Don't Miss

NPDC daily crude production now 138,000 barrels

By BusinessNews Staff on April 30, 2013

The Nigerian Petroleum Development Company Limited, a wholly owned subsidiary of the Nigerian National Petroleum Corporation, has increased its daily oil production to 138,000 barrels from 60,000bpd.

This was contained in a rejoinder signed by NPDC management in response to a story published in a national newspaper (not The PUNCH) on Friday alleging that the Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke, was involved in a N59tn oil deal.

“NPDC production has grown from 60,000bpd to 138,000bpd. Currently, NPDC is the major gas supplier to the domestic market in the western Niger Delta with over 450 mmscf/day, which will further increase to over 550 mmscf/d by the end of 2013,” the company said.

To expand its opportunities in the upstream oil and gas sector, NPDC said it had adopted funding mechanisms to secure production capacity of 250,000 barrels per day by 2015.

“This strategy is essential if the national oil company is to be a major player in the upstream sector in Nigeria and provide national energy security for the nation. A strong NOC is sine qua non for national security as practised by all other oil producing countries,” it said.

The support of the Federal Government in ensuring NPDC’s expanded operations by seeking additional asset base and funding outside the normal government funded Joint Venture cash call is, therefore, an imperative, according to the company.

“It is interesting that the laudable actions of the Minister of Petroleum Resources, who has consistently fought to support and grow the National Oil Company, NPDC, against competing interests is being parodied and vilified by certain groups,” it said.

Five oil communities in Delta State led by Chief Emami Ayiri were said to have made allegations against Alison-Madueke.

Specifically, the minister was alleged to have deliberately excluded indigenous rights to pre-emption and/or first refusal on four oil blocks: OMLs 26, 30, 34 and 42.

She was also alleged to have illegally assigned 55 per cent of the Federal Government’s interest to Atlantic Energy Drilling Concepts without any recourse to due process in the transactions.

The minister was also alleged to have had pecuniary interest in Atlantic Energy Drilling Concepts, hence her approval of the deal that would make Nigeria lose four trillion cubic feet of gas asset worth $15.72tn.

Meanwhile, the minister has said gas supply to the country’s domestic market has been growing at 20 per cent per annul and is currently at a peak of 1.5 million cubic feet of gas per day.

A statement from the NNPC quoted her as describing the development as a major boost to the Federal Government’s power reforms.

Alison-Madueke, who spoke at the opening of the Nigerian Economic Summit Group Roundtable discussion recently held in Abuja, said, “It will interest you to know that gas supply has grown at a most unprecedented rate of about 20 per cent per annum, effectively reaching a new peak of about 1500mmcf/d from less than 500mmcf/d a few years ago.”

Alison-Maduke was represented by the Group Executive Director, Gas and Power, NNPC, Dr. David Ige.

She said over the last three years, the gas sector had experienced aggressive reforms culminating in the major gas addition to the domestic market.

According to the minister, the current demand by the National Integrated Power Project is put at about 260mmcf/d in the western area and it is expected to grow to about 340mmcf/d by the year end.

[Punch]

headline