Nigeria set to meet crude production target as first shipment moves from Otakikpo terminal
- History has been made as export operations have finally commenced at Nigeria's first indigenous onshore terminal
- This holds great significance for Nigeria's energy goals, as the terminal will now serve the nearby oil fields
- Meanwhile, the Dangote Petrochemical Refinery has increased its import volumes from the United States of America
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Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.
Green Energy International Limited (GEIL) has finally commenced export of crude oil from its onshore terminal at Otakikpo in Rivers State.
The first shipment moved at about 2 pm yesterday, Sunday, June 8, 2025, from the terminal when an off-taker vessel chartered by Shell lifted the maiden crude cargo from the terminal.
The Otakikpo onshore terminal is an expandable $1.3 billion facility, and the commencement of shipment from the terminal could mark a resumption of operations at over 40 stranded oil fields.
Source: Getty Images
The company said the export was completed on Sunday, June 8, located in the Otakikpo marginal field, Rivers State.
History made at Nigeria's first indigenous terminal
It is also Nigeria’s first indigenous onshore crude export terminal in over 50 years of crude oil production, and its first crude oil shipment is significant to the future of oil and gas exports in the country.
The company said, in its statement, that the terminal has been completed and is now ready to commence operations.
Chairman of GEIL, Prof. Anthony Adegbulugbe, stated that the terminal had an initial investment of $400 million and a total projected cost of $1.3 billion.
He noted that it was completed within two years, ahead of schedule, and had an initial storage capacity of 750,000 barrels, expandable to three million barrels.
Nigeria set to meet crude production targets
This is a welcome development coming at a time when Nigeria is struggling to meet its crude production target because of its weak and outdated infrastructure.
With production costs as high as $48 per barrel in some oil fields, Nigeria’s profit margins have stayed slim, but the new facility could change that.
According to the GUARDIAN, a visit to the facility showed it to be a viable alternative that could reduce extraction costs and help Nigeria meet crude oil production targets.
It will provide strategic evacuation options for about 40 nearby oil fields holding over 3 billion barrels of oil.
Source: Getty Images
Analysts say the terminal will support Nigeria's energy goals by attracting fresh investment into the sector, increasing production after the recent decline, and reducing reliance on the offshore terminals.
Dangote Refinery imports more crude from US
In related news, Dangote Petroleum Refinery has increased its processing levels and is sourcing crude oil from other countries to meet its needs.
Legit.ng reported that the difficulty in sourcing enough crude locally has led the refinery to explore crude from the USA.
New data shows that since 2025, Dangote Refinery has sourced about one-third of its crude from the USA.
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Source: Legit.ng
