In a recent interview in Abuja, Senator Heineken Lokpobiri, Nigeria’s Minister of State for Petroleum Resources, shared his vision for the complete deregulation of the oil sector, stating that it could serve as a catalyst for significant industrial growth within the country. He stressed the government’s commitment to resolving issues faced by both foreign and local investors and outlined the ambitious goal of increasing oil production to approximately 2.7 million barrels per day, paired with an expected $50 billion in investments by the end of the year.

“The policy changes implemented by President Bola Ahmed Tinubu over the past year have transformed our oil sector, making it far more attractive to investors,” Lokpobiri noted. He emphasized that the oil industry is crucial in addressing Nigeria’s socio-economic issues and affirmed the government’s determination to utilize oil resources to drive national industrialization.

“The reforms currently underway are successfully bringing investors back into the sector; we have listened to their concerns and are restoring their confidence,” he explained. “As investment flows in, we will see an uptick in oil production. There are many oil wells that were drilled but remain inactive—unlocking these wells is part of my mission to boost our output.”

Lokpobiri acknowledged the importance of maintaining peace in the Niger Delta, commending local communities for their role in fostering stability, which he believes is essential for increasing oil production. He also highlighted the considerable strides made in combating oil theft in the region, attributing progress to a collaborative effort involving the Nigerian Armed Forces, his ministry, the Nigerian Police Force, the Nigerian National Petroleum Company (NNPC) Limited, and other security agencies.

“President Tinubu’s directive to intensify the fight against oil theft is generating positive outcomes,” Lokpobiri added. He reaffirmed the government’s dependence on crude oil and encouraged the media to play a proactive role in developing the sector, stating, “The President genuinely cares about the interests of Nigerians; we can trust him to bring about meaningful changes.”

When discussing full deregulation, Lokpobiri expressed his belief that it would ultimately be advantageous for the country. He remarked, “The current situation is not sustainable. Even if the government wanted to maintain it, we simply lack the financial capacity. NNPC cannot import fuel and sell it at subsidized prices.”

He called for a redirection of government funds toward essential areas such as infrastructure, education, healthcare, and job creation instead of subsidies. He concluded by stating that deregulation would open the door for greater private sector participation in the oil industry, allowing market mechanisms to establish pricing equilibrium as products become more widely available.