Address decline in fresh investments in oil and gas sector, NAPE President urges FG
The President of the Nigerian Association of Petroleum Explorationists (NAPE), Abiodun Ogunjobi, has called on the Federal Government to ensure that the decline in fresh investments in the oil and gas sector was quickly addressed.
Ogunjobi made the call in his welcome address at an engagement session between the Nigerian National Petroleum Company Limited (NNPCL) and NAPE with the theme, ‘Navigating the Path Ahead.’
“We commend the president’s Executive Order aimed at attracting investment, optimising resources, and also diversifying the economy.
“NAPE has consistently been advocating for such policies in terms of challenges to foster the industries to spend more in training and exploration activities.
“When we discussed the decline in investment in the oil and gas industry from 2014 on an average of $22bn, we saw a decline of up to $6bn in the industry. This has resulted in a low level of production that we have seen in recent times.
“So, to restore us to the post-two billion barrel production we have been doing for quite a while will require a deliberate investment in the exploration and production activities.
“Despite our projections over the years of 40 billion barrel reserves and 600 tcf of gas, we have consistently remained at the threshold of 37 billion barrels of oil and 209 tcm of gas.
“However, the good news is that our basin from the shallow water to the offshore, to the land and also the recent land basin, we have the basin that can deliver this volume for us.
“However, in tackling these challenges, we must be intentional in our activities through strong collaborations between the NNPCL and integrated operators.
“For efficient gas production and utilisation, we will need to upgrade all our existing and add more infrastructure to our gas development system.”
He also said there is a need to leverage technology and foster a skilled workforce that can be crucial for the industry to deliver these objectives.
“The time to increase your oil and gas production is now and it requires an intentional workforce such that we can use the resources that we have and navigate our way through the transition phase to the new mega-change dynamics,” he concluded.
He said for about five decades, NAPE as an association has always been creating a platform to discuss and advocate for policies that shape the way stakeholders operate in the oil and gas industry in Nigeria.
He said, “Our GCEO Mele Kyari, a disciplined fellow of NAPE and geologist has contributed tremendously to the transformation efforts of NNPCL making his presence here a valuable opportunity for us to share his ideas and opinions on how we can navigate the pathway forward in the transformation of the oil and gas industry in Nigeria.
“As we gather here today, we must address pressing issues in the oil and gas industry that demand urgent intervention.
“Over the years we have been bringing stakeholders, and practitioners to a table to discuss some of the challenges that are confronting the industry and on numerous occasions, we have issued communique on policies and opinions on how those challenges could be navigated.”
