo Ojulari, lauded the summit for aligning labour, industry, and government towards a resilient oil sector, while Labour Minister Muhammad Dingyadi urged stakeholders to embed safety, fair wages, and ESG principles into energy policy.
With Nigeria’s oil production showing recovery, industry leaders insist that maintaining stability, enforcing accountability, and ensuring sustainability are vital if Africa’s largest crude producer is to achieve its long-term target of exceeding two million barrels per day while safeguarding workers and the environment.