Nigeria daily oil production hits 2.3m bpd – Baru

Written by Maritime First

…As NNPC technical coy declares N6. 75bn profit in 2018***

The Group Managing Director, Nigerian National Petroleum Corporation (NNPC), Dr Maikanti Baru indicated on Tuesday that Nigeria’s daily oil production is now 2.32million barrel per day.

Baru highlighted this when a delegation of the Nigerian Union of Journalists (NUJ) led by its President Mr. Chris Isiguzo visited his office in Abuja.

“Since we came in July 2016, we have focused on increasing production of oil and gas and condensates”, Baru stated, adding, “at some point, our national combined production was about a million barrels. I am happy that as at the end of 2018, we have moved on averaging last year, about 2.1 million barrels.

“As I am speaking, this morning, I look at our production figures, combined oil and condensates we are pushing 2.32 million barrels a day,” he said, stressing that the stability and ability to push production has come as a consequence of several factors, both internally, externally and also with the help of the media.

Commenting on the gas sector, he said that the corporation had also pushed from a low level of about 450 million standard cubic feet per day for the domestic alone and currently hovering at about 1.5 billion SCF per day of gas.

He noted that Internally, its subsidiary, the Nigerian Petroleum Development Company (NPDC), had pushed their production on the equity side, from a low figure of 65,000 barrels per day in 2016 to over 166,000 barrels per day equity.

” Overall production of the NPDC, we are able to maintain it at close to 300,000 barrels per day. It is quite a significant boost,” he added, adding that NPDC, had become the main supplier for gas for the power sector, supplying over 800 million SCF per day required to boost the production of power in the country.

”Currently, the power that we enjoy has about 80 per cent input from gas-driven thermal power plants.

“Our drive for transparency has also produced a lot of fruits. We have been able to attract Foreign Direct Investments (FDI), into the oil and gas industry, and in 2017 alone, we have attracted about 3.6 billion dollars.

“In 2018, we have shot up by three billion dollars, at the moment, some of our officers are in London, where they are negotiating about seven billion dollars as FDI for the oil and gas sector.

“In terms of crude oil cost of production, it has significantly improved from the 27 dollars per barrel in our Joint Venture operations, and it has come down to 22 dollars per barrel.

“We are looking for further reduction this year, to about 20dollars per barrel,” he added.

On Exploration, he noted that at the Kolmani River prospect in the Gongola basin, the corporation targeted for the well to be done in 60 days, but because of the interest, “we are doing intensive testing and we still have not hit the Total Depth (TD).

“We think maybe by next week, we will be able to hit the TD of 14,250 feet. The TD is not sacrosanct. If we find that there are interesting signs beyond the TD, the rig has a capability of 20,000 feet.

“There are interesting things we are doing, all these to increase the reserves of the nation. This, we are doing assiduously,” he said

On the refineries, he said that the contractors were still on site with the review for effective evaluation, adding that the corporation expected that by October it would be concluded and it would move to look for financiers.

He urged the media to continue to support efforts that would help to protect oil infrastructure in the country.

Earlier, Isiguzo commended Baru on the transparency and efficiency in the management of the affair of the corporation.

.He appealed to the security agencies, host communities and traditional rulers to support NNPC’s effort to protect the oil pipelines and infrastructure across the country.

He said that the union would partner with the corporation and continue to carry out its roles for the growth and development of the sector.

“We are committed to go beyond unionism to make impact in the society, which is our primary role and we have started that with the launch of our magazine ‘The NUJ Defender’.

“We believe that our collaboration NNPC will continue to help the sector and the country at large,” he said.

In the meantime, the National Engineering and Technical Company Limited (NETCO), a subsidiary of the Nigerian National Petroleum Corporation (NNPC), has declared a profit of N6.75 billion after tax for the year ended 31st December, 2018.

Malam Bello Rabiu, the Board Chairman, disclosed this in at the company’s 29th Annual General Meeting (AGM), in Abuja on Tuesday.

He said that the company had made the corporation proud with its impressive performance recorded in 2018.

“Despite the challenges faced in the country, NETCO was able to record a total profit before tax of N6.75billion, which represents an increase of 107 per cent of from N3. 26billion in 2017.

“The company’s revenue also increased by 63 per cent from N22. 46 billion in the previous year to N36. 64 billion in the year under review,” he said.

He added that the operation clean profit of the company increased by 130 per cent (N2. 68billion) from N2. 07 billion in 2017 to N4. 75 billion in 2018.

“Following the leap in profit performance, I am happy to announce that this year NETCO surpassed last year’s highest dividend record of N750 million as the company will be declaring a dividend of N1. 50 billion times to its shareholders at this AGM.

“This is an increase of 100 per cent of dividend from the previous year, ” he added.

Also, NETCO Managing Director, Mr Mustapha Yakubu said the company remained a responsible and credible corporate entity by being compliant to all applicable laws and regulations.

He added that NETCO prides itself as a company that had over the years maintained a zero litigation and currently had no liability capable of exposing the shareholders to any legal risk.

He said that the company’s authorised share capital remained one billion ordinary shares of N1. 00 each, adding that in years 2018 it issued share capital stood at 0ne billion of N1. 00 per share fully paid.

He added that the company after execution of its projects had revenue increase of 63 per cent from N22. 46 billion in the previous month year to N36. 64 billion in the year under review.

He commended the NNPC management and shareholders for their support and assured them of the company’s commitment to continue to grow the company.





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