PETAN Warns Nigeria Needs $6 Billion to Boost Oil Output

The Petroleum Technology Association of Nigeria (PETAN) has warned that Nigeria may not achieve its target of producing three million barrels of oil per day by 2030 unless it addresses a $6 billion equipment gap, financing constraints, and a shortage of experienced personnel. Wole Ogunsanya, PETAN Chairman, stated that the country lacks sufficient drilling equipment, production infrastructure, and pipelines to support increased output.

Currently, Nigeria produces about 1.7 million barrels of oil daily. Ogunsanya noted that Nigeria's refining ambitions could significantly increase domestic crude demand, with potential refining capacity reaching about three million barrels per day if planned projects and rehabilitations are completed.

The Dangote Petroleum Refinery has a capacity of 650,000 barrels per day, while the Nigerian National Petroleum Company Limited's refineries have a combined capacity of about 450,000 barrels per day. BUA Group also has a proposed refinery with a capacity of 350,000 barrels per day.

Ogunsanya emphasized the need for increased crude production and investment in infrastructure to meet these demands.