Oil Production Optimization Critucal To Economic Recovery – DPR

The Department of Petroleum Resources (DPR) has said that optimising Nigeria’s oil production processes remains a critical factor in the nation’s economic recovery drive and getting the full benefits of the country’s resources.

A statement in Abuja by the General Manager, Public Affairs of the organisation, Mr. Paul Osu, quoted the Director and Chief Executive Officer of the organisation, Mr. Sarki Auwalu, as having made the comment during a meeting with technical teams from the oil and gas industry in Nigeria.

Aside production optimisation, Auwalu identified five other important pillars to its strategy for Maximum Economic Recovery (MER) for the industry, stressing that the objective of the strategy was to maximise the expected net value of economically recoverable petroleum from Nigeria’s acreages.

He listed items in the strategy to include reserves maturation and production optimisation, exploration and resources maturation, as well as Improved Oil Recovery and Enhanced Oil Recovery (IOR/EOR) implementation in the industry.

According to him, the list also includes asset stewardship, performance evaluation and rewards, as well as risk management which would help protect investments, business continuity and sustainability, improved collaboration and cost reduction in the oil and gas sector.

Auwalu reiterated that the federal government, through the MER strategies, was targeting to increase the nation’s oil reserves from 36.91 billion barrels to 50 billion barrels in the short to midterm, as well as targeting increasing Nigeria’s proven gas reserves from 206.53TCF to 250TCF.

He stated that as part of the MER strategy, the DPR had initiated an annual awards for companies, projects or individuals who have added value to the Nigerian terrain through improved and enhanced recovery of the country’s oil and gas resources.

“As part of the government’s obligation, it will encourage investment in Nigeria by creating a stable, competitive and predictable business environment. The government will encourage existing technologies to be deployed to full effect to maximise full economic recovery of Nigerian resources.

“The government will also promote active exploration for new oil and gas resources in Nigeria and facilitate timely and effective data sharing,” he stressed.

The director said that with the implementation of the plans, it would ensure greater access to timely and transparent data which is necessary for a competitive market.

He added that the DPR would work closely with industry stakeholders to deliver all the strategies through collaborations, communication, cooperation and coordination.

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