Exxon Mobil Corp has announced plans to boost its oil production in Nigeria by an additional 40,000 barrels per day.
This renewed commitment to Nigeria’s energy sector was disclosed by Exxon’s President of Global Upstream Operations during discussions with Nigerian President Bola Tinubu in New York, on the sidelines of this week’s U.N. General Assembly.
The aim of this meeting was to attract global investments to Africa’s largest economy as stated by presidential spokesperson Ajuri Ngelale in a recent statement.
Nigeria’s state oil firm, NNPC Ltd., has been engaged in joint ventures and offshore production-sharing contracts with major oil companies, including Exxon, responsible for more than 80% of the nation’s oil production.
Exxon expressed its satisfaction with the progress it has made in Nigeria, with Liam Mallon, an executive at the company, saying, “We are growing our production, and we are working diligently to expand our deepwater production.”
While an Exxon spokesperson confirmed the discussions with the Nigerian president, they declined to provide specific details about the talks.
Nigeria has recently witnessed a notable increase in its oil and condensates production, surging from just under a million barrels per day to 1.67 million barrels per day. This upturn is attributed to enhanced security measures in the oil-rich Niger River delta region.
However, despite the passage of a historic oil bill two years ago aimed at reducing regulatory uncertainties and attracting investments, Africa’s largest oil producer continues to face challenges such as widespread theft and sabotage within its oil industry.
According to the official statement, President Tinubu has vowed to address these lingering issues and eliminate any hindrances that impede the inflow of new and substantial capital into Nigeria’s energy sector.
He said, “The complex issues necessitate direct oversight on my part. Despite numerous competing responsibilities, I am committed to personally overseeing the process of resolving these obstacles.”
He concluded by stating, “Nigeria has never been better prepared for business than it is today.”