In the creeks of the Niger Delta, sabotage remains a silent saboteur.
Of the 732 oil spills recorded across Nigeria in 2024, nearly 60% were the work of deliberate tampering, according to the latest report from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
The annual report, released under the Petroleum Industry Act, paints a mixed picture—rising reserves, modest gains in gas production, but crude output falling short of expectations.
Specifically, saboteurs caused 59.01% of all incidents—a figure that reflects a growing threat to the industry’s stability.
The commission released its annual report in line with the Petroleum Industry Act (PIA) 2021, which requires it to submit operational and financial data to the Minister of Petroleum Resources by March 31 each year.
Slight Growth In Reserves And Output
Meanwhile, Nigeria’s reserves experienced a slight boost.
As of January 1, 2024, the country held 37.50 billion barrels of crude oil and condensate, rising 1.45% from the previous year’s 36.10 billion barrels.
Similarly, gas reserves inched up by 0.21%, reaching 209.26 trillion cubic feet (TCF), compared to 208.83 TCF in 2023.
Throughout the year, operators produced 578.52 million barrels of crude oil and condensate.
On average, they pumped 1.58 million barrels per day (bpd), including 1.32 million bpd of oil and 261,430 bpd of condensate.
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However, producers met only 67% of the technical allowable rate (TAR), indicating underperformance despite available capacity.
Improved Gas Utilisation Rates
In the gas sector, production saw modest improvement.
Producers extracted 2.511 TCF in total, with a daily average of 6.86 billion cubic feet per day (BCF/D).
They supplied 3.92 BCF/D of associated gas (57.2%) and 2.94 BCF/D of non-associated gas (42.8%).
Impressively, the industry utilised 92.26% of this output.
It flared 0.193 TCF (7.64%) and reported 0.003 TCF (0.10%) as shrinkage.
Revenue Growth And Investor Outlook
On the financial front, NUPRC significantly outperformed its revenue targets.
The commission generated ₦12.25 trillion in total revenue—an increase of 76.74% over the projected ₦6.93 trillion.
Although it budgeted ₦286.94 billion for the year, it earned ₦281.34 billion and spent ₦191.12 billion, maintaining a strong fiscal balance.
In addition, NUPRC closed six regulatory cases, marking progress in sector oversight.
Looking ahead, the commission confirmed it will proceed with the 2024 licensing round, aiming to attract new investors into Nigeria’s untapped petroleum basins.
It anchored this decision in the reform principles of the PIA.
Ultimately, while Nigeria’s oil and gas sector showed signs of resilience, sabotage repeatedly disrupted its path to stability.
The report underscores the urgent need for stronger security measures and investor confidence as Nigeria works to transform its energy landscape.
