Beyond Petroleum - Whither Nigeria?

Abstract

Oil and Gas (Otherwise known as Petroleum) provide a vital contribution to the Global Energy mix. Economic development and progression are known to be symmetrically linked with increasing hydrocarbon consumption but there is increasing evidence of global demand with attendant impact on alleged global warming and carbon footprint. This has led to a clamour for reduction in hydrocarbon exploration and production operations. The question therefore is: Is there a future for Petroleum? In this paper the question is answered with an emphatic YES. The paper goes further to present appropriate facts and data to support the claim as well as forward-looking statements, particularly those regarding Global/African economic growth, population and productivity growth, energy consumption, energy mix, policy support for gas utilisation and renewable energies, sources of energy supply and growth of hydrocarbon supply. There is increasing gap between global demand and supply especially in developing economies of China, India and in particular Nigeria where increasing economic growth/development, inward consumption by growing modern population, manufacturing industries and energy consumption and current low hydrocarbon recovery factor are identified as the catalysts for the demand outstripping supply. There is evidence that there will be a gap of almost 5million barrels per day between demand and supply in Nigeria by the year 2030 which will inevitably turn Nigeria into an oil importing country if there is no urgent intervention. There is scope/opportunity for aggressive exploration into and production from Deepwater environment and existing mature assets using game changing fit-for-purpose technologies and skilled manpower development supported by forward looking strategic framework enabler policies by Government working with industry the details of which are presented in the paper.