Elumelu advocates higher oil production to drive economic growth

The Chairman, Heirs Holdings, Mr Tony Elumelu has called for increased oil production to finance Nigeria’s economic diversification, industrialisation, and infrastructure development.

Speaking at the Nigeria Petroleum Industry Leadership Discourse, he stressed that oil revenues remain critical to the country’s energy security and economic stability.

Despite global shifts towards energy transition, Elumelu—who also chairman of United Bank for Africa (UBA) and Transcorp Group—argued that Africa’s priority should be energy security.

He expressed the need for massive investment in oil and gas to power industries, support businesses, and improve electricity access.

“We need oil money to diversify Nigeria away from oil. We need to have the revenue to develop our country,” he stated.

The Nigerian oil sector has rebounded under President Bola Tinubu’s administration, with crude production recovering to 1.8 million barrels per day (bpd) from below 1 million bpd during the previous administration.

He , however, insisted that Nigeria must aim for over two million bpd—and ultimately 2.5–2.7 million bpd—to fully realise its economic potential.

“We are happy that under the current administration, we produce 1.8 million barrels per day. But we are not satisfied with that figure.

“We need to push for over two million barrels per day.”

Elumelu linked higher oil production to increased foreign exchange earnings, a stronger naira, and improved national security.

He highlighted that boosting crude output would provide the financial resources needed for industrialisation and infrastructure development, particularly in power generation and manufacturing.

He also noted that Transcorp Power, which has Nigeria’s largest 2,000-megawatt generation capacity, is hampered by gas shortages.

By increasing gas production alongside crude oil, industries would have the fuel supply required to operate at full capacity, strengthening Nigeria’s energy sector.