DPR advocates 30% cut in Nigeria’s oil production cost

The Department of Petroleum Resources (DPR) has announced plans to reduce the cost of oil production in the country.

The DPR Director, Sarki Auwalu, disclosed this in the Nigerian Natural Resource Charter (NNRC) Twitter handle.

The NNRC is an agency in the petroleum sector.

He said the agency is considering a 30 percent reduction in oil production in the short to medium term.

The DPR chief stressed that the current high cost-per-barrel is “unsustainable and clearly unreasonable.”

Auwalu said: “It is time to turn to new strategies, new ways of thinking, new technologies, and new products – a time for strategic repositioning and business optimization.

“Specifically, we as a government had set a clear path for industry growth during and beyond this period. The oil and gas industry needs to be more efficient.”

The DPR chief stressed the need for Africa to harness its over 125 billion barrels of proven oil reserves and 625 trillion cubic feet of natural gas for the continent’s growth.