Elumelu calls for innovation, unity to revive Nigeria’s oil sector at NUPRC anniversary
By Esther Agbo
The Chairman of Heirs Holdings Group, UBA Group, and Transcorp Group, Tony O. Elumelu, CFR, has called for bold steps towards innovation and collaboration in Nigeria’s Oil and Gas sector.
He said while delivering a compelling goodwill message at the 3rd anniversary of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), held at the Transcorp Hilton, Abuja, themed “Transformation, Innovation & Excellence,” was attended by key stakeholders in Nigeria’s energy sector.
Elumelu congratulated the NUPRC on its achievements in the last three years and emphasized the urgency of addressing Nigeria’s declining oil production.
“Nigeria’s oil production has been on a downward trajectory, falling from peaks of over 2 million barrels per day to recent lows, below 1.5 million.
“This decline translates to lost revenues, reduced global market share, and missed opportunities for national development,” he said.
He highlighted aging infrastructure, security issues in the Niger Delta, and stalled investments as key challenges.”
In response to this crisis, Elumelu applauded NUPRC’s bold “Project 1MMBOPD,” an initiative aimed at increasing Nigeria’s oil production by 1 million barrels per day, stating, ” Project 1MMBOPD is so critical, a crucial part of the solution to unlocking the next phase of our development.
“By targeting to grow production by 1 million barrels of oil per day from current levels, we are setting a clear and challenging goal; one that I believe is achievable as see all stakeholders are at the table and will commit to play their parts and bring the needed collaboration, innovation, and excellence to make this project a success, for the benefit of our country.
“To be sustainable, this initiative should go beyond just increasing production; it should catalyse a comprehensive strategy to revitalize our entire upstream sector,” he stated.
He outlined critical steps such as Infrastructure Modernization, Security Enhancement, Regulatory Streamlining, Investment Attraction and Technology Adoption.”
Elumelu also underscored the importance of gas in Nigeria’s energy mix, noting that gas is critical for improving access to electricity.
“We know the criticality of gas in improving access to electricity in Nigeria. Access to electricity is the single most important factor in our quest for industrialization. You can now see that our oil and gas sector is pivotal to the development of our country,” he remarked.
He also shared Heirs Energies’ progress in boosting production, citing the company’s success in increasing production at its OML-17 asset and collaborating with NNPC to tackle crude theft.
“With the improvement in the operating environment, we have restarted our investment and production growth journey, and have now successfully reversed the fall in production that we suffered in 2022 and 2023, as a consequence of the evacuation challenges. A few days ago, OML-17 attained over 51,000 barrels per day, and we continue our production growth journey,” Elumelu revealed.
Highlighting his philosophy of Africapitalism, Elumelu called for greater collaboration between international oil companies and indigenous firms.
He stressed the importance of shared prosperity and environmental sustainability.
In his concluding remarks, Elumelu commended President Bola Ahmed Tinubu for supporting the strengthening of the NUPRC and urged all stakeholders to rally behind the vision of transformation and growth for Nigeria’s oil and gas sector.
