Nigeria’s state-run Nigerian National Petroleum Corporation (NNPC) says that it has brought down the cost of producing a barrel of crude oil to $20 and that it is targeting a further reduction to $15 per barrel. The Group Managing Director of the NNPC, Dr. Maikanti Baru, said at the ongoing Technology and Innovation Expo 2018 in Abuja on Monday that the corporation achieved the feat due to the impact of science, technology and efficient work processes.
He explained that this achievement would enable more revenue generation for the Federal Government.
Baru, who was represented by the Chief Operating Officer (COO), Gas and Power, Engr. Saidu Mohammed, said that the NNPC had been innovative and efficient in its various operations to drive down the cost of production of crude oil and gas.
He noted that the NNPC is not only participating in the Science Fair, but is also in full support of the ideals behind the event, stressing that science and technology is the bedrock of the oil and gas industry.
According to him, the NNPC has succeeded in domesticating engineering, procurement, construction and most of the major activities of the oil and gas industry and that heading to London to prepare mere tender documents for engineering, procurement and construction belonged to the distant past.
“Today, we have fully domesticated the engineering, procurement and construction aspect of the oil and gas industry and we are working hand-in-hand with the Nigerian Content Development and Monitoring Board (NCDMB) to get Nigerians who are willing to invest and innovative to propel this country going forward to go into the ventures of fabrication where we spend the big chunk of the money in the industry. In other words, we have gone far to domesticate procurement,” a statement by the public affairs department of the NNPC quoted Baru as saying.
He explained that today, there were fabrications going on in the areas of valves, line pipes and that Nigeria has also gone into fabrication of vessels.
Baru assured that that the NNPC would continue to support all sorts of innovations in the upstream, midstream and downstream sectors of the oil industry.