…Crude losses drop to 9,600 barrels daily
By Charles Ebi
Federal government has promised to protect all players in the downstream petroleum sector in order to sustain stability, affordability, and availability of petroleum products nationwide.
Those covered by this protection, according to the Minister of State for Petroleum Resources ,Oil, Heineken Lokpobiri, include from producers to distributors and consumers.
Speaking when he received a delegation of key industry stakeholders, he commended them for their resilience and commitment to sustaining supply, especially in a deregulated environment where, according to him, partnership and collaboration remain vital.
“We recognize the contributions of all stakeholders in the oil industry, and in the interest of the nation, and with the ultimate goal of finding the best solutions for our industry, the government will protect everyone: producers, distributors, and consumers alike, to ensure that our industry continues to thrive for the benefit of all”, Mr Lokpobiri said.
“These efforts are particularly commendable in a deregulated environment, where resilience and partnership are essential”, the Minister stated in a message posted on his official X handle.
Mr Lokpobiri further stressed the government’s resolve to deepen engagement with all stakeholders to secure the future of the downstream sector while fostering a level playing field.
“We remain determined to strengthen collaboration with stakeholders to secure the future of Nigeria’s downstream sector, just as we are committed to fair competition. It is through open and competitive markets that we can achieve availability, affordability, and stability of petroleum products nationwide, for the ultimate benefit of all Nigerians”, he added.
The Minister’s remarks come amid heightened concerns over the challenges of deregulation, alleged monopoly by private refineries and the need for a more competitive market to ensure sustainability in Nigeria’s energy supply chain.
Those received by him were the Major Energy Marketers Association of Nigeria ,MEMAN; Depot and Petroleum Products Marketers Association of Nigeria ,DAPPMAN; National Association of Road Transport Owners ,NARTO; Petroleum Products Retail Outlets Owners Association of Nigeria ,PETROAN; Natural Oil and Gas Suppliers Association of Nigeria ,NOGASA; and the Nigeria Union of Petroleum and Natural Gas Workers ,NUPENG.
Meanwhile, Nigeria’s upstream oil sector is witnessing a dramatic turnaround, with crude oil losses from theft and metering issues dropping to their lowest levels in nearly 16 years.
In July 2025, daily losses stood at 9,600 barrels per day (bpd), the lowest figure since 2009 when losses dropped to all-time low of 8,500 bpd.
This is based on trends of crude oil losses year-to-date July 2025, released by the Nigerian Upstream Petroleum Regulatory Commission.
In a statement signed by the Head, Media and Strategic Communications of NUPRC, Eniola Akinkuotu, the commission stated that this progress marks a major leap forward in the Commission’s relentless drive to eliminate all forms of crude losses across Nigeria’s oilfields and pipelines.
Between January and July 2025, crude oil losses were contained at 2.04 million barrels, averaging 9,600 barrels per day over the seven-month period. This marks a clear departure from the high-loss years that have long plagued the industry.
By comparison, the entire 2024 calendar year recorded 4.1 million barrels lost at a daily average of 11,300 barrels. Remarkably, in just the first seven months of 2025, losses were cut by 50.2%, with only 2.04 million barrels lost over the period.
The figures for the period ending July 2025 also represent a dramatic 94.57% drop in crude oil losses compared to the full year of 2021, when Nigeria lost a staggering 37.6 million barrels at a daily average of 102,900 barrels.
So far in 2025, only 2.04 million barrels have been lost, which is a reduction of 35.56 million barrels compared to the 37.6 million barrels lost in 2021, underscoring the scale of progress made in just four years.
Crude oil losses in 2021 were the highest recorded in nearly 23 years, making it the peak year between 2002 and July 2025.
Since the implementation of the Petroleum Industry Act in 2021, Nigeria has recorded steady progress in reducing crude oil losses. In 2021, losses stood at 37.6 million barrels, averaging 102,900 barrels per day. By 2022, this dropped to 20.9 million barrels at a daily average of 57,200 barrels.
The downward trend continued in 2023, with losses reduced to 4.3 million barrels at 11,900 barrels per day. Even more progress was made in 2024, as losses were further contained to 4.1 million barrels, averaging 11,300 barrels per day.
The Commission has adopted a balanced mix of kinetic and non-kinetic strategies in tackling oil losses. On the kinetic front, the Commission has continued to collaborate closely with security agencies, operators and communities.
On the non-kinetic front, NUPRC has implemented strategic regulatory measures to close systemic loopholes. One key initiative is the metering audit across upstream facilities to ensure accurate measurement of production and exports.
To further strengthen control, the NUPRC under the leadership of Engineer Gbenga Komolafe approved 37 new crude oil evacuation routes to combat oil theft.