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‘Nigeria’s Oil Output, Others to Hit 12m bpd’

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  • ‘Nigeria’s Oil Output, Others to Hit 12m bpd’

Daily oil production from African countries, including Nigeria, has been projected to reach 12 million barrels per day (bpd) in the next few years. The current output is about 10 million bpd,.

African Petroleum Producing Organisation (APPO), formerly African Petroleum Producing Association (APPA), Executive Secretary His Excellency, Mahaman Laouan Gaya, spoke of the projection at a summit in Abuja.

He noted that African producers should have a common platform in terms of policy initiatives and strategy to gain the deserved relevance in the comity of global oil producers.

He advised African oil producers to come together to surmount the global oil and gas challenges and reap the benefits from the petroleum value chain, while also working in partnership with stakeholders in the industry.

Gaya said: “Petroleum exploration started in late 19th Century in America, Asia and the Middle East, but crude oil production started in Africa in the late 1950s and early 1960s. However, more than 50 years later, less than 20 African countries are petroleum producers, producing about 10 million barrels per day. In the few years to come the production is estimated to reach 12 million bpd.

“If Africa should be considered as one producer, for sure our continent will challenge Saudi Arabia, United States of America and Russia. This is the reason Africa must have a common response to global oil and gas challenge. This will measure and determine the place of Africa in the petroleum geopolitics. Africa is the future of the world oil and gas industry.”

He continued: “Petroleum is one of the key catalysts of African development. In some African countries, oil and gas represent more than 70 per cent of the national income. Global oil and gas challenge is an audacious one that should be tackled by African producers.

“From APPO’s point of view, African petroleum producers are better positioned to create maximum leverage from their resources and government when they adopt a common platform for oil and gas policy initiatives and development strategy. Accordingly, Africa’s drive to grow to the global petroleum challenges can be achieved through regional cooperation in all the petroleum value chain, contribute to the understanding of energy situation and policies of Africa and other nations, which will make a better energy mix, assist African net oil importing countries to meet their energy needs.”

Gaya emphasised the need for such cooperation, noting the importance of enhancing the levels of cooperation among all concerned parties including energy producers and consumers, owners of advanced technology, financial institutions and policy makers to promote benefits and mutual interests of achieving partnerships based on unified targets and objectives.

APPO was created in 1987 in Lagos to serve as a platform for African petroleum producing countries to co-operate, collaborate and share knowledge and competences. It has 18 members – Nigeria, Algeria, Angola, Benin, Cameroon, Chad, Democratic Republic of Congo, Congo, Côte d’Ivoire, Egypt, Gabon, Ghana, Equatorial Guinea, South Africa, Libya, Mauritania, Niger and Sudan.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.