The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has disclosed that Nigeria’s crude oil reserves are 31.56 billion barrels, while condensate reserves are 5.94 billion barrels, totaling 37.50 billion barrels.
The Commission also released a template to guide the activities for Domestic Crude Oil Supply Obligation (DCSO) in the nation. NUPRC Chief Executive, Gbemga Komolafe, disclosed these during a media briefing in Abuja on Monday. Komolafe said that Associated Gas stood at 102.59 Trillion Cubic Feet (TCF) while Non-Associated Gas reserves stood at 106.67 TCF resulting in total Gas reserves of 209.26 TCF. He noted that a positive gross addition to oil and gas reserves of 1.087 Billion Barrels and 2.573 Trillion Cubic Feet respectively was recorded.
The NUPRC boss declared Total Gas reserves of 209.26 Trillion Cubic Feet as the official National Petroleum Reserves Position as of 1st January 2024. Explaining the reason for creating the template, he said that it was created in accordance with the Petroleum Industry Act (PIA), 2021, to facilitate a smooth execution of the DCSO and maintain a steady flow of crude oil to local refineries. Komolafe stated that with the new development, the second half of 2024 is poised to witness increased synergy between local refineries and producing companies, setting the stage for a more robust and self-reliant petroleum landscape in Nigeria.
According to him, the guidelines will address areas such as procedure for implementation of DCSO, procedure for domestic crude oil requirement allocation, payment currency, and payment methods. It will also cover logistics scheduling, crude oil diversion and sanctions, amongst others. He said: “The Commission in conjunction with relevant stakeholders from NNPC Upstream Investment Management Services (NUIMS), representatives of Crude Oil/Condensate Producers, Crude Oil Refinery-Owners Association of Nigeria (CORAN) and Dangote Petroleum Refinery came up with the template for the buy-in of all, in a bid to foster a seamless implementation of the DCSO and ensure consistent supply of crude oil to domestic refineries.
“This strategic initiative aligns with the policy of the current administration and the declaration of President Bola Ahmed Tinubu that Nigeria is ready for business. Mr. President as part of his fiscal policy vacated barriers to investment in the oil and gas sector. Furthermore, this aligns with Nigeria’s commitment to bolstering domestic refining capacity and ensuring the sustainability of its oil industry.
“The template provides a transparent framework aimed at fostering collaboration among stakeholders for a thriving energy sector. “It is therefore my pleasure to unveil the template for Domestic Crude Oil Supply Obligation (DCSO) compliance. With this development, the second half of 2024 is poised to witness increased synergy between local refineries and producing companies, setting the stage for a more robust and self-reliant petroleum landscape in Nigeria.”
Source: sunnewsonline.com