Nigeria is set to achieve $4.5 billion in savings as oil production records a significant boost of 400,000 barrels per day (bpd), according to industry and government sources.
The Federal Government’s renewed focus on upstream investments, improved security in oil-producing regions, and operational efficiency among international oil companies (IOCs) have been credited for the output surge.
Officials say the additional barrels will help Nigeria meet its crude allocation quotas, strengthen foreign reserves, and reduce the reliance on costly fuel imports. The development comes amid ongoing reforms in the petroleum sector, following the enactment of the Petroleum Industry Act (PIA), aimed at attracting fresh capital and curbing leakages.
Energy analysts note that if sustained, the production growth could help Nigeria stabilise the naira, narrow budget deficits, and provide fiscal space for infrastructure and social investment.
The government is also banking on the increased revenue and savings to support its ambitious energy transition plans, with a focus on gas monetisation and renewable projects.
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