Ramps up oil output to 2.09 mbpd

By Michael Eboh

The Nigerian National Petroleum Corporation, NNPC, yesterday, disclosed that the country’s refineries have not undergone Turn Around Maintenance, TAM, for an aggregate of 42 years.

In a statement in Abuja, the Group Managing Director of the NNPC, Mr. Maikanti Baru, noted, however, that despite the challenge, major rehabilitation works were carried out in all the three refineries.

In a massage to staff, obtained by Vanguard, Baru, said that Warri Refinery and Petrochemical Company, WRPC, had its Distribution Control System (DCS) successfully upgraded; Port Harcourt Refining Company, PHRC, had major interventions in Fluid Catalytic Cracking Unit, FCCU, and Power Plant Unit, PPU, fixed, while Kaduna Refinery and Petrochemical Company, KRPC, was undergoing major repairs of its FCCU, Catalytic Reforming Unit, CRU, and Crude Distillation Unit 2, CDU2.

A picture taken on September 16, 2015 shows workers trying to tie a pipe of the first refinery in Nigeria, which was built in 1965 in oil rich Port Harcourt, Rivers State. The Port Harcourt refinery is Nigeria’s oldest, built in 1965, nine years after crude was first found under the marshy soil and creeks of the delta, where the Niger river meanders to the Gulf of Guinea. Refineries in nearby Warri and Kaduna in the north central region were built in the years that followed, while a new plant was added to the same site in Port Harcourt in 1989. In recent years, however, it became a byword for corruption, a murky, state-run body where billions of dollars in revenue apparently disappeared. AFP PHOTO

He noted that efforts were afoot to get the original builders of the refineries to carry out TAM on them after securing favourable private funding for the exercise. Of the industry milestones in 2018, Baru disclosed that the Egina project had achieved First Oil at    11.20pm on 29th December, 2018 while he noted that the Egina Floating Production Storage and Offloading, FPSO, vessels is currently adding 200,000 barrels of oil per day to the country’s crude oil output.

He further stated that Nigeria’s crude oil daily production recorded an upward swing of about 2.09 million barrels in 2018, translating to a nine per cent increment, compared with the 2017 average daily production of 1.86 million barrels.

https://www.vanguardngr.com/2019/01/oil-price-hovers-at-53-per-barrel-as-instability-persists/

Baru explained that the average production from NPDC’s operated assets alone grew from an average of 108,000 of oil per day (bod) in 2017 to 165,000bod in 2018, describing the feat as the strongest production growth within the oil Industry in recent times, even as he added that it was worth being celebrated.

The NNPC boss said NPDC’s equity production share which stands at 172,000bod, representing about eight per cent of national daily production, was no less impressive, saying the desired results are outcomes of initiatives his Management team emplaced, among which, he noted, are the Asset Management Tea (AMT) structure, Strategic Financing, Units Autonomy and security architecture framework.

In the Midstream, the NNPC GMD stated that in 2018, Nigeria achieved an average national daily gas production of 7.90bscf, translating to 3 per cent above the 2017 average daily gas production of 7.67bscf.

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