Nigeria oil reserve drops to 35 bn barrels

The Department of Petroleum Resources (DPR) said on Tuesday that Nigeria
oil reserves had dropped from 40 billion to 35 billion barrels.

A Director in the department, Mr George Osahon, made this known in an
interview with newsmen at the ongoing Oil and Gas Seminar in Abuja.

Osahon attributed the development to reduction in oil production in the
country.
He said that some oil wells in the Niger Delta had stopped production
because they had attained “maturity.”

He also said that vandalism and other unwholesome acts in the oil
distribution process in the region accounted for the drop in production of
crude oil.

Osahon said that the situation called for worry, adding that there was
urgent need to boost oil exploration in order to shore up the dwindling
reserves.

“Oil reserves are dropping and our output is dropping too. What we are
supposed to do to correct this is to continue to explore and explore and
explore for more oil.

“We started with ‘2D seismic’; now we are at the ‘3D seismic’. Already,
1,300 exploration wells have been drilled so far.

“We need to do more in this regard so as to have more reserves. We have
reached the plateau of production in the Niger Delta and we are already
going down”, he said.

The director said a lot of money had been spent in the effort to increase
reserves from the old fields.

On exploration at the Chad basin, he said that oil had not been found
there but stressed “that we have not found anything at the Chad basin as
at today does not mean that oil is not in the basin.

“We are optimistic about this. We have come up with strategies to boost
our reserves and in due course, we would make this known.’’

He said that other things to do to shore up the nation’s reserves were
seismic data coverage and drilling of exploration wells, enhanced recovery
methods, utilisation of non-saddled reservoirs and bitumen exploration.