The Nigerian National Petroleum Corporation Limited (NNPCL) has commenced international sales of its latest crude oil grade, the Utapate crude oil blend, marking a significant milestone for Nigeria’s energy sector. This development, six months after exploration began, is expected to bolster crude oil production, revenue generation, and economic growth.
Olufemi Soneye, NNPCL’s Chief Corporate Communications Officer, disclosed in a statement on Wednesday that the product was introduced to European crude oil marketers at the Argus European Crude Conference in London, England.
The Utapate crude oil blend, produced from the Utapate field in Oil Mining Lease 13 (OML 13) located in Akwa Ibom State, features a low sulphur content of 0.0655% and reduced carbon emissions due to flare gas elimination, meeting the environmental and quality specifications favored by European refiners.
In July 2024, NNPCL, in collaboration with Sterling Oil Exploration and Energy Production Company Limited, lifted the first cargo of 950,000 barrels, which was shipped to Spain. Since production began in May 2024, output has ramped up to 40,000 barrels per day, with exports primarily to Spain and the U.S. East Coast. Two additional shipments are secured for November and December 2024, according to Nicholas Foucart, Managing Director of NNPC Exploration & Production Limited.
“This marks a significant boost to Nigeria’s crude oil exports. We are rapidly scaling production and plan to reach 50,000 barrels per day by January 2025 and 80,000 barrels per day by the end of 2025,” Foucart said. He also highlighted the vast reserves within OML 13, including 330 million barrels of crude oil, 45 million barrels of condensate, and 3.5 trillion cubic feet of gas.
NNPCL emphasized that the Utapate crude oil terminal adheres to strict environmental regulations, offering a sustainable and cost-effective solution.
Lawal Sade, Managing Director of NNPC Trading Limited, noted that the Utapate pricing aligns with that of the highly sought-after Amenam crude. “It is a light, sweet crude with an efficient yield of high-value products, making it competitive in global markets,” Sade explained.
The launch of the Utapate crude oil blend comes less than a year after NNPCL introduced the Nembe crude oil, signaling Nigeria’s growing presence in the global energy market.
