The Nigerian National Petroleum Company Limited (NNPC) has made a noteworthy advancement in the oil sector with the launch of the Utapate Crude Oil Blend. This new addition to Nigeria’s portfolio of crude oil is characterized by its exceptionally low sulphur content of 0.0655% and a reduced carbon footprint, achieved by eliminating flare gas, which aligns with the stringent specifications required by major European oil buyers.
This announcement was made public via the National Orientation Agency, Nigeria’s X handle on Friday, August 23rd, 2024, highlighting the country’s ongoing efforts to innovate and compete in the global oil market.
Key Developments:
- Successful Initial Sale: The first batch of 950,000 barrels of Utapate Crude Oil Blend was successfully sold to REPSOL, a prominent Spanish oil company, through a competitive tender process in July.
- Future Contracts Secured: NNPC has already secured future tenders for August and September with Gulf Transport and Trading Company, a UAE-based enterprise, indicating strong international interest in the new blend.
- Production Capacity and Potential: Currently, the Utapate Crude Oil Blend is produced offshore in Akwa Ibom State at a rate of 28,000 barrels per day. There are plans to increase this production capacity to 50,000 barrels per day, reflecting NNPC’s strategy to maximize output and revenue.
The development of the Utapate Crude Oil Blend is a strategic move by NNPC to tap into new markets and enhance Nigeria’s crude oil production capabilities. This initiative is expected to boost the country’s revenue, providing a fresh stream of income in the competitive global oil industry.
In addition to its environmental benefits, the Utapate Crude Oil Blend stands out in the market due to its compliance with European standards, which prioritize low-sulphur content and reduced emissions. This makes it particularly attractive to environmentally conscious buyers and fits well with global trends toward cleaner energy sources.
The launch of this new crude blend aligns with NNPC’s broader objectives of diversifying Nigeria’s oil portfolio and meeting international energy demands. It represents a significant step forward in the company’s efforts to innovate and adapt to the evolving global energy landscape.
For more details, check the official announcement by the National Orientation Agency on their X handle (@NOA_Nigeria) or visit their website for further updates on this development.
