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By David Akinmola

Nigeria’s natural gas output dropped to 7.352 billion standard cubic feet per day (bscf/d) in May 2025, according to the latest industry data released by the Nigerian National Petroleum Company Limited (NNPCL), raising fresh concerns over the country’s energy supply outlook and revenue performance.

The figure represents a decline from previous months, signaling ongoing challenges in the gas value chain, including pipeline vandalism, underinvestment, and infrastructure bottlenecks.

According to NNPCL, a total of 220.0 billion standard cubic feet (bscf) of gas was produced across Nigeria’s oil and gas fields during the month under review. Of this volume, approximately 65% was utilized for gas re-injection, power generation, and industrial usage, while the remainder was flared or lost due to technical inefficiencies.

Energy experts say the drop in output could impact Nigeria’s domestic power generation capacity and its commitment to gas-export obligations, particularly under the Nigeria LNG and West African Gas Pipeline projects.

“This trend is concerning, especially given Nigeria’s aspiration to transition to a gas-led economy,” said energy economist, Dr. Temitope Ajayi. “The government must intensify efforts to attract investment into upstream gas development and fix persistent issues in midstream infrastructure.”

The report comes amid broader reforms in the energy sector, as the Federal Government pushes for increased utilization of gas as a cleaner, alternative energy source and a strategic revenue driver under the “Decade of Gas” initiative.

NNPCL reaffirmed its commitment to reversing the trend, citing ongoing collaborations with operators to boost production efficiency, reduce flaring, and improve infrastructure across key gas corridors.

With global demand for cleaner fuels rising, stakeholders stress that Nigeria must act swiftly to unlock the full potential of its abundant gas reserves, or risk losing competitiveness in the international energy market.

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