The Nigerian National Petroleum Corporation (NNPC) has said that it has prioritised security over oil assets located in Nigeria’s onshore and shallow waters, to ensure stability in the country’s oil production.
It said the federal government gets more returns from oil production from the onshore and shallow waters than it did from deep offshore assets, hence, its decision to secure them.
According to the report, Nigeria’s oil production within the period under review declined to 1.6 million barrels per day (mbpd), some 12.04 per cent from its February 2017 production levels.
It explained that despite the government’s continuous engagements with militants in oil rich Niger Delta region, some of the issues that still dragged down production during the period were incessant deferred production due to leakages in the Trans Niger Pipeline (TNP) and Nembe Creek Trunk Line (NCTL).
“In March 2017, crude oil production in Nigeria decreased to 1.60mb/d which represents 12.04 per cent decrease relative to February 2017 production and also lagged behind March, 2016 performance by 18.32 per cent.
“Areas much affected by the insecurity are the onshore and shallow water assets, where government take is higher. Hence, sustained security of onshore and shallow water locations remains a priority to restore production to peak levels,” said the NNPC in the report.