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FG reiterates commitment on oil, gas reserves increment

By News Desk

The Department of Petroleum Resources (DPR) has disclosed that the Federal Government’s plans to increase the nation’s oil and gas reserves, are on course and being boosted by strategic policies and programmes.

The oil company said that the national aspiration of Nigeria was to increase its reserves from 36.91 billion barrels to 50 billion barrels, in the short to midterm.

The DPR Head, Public Affairs, Paul Osu, said that the government was also targeting increasing Nigeria’s proven gas reserves from 206.53TCF to 250TCF.

Through a statement released to journalists on Tuesday, Osu said that the strategic focus for Upstream includes bid rounds, reserve growth, increased production and reduction of production cost per barrel.

The DPR spokesperson said that the majority of the companies that won the bid for the nation’s 57 marginal oilfields, had  paid their signature bonuses to the Federal Government.

He noted that about 600,000 barrels of crude oil per day,  would be added to Nigeria’s production volume within the next few years,  when the fields  begin production.

Osu said that the government was also looking at increasing frontier exploration activities,  which had been given a boost by the recent signing of the Petroleum Industry Act, by President Muhammadu Buhari.

In terms of increasing production, he said that the DPR had initiated the Maximum Economic Recovery ( MER) strategy for the oil and gas industry and would be rewarding deserving individuals and companies.

Osu said that plans to reduce cost of production to $10pb was still being implemented and was achievable, in order to attract more investors to the sector.

He said that the DPR would continue to create opportunities for investors and stakeholders in the oil and gas industry, as well as enable the successes  of businesses,  using its service instruments of licences, permits and approvals.

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