Oil output increased by 2% in first half of 2026 – Report

Nigeria’s oil production increased by two percent in the first six months of 2026, analysis of average daily oil production has shown. Data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) showed that Nigeria made a cumulative 8,734,700 barrels of oil in the first half of the year. It was arrived at by summing the […]

Nigeria’s oil production increased by two percent in the first six months of 2026, analysis of average daily oil production has shown.

Data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) showed that Nigeria made a cumulative 8,734,700 barrels of oil in the first half of the year.

It was arrived at by summing the total monthly average daily production figure.

The data showed that the 2026 first half’s figure increased by two percent when compared to the second half of 2025, which is 8,590,746 (million).

But when compared to the first of 2025, it recorded a one percent drop from the 8,848,601 (million) recorded during the period.

A breakdown on the monthly daily production showed that 1,459,240 (million) daily production was made in January 2026. But it dropped to 1,313,690 (million) in February and a slight increase of 1,382,840 (million) was recorded in March.

It further went up to 1,488,580 (million) in April and 1,530,350 (million) in May and 1,560,000 (million) in June.

In total 263,786,050 million) barrels of crude oil were produced in the first six months of the year.

While the data showed a slight increase in Nigeria’s daily oil production as it beats the quota set by the Oil Producing Exporting Countries (OPEC), it showed that the country still has a long way to go in achieving the 2million daily production the government has set its eyes on.

It would be recalled that the Minister of State for Petroleum Resources (oil), Heineken Lokpobiri, had in 2023 promised that daily oil production would increase to two million barrels by the end of 2026.

He had stated that the reason the country is underperforming is because of insecurity which it is gradually tackling.

“My sole agenda is to increase production. Once we increase production we will get more revenue for the country. You know Nigeria is still more dependent on oil. Though the non-oil sector is also supporting the economy, a substantial part of our forex comes from oil.

“So, my ambition is to see how I can lead the sector to increase production so that we can get more revenue to deal with the fund and strategic rationale projects in the country,” he stated.

Though the country had recorded significant growth from the 1.3million barrels it was producing in 2023, analysts say the country still has a long way to go in meeting the 2m target.

The Group Chief Executive Officer of Nigerian National Petroleum Company Limited (NNPC), Engr. Bashir Bayo Ojulari, credited the establishment of the integrated energy security for pipelines in the Niger Delta for the rise in oil production.

Ojulari said the resurgence of production due to the effective tackling of the twin menace of oil theft and pervasive pipeline sabotage has led to the restoration of investors’ confidence in the nation’s oil and gas sector.

 

What the current rise signifies – Expert

Stakeholders in Nigeria’s economy expressed optimism that the two percent increase in crude oil production in the first half of 2026 will stabilize external reserves, ease pressure on the naira, and keep inflation in check.

The marginal gain in output, from improved security and higher terminal performance, comes after months of production shortfalls that limited the country’s ability to benefit from increased global oil prices.

Stakeholders told Daily Trust that the marginal barrels will result in stronger dollar inflows through NNPC and IOC exports in the country.

The Chief Executive Officer of Centre for Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, told this paper that the 2 percent production gain is a positive development for the country’s economy.

According to him, the marginal output will strengthen the country’s oil reserves, stabilise exchange rate and moderate inflationary trend.

He explained that external volatilities would also be contained once inflation is checked and exchange rates remain robust in the country.

He also hinted that the two-percent oil output gain would improve the country’s fiscal space amidst prospect for increased oil export.

He added that the government would rake in more revenue as economic buffers will be possible through robust macro-economic policies which will check deficits and undue borrowings.

The two-percent weight gain for the country’s output, Yusuf said, is an incentive for investors in the country’s upstream sector to reap in multiples.

An energy expert, Rasheed Adeleke, told Daily Trust that such weight gain coincides with the period the Federal Government needs more revenue and exchange rate stability to solidify the country’s economy.

He said more Nigerians will begin to feel the impact of the surgeries the government is doing on the economy through robust policies.

He reassured that with more revenue and controlled inflation, the economy will open up to some extent to create more opportunities for Nigerians.

Another expert, Tade Johnson, said though the two percent weight gain is not much, it will still improve the country’s Gross Domestic Product (GDP), boost investor confidence and pave the way for the country’s industrialisation.