Nigeria needs $6.5bn equipment financing to hit 3mbpd by 2030

From Adewale Sanyaolu, Houston, Texas

Nigeria will require about $6.5 billion in cumulative equipment financing to achieve its target of three million barrels per day by 2030, Chairman of the Petroleum Technology Association of Nigeria (PETAN), Mr Wole Ogunsanya, has said.

Speaking at a forum with Original Equipment Manufacturers (OEMs) on the sidelines of the Offshore Technology Conference (OTC) in Houston, Texas, the PETAN chairman said the projection is based on an estimated annual spend of $1.3 billion on oilfield equipment over the next five years.

He said Nigeria must ramp up investment in rigs, production tools and related technology to close the gap between current output and the government’s production target.

“If you do the math, we need to commit about $1.3 billion every year on equipment between now and 2030,” he said. “That translates to roughly $6.5 billion in total spend if we are serious about reaching three million barrels per day.”

The PETAN chairman said indigenous service companies have significantly expanded their capacity, with many now owning land and swamp rigs while delivering services across the upstream, midstream and downstream value chain.

According to him, Nigerian firms are already operating at global standards and competing with international counterparts in markets outside the country.

He stressed that achieving the 2030 production target would depend not just on asset ownership, but on sustained access to modern technology through stronger collaboration with OEMs.