President Bola Tinubu has directed all holders of dormant oil assets in Nigeria to immediately reactivate them to boost crude oil production and revenue.
This directive was conveyed by Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, at the 2025 Nigeria Oil and Gas Energy Week in Abuja.
The Federal Government had set a crude oil production target of 2.1 million barrels per day and aims to generate roughly N84.67 trillion in crude oil revenue for 2025, based on an oil price of $75 per barrel.
According to the minister, reactivation of the oil assets towards productivity will not only lead to growth in the oil sector but also sustain investments in capacity building.
He said the government was determined to maximise oil production by ensuring that only serious investors retain access to Nigeria’s hydrocarbon resources.
Lokpobiri emphasised that reactivating dormant oil assets would lead to growth in the oil sector and sustain investments in capacity building, ensuring only serious investors retain access to Nigeria’s hydrocarbon resources.
Nigeria’s crude oil production currently hovers around 1.4 million barrels per day, below the target. However, production climbed to 1.63 million barrels per day in May from 1.61 million barrels per day in April.
Nigeria has also met its legal and financial obligations for the commencement of the African Energy Bank, which is expected to improve access to funding for investors and operators, catalysing robust economic growth.
Despite breakthroughs in tackling pipeline vandalism, Nigeria’s crude production still lags behind government targets, with factors like pipeline vandalism, theft, and terminal shutdowns affecting production levels.
“To sustain growth in our oil industry, we must first sustain our investment in capacity building. The recent wave of asset divestments and the subsequent increase in production volumes underscore a critical truth: we have the indigenous capacity to grow this industry.
“I emphasised this point while declaring open the #NOGEnergyWeek, where I posed a central question to operators: What is the solution to ramping up production?
“This is not just a rhetorical challenge, it is a call to action, one that speaks to our collective responsibility in meeting both domestic energy needs and international commitments.
“In my address, I urged all operators to ensure every asset under them is active and productive.
”This is not a suggestion but a directive from President Bola Ahmed Tinubu, and it must be treated with the urgency and gravity it deserves,” Lokpobiri said
The successful implementation of this directive is expected to increase crude oil production, enhance revenue generation, and contribute to Nigeria’s economic growth.
With Nigeria’s crude oil reserves estimated at 37.28 billion barrels as of January 1, 2025, optimizing production is crucial for the country’s economic development.
