Nigeria to drive down crude oil production cost to $10/barrel ~NNPC chief
Nigeria said it was working toward achieving lower production cost of crude oil per barrel, as the country struggling to keep to the quota allocated to it by the global oil cartel and its allies.
The chief executive officer of the state-run oil firm Nigerian National Petroleum Corporation (NNPC) Mele Kyari told a virtual conference on Thursday that Nigeria is working toward achieving $10 per barrel production cost for crude oil.
“We are making efforts to drive down the cost of crude oil production to $10 per barrel. We are doing that mindful that it doesn’t stifle investments or hamper the growth of local content and capacity.
“Aside driving down the cost of production, we are also focusing on gas development. We have huge gas resources which can be harnessed to power industries and engender development.”
“It is very important that we have connectivity in Africa in terms of economic activities and oil and gas infrastructure. That is why we are working hard to have the Trans African Gas Pipeline and to expand the West African Gas Pipeline,” Kyari told the conference hosted by one of the indigenous oil companies in the country.
Nigeria expects to comply with an oil output quota of 1.412 million barrels per day for May, June and July, in line with the Organisation of Petroleum Producing Countries (OPEC) and its allies pact early in the year.
OPEC countries and allies led by Russia, known as OPEC+, have agreed to reduce output in the face of the coronavirus crisis which has reduced global demand by a third.