… Gas Production Rises 8.58% Year-On-Year
… As Gas Flare Hits Three-Year Low Of 7.16%
Nigeria has achieved a rare energy milestone as gas flaring fell to 7.16% in July 2025, even as daily gas production rose to 7.59 billion standard cubic feet per day (BSCFD). The simultaneous growth in output and decline in flaring underscores the Commission’s drive to boost production while advancing its 2030 zero-flare commitment.
Nigeria’s gas industry has sustained steady growth over the past three years, with daily average production hitting 7.59 BSCFD in July 2025. This marks an 8.58% increase compared to the 6.99 BSCFD recorded in the full year of 2024.
The 7.59 BSCFD daily average also represents a 9.84% increase from the 6.91 BSCFD posted in the full year of 2023, which shows a sustained rise in gas production.
Despite an increase in production, the Commission also reported a continued reduction in gas flaring, which fell to 7.16% in July 2025, down from 7.55% in 2024 and 7.38% in the corresponding period of 2023.
The reduction in gas flare was recorded despite the steady increase in gas production which reflects the Commission’s commitment to end routine gas flaring by 2030.
The Commission has embarked on gas reduction programmes like the Nigerian Gas Flare Commercialisation Programme (NGFCP).
Other initiatives include developing a Decarbonisation and Sustainability Blueprint, promoting Carbon Capture and Storage (CCS), and integrating sustainability into project planning through the Upstream Petroleum Decarbonisation Template (UPDT).
In terms of Domestic Gas Delivery Obligation (DGDO) performance, the sector delivered 72.5% in July 2025, up from 71.8 per cent in June. Data from the Commission further shows that DGDO performance stood at 72.2% in January, rose to 73.5% in February, dipped slightly to 70.8% in March, before climbing again to 73.7% and 73.0% in April and May, respectively.
On gas production by contract type, 63% of output during the review period came from Marginal Sole Risk (formerly Marginal Fields), while Production Sharing Contracts (PSCs) accounted for 24%. Joint Venture (JV) contracts contributed 10%, and Sole Risk (SR) operators delivered the remaining 3%.
Gas utilisation data shows that, year-to-date as of July 2025, 35.88% of production was channelled to export sales, 27.82% was supplied to the domestic market, while 29.13% was utilised for field and plant operations (own use). Companies deployed gas mainly for in-house purposes such as fuel, gas lifting, and reinjection for pressure maintenance.
Gas-to-Power supply hit its strongest level in three months, with average daily deliveries rising by 3.48% month-on-month, from 833.86 million standard cubic feet per day (MMSCF/D) in June to 862.86 MMSCF/D in July 2025, the highest in three months.
Over the first seven months of the year, Gas-to-Power supply stood at 780.23 MMSCF/D in January, increased to 849.37 MMSCF/D in February, and rose further to 886.83 MMSCF/D and 886.7 MMSCF/D in March and April, respectively.
The daily averages for May, June, and July were 837.64 MMSCF/D, 833.86 MMSCF/D, and 862.86 MMSCF/D, respectively.
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Source: nuprc.gov.ng/
