Connect with us

Business

“Nigeria’s oil and gas sector generated $764.52 billion from 1999 to 2021” – NEITI

Published

on

1695059772 NEITI

Nigeria’s oil and gas sector generated $764.52 billion from 1999 to 2021. This is according to Dr Ogbonnaya Orji, the Executive Secretary at the Nigerian Extractives Industries Transparency Initiative (NEITI).

He gave the figures during his address at the Nigeria Energy Forum, which took place this week. During his address, Dr Orji pointed out key statistics:

Nigeria’s existing oil reserves amount to 37.050 billion barrels, which is about 2.1% of the world’s total reserves.

Additionally, the revenue generated in the oil and gas sector from 1999 to 2021 sums up to $764.52 billion. Nigeria also boasts an impressive gas reserve of over 209 trillion cubic feet, accounting for 2.6% of global reserves.

Dr. Orji further highlighted the significant importance of the conference, especially considering Nigeria’s current energy challenges.

According to him, the country faces a substantial energy gap, insecurity in the energy sector, and struggles with inadequate deployment and utilization of available energy resources.

Highlighting the urgency of addressing environmental concerns, Dr. Orji emphasized the necessity of implementing policies aimed at methane abatement.

Methane, a potent greenhouse gas, has a higher warming potential compared to carbon dioxide, especially in the short term.

He stressed the need for aggressive policies targeting issues such as oil theft, sabotage, and pipeline vandalization, and tackling these issues is crucial not only for the country’s energy security but also for environmental preservation, particularly in reducing methane emissions, which contribute significantly to climate change.

According to a policy brief by NEITI which focuses on crude oil theft and data gathered from NEITI industry reports within the oil and gas sector, Nigeria faced significant losses over 12 years, from 2009 to 2020, the country experienced a loss of 619.7 million barrels of crude oil.

This staggering volume, valued at $46.16 billion or N16.25 trillion, indicates a substantial impact. To put it in perspective, this amounts to over 140 thousand barrels of oil lost per day during the highlighted period.

Additionally, during the period from 2009 to 2018, Nigeria encountered further challenges. The nation lost 4.2 billion litres of petroleum products from refineries, with a corresponding value of $1.84 billion.

It is also important to note that the country lost N11.3 trillion on turnaround maintenance for refineries between 2010 and 2020.

Meanwhile, the Nigerian National Petroleum Company Limited has assured that by December 2024, all local refineries will be active and running, effectively reducing Nigeria’s reliance on petroleum products imports.

Trending