The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has reported that the cost of producing crude oil in Nigeria has risen to approximately $40 per barrel, significantly higher than the $10 per barrel cost in Saudi Arabia.
According to the NUPRC, high production costs, coupled with fluctuating global oil prices, are affecting Nigeria’s competitiveness and investment appeal.
The regulator identified outdated infrastructure, oil theft, and pipeline vandalism as major factors driving up costs.
In response, the commission has set a target to reduce production costs to $20 per barrel through a 10-year roadmap and a Regulatory Action Plan launched in 2024.
With crude oil contributing around 90% of Nigeria’s export revenue, the NUPRC emphasized that lowering production costs is critical to sustaining investments, improving profit margins, and enhancing economic stability.
 has reported that the cost of producing crude oil in Nigeria){kind=link}