NUPRC seeks improved value delivery for 1.67bn crude reserve

The Nigeria Upstream Petroleum Regulatory Commission (NUPRC) yesterday stressed the need for improved value addition to the heavy crude reserves in Nigeria to leverage on the rich.

Commission’s chief executive, Mr. Gbenga Komolafe, spoke at the opening of a two-day workshop aimed at developing the daily national oil production and unlocking the full potential resources of oil fields.

The workshop is being held in Abuja with the theme: “Heavy Crude Oil Development In Nigeria.”

He disclosed that as of January 1st, 2024, Nigeria’s heavy crude reserves stood at about 1.67 billion barrels, adding, “Sixty-two percent (62%) of this volume is proven while thirty-eight percent (38%) is unproven. Seventy-one percent (71%) of the total reserves are domiciled in acreages operated by NEPL, twelve percent (12%) in IOC-owned acreages, and seventeen percent (17%) are found in other operating companies’ acreages.

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“In terms of terrain, we have 78% onshore, 3% at swamp, and 19% offshore. Despite this huge volume, the quantum of heavy crude oil reserves developed in Nigeria is just about 5%. As a result, there is a need for a concerted effort to improve value delivery from this segment of the petroleum spectrum, which will ultimately lead to energy security, job creation, and economic growth.”

He charged oil field owners to provide clear project objectives to facilitate open communication and data sharing.

He also charged them to provide innovative solutions and technologies in their collaboration with the regulatory agency.

He said: “The commission will continually foster a favourable regulatory environment to leverage technology and support research and development objectives. We are focused on optimizing our hydrocarbon resources in the midst of energy transition despite the current challenges we are experiencing.”

Komolafe lamented the inability of investors to invest in research and development projects with a view to developing and adapting to “innovative extraction and processing technologies that focus on efficient production.”