The Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Bayo Ojulari, has stressed the urgent need for Nigeria to convert its oil reserves into active production, warning that crude left in the ground generates no economic value until it is extracted.
more than 220 oil blocks across various onshore and offshore basins have remained idle for years. The Nigerian Upstream Petroleum Regulatory Commission has, however, indicated that these assets will be offered for licensing in upcoming bid rounds.
Speaking in Lagos on Thursday during the 50th anniversary of the Nigerian Association of Petroleum Explorationists, Ojulari represented by NNPC’s Executive Vice-President, Upstream, Udobong Ntia emphasised that the nation’s long-held reserves must be monetised without further delay.
“Our oil underground is of no consequence to anyone. It must be converted into revenue for the country to reap the benefits it needs. We’ve sat on these reserves for far too long. The time has come to strike the deals that will bring them to surface,” he said.
Ojulari acknowledged that inadequate financing remains a key hurdle for the oil industry but maintained that this challenge can be overcome by fostering a business climate that attracts capital. He noted that investors require certainty and clear profit prospects before committing funds.
Looking ahead, he stressed the need for sustainability in shaping Nigeria’s energy outlook while safeguarding the environment. “How do we address climate change while advancing fossil fuel development? It’s not an either-or situation we can do both. Developed nations built their economies using fossil fuels; we can do so as well, but responsibly and with the right values,” Ojulari stated.
He welcomed the return of global capital to the oil sector, pointing out that international banks invested $800 billion in the industry last year. Earlier, NAPE President Johnbosco Uche voiced similar concerns over Nigeria’s untapped hydrocarbon potential.
Uche highlighted that Nigeria possesses vast natural gas reserves, widely recognised as a transitional fuel. He estimated that the country’s sedimentary basins hold over 600 trillion cubic feet of undiscovered gas a resource with the potential to drive industrialisation, enhance energy security, and support cleaner economic growth.
“Gas exploration must be deliberate, and now is the time to adopt a more strategic and intelligent approach. There are unappraised and partially appraised oil growth opportunities that need to be assessed, developed, and brought into production in a sustainable way,” Uche said.
He urged the government to partner with industry players through favourable fiscal and regulatory measures that will enable efficient exploration and production. He also called for a return to fundamental exploration practices high quality seismic data, bold conceptual approaches, and collaborative innovation while leveraging digital transformation, machine learning, and artificial intelligence to unlock dormant value and meet Nigeria’s 2030 production targets.
On human resource development, Uche warned that the industry’s talent pool is ageing, noting that experienced professionals were once fresh graduates who received training and mentorship. He called for structured internships, sabbaticals, and mentorship schemes to groom young talent, describing human capital as the sector’s most valuable asset.
The NAPE President further proposed the creation of new Centres of Excellence for Petroleum Studies in both Northern and Southern Nigeria to serve as research, training, and innovation hubs for the industry.
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NNPC urges swift action to turn idle oil reserves into production
ShareThe Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Bayo Ojulari, has stressed the urgent need for Nigeria to convert its oil reserves into active production, warning that crude left in the ground generates no economic value until it is extracted. more than 220 oil blocks across various onshore and offshore basins…
