• As IPPG Gets Set To Contribute 30% of Oil Production
President Muhammadu Buhari on Wednesday in Abuja assured indigenous companies operating in Nigeria’s oil and gas sector of the full support and protection of his administration. This is just as the Independent Petroleum Producers Group (IPPG), comprising indigenous oil companies, Wednesday said the group will be contributing close to 30 percent of the total local oil production in Nigeria by the year, 2020.
The group currently contributes only about 10 percent of Nigeria’s 2million barrels per day production which they hope to increase to 30 percent. Austin Avuru, Chief Executive Officer of Seplat who spoke on behalf of the group, after meeting with President Buhari at the Presidential Villa, Abuja, said as part of the discussions with the President, it estimated that local refining capacity will reach 1.2million barrels per day, by year 2020, driven largely by local oil companies.
“ That is 10% today. Just in the past five years, up from near zero, and we anticipate that in the next 5years by 2020 we will account for 30 % production of about 3million barrels per day, that is very significant especially when in addition to that we account for half of the total gas delivery to the domestic market” he said adding that “We can get as high as 7million Cubic Feet per day per day by 2020.”
Buoyed by this projections and positive outlook, President Buhari commended their determination to increase the participation of Nigerians in the country’s oil industry and promised to do all within his powers to address the challenges which they currently face.
The President then directed the management of the Nigerian National Petroleum Corporation (NNPC) to work more closely with the indigenous oil producers to resolve the problems which they enumerated to him.
-Tony Ailemen, Abuja