Nigeria Cuts Gas Flaring to Record Low as Output Rises in July

by Oluwatosin Racheal Alabi

KEY POINTS


  • Nigeria cut gas flaring to 7.16% in July 2025, while output rose to 7.59 BSCFD.
  • Domestic Gas Delivery and Gas-to-Power supply both strengthened, showing improved local utilization.
  • NUPRC reaffirmed its 2030 zero-flare and 2031 methane reduction goals despite World Bank warnings of setbacks in 2024.

Nigeria’s oil and gas sector delivered a rare bright spot in July as gas flaring dropped to its lowest level in years, even while overall production surged, underscoring regulators’ push to align growth with climate goals.

According to fresh data released by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the country flared just 7.16% of its natural gas output in July 2025. Daily gas production climbed to 7.59 billion standard cubic feet (BSCFD), an 8.6% jump from the 6.99 BSCFD reported in 2024 and nearly 10% higher than volumes recorded in 2023.

“The simultaneous growth in output and decline in flaring underscores the Commission’s drive to boost production while advancing its 2030 zero-flare commitment,” NUPRC said in a statement.

Nigeria Pushes Toward 2030 Zero-Flare Target

The reduction in flaring comes despite a steady rise in production—highlighting the effectiveness of measures such as the Nigerian Gas Flare Commercialisation Programme (NGFCP), the Decarbonisation and Sustainability Blueprint, and the adoption of new technologies including carbon capture and storage (CCS).

NUPRC’s data showed that Domestic Gas Delivery Obligation (DGDO) performance hit 72.5% in July, slightly higher than June’s 71.8%, extending a generally upward trend in local gas supply. Gas-to-Power deliveries also reached their strongest level in three months at 862.86 million standard cubic feet per day, a 3.5% increase from June.

On contract structures, Marginal Sole Risk operators accounted for 63% of production, Production Sharing Contracts 24%, Joint Ventures 10%, and Sole Risk operators 3%. Utilization data revealed that 36% of output was exported, 28% supplied to domestic consumers, while nearly 30% was used for field and plant operations.

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