Nigeria has significantly escalated its efforts to tackle oil theft in the Niger Delta region as part of a broader strategy to increase its national oil production to 3 million barrels per day (bpd) by 2025. As Africa’s largest oil producer, Nigeria heavily relies on oil for approximately two-thirds of its state revenue and over 90% of its foreign currency earnings. However, large-scale oil theft has become a persistent issue, draining state finances and impeding economic growth.
According to government estimates, Nigeria’s oil output for 2025 is projected at 2.06 million bpd, a figure that falls short of the country’s full potential. Official figures, however, reveal that actual production hovers around 1.8 million bpd, indicating a significant gap between the government’s target and the country’s current capabilities. To address this, the government launched Operation Delta Sanity (OPDS) last year, a comprehensive initiative involving the Ministry of Petroleum Resources and the Nigerian Navy. The operation’s mission is to clamp down on rampant oil theft and restore the country’s oil output to its maximum potential.
In the latest phase of OPDS, new technological and military assets have been deployed to bolster enforcement efforts. These include armed drones, attack helicopters, and a stronger intelligence network aimed at identifying and dismantling illegal oil operations in the region. Speaking at the latest launch of the operation in Port Harcourt, Rivers State, Chief of Naval Staff, Emmanuel Ogalla, noted the significant progress made since the initiative was first launched. Production has increased from 1.4 million bpd to 1.8 million bpd, and Ogalla expressed optimism that with the enhanced resources and strategy, production could surpass the government’s 2.06 million bpd target, and even reach the ambitious 3 million bpd goal by 2025.
“If you look at the progress since we started last year, we’ve already increased output significantly. With the additional assets and strategic enhancements in place, I am confident that we will not only meet but exceed our production target,” Ogalla stated.
Junior Oil Minister Heineken Lokpobiri, who assumed office in August 2023, highlighted the challenges the country faced upon his appointment. He revealed that at the time, Nigeria’s average oil output was just above 1 million bpd. “Our goal is to reach 3 million bpd by 2025, and we firmly believe that the second phase of OPDS, along with the contributions of our partners, will be instrumental in helping us reach this milestone,” Lokpobiri said.
To further support these efforts, the Rivers State Government has also pledged its commitment to combatting oil theft by donating six gunboats to the Nigerian Navy. The gunboats will enhance the Navy’s ability to patrol and secure the region’s waterways, which are crucial to the illicit oil operations that continue to thrive despite government intervention.
The move has been widely welcomed by industry stakeholders, who hope that these concerted efforts will not only curb oil theft but also restore stability to the oil-rich Niger Delta region. With Nigeria’s oil industry accounting for a significant portion of its economic activity, achieving the target of 3 million bpd could significantly boost the country’s financial standing and reinvigorate its oil sector.