Nigeria’s oil production saw a slight increase of 1.45% in May 2024, reaching 1.46 million barrels per day (bpd) from 1.44 million bpd in April. This modest gain, however, fell short of the country’s OPEC quota of 1.5 million bpd and the 1.7 million bpd benchmark set for the 2024 national budget.

The latest figures from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) contradict statements by Minister of State Petroleum Resources (Oil) Senator Heineken Lokpobiri and Nigerian National Petroleum Company Limited CEO Mr. Mele Kyari, who claimed that oil production had reached 1.7 million bpd.

In May, Nigeria's output comprised 1.25 million bpd of crude oil and 217,076 bpd of condensate production, failing to meet targeted levels. This highlights ongoing challenges in the country’s oil sector, despite efforts to boost production and meet global demand.

NUPRC data reveals that oil production in the first five months of the year has not shown significant improvement, with January at 1.64 million bpd, February at 1.54 million bpd, and March at 1.43 million bpd. On a year-over-year basis, May's total production rose slightly by 2.6% compared to 1.43 million bpd in May 2023.

### NUPRC to Offer More Oil Blocks in Licensing Round

To enhance the nation’s reserves and improve oil production, the NUPRC announced plans to offer additional oil fields in the ongoing licensing bid round. Commission Chief Executive, Engr. Gbenga Komolafe, unveiled the Nigerian 2024 licensing round in Lagos, emphasizing the government's commitment to a fair, competitive, and transparent process.

Komolafe stated, “The Commission, in partnership with its multi-client partners, has acquired more geological data, identifying more prospective blocks. These newly identified blocks will be added to the pool originally scheduled for the bid exercise, and their details will be available on the bid round portal.”

The seven deep offshore blocks from the 2022 Mini-Bid Round Exercise, covering approximately 6,700 km² in water depths of 1,150m to 3,100m, will also be included in this licensing round. The blocks on offer have extensive 2D and 3D seismic data coverage, including multi-beam and analog data. Advanced seismic datasets and analytical tools via dedicated portals exemplify the commitment to technological advancement.

“The licensing round is expected to be a huge success for Nigeria, contributing to growing the nation’s oil and gas reserves, boosting production, expanding opportunities for gas utilization, and strengthening energy security and the economy,” Komolafe added. The process aligns with the principles of the Extractive Industry Transparency Initiative (EITI), reinforcing Nigeria’s commitment to openness and transparency.